United Foodbrands (BARBEQUE) Q1 26/27 earnings summary

Executive summary

• Q1 FY27 delivered the strongest operating quarter in recent years, with consolidated revenue reaching ₹4,259 million, up 43.4% year-over-year, driven by SSSG of 28.7% and robust transaction growth across all segments and geographies.

• Dine-in transaction volumes surged 63.5% year-over-year, with over 65% of BBQ India dine-in transactions routed through digital channels.

• Growth was entirely volume-led, with no price increases during the quarter; average per capita spend reflected business segment and value-led initiatives.

• Opened 5 new restaurants in Q1 FY27, expanding the network to 266 outlets, with plans to reach 300+ by FY27 and 400-425 by FY30.

• Consolidated net profit after tax for Q1 FY27 was ₹23.08 million, compared to a net loss of ₹150.70 million in Q1 FY26.

Financial highlights

• Consolidated revenue: ₹4,259 million, up 43.4% year-over-year; gross profit increased 39.4% to ₹2,801 million, with gross margin at 65.8%.

• Pre IND AS adjusted operating EBITDA margin improved to 8.1%, a 152% year-over-year increase; adjusted operating EBITDA grew to ₹343 million.

• Mature restaurant operating margins reached 16.2%, up 290 basis points year-over-year.

• Profit after tax turned positive at ₹23.08 million, compared to a loss of ₹150.70 million in Q1 FY26.

• Net debt rose marginally to ₹106 crore due to CapEx investments.

Outlook and guidance

• On track to reach 300+ restaurants by FY27 and 400-425 by FY30, with 15 new outlets under construction.

• Focus remains on healthy volume growth, network expansion, and disciplined capital allocation funded largely through internal accruals.

• Margin improvement levers include gross margin recovery, matured portfolio margin expansion, new store cohort maturation, and backend operating leverage.

• The company continues to monitor regulatory changes, especially regarding new Labour Codes, and will adjust accounting as needed.