Sapphire Foods India Limited has informed the Exchange about Investor Presentation
:
th
Date
15
May 2025
National Stock Exchange of India Limited To,
BSE Limited
Exchange Plaza, Block G, C/1, Bandra Kurla Complex, Bandra (E), Mumbai – 400051
Phiroze Jeejeebhoy Towers, Dalal Street, Mumbai – 400001
Symbol: SAPPHIRE
Scrip Code: 543397
Dear Sir/Madam, Subject: Corporate Presentation
Pursuant to the Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations 2015, please find enclosed herewith Corporate Presentation.
Corporate
The website also (https://www.sapphirefoods.in/investors-relation/corporate-presentation) under FY25 Q4 section.
Presentation
Company’s
available
on
is
Request you to kindly take the same on record.
For Sapphire Foods India Limited Thanking you,
Sachin Dudam Company Secretary and Compliance Officer
Encl: a/a
Sapphire Foods India Limited CIN: L55204MH2009PLC197005
+91 022 67522300 info@sapphirefoods.in www.sapphirefoods.in 702, Prism Tower, A-Wing, Mindspace, Link
Road, Goregaon (W), Mumbai- 400062
Corporate Presentation
MAY 2025
1
SAFE HARBOR
This presentation and the accompanying slides (the “Presentation”), which have been prepared by Sapphire Foods India Limited (the “Company”), have been prepared
solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any securities, and shall not form the basis or be
relied on in connection with any contract or binding commitment what so ever. No offering of securities of the Company will be made except by means of a statutory offering
document containing detailed information about the Company.
This Presentation has been prepared by the Company based on information and data which the Company considers reliable, but the Company makes no representation or
warranty, express or implied, whatsoever, and no reliance shall be placed on, the truth, accuracy, completeness, fairness and reasonableness of the contents of this
Presentation. This Presentation may not be all inclusive and may not contain all of the information that you may consider material. Any liability in respect of the contents of, or
any omission from, this Presentation is expressly excluded
Certain matters discussed in this Presentation may contain statements regarding the Company’s market opportunity and business prospects that are individually and
collectively forward-looking statements. Such forward-looking statements are not guarantees of future performance and are subject to known and unknown risks,
uncertainties and assumptions that are difficult to predict. These risks and uncertainties include, but are not limited to, the performance of the Indian economy and of the
economies of various international markets, the performance of the industry in India and world-wide, competition, the company’s ability to successfully implement its strategy,
the Company’s future levels of growth and expansion, technological implementation, changes and advancements, changes in Restaurant Sales, income or cash flows, the
Company’s market preferences and its exposure to market risks, as well as other risks. The Company’s actual results, levels of activity, performance or achievements could
differ materially and adversely from results expressed in or implied by this Presentation. The Company assumes no obligation to update any forward-looking information
contained in this Presentation. Any forward-looking statements and projections made by third parties included in this Presentation are not adopted by the Company and the
Company is not responsible for such third party statements and projections.
