Did Barbeque Nation Experience a Significant Loss in Q4?
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Synopsis
Barbeque Nation's latest financial report reveals a worrying trend, with a sharp increase in net losses for Q4 FY25. The company faces challenges in the Indian market, impacting its revenue. With new restaurant openings and a slight improvement in same-store sales, can Barbeque Nation rebound from this downturn?
Key Takeaways
- Barbeque Nation's net loss in Q4 FY25 reached Rs 20.61 crore.
- Revenue fell to Rs 292.7 crore, an 11.01% decline from Q3.
- Same-store sales dropped by 2% in Q4.
- Company opened 18 new restaurants in FY25.
- Promoters hold a 33% stake in the company.
Mumbai, May 22 (NationPress) -- On Thursday, Barbeque Nation reported a significant widening of its net loss in the fourth quarter (Q4) of FY25, with losses reaching Rs 20.61 crore, in stark contrast to a mere Rs 3.7 lakh loss recorded during the same quarter of the previous fiscal year (Q4 FY24).
This performance demonstrated a notable downturn from the prior quarter, where the company had achieved a profit of Rs 5.05 crore.
The operational revenue for this quarter was Rs 292.7 crore, a drop from Rs 328.89 crore in Q3, marking an 11.01 per cent sequential decline.
Year-on-year (YoY), revenue also showed a decrease of 2 per cent from Rs 299 crore reported in Q4 FY24.
Management indicated that the revenue decrease was mainly due to challenges faced in the India market.
Total income for the March quarter amounted to Rs 296.1 crore, reflecting an 11.45 per cent drop from Rs 334.4 crore in the previous quarter (Q3).
Despite the disappointing revenue figures, the company’s earnings before interest, tax, depreciation, and amortisation (EBITDA) remained stable at Rs 54 crore, slightly down from Rs 55 crore in the same period last year.
The EBITDA margin remained almost unchanged at 18.4 per cent, compared to 18.5 per cent in Q4 FY24.
Same-store sales, a critical operational metric, fell by 2 per cent this quarter, following a 1.4 per cent growth during the same quarter last fiscal year.
Throughout the complete financial year, the company managed to reduce its decline in same-store sales to 3.8 per cent, an improvement from the 6.5 per cent drop experienced in FY24.
Barbeque Nation expanded its footprint by adding 18 new restaurants during FY25, as per the company's stock exchange filing.
As of the March quarter, promoters maintained a 33 per cent stake in the company, with domestic mutual funds holding 17 per cent, and the Massachusetts Institute of Technology (MIT) owning 4.05 per cent.
Jubilant Foodworks also emerged as one of the company’s major shareholders, with over 9 per cent ownership.
Following the earnings release, Barbeque Nation's shares closed at Rs 317.95, reflecting a decrease of Rs 12.15 or 3.68 per cent on the National Stock Exchange (NSE).
Point of View
I observe that Barbeque Nation's widening losses in Q4 FY25 underscore the significant challenges facing businesses in the current economic landscape. It's crucial for stakeholders to monitor these developments closely, as the company's strategic responses will determine its future trajectory.
NationPress
27/07/2025
Frequently Asked Questions
What was Barbeque Nation's net loss in Q4 FY25?
Barbeque Nation reported a net loss of Rs 20.61 crore in Q4 FY25.
How does this loss compare to the previous year?
In Q4 FY24, the company had a net loss of only Rs 3.7 lakh.
What were the revenue figures for the quarter?
The revenue from operations was Rs 292.7 crore, down from Rs 328.89 crore in Q3.
What factors contributed to the revenue decline?
The management attributed the decline primarily to weakness in the India business.
Did Barbeque Nation open new locations in FY25?
Yes, Barbeque Nation opened 18 new restaurants during FY25.
