Devyani International Limited — Q3 FY26
Devyani International reported Q3 FY26 consolidated revenue of ₹1,441 crore, up 11.3% YoY, driven by India operations growth of 12.1%.
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Did management answer the analysts?
Every material analyst question, graded on whether management actually answered it — with the verbatim exchange and quantitative claims checked against filed numbers.
21%Questions answered8Evaded / deflected12Questions audited
Evasive
High priority
Initial thoughts on key focus areas for next growth phase.
Asked by Dwanchal, MBA Global
Acknowledged question but deferred detailed answer to later.
deferred to futureno specifics given
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Question
checking if you would like to share some initial thoughts on your key focus areas for ramping up uh the next phase of uh the growth journey for DAN.
Manish (CEO of merged entity)
it is too early to kind of comment on this piece... our biggest priority will be to turn around the triple SC and ADS numbers... we will come back to you in due course of time.
Partial answer
High priority
Key initiatives leading to positive SSSG in Jan 26.
Asked by Dwanchal, MBA Global
Mentioned experiments but no concrete details on initiatives.
no specific detailsvague description
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Question
the commentary mentions that most formats have seen positive SSD in Jan 26. I wanted to understand the key initiatives which have led to this improvement.
Manish
We experimented with some ideas on the promotions on the deals. we've changed little bit of our strategy in terms of how we deal with the online business and offline business.
Evasive
Medium priority
Whether improved gross margin was invested back to revive SSSG.
Asked by Dwanchal, MBA Global
Did not confirm whether savings were reinvested; only said margins would be maintained.
no direct answer on investmentvague commitment
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Question
how do we see your improved gross margin profile whether we have invested back some of the savings at the gross level to revive this SSG or the JAN trends are mostly with the 70% SSG that we have reported in KFC?
Manish
broadly we will be able to maintain the gross margins profile. I mean it could be here and there by some basis points but largely the gross margin profile will be maintained.
Answered
High priority
Whether EBITDA margin of 124 cr is sustainable and can improve.
Asked by Jay Doshi, Kota
Answered affirmatively with supporting reasons.
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Question
this IDA growth of or absolute iida pre-index of 124 cr do you think that this is even in a weak environment similar iida margin or absolute iida adjusted for seasonality you should be comfortable maintaining and should we expect improvement?
Manish
we feel so because... we've managed to turn around biryani by kilo to a break even level... Nepal Nigeria operations have done exceedingly well... we are hopeful that we should be able to maintain the IIDA numbers.
Partial answer
High priority
Impact of cannibalization on KFC SSSG and thoughts on slowing store additions.
Asked by Jay Doshi, Kota
Acknowledged cannibalization but did not quantify or commit to slowing store additions.
no quantification of cannibalizationno commitment to slow down
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Question
can you give us some indication of what could be the impact of cannibalization on SSSG of KFC and is there any thought internally to perhaps slow down store addition for KFC for a year or so?
Manish
if you look at in the last 5 years we've gone to almost close to three to four times of what the base store count used to be... there will be some amount of cannibalization... we need to have a very differentiated strategy from an online and offline perspective.
Evasive
Medium priority
Whether store opening commitments with Yum have been relaxed.
Asked by Jay Doshi, Kota
Did not confirm whether commitments were relaxed; said discussion pending.
no direct answer on relaxationdeferred to future discussion
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Question
in the new agreement that you may have signed with Yum do you still have a similar level of commitment in terms of store additions for KFC or has it been relaxed?
Manish
both the companies had independently signed the development agreements. They will continue... we will present the complete KFC strategy to Yum Brands and we will have that discussion.
Evasive
High priority
Priority between fixing KFC or Pizza Hut first.
Asked by Pages Sha, Aventus Spark Institutional Equities
Avoided direct prioritization, focused on merger synergies.
did not prioritizeredirected to merger benefits
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Question
what would you prioritize in the sense fixing or ramping up KFC first or fixing Pizza Hut as a model first?
Manish
the biggest strategic move that we have taken is to consolidate the two companies... we will take over technology operations from Yum... once we overlay that with the operations piece I think it's a great win-win combination.
Evasive
Medium priority
Other operational indicators supporting sustainability of Jan SSSG.
Asked by Pages Sha, Aventus Spark Institutional Equities
Did not provide any other indicators; downplayed the data point.
no other indicators givencautioned against drawing conclusions
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Question
apart from the SSG what are the other optal indicators which are actually helping us to or guiding us to say that this could be sustainable and not a false start?
Manish
I'm not saying that... January has been positive and let's see it is just one month... we need to look at how the whole quarter goes.
Evasive
High priority
How many loss-making Pizza Hut stores need to be shut and why they are not working.
Asked by Sakshia, Oldbridge Capital
Did not provide number of stores or reasons; deferred to post-merger.
no store count givendeferred to future
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Question
how far do we have to go in terms of shutting these stores down like how many stores if you can just give us an indication on how many stores such stores are there and what would be your initial read through on what is not working?
Manish
we'll have to handle Pizza Hut from multiple fronts... shutting the lossmaking stores... it'll take a couple of years to finally sort it out... we will come back to you on that piece once we have more details.
Evasive
High priority
Minimum SSSG needed for pre-Ind AS EBITDA margin expansion in FY27.
Asked by Percy, IFL
Refused to give minimum SSSG; instead cited brand contribution improvement.
declined guidanceprovided unrelated data
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Question
for FI27 what is the minimum SSSG that you need to deliver so that you can have a pre-Indius AIDA margin expansion on a YI basis?
Manish
we will not be able to give you the guidance on FI27... if you look at KFC business, the ADS in the current quarter was 90,000... we've managed to improve the brand contribution by more than 200 basis points.
Partial answer
Medium priority
Whether there is further margin improvement potential beyond current initiatives.
Asked by Percy, IFL
Affirmed there is potential but did not quantify or specify.
no quantificationvague on sources
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Question
if there is a zero SSG is there any way you can still improve margins beyond what you have already done or now the margin improvement is going to be more a function of the operating leverage?
Manish
of course there is juice there is still juice there in the lemon... we learn from what is happening in the environment... with merger happening we will have the synergies also coming in.
Declined
Medium priority
Details on initiatives driving January improvement and sustainability.
Asked by Amit Sacha, UBS
Explicitly declined to provide details citing confidentiality.
refused to share details
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Question
could you give us a little bit of detail that what three four things are you really excited about that are working very well?
Manish
all of these are business confidential details and we will not be able to share that in the public forum.