Pizza Hut India’s restaurant sales fall 7% in FY26; EBITDA margin turns negative

Pizza Hut India’s restaurant sales declined 7% year-on-year to ₹5,065 million in FY26, compared with ₹5,450 million in FY25, according to the company’s Q2 FY27 performance chart. The decline followed a 5% increase in FY25 and a 1% fall in FY24, when sales stood at ₹5,185 million.

On a quarterly basis, restaurant sales rose to ₹1,383 million in Q2 FY27 from ₹1,360 million in Q1 FY27. Sales had declined to ₹1,174 million in Q4 FY26 before recovering to ₹1,275 million in Q3 FY26 and ₹1,296 million in Q2 FY26.

The restaurant EBITDA margin stood at -2.8% in Q2 FY27, improving from -3.6% in the previous quarter. The margin had deteriorated to -6% in Q4 FY26 from -3.1% in Q3 FY26 and -1.8% in Q2 FY26.


On an annual basis, the restaurant EBITDA margin fell from 13.3% in FY23 to 4.9% in FY24 and 2.4% in FY25, before turning negative at -3.3% in FY26.

Average daily sales (ADS) stood at ₹44,000 in Q2 FY27, unchanged from Q1 FY27, but higher than ₹39,000 in Q4 FY26. ADS was ₹42,000 in both Q2 FY26 and Q3 FY26. On an annual basis, ADS declined to ₹41,000 in FY26 from ₹46,000 in each of FY24 and FY25.

The restaurant's EBITDA is calculated before adjustments under Ind AS 116.