Devyani International sinks 8% from day's high despite Q2 turnaround

Devyani International on Monday reported a turnaround in Q2 earnings with ₹3.46 crore net profit for the quarter ended September 2026 as against a net loss of ₹23.95 crore in the year-ago period.

Devyani International's share price plunged nearly 8 per cent from its day's high of ₹129.39 in Monday's trade on the NSE to an intraday low of ₹117.51 after the company announced its Q2 earnings. The stock hit a 52-week high of ₹169.26 on October 30, 2025, and a 52-week low of ₹91.55 on April 02, 2025. Thus far in 2026, the stock has shed 20 per cent. At 12:50 PM, Devyani International traded 1.2 per cent lower at ₹118.95 on trades of over 46 lakh shares on the NSE. Meanwhile, the Nifty 50 index advanced 1 per cent to 23,281.

 Devyani International reports turnaround in Q2; but QoQ profit dips

 Devyani International on Monday reported a turnaround in Q2 earnings. The parent company of popular brands KFC and Pizza Hut in India posted a consolidated net profit of ₹3.46 crore for the quarter ended September 2026. In comparison, the company posted a net loss of ₹23.95 crore in the quarter ended September 2026. However, the company's net profit was down 79.8 per cent on a sequential basis, falling from ₹17.10 crore reported in Q1FY27 (quarter ended June 2026). Devyani's total income rose 10.8 per cent year-on-year, but was down 4.2 per cent quarter-on-quarter at ₹1,531.39 crore. Meanwhile, Devyani in an exchange filing said it delivered strong operating Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) growth of 34 per cent as store expansion pace picked up. Q2 EBITDA stood at ₹229 crore. "The store network at the end of the September quarter stood at 2,325, with 70 new stores (50 KFC) added during the quarter. It registered a positive same-store sales growth (SSSG) across most of its portfolio," the company said. Adding that it was on track to add 200-220 new stores during the year. on track to add 200-220 new stores during the year. Commenting on the Q2 earnings, chairman Ravi Jaipuria said, "Our growth momentum carried on firmly into the second quarter. We have had a good quarter with positive SSSGs ranging from 4 per cent to 9 per cent across our brand portfolio in India except PH (Pizza Hut) which saw sequentially better numbers." Despite steep inflation in raw materials and wages, the leverage from higher same-store sales and tight cost control helped lift the EBITDA by nearly 18 per cent, to ₹229 crore, Jaipuria said.