Archive · 20 Aug 2025
QSR Firms Hope for Recovery in Second Half of FY26
Quick-service restaurants (QSRs) are hoping for a better second half of the year after a tough start.
While some, like Jubilant FoodWorks, are doing well, others like McDonald's and Burger King are struggling.
They're hoping things will improve due to better consumer confidence and lower food costs.
They plan to grow by opening new stores and offering affordable deals to attract more customers.
QSR firms anticipate recovery in H2 FY26 after a slow April-June period.
Jubilant FoodWorks showed strong SSG, while others like Westlife and Restaurant Brands Asia had flat or low SSG.
Companies hope for growth via consumer sentiment, policy measures, and lower food inflation.
Store expansions and value meals are key strategies for long-term growth.
Analysts suggest operational efficiencies and value offerings to improve sales.
- Who
- QSR firms
- What
- Quick-service restaurants are facing challenges but anticipate a recovery in the second half of FY26.
- When
- April-June (Q1) of FY26.
- Where
- India
- Why
- Due to soft consumer demand.
Challenges
Strategies
Demand and Growth
Challenges
Soft consumer demand impacting sales.
Strategies
Anticipated recovery driven by consumer sentiment and value offerings.
Profit Margins
Challenges
Margin expansion hindered by store expansion.
Strategies
Focus on operational efficiencies can improve margins.
- QSR Revenue Growth (Q1)
- 9.7%
- QSR Ebitda Margin
- 17.2%
- Jubilant FoodWorks SSG
- 11-12%
- Westlife FoodWorld SSG
- 0.5%
- Restaurant Brands Asia SSG
- 2.6%