2
Table Of Contents
1
2
3
5
6
7
Sapphire Foods At A Glance
Page 4 - 6
Financial Overview
Page 7 -12
Segmental Performance
KFC India
Pizza Hut India
Sri Lanka Business
Unit Economics
Growth Strategy
ESG
Page 14-15
Page 16-17
Page 18
Page 19
Page 20-21
Page 22
Management, Board & Shareholding Pattern
Page 23-25
3
Sapphire Foods At A Glance
YUM’s Franchisee Operator in India, Sri Lanka & Maldives
Sri Lanka’s Largest International QSR Chain (1)
₹ 7,099 MN Q4FY25 Restaurant Sales
16.0% [17.5%] Q4FY25 EBITDA margin
₹1,133 MN [1,102] Q4FY25 EBITDA
Source: Company data, Technopak industry report (1) In terms of Restaurant Sales for FY21 and number of restaurants operated as of March 31, 2021; (2) As of March 31, 2025; (3) Pertains to Q4 FY25
963 Total Restaurants Across India, Sri Lanka and Maldives (2)
502 KFC Restaurants (2) 451 Pizza Hut Restaurants (2) 10 Taco Bell Restaurants (2)
17.1% [18.2%] FY25 EBITDA margin
₹ 4,925 MN [4,717] FY25 EBITDA
Omni Channel Mix (3)
Dine In, 35%
Take Away, 22%
Delivery, 43%
4 4
Journey Of Sapphire Foods Built A Platform Of 963 Outlets (1)
502
334
Restaurant
Cities
131
80
127
74
INDIA
SRI LANKA
~ KFC and Pizza Hut Brands Operate in States that cover 56% of GDP (2)
KFC and Pizza Hut present in 10 and 11 states of India respectively KFC and Pizza Hut present in 5 and 6 of the Top 8 cities of India respectively
Top 8 Cities in India contribute 87% of Chain Food Services Market (3) 30 Cities where 425 restaurants of both KFC and Pizza Hut are operated
Source: Company data, Technopak Industry Report (1) Sri Lanka + Maldives included 4 restaurants in the previous years. As on 31st Mar 25 all the 4 restaurants are closed. (2) GDP contribution of states In FY19 where Pizza Hut and KFC restaurants are located; (3) In FY20
SAPPHIRE FOODS: GEOGRAPHICAL PRESENCE (1)
67
KFC : 11 PH : 6
18
70
KFC : 26 PH : 33
KFC : 17 PH : 14
31
KFC : 10 PH : 4
KFC : 112 PH : 90
28
7
64
8
KFC: 134 PH: 58
27
Maldives KFC : 0 PH : 0
Sri Lanka PH : 117 TB : 10
Pizza Hut, KFC
Pizza Hut, Taco Bell
Pizza Hut only
KFC only
5
The Sapphire Story
VALUE BASED WORK CULTURE, HIGH ON GOVERNANCE ENABLED BY PROFESSIONAL MANAGEMENT, BOARD & PROMOTERS
Two global brands ( KFC & Pizza Hut) with Scale & PAT profitability among Top 3 QSR operators
Execution Mindset Great Customer experience along with Superior Back- end operational excellence
Optimal capital allocation drives new restaurant expansion model - focus on smaller sized omni- channel restaurants
Capability and capital to rapidly drive organic & inorganic growth plans
6
Financial Overview
77
Sapphire Foods: 4-Year Scorecard
33%
579
28%
743
872
963
17%
10%
4-Year CAGR
No. of Restaurants
Restaurant Sales ₹ Mn
437
FY21
10,160
FY21
3.8%
FY22
FY23
FY24
FY25
69%
32%
17,154
FY22
9.4%*
22,571
FY23
11.7%
15%
11%
25,880
28,754
FY24
10.5%
FY25
9.1%
Adj. EBITDA ₹ Mn / %
323%
1,615
64%
3%
-4%
2,647
2,717
2,616
382
FY21
-8.3%
FY21 -840
FY22 * 2.7% 207%
FY23
6.2%
FY24
3.0%
-44%
457
FY22
1,402
FY23
-29%
786
FY24
FY25
1.9%
557
FY25
Adj. PAT ₹ Mn# / %
Adj, EBITDA is before is before Ind-AS 116 adjustments * Adj EBITDA & EBITDA for FY22 have been normalized for additional incentive from Yum accrued in that year
22%
30%
62%
NA
Relentless Execution. Grit. Performance.
FY25 Highlights
Sapphire has delivered the best all-round performance in the QSR industry (all parameters considered): Revenue scale & growth [ 11%], Adj. EBITDA margin [9.1%] & growth [↓ -4%] and New restaurant additions [91].
Sapphire KFC delivered highest ever annual restaurant EBITDA margin %: 17.3%
Sapphire KFC and Pizza Hut being recognized as among the top 3 franchisees of Yum globally on customer metrics and operating standards.
In Apr’25 Yum Global Franchise Convention Sapphire Foods was recognized: - World’s Best KFC Franchisee - World’s Top 4 Pizza Hut Franchisee - World’s Best Pizza Hut Franchisee for People Practices (Sri Lanka business)
Sapphire Foods is ranked No.1 QSR in India and at 95th percentile amongst QSR globally on Dow Jones Sustainability Index (DJSI).
