Share prices across the segment tumbled anywhere between 10% and 85%, signaling a consolidation phase after years of aggressive expansion. The only exceptions are Westlife Foodworld and Jubilant Foodworks, which managed to post positive returns of 20% and 9% respectively.
The September quarter earnings have a loss rule
Of the eight QSR companies, four—Sapphire Foods India, Restaurant Brands Asia, Devyani International and Westlife Foodworld—have announced their September ’25 quarter results. Three of them continued to be in the red, posting net losses for another quarter. However, despite a weak bottom line, all four years posted healthy top-line growth.
Bucking the trend, Westlife Foodworld reported a sharp turnaround in profitability. In the September quarter, the company’s net profit rose to Rs. 27.71 crore, which in the same period last year was only Rs. 36 lakhs, indicating strong efficiency and improved margins.
Market leaders and valuations
Jubilant Foodworks, which operates Domino’s in India, has raised about Rs. QSR is the largest company in the pack with a market cap of Rs 38,000 crore. Devyani International Rs. 18,000 crores is around.
Jubilant Foodworks, one of the few gainers in FY26, rose nearly 10% per share to Rs. 577 has been reached. Trendlyne’s SWOT analysis gives a mixed view of the stock, with weak points slightly outweighing strengths. However, fundamentals appear solid, aided by rising net profit and margins, consistent profit growth over the past two quarters, declining promoter promises and a dividend yield above the sector average.
Devyani International, on the other hand, has declined by over 15 percent in the current financial year. The SWOT outlook looks weak with several pressure points: decline in promoter share, sharp decline in trailing twelve-month (TTM) profits, swing from profit to loss and two years of decline in annual profit.
agenciesBiggest losers: United Foodbrands, Restaurant Brands Asia
United Foodbrands, its stock fell 85% in FY26 to Rs. At 198 tops the list of backward people. The company’s fundamentals also look fragile, with promoters shedding stakes, declining operating cash flow, two consecutive years of deteriorating net profit and declining book value per share.
Restaurant Brands Asia, which operates the Burger King brand in India, is the second-biggest loss so far this fiscal, down nearly 35%. Interestingly, despite its price drop, the company’s SWOT profile paints a relatively optimistic picture – it doubles the number of strength points compared to weaknesses. Its improving financial metrics include low debt levels, quarterly revenue growth, two years of improving net profit and a pledge of zero promoters.
As FY26 progresses, sector watchers believe that valuation correction and operational reform could set the stage for a potential recovery, especially for players showing improvement in fundamentals amid the current turmoil.
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