United Foodbrands Q2 FY27 Results (NSE: UFBL)
Signal: Steady quarter
The read
The business has entered a stronger revenue phase, with consolidated revenue of ₹4,293.45 million, +40.9% YoY, and standalone revenue of ₹3,251.95 million, +41.4% YoY; standalone EBITDA margin expanded 119bps YoY to 14.55% as employee costs grew 21.8% versus revenue growth of 41.4%, but the trajectory is not yet earnings-secure because ₹339.13 million of depreciation and ₹178.30 million of finance costs left PAT at a ₹44.43 million loss.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹429.35 Cr | +40.9% | +0.8% |
P&L walk
Consolidated revenue was ₹4,293.45 million, +40.9% YoY and +0.8% QoQ; the filing text supplied does not include the remaining consolidated P&L lines needed to assess group margin and profit conversion.
Key positives
- Standalone revenue reached ₹3,251.95 million, +41.4% YoY, and consolidated revenue reached ₹4,293.45 million, +40.9% YoY, sustaining the sharp growth inflection seen in the prior quarter.
- Standalone EBITDA grew 54.0% YoY to ₹473.00 million versus revenue growth of 41.4%, a 12.6pp growth gap, while EBITDA margin expanded 119bps to 14.55%.
- Employee benefits expense grew 21.8% YoY versus revenue growth of 41.4%, helping reduce employee-cost intensity to 20.88% of revenue from 24.25%.
- Standalone operating cash flow was ₹1,078.95 million in H1FY27 versus ₹611.50 million in H1FY26, exceeding the H1 PAT of ₹16.89 million.
Key concerns
- Standalone PAT remained a ₹44.43 million loss despite ₹473.00 million of EBITDA because depreciation was ₹339.13 million and finance costs were ₹178.30 million.
- Standalone revenue declined 1.0% sequentially from ₹3,283.85 million, while EBITDA fell 14.0% and EBITDA margin contracted 221bps from 16.75%.
- Gross margin declined 56bps YoY to 63.75% as food and beverage costs increased to 36.25% of revenue from 35.69%; the filing does not disclose the precise driver.
- Finance costs rose 10.8% YoY to ₹178.30 million, and total borrowings increased to ₹1,043.69 million at September 30, 2026 from ₹956.73 million at March 31, 2026.
Research and educational content only. Not investment advice.