8
Summary Consolidated Financials Q4 FY25
Particulars
Q4 FY25
Q4 FY24
Change YoY
FY25
FY24
Change YoY
Restaurant Sales mn
Adj. EBITDA ₹ mn
%
EBITDA mn
%
Adj. PBT mn *
%
PBT * mn *
%
Restaurant Additions
7,099
508
7.2%
1,133
6,297
544
13%
-7%
8.6%
-140 bps
1,102
3%
2,616
9.1%
4,925
28,754
25,880
11%
-4%
2,717
10.5%
-140 bps
4,717
4%
16.0%
17.5%
-150 bps
17.1%
18.2%
-110 bps
63
0.9%
45
0.6%
0
83
-25%
1.3%
-40 bps
8
434%
0.1%
50 bps
22
699
2.4%
384
1.3%
91
1,057
-34%
4.1%
-170 bps
699
-45%
2.7%
-140 bps
129
#Adj. EBITDA and Adj. PAT is before Ind-AS 116 adjustments * Adj. PBT & PBT of FY25 are before the exceptional items of ₹153 Mn
9
Operational & Financial Overview
RESTAURANT SALES
NUMBER OF RESTAURANTS
(INR mm)
13% Increase on Y-O-Y
7,550
Net Restaurant Additions
164
129
872
91
963
22
14
23
872
886
909
54
963
0
963
7,165
6,940
7,099
743
11% Increase on Y-O-Y
28,754
25,880
22,571
17,154
6,297
FY22
FY23
FY24
FY25
Q4FY24 Q1FY25 Q2FY25 Q3FY25 Q4FY25
FY 23
FY 24
FY25
Q4 FY24 Q1 FY25 Q2 FY25 Q3 FY25 Q4 FY25
10
Profitability Overview
GROSS MARGIN %
RESTAURANT EBITDA (₹ MN / %)#
17.6% 17.4% 15.8% 14.1%
13.6% 15.1% 13.7% 15.4% 12.0%
68.9%
68.7%
69.1%
68.8%
69.0%
68.70%
80 bps Y-O-Y
68.3%
3,025
3,929
4,092
4,064
69.6%
1350
1250
1150
1050
950
850
750
650
67.6%
1,084
954
861
1,164
160 bps Y-O-Y
856
1% Y-O-Y
1,250
1,150
1,050
950
850
750
650
FY22
FY23
FY24
FY25
Q4FY24 Q1FY25 Q2FY25 Q3FY25 Q4FY25
FY22
FY23
FY24
FY25
Q4FY24 Q1FY25 Q2FY25 Q3FY25 Q4FY25
KEY INITIATIVES
Zero-based cost budgeting leading to permanent cost reduction
PACE SETTER program for benchmarking cost amongst restaurants
Optimization of restaurant size
Increase in revenue from Delivery from 21% in FY19 to 45% in Q4FY25
# Restaurant EBITDA is before Ind-AS 116 adjustments *FY22 excludes additional incentives of 1.1%
11
Profitability Overview
ADJ. EBITDA (₹ MN / %)#
EBITDA (₹ MN / %)
1,514
2,647
2,717
2,616
544
707
590
811
508
11.7%
10.5%
9.4%
9.1% 8.6%
9.9%
8.5%
10.7%
140 bps Y-O-Y
7.2%
7% Y-O-Y
1350
1250
1150
1050
950
850
750
650
18.2%
4,717
19.2%
4,343
17.8%
3,054
5,150
4,650
4,150
3,650
3,150
2,650
2,150
1,650
1,150
650
17.1%
4,930
1,450
1,350
1,250
1,150
1,050
950
850
750
650
17.3%
1,242
16.6%
1,152
17.5%
1,102
18.5%
1,398
150 bps Y-O-Y
16.0%
1,133
3% Y-O-Y
FY22
FY23
FY24
FY25
Q4FY24 Q1FY25 Q2FY25 Q3FY25 Q4FY25
FY22
FY23
FY24
FY25
Q4FY24 Q1FY25 Q2FY25 Q3FY25 Q4FY25
KEY INITIATIVES
Zero-based cost budgeting leading to permanent cost reduction
PACE SETTER program for benchmarking cost amongst restaurants
Optimization of restaurant size
Increase in revenue from Delivery from 21% in FY19 to 45% in Q4FY25
# Restaurant EBITDA is before Ind-AS 116 adjustments *FY22 excludes additional incentives of 1.1%
12
Brand Wise Performance
1313
KFC Brand Priorities
Enhance Fried Chicken Category Relevance “Taste The Epic” campaign to popularize Core Variety offerings (Chicken Bucket, Boneless, Zinger Burger, Rolls)
Craveable Taste Launch of KFC Gold premium range of Zinger Burger & Chicken strips
Value
3 Tier value structure:
Introduce Core at ₹ 99/-
Enhance Individual meal offering at ₹149/-
