Devyani International Expands Despite Rising Losses

Devyani International Ltd, Yum Brands' largest franchisee in India, reported an increased net loss for the September quarter FY26, despite a 12.64% rise in operational revenue. The company expanded its store network significantly, adding 39 outlets, primarily KFC, and launched new brands successfully.

Devyani International Ltd, the prominent franchisee of Yum Brands including popular chains like KFC, Pizza Hut, and Costa Coffee in India, has reported a significant increase in net loss for the September quarter of FY26. The net loss widened to Rs 23.9 crore, as compared to Rs 4.92 crore in the same period last year, according to a regulatory filing.

Despite the rise in losses, the company's revenue from operations grew by 12.64% to Rs 1,376.75 crore, while total expenses climbed by 14.42% to reach Rs 14,084.68 crore. Total income saw a 12.62% increase, with figures standing at Rs 1,381.88 crore. In the first half of FY26, total income was up 12% to Rs 2,752.36 crore.

The company continues to expand its presence, opening 39 new stores including 30 KFC outlets in India, bringing its total network to 2,184 stores across multiple countries. Non-Executive Chairman Ravi Jaipuria expressed optimism regarding the expansion and launch of new brands, which have received positive customer feedback, signaling promising growth prospects despite the current financial challenges.

(With inputs from agencies.)