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Date 30 July 2026 National Stock Exchange of India Limited BSE Limited Exchange Plaza, Block G, C/1, Bandra Kurla Phiroze Jeejeebhoy Towers, Complex, Bandra (E), Mumbai – 400051 Dalal Street, Mumbai – 400001 Symbol: SAPPHIRE Scrip Code: 543397 Dear Sir/Madam, Subject: Earnings Call Transcript – Q1 FY27 Pursuant to the Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations 2015, please find enclosed herewith the transcript of earnings call held on Friday, th th 24 July 2026, in relation to the financial results of the Company for the quarter ended 30 June 2026. The said Earnings Call Transcript is also available at the website of the Company (https://www.sapphirefoods.in/investors-relation/financials) under FY 2026-27 Quarter 1 section. Request you to kindly take the same on record. For Sapphire Foods India Limited Thanking you, Sachin Dudam Company Secretary and Compliance Officer Encl: Sapphire Foods India Limited +91 022 67522300 CIN: L55204HR2009PLC145722 info@sapphirefoods.in www.sapphirefoods.in Registered Office: SCO 328, Sector - 9, Panchkula -134109, Haryana Corporate Office: 702, Prism Tower, A-Wing, Mindspace, Link Road, Goregaon (W), Mumbai- 400062 “Sapphire Foods India Limited Q1 FY27 Earnings Conference Call.” July 24, 2026 MANAGEMENT: MR. SANJAY PUROHIT – WHOLE TIME DIRECTOR AND GROUP CHIEF EXECUTIVE OFFICER – SAPPHIRE FOODS INDIA LIMITED MR. VIJAY JAIN – EXECUTIVE DIRECTOR AND CHIEF FINANCIAL OFFICER – SAPPHIRE FOODS INDIA LIMITED MR. KAUSHIK VANKADKAR – HEAD OF INVESTOR RELATIONS – SAPPHIRE FOODS INDIA LIMITED Page 1 of 13 Sapphire Foods India Limited July 24, 2026 Moderator: Ladies and gentlemen, good day, and welcome to Sapphire Foods Q1 FY '27 Conference Call. As a reminder, all participant lines will be in the listen only mode and there will be no opportunity for you to ask questions after the presentation concludes. Should you need assistance during this conference call, please signal an operator by pressing star then zero on your touchtone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Sanjay Purohit from Sapphire Foods. Thank you, and over to you, Mr. Sanjay. Sanjay Purohit: Welcome to the Sapphire Foods Q1 FY '27 business performance highlights. Let me jump in. You should have the presentation already available with you. Q1 FY '27 was our second consecutive quarter of strong performance with 15% revenue growth, best in the last eleven quarters and 32% adjusted EBITDA growth, best in the last fifteen quarters. This was led by positive SSSG across all three brand verticals, KFC India, Pizza Hut India and Sri Lanka businesses. Our Q1 FY '27 revenue was INR888 crores, up 15%, as I said. We added sixteen KFC restaurants, five Pizza Hut in India, one Pizza Hut in Sri Lanka. Our total restaurant count was 1,074 as of 30th June 2026. Consolidated restaurant EBITDA was up 23% year-on-year. Margin was 13%, up 80 basis points. Consolidated adjusted EBITDA came in at INR75 crores, up 37% year-on-year and margin was 8.4%. Consol EBITDA, which is post Ind AS was INR140.6 crores or 15.8%, up by 24% year-on-year or up by 120 basis points. Consolidated adjusted PBT was INR27.3 crores or 3.1% and consolidated PBT was INR16.2 crores or 1.8%, up 200 basis points. Let me now take you straight to the KFC highlights. KFC delivered 5% SSSG and 17% system growth with very strong dine-in and takeaway contribution, largely because of our two-pronged strategy to drive consumer recruitment. I've called this out in my last investor presentation also. At one level, we've got strong everyday value, the INR99 chicken crisper burger meal accompanied by advertising that enables new consumer recruitment. We had also shared a YouTube clip of the new advertising. So we believe that it's a combination of advertising and this everyday value that is driving change of consumer behavior and moving new consumers to start considering KFC as part of their repertoire. Apart from that in more evolved chicken markets, we also have a disruptive abundant value strategy on select base, perhaps once a month, where we offer, buy one get one on our hot and crispy buckets backed by localized advertising. These offers are only present on the dine-in and takeaway channel, and this has enabled very strong growth on these channels. Our innovations for the quarter include KFC Shawowrma (on Slide number 21) and the Double Chicken Dynamite, and both products are fantastic products. Double Chicken Dynamite is two fillets of chicken and in between, you've got a layer of noodles and cheese. Our digital kiosks are implemented on about 75% of stores. We launched sixteen new stores last year. Vijay, could you take the numbers, please? Vijay Jain: Yes. I'm on Slide number 24, channel-wise sales mix. Dine-in and takeaway sales for KFC improved from 57% to 59%. This is on basis of the strong dine-in takeaway value campaigns. Page 2 of 13 Sapphire Foods India Limited July 24, 2026 KFC SSSG came at 5% for the Q1 FY '27 and the overall revenue grew by 17%. Gross margin improved by 160 basis points over last quarter. This was a combination of lower discounts compared to last year as well as price increase of 2% during the quarter. This, combined with improved dine-in and takeaway mix, better operating leverage meant that the restaurant EBITDA improved by 120 basis points over last year. And this is despite the challenges in terms of the pricing pressures which we faced on the energy cost, especially in the terms of gas cost. The overall restaurant EBITDA came at very healthy 16.9%. Slide number 27 gives you the 4-year and 5-quarter trend. As can be seen from the last three quarters, the performance on the brand is improving, and this is quite encouraging as we move into the next quarter. Sanjay Purohit: From a Pizza Hut perspective, we had 1% SSSG after five quarters. Both dine-in and delivery channels were similar SSSG. We launched new products, the new Crafted Flatzz product, baked chicken wings, a new line of masala beverages. And our TN continues to do well, especially the dine-in business. I've said this now for the last 8 quarters at least: this gives us a template; a clear strategy that is differentiated from the number one. First, the customer experience is rooted in dine-in with strong omnichannel execution, great product backed by innovations, and heightened marketing spend allow us to be a strong number two in the market and for the brand to do well. Vijay Jain: On slide number 34, channel-wise sales mix. Dine-in and takeaway mix remained same as the previous year at 50%. Pizza Hut had SSSG of 1%, as mentioned by Sanjay, after five quarters of positive SSSG. In terms of revenue growth, overall 3% and gross margin improved by 80 basis points, again, here as well on the basis of lower discounts and a price increase of 2% taken towards the end of the quarter. However, higher energy cost impacted the restaurant EBITDA, which came at loss of 3.6%, down by 110 basis points. Slide 37 gives you 4-year and 5-quarter trend. positive 1% SSSG, including more importantly, dine-in and takeaway positive SSSG is encouraging as we move forward. Sanjay Purohit: Our Sri Lanka business had another quarter of strong SSSG. However, profitability remained an issue because of inflationary pressures. So cost of sales increased because of the depreciation of the Sri Lankan rupee, minimum wage increase and cost of utilities and fuel increasing because of the geopolitical crisis in the Middle East. Vijay Jain: Slide number 42 gives channel-wise sales mix. The dine-in and takeaway mix came in at 60%, almost similar to last year. SSSG was very healthy at 9% and overall revenue grew by 14% in LKR terms. Gross margin improved by 220 basis points. And while gross margin improved, as mentioned by Sanjay, the higher energy cost, wage inflation impacted the overall restaurant EBITDA, which came in at 12%. Slide