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Devyani International Q1 FY26 Results: Revenue Growth Amid Profit Challenges
Business, business update, Markets, Result Updates - August 14, 2025

Devyani International Q1 FY26 Results: Revenue Growth Amid Profit Challenges

Devyani International Q1 FY26 Results: Revenue Growth Amid Profit Challenges

Strategic Expansion and Market Challenges Shape Devyani International’s Early Fiscal Year Performance

Overview of Q1 FY26 Performance
Devyani International, India’s leading franchisee of Yum Brands operating popular chains like KFC, Pizza Hut, and Costa Coffee, reported its Q1 FY26 financial results with mixed outcomes. The company recorded an 11.1% year-on-year growth in consolidated revenue, reaching approximately Rs 1,357 crore, driven by robust sales across key brands and international markets. This revenue increase stood in stark contrast to a steep drop in net profit, which fell almost 90%, sliding to Rs 2.2 crore from Rs 22.4 crore in Q1 FY25.
This dichotomy highlights both the opportunities and challenges facing the quick service restaurant (QSR) industry amid evolving consumer behavior and macroeconomic headwinds.

Revenue Drivers: Growth Across Brands and Markets
The increase in revenue was fueled primarily by strong performances in several segments:
• KFC India, the company’s flagship brand, reported revenues of Rs 612.6 crore, marking a 10.5% year-on-year increase.
• Pizza Hut India Recorded a modest 3% year-on-year growth, with revenues reaching Rs 187.3 crore.
• The international business segment expanded impressively by 11.2% YoY, contributing Rs 433 crore, supported by new store openings such as two Tealive outlets in Thailand and the first New York Fries store in Mumbai.
Devyani International sustained its growth momentum, opening 106 new stores during the quarter and increasing its total to 2,145 outlets. A pivotal acquisition drove this growth, as Devyani boosted its holding in Sky Gate Hospitality to 86.13% through an investment of Rs 103 crore. Sky Gate houses rapidly expanding brands such as Biryani By Kilo and Goila Butter Chicken, adding further diversity to Devyani’s revenue streams.
Profit Decline: Navigating Margin Pressure and Rising Costs
While revenues increased, profitability faced significant contraction. The company’s PAT nosedived nearly 90%, declining to Rs 2.2 crore in Q1 FY2026 from Rs 22.4 crore a year earlier, driven by several contributing factors:
Several factors contributed to this sharp drop:
• Rising operational expenses: Total expenses increased by nearly 14% to Rs 1,367 crore, signaling cost pressures in areas such as marketing, promotions, and employee costs.
• Margin compression: The EBITDA margin declined to 15.1%, down from 17.7% the previous year, indicating profitability was impacted by the cost structure and lower operating leverage.
• Soft consumer demand: Macro factors, including a period of subdued consumer spending, affected customer traffic and consumption patterns in the QSR space.
Despite the profit dip, the company’s reported EBITDA remained strong at Rs 205 crore, reflecting solid core earnings before other expenses.

Strategic Insights and Future Outlook
Ravi Jaipuria, Non-Executive Chairman of Devyani International, emphasized that India’s QSR industry is on a structural growth path, supported by urbanization, rising incomes, greater digital adoption, and changing consumer preferences, especially among younger demographics and working women. Although the near-term environment presents challenges with softer consumer demand, the firm remains optimistic about long-term prospects.
The company is focusing on resetting its business model to deliver a differentiated and compelling value proposition across both online and offline channels. Its multi-brand and multi-format strategy, bolstered by acquisitions and international expansion, is designed to capture growth opportunities while mitigating market risks.
Key strategic priorities include:
• Scaling operations profitably
• Strengthening core brands like KFC and Pizza Hut
• Growing emerging brands through acquisitions such as Sky Gate’s portfolio
• Enhancing digital and delivery capabilities to reach evolving consumer habits
Jaipuria underscored the importance of job creation and rising per capita income in India as drivers for future consumption growth, painting a positive medium to long-term outlook despite current profitability pressures.