Retain strong offering of Group meal at ₹ 399/-
Frictionless Customer Experience
Digital Kiosks
Strengthen Own Delivery through KFC App
Improve Accessibility Continue current pace of expansion (70-80 stores per year)
Operational Excellence
> 4.0 ratings across Swiggy, Zomato & Google
Dynamic Material Planning and Consumption tool to improve speed of service and reduce wastage
14
Core Composition Of Our Business: KFC India
As of Mar 31, 2022 / For FY22
As of Mar 31, 2023 /For FY23
As of Mar 31, 2024 /For FY24
As of Mar 31, 2025 /For FY25
263
130
341
135
429
125
502
114
10,349
14,529
17,157
18.7%*
19.4%
19.7%
19,039
11% Y-O-Y
17.3%
240 bps Y-O-Y
Total Restaurant Count
Average Daily Sales per Restaurant (INR‘000s)
Restaurant Related Revenue (in INR mm)
Restaurant EBITDA (in %)
Net restaurant additions of 6 in Q4FY25
Source: Company data *Restaurant EBITDA % is Normalized for additional incentives accrued in that period and YoY comparison is with Normalized numbers of FY24
15
Pizza Hut Brand Priorities
ACTION UPDATE ON DINE – IN LED OMNI CHANNEL CUSTOMER PROMISE
Taste Superiority through Pizza & sides innovation
Differentiated Dine-In Experience (like Casual Dine-In Restaurants)
Hot n Fresh Delivery Experience
Competitive Value for money
Cautious store expansion (~1000/1200 sqft. stores)
Mass media advertising to drive consumer awareness & consideration
Our strategy for revival of Pizza Hut brand continues to remain as above | this resulted in improved performance in the 9 months between Apr-Dec 24 (ADS improved from ₹41K to ₹48K)
However, starting JFM 25 quarter we have not invested in mass media advertising | this has impacted transactions in JFM 25 quarter | the performance in the quarter reflects the longer horizon we will need in reviving the brand
We have an exciting refresh of our core Pizzas, “Juicylicious Pizza” launched in Apr’25 | this will be backed by mass-media advertising in Tamil Nadu (Sapphire exclusive market) and below-the-line media in other markets
16
Core Composition Of Our Business: Pizza Hut India
As of Mar 31, 2022 / For FY22
As of Mar 31, 2023 /For FY23
As of Mar 31, 2024 /For FY24
As of Mar 31, 2025 /For FY25
Total Restaurant Count
Average Daily Sales per Restaurant (INR‘000s)
Restaurant Related Revenue (in INR mm)
Restaurant EBITDA (in %)
219
57
286
58
3,710
5,214
11.4%
13.3%
319
46
5,185
4.9%
334
46
5,450
5% Y-O-Y
2.4%
250 bps Y-O-Y
Net restaurant additions of -5 in Q4FY25
Source: Company data *Restaurant EBITDA % is Normalized for additional incentives accrued in that period.`
17
Core Composition Of Our Business: Sri Lanka Operations
Total Restaurant Count
Average Daily Sales per Restaurant (INR‘000s)
Restaurant Related Revenue (in INR mm)
Restaurant EBITDA (in %)
As of Mar 31, 2022 / For FY22
As of Mar 31, 2023 /For FY23
As of Mar 31, 2024 /For FY24
As of Mar 31, 2025 /For FY25
95
108
116
72
124
79
2,983
2,716
3,397
4,228
127
95
Y-O-Y 24% (INR) 14% (LKR)
22.0%
14.8%
13.7%
15.4%
Y-O-Y 170 bps
Net restaurant additions of 1 in Q4FY25
Source: Company data *Restaurant EBITDA % is Normalized for additional incentives accrued in that period.
