Devyani International Ltd (DEVYANI) Q1 Results FY27 Preview: Date, Time, Expectations & Key Things To Watch

CompoundingAI Research Updated July 24, 2026 3 min read

Devyani International faces a critical Q1 FY27 print as it balances the full-quarter consolidation of its Sky Gate acquisition against a challenging inflationary environment. Investors will be watching for signs of margin resilience as the company navigates accelerating wholesale food costs and the ongoing integration of the Sapphire Foods merger.

Quick Details

Results date	July 29, 2026
Quarter	Q1 FY 2026-2027
Previous quarter revenue	Rs. 1,436.9 Cr
Previous quarter PAT	Not stated
Previous quarter EBITDA margin	8.6%
Net debt (latest quarter)	Rs. 869 Cr
Market cap	Rs. 13,848.44 Cr
CMP	Rs. 112.3

Devyani International Ltd Q1 Results Date and Time

The board meeting is scheduled for July 29, 2026, to approve the unaudited Q1 FY27 financial results.

The post-results conference call is scheduled for July 29, 2026, at 2:30 PM IST.

What to expect from Devyani International Ltd's Q1 FY27 results

Revenue growth in Q1 FY27 is expected to benefit from the full-quarter consolidation of Sky Gate brands, which were acquired on June 10, 2025. However, the operating EBITDA margin faces significant pressure as the WPI Food Index accelerated to 6.14% in June 2026, creating a clear headwind against the 8.6% margin reported in Q4 FY26. While aggregate GST collections of Rs. 4.37 lakh crore in the first two months of FY27 suggest moderate demand, rising aggregator costs and the existing GST-on-rent burden remain material to the quarter's profitability. Management's upcoming call will likely focus on the strategy for KFC expansion and the status of the Sapphire Foods merger, following the receipt of no-objection letters from the NSE and BSE in June 2026.

Key Things To Watch

Performance vs Guidance Tracking

KFC store additions: Targeting 100–110 stores per year (standalone) — Ongoing
Pizza Hut net new units: Zero net additions through December 2026 — On track
Merger operational synergies: Target of Rs. 210–225 Cr annually — Integration roadmap pending

Strategic execution and integration

Sapphire merger: NCLT filing status and integration roadmap following June 2026 regulatory clearances
Thailand operations: SSSG recovery trends and expansion plans following the stake increase to 56.7%
New leadership: Initial strategic priorities under President & CEO Manish Dawar

Operating metric trajectory

SSSG trajectory: Monitoring KFC and Pizza Hut demand trends in Q1 FY27
Store portfolio: Assessing if Q4 FY26 closures of 23 loss-making outlets was a one-time cleanup
Own brands: Expansion pace of Vaango and Sky Gate brands post-EBITDA break-even

Risks and headwinds to monitor

Input costs: Impact of wholesale food inflation on cost-of-materials ratio
Regulatory/Tax: Progress on lease disputes and Labour Code provisions
Competitive intensity: Promotional activity levels in KFC during the quarter

Frequently Asked Questions

What was the reason for the decline in store count during Q4 FY26?

The company reported a net reduction of 23 stores in Q4 FY26. This was a deliberate strategy to close loss-making Pizza Hut and non-performing outlets to improve portfolio quality.

What is the status of the Sapphire Foods merger?

The scheme of arrangement received no-objection letters from the NSE and BSE in June 2026. The company is now required to file the scheme with the NCLT within six months of June 12, 2026.

Has the Sky Gate acquisition achieved its financial targets?

Yes, Sky Gate brands achieved brand EBITDA break-even in December 2025. This milestone was reached ahead of the company's original March 2026 target.

Is the company's revenue growing?

Revenue grew 18.5% YoY in Q4 FY26 to Rs. 1,436.9 Cr. This growth was supported by the company's ongoing expansion strategy, despite a net reduction in store count during that same period.