Conclusion
Devyani International’s Q1 FY26 results reflect a dynamic but challenging operating environment. The company successfully grew revenues through brand strength, geographic expansion, and strategic acquisitions, but profit margins were squeezed by rising costs and shifting consumer demand. The near-term financial softness is viewed by management as a temporary phase in the context of a fundamentally growing Indian QSR market.
As Devyani International accelerates store openings and leverages its diverse brand portfolio, its ability to innovate, operate efficiently, and adapt to consumer trends will be critical drivers in returning to sustainable profit growth. Investors and industry watchers will be keenly observing the company’s execution of its growth and margin recovery plans in the upcoming quarters.

 

 

 

 

 

 

 

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Max Healthcare Institute Limited Q1 FY26 Results: Steady Growth & Strategic Expansion

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Hazoor Multi Projects Ltd has declared a final dividend despite a nearly 70% drop in Q4 profit.
Result Updates - May 29, 2025

Despite Steep Profit Drop in Q4 FY25, 3M India Declares Substantial Dividend

Despite Steep Profit Drop in Q4 FY25, 3M India Declares Substantial Dividend

3M India Limited released its quarterly earnings for the period ending March 31, 2025, highlighting a sharp fall in net profit. Despite this decline, the company surprised investors with a generous dividend payout, underscoring its commitment to delivering shareholder value even in tough times.

Financial Performance Snapshot

During the final quarter of FY25, 3M India’s standalone net profit fell drastically by nearly 60% compared to the same quarter last year, coming in at ₹71.37 crore. This marks a worrying trend, as it continues the sequence of shrinking profits amid escalating operational costs and stiff competition from local firms.

In contrast, the company’s revenue demonstrated resilience, climbing by approximately 9.5% to ₹1,198 crore. Growth was mainly supported by the industrial, safety, and healthcare segments, which have emerged as key contributors to 3M’s top line. However, the transportation and electronics division — a significant revenue source accounting for close to 40% — exhibited only marginal growth of about 2%, indicating subdued demand in that space.

Operating profit rose by around 6% to ₹227 crore, but the company’s profitability margins showed pressure. The EBITDA margin contracted slightly to 18.9%, down from 19.6% a year prior, reflecting rising costs and competitive pricing pressures.

Generous Dividend Declaration

In a move that caught many by surprise, 3M India declared a hefty dividend of ₹695 per share for the quarter, consisting of a final dividend of ₹160 and an additional special dividend of ₹535 per share. The total dividend payout equates to ₹782 crore, demonstrating management’s intent to maintain rewarding shareholders despite the profit slump.

The dividend distribution record date is scheduled for July 25, 2025. This payout provides a significant income opportunity for investors, especially at a time when corporate earnings face downward pressure.

Market Impact and Investor Sentiment

Following the earnings announcement, 3M India’s share price faced downward pressure. Over the last 12 months, the stock has fallen roughly 12%, with a decline of nearly 2% year-to-date. Concerns over the steep profit drop and compressed margins have weighed on investor confidence.

Nevertheless, the company’s substantial dividend payout offers a silver lining by providing steady returns amid earnings volatility. Analysts believe that this generous dividend could help stabilize investor sentiment and support the stock price in the short term.

Industry Challenges Weighing on Profitability

The overall business landscape remains challenging for 3M India. Escalating raw material prices and inflationary pressures have pushed up costs across supply chains, including logistics and labor expenses. This, combined with fierce competition from domestic manufacturers, has squeezed margins.

Particularly in industrial and safety product categories, local players have intensified price competition, affecting 3M’s market share and pricing power. Furthermore, the transportation and electronics segment has shown limited growth due to global economic uncertainty and shifting technology trends.

Looking Ahead: Strategy for Recovery

To counter these headwinds, 3M India is expected to implement strategies focused on cost control and product innovation. Increasing efficiency in manufacturing and logistics, alongside investment in automation and digital tools, may help reduce operational costs over time.

The company is also likely to emphasize expansion in high-growth segments like healthcare and safety equipment, which have shown robust demand. Tailoring products to meet evolving customer needs and increasing market penetration in emerging regions could fuel future growth.