18
Unit Economics
KFC
PIZZA HUT
As of 31-Mar-19
2,736
Current
~ 1,500
As of 31-Mar-19
2,427
Current
~ 1,200
Reduction in Avg Restaurant size ~45%
Reduction in Avg Restaurant size ~45%
FY19
125
FY19
12.7%
FY24
FY25
125
114
FY24
FY25
19.4% 17.3%
FY19
61
FY19
7.5%
FY24
FY25
46
46
FY24
FY25
4.9%
2.4%
Avg Size of Restaurant (in Sq. ft.)
Average Daily Sales per Restaurant (in ₹’000)
Restaurant EBITDA %
In Pizza Hut 1,000 Sq.ft. restaurants rolled out for densification. We expect this will be around 10-15% of our new restaurants going forward
19
Well Positioned to Capture Future Opportunities
Accelerate conversion from unorganized food services to KFC and PH brands
wth
o r G c i n a
Org
Pursu
Explore acquisition of high quality & scalable QSR and food brands in existing and new geographies
e I n o r g a n ic
Growth
Capability + Capital
Cash net of debt of ₹ 2,450 Mn as on 31st Mar 25
20
Scalability In Food Business
Sapphire Foods ‘ 7 Mantras To Drive Scalability In Food Business
Centre of plate / meal / daily consumption
Difficult to make at home
Brand differential: provenance story
Production processes do not need “Chef ”
Value for money
Quick Services
Omni channel worthy
21
ESG
DJSI ESG RATINGS 2024
S&P Corporate Sustainability Assessment
KEY HIGHLIGHTS
• Ranked No. 1 amongst QSR Brands in India for the second consecutive year • Ranked No. 7 amongst Global QSR Companies • Placed in 97th Percentile amongst Global QSR Companies
• The only Indian QSR Company to publish ESG report
under GRI, SASB and BRSR standards for the third
consecutive year
Source: https://www.spglobal.com/esg/scores/results?cid=6578587
Achieved “IGBC Platinum” rating under Indian Green building Council certification for Green Interiors for KFC Westwood Village, Rayya, Punjab
Copyright © 2025 Sapphire Foods India Ltd
22
Management Team
Right People In Key Seats
Management Team With Diverse Experience
Deepak Taluja CEO – KFC
Vikrant Vohra CEO – Pizza Hut
Vijay Jain CFO
Nandita Bapat Head – Projects & Business Development
Priya Adiseshan Chief People Officer
Amar Patel Chief Tech Officer
Ashu Khanna Head Supply Chain
Niraj Patil Head Legal and Liaison
Source: Company data
23
Board Of Directors
Our Directors
Sunil Chandiramani Chairman and Independent Director
Sanjay Purohit Whole Time Director and Group CEO
Sumeet Narang Non-Executive Nominee Director
Deepa Wadhwa Independent Director
Vinod Nambiar Non-Executive Nominee Director
Vikram Agarwal Non-Executive Nominee Director
Annu Aggarwal Independent Director
Rohitt Mutthoo Non-Executive Nominee Director
Kabir Thakur Non-Executive Nominee Director
INTERNAL AUDIT
STATUTORY AUDIT
ESG
Protiviti
SRBC & Co LLP
Assisted by PWC
Source: Company data
24
Shareholding Pattern
Shareholding Pattern (As on 31st Mar 2025)
% Holding
Promoters & Promoter Group
Foreign Portfolio Investors / Non-Resident Indians
Domestic – Mutual Funds Insurance Companies
AIF, Resident Individuals & Others
Total
Source: Company data
26.1
30.7
36.1
7.1
100.0
25
Thank You
Sapphire Foods India Limited CIN: L55204MH2009PLC197005 702, Prism Tower, A-Wing, Mindspace, Link Road, Goregaon (West), Mumbai - 400062. India
kaushik.vankadkar@sapphirefoods.in www.sapphirefoods.in
Investor Relations Partner:
Vogabe Advisors Private Limited
Ms. Himani Singla
sapphirefoods@vogabe.com
+91 9569926021 | www.vogabe.com
26