The operator of Pizza Hut, KFC, Taco Bell and Costa Coffee in India, Devyani International has reported a 16.7% growth in the first quarter of FY 24-25, compared to the same period last year. The company opened 54 stores (net) during this period across all its brands.
Revenue for the quarter stood at INR 1,220 Cr while consolidated EBITDA stood at INR 220 Cr with margins at 18.3%. The company currently operates over 1,836 stores in 250 cities in India alongside international markets such as Nepal, Thailand and Nigeria.
The company operates several outlets in travel retail across numerous airports in the country.
Ravi Jaipuria, Non-Executive Chairman, Devyani International Limited said, “We witnessed an improved performance for DIL in Q1, driven by seasonality and cost leverage from better ADS across our businesses.
Our Thailand business also demonstrates growth with new store openings and a customer delight strategy. We remain committed to expanding our store footprint and making our brands more accessible to our consumers.
As announced earlier, we are on track to achieve a total store count of 2,000 stores within the current financial year.
We are also focused on enhancing various institutional businesses, including food courts and airport presence. We are delighted with the positive progress in Q1 and shall continue to be relentless in our plans for the upcoming quarters.”
There are atleast a dozen players in India with over 100 stores each. Other than these category players, Pizza is also a mainstay at several restaurants serving global cuisine as well as continental fare.
For Ex., Chandigarh-based La Pino’z Pizza has over 600 outlets across India while Chicago Pizza is in over 190 locations across India and headquartered in New Delhi.
Bangalore-based Mojo Pizza has a presence in over 300 locations and market leader Domino’s which has been in India for 28 years operates over 2,000 stores.
Pizza chains form a fourth of all Quick Service Restaurant (QSR) formats in India with the love for the food increasing by the day in metro cities as well as in Tier 2/3 markets.
The first quarter has been quite challenging across various formats of food retail in India due to two reasons – extreme summer and the longest ever election season which lasted 49 days. Number of visits to F&B outlets shrunk during this period and several operators are coping with this challenge, even though fixed costs such as rent, salaries and other business expenses remained the same.