By bolstering supply chain resilience and driving innovation, 3M India aims to regain profitability and strengthen its competitive position in the coming quarters.

Conclusion

The Q4 FY25 results present a mixed picture for 3M India. Although profits have dropped sharply due to rising costs and market pressures, the strong revenue growth and record dividend payout signal financial stability and a shareholder-friendly approach.

Moving forward, 3M India’s ability to improve margins, control costs, and innovate will be key to restoring investor confidence. The company’s established brand and diverse portfolio provide a solid foundation for overcoming current challenges and delivering sustainable long-term value.

 

 

 

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Market News - May 19, 2025

Japan Profits Dip, Goldman Stays Ahead

Japan Profits Dip, Goldman Stays Ahead

Foreign financial institutions faced a challenging year in Japan during fiscal 2024, with most recording significant declines in profitability. Despite the broader downturn, Goldman Sachs remained the most profitable foreign bank in the country, though even it wasn’t immune to earnings pressure. Several players are now rethinking their approach to better cope with Japan’s shifting financial landscape.

Goldman Sachs Maintains Top Spot Amid Falling Returns

Goldman Sachs led foreign banks in Japan by profit, though its earnings dropped sharply to ¥27.6 billion, representing a year-on-year fall of roughly 30%. This downturn came on the back of reduced activity in areas like trading and investment banking, sectors which had previously driven strong results.
Nevertheless, Goldman’s ability to retain its top position points to its well-established local network and diverse operations. It remains one of the few foreign banks with a strong institutional presence and consistent performance across multiple verticals in Japan.

Other Institutions Report Steep Declines

Several of Goldman’s competitors did not fare as well. Both Barclays and Deutsche Bank saw notable declines in their Japan-based profits, largely due to weaker performance in their trading businesses. Reduced activity in bond and currency markets significantly impacted their revenue streams, marking a difficult year for firms that rely heavily on market volatility to drive income.
Barclays, which had been scaling its operations across Asia, experienced limited trading opportunities and a weaker pipeline of investment deals. Deutsche Bank’s Japanese operations similarly struggled with subdued market sentiment and tighter financial conditions.

UBS and Bank of America Show Growth

Not all international players suffered losses. UBS posted a strong improvement in earnings, reporting an 82% jump in net income. The acquisition and integration of Credit Suisse strengthened UBS’s position, especially in wealth management and advisory services, contributing to its stellar performance.
Bank of America also turned its fortunes around, returning to profit after previous underperformance. Gains in its equity and lending businesses helped support its rebound, suggesting that more diversified institutions fared better amid market turbulence.

Economic Conditions Tighten Margins

The Japanese financial environment proved difficult for global players due to a number of factors. Chief among them was the shift in the Bank of Japan’s policy stance, as it began raising interest rates for the first time in years. This transition introduced new volatility in debt markets, complicating risk management and compressing returns from fixed-income activities.
Moreover, Japanese banks continue to dominate in areas like retail lending and corporate banking, presenting stiff competition. For foreign players with limited local presence and higher operational costs, turning a profit has become increasingly difficult.

Foreign Banks Begin Strategic Overhaul

Confronted with falling profits and a more complex operating landscape, many global institutions are reevaluating their footprint in Japan. Some have begun to scale down their exposure to low-margin or volatile sectors, especially in trading. Others are shifting focus to more stable income sources like mergers and acquisitions, private banking, and ESG-driven financing.
Efforts are also being made to align more closely with domestic clients. Foreign banks are investing in technology upgrades and building local partnerships to strengthen their competitiveness. Improved digital capabilities and localized service models are seen as essential for long-term success.

Looking Forward: Resilience and Realignment

Despite current headwinds, Japan remains a market of strategic importance for many global banks. With its mature economy, growing interest in sustainability finance, and corporate reform trends, the country offers medium-term growth prospects for agile institutions.
Going forward, success will likely depend on how effectively foreign banks can adapt to Japan’s evolving financial system. Institutions that focus on long-term client relationships, digital transformation, and cost management may stand a better chance of achieving sustained profitability.

 

 

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Hyundai India Rides High: Strategic Stockpiling Shields Against Rare Earth Crunch
Result Updates - May 17, 2025

Hyundai Hits a Bump: Q4 Profits Dip Despite Revenue Rise

Hyundai Hits a Bump: Q4 Profits Dip Despite Revenue Rise

 

Hyundai Motor India reports a Q4 profit of ₹1,614.3 crore, down 3.7% year over year; revenue slightly increases and dividends Declared

In its financial results for the fourth quarter of FY2024–2025, Hyundai Motor India Limited (HMIL), the country’s second-largest passenger vehicle manufacturer, reported a 3.7% YoY decline in net profit to ₹1,614.3 crore.
Despite a dip in profitability, the company registered a revenue increase of 1.5% YoY, reaching ₹20,046.7 crore, and also announced a dividend for its shareholders.
The quarter’s results reflect mixed signals, with a combination of rising costs and evolving market dynamics pressuring margins, even as consumer demand remains steady in key product segments like SUVs and hatchbacks.

Moderate Profit Decline Due to Input Cost Pressure

The decrease in net profit is primarily attributed to higher input and operational costs. Global raw material prices, logistical challenges, and semiconductor supply disruptions have contributed to narrowing margins across the auto sector. Hyundai’s cost of goods sold increased slightly compared to the same quarter last year, affecting net earnings despite healthy vehicle sales.
A company official noted, “The quarter posed challenges in terms of cost volatility, yet we maintained strong sales momentum. We are still on pace with our investments in technology and future transportation.

Revenue Growth Driven by Consistent Demand

Hyundai’s revenue growth of 1.5% YoY was supported by robust performance in the domestic market, led by popular models like Creta, Venue, i20, and the newly launched Exter. The company benefited from strong traction in the SUV segment, which continues to be the largest contributor to revenue.
The brand has maintained its appeal across urban and semi-urban markets, with product refreshes and increased feature offerings contributing to customer retention and new acquisitions.

Dividend Declared Amid Stable Financial Position

Despite the marginal dip in quarterly profit, HMIL declared a dividend for the period, signaling confidence in its long-term growth trajectory. The dividend payout is aligned with the company’s ongoing focus on shareholder value creation and maintaining a strong balance sheet.
The exact dividend figure is yet to be disclosed in official filings, but the move reflects financial resilience and Hyundai’s ability to sustain investor returns even in a moderately challenging quarter.

Electric Mobility and Long-Term Investments

In India, Hyundai has renewed its dedication to electric cars. In addition to producing the Kona Electric, the business has announced intentions to launch further EVs in the upcoming years. Additionally, it has pledged to invest more than ₹20,000 crore in Tamil Nadu over the course of the next ten years to construct infrastructure for electric vehicles, such as battery assembly plants and R&D facilities tailored to EVs.
These efforts indicate Hyundai’s broader strategy to align with India’s transition toward sustainable and cleaner mobility solutions.

Quarterly Performance Highlights:

• Domestic Sales: Maintained strong sales volume, particularly in the SUV and compact segment.
• Exports: Continued to show resilience, with solid demand from Latin American and African markets.
• New Launches: The Exter micro-SUV received positive consumer feedback and contributed to Q4 numbers.
• EV Strategy: Continued investment in electric and hybrid technology, including supply chain localization.

Challenges and Opportunities Ahead

The Indian automobile sector is in a period of transformation, influenced by regulatory changes, emission norms, and a consumer shift towards electric vehicles. The Q4 results, while not exceptionally strong, suggest that Hyundai is managing these transitions with a steady hand.
Industry analysts believe the temporary dip in profits is not alarming and view Hyundai’s strong product pipeline, EV vision, and continued capex plans as indicators of robust fundamentals.
As inflation stabilizes and supply chain constraints ease, HMIL is expected to regain margin traction, especially with the introduction of new energy-efficient models in the next fiscal year.

Conclusion

Despite cost concerns, Hyundai Motor India’s Q4 FY25 result demonstrates a robust business. The modest profit drop is offset by revenue growth, a sustained focus on product quality, and long-term investment in electric mobility. With a dividend declared and strong consumer interest in its offerings, the company remains well-positioned for sustainable growth in India’s competitive automotive landscape.

 

 

 

 

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HUL Delivers FY25 Results: Dividends and Strategic Growth Outlook
Result Updates - April 25, 2025

HUL Delivers FY25 Results: Dividends and Strategic Growth Outlook

HUL Delivers FY25 Results: Dividends and Strategic Growth Outlook

 

SUMMARY
For the fourth quarter of FY25, Hindustan Unilever Ltd (HUL) achieved a 3.7% rise in consolidated net profit, bringing the total to Rs 2,493 crore. The company recorded a 2.4% growth in operating revenue, amounting to ₹15,214 crore. Additionally, the board has proposed a final dividend of Rs 24 per share, highlighting their focus on rewarding shareholders.
Looking forward to FY26, HUL foresees a gradual recovery in demand, which it plans to support through strategic investments and ongoing efforts to transform its product portfolio. This approach aims to drive steady growth and strengthen its market position.
Enhancing Shareholder Value Through Strategic Dividends
The board has approved a final dividend of ₹24 per share, raising the total annual dividend paid to shareholders to ₹53 per share. However, the announcement of the record date for this dividend is still pending.
Over the past year, Hindustan Unilever Ltd (HUL) has declared multiple dividend payouts, including interim and special dividends, with amounts ranging from ₹10 to ₹24 per share.
HUL’s Q4 Net Profit Slips
Fast-moving consumer goods (FMCG) giant Hindustan Unilever (HUL) on Thursday announced a slight decline of 3.7% in its consolidated net profit, which stood at ₹2,464 crore for the fourth quarter (Q4) of the financial year 2024–25 (FY25). In comparison, the company had posted a net profit of ₹2,558 crore in the corresponding quarter of the previous year.
On a quarter-on-quarter basis, the net profit saw a sharper dip of 17.5% from ₹2,984 crore recorded in the preceding quarter.
The company reported a 3.5% year-on-year (YoY) increase in total income for Q4 FY25, reaching ₹15,979 crore compared to ₹15,441 crore. However, revenue showed little change when compared to the previous quarter.
Segment Performance Overview:
The Personal Care division recorded a 5% increase in profit, supported by modest sales growth under ongoing pricing pressure. Within this category, the Bodywash segment achieved double-digit growth, further solidifying its leadership position. Non-hygiene products delivered high single-digit growth, while skin cleansing products posted a modest, low single-digit increase.
The Home Care segment added ₹5,815 crore to the overall revenue, reflecting a 2% year-on-year rise. Growth was primarily driven by strong performance in premium fabric wash and fabric conditioners, along with contributions from the liquids portfolio, according to the company’s investor update.
In Beverages, tea experienced low single-digit growth due to pricing, whereas coffee maintained its strong momentum with continued double-digit expansion. The company held on to its leadership in both value and volume in the tea category.
Meanwhile, the Foods segment saw a decline in consolidated profit, which dropped 15% to ₹627 crore.
CEO Rohit Jawa Envisions FY26 Growth Path for HUL
In FY25, HUL achieved a turnover exceeding ₹60,000 crore, reflecting an Underlying Sales Growth of 2% and EPS growth of 5%. While absolute volume tonnage expanded by a mid-single-digit rate, this progress was somewhat diminished due to an unfavorable product mix,” stated Rohit Jawa, CEO and Managing Director, HUL.
He highlighted HUL’s competitive performance and its reinforced market leadership. “FY25 was a defining year in our portfolio evolution, marked by strategic developments in high-growth segments, enhanced investments in emerging channels, the acquisition of Minimalist, the sale of Pureit, and the planned separation of our Ice Cream business,” Jawa remarked. Looking ahead to FY26, HUL anticipates a progressive recovery in demand. “We remain focused on fulfilling a billion ambitions, leveraging our robust business fundamentals to sustain competitive advantage,” he stated. 

 

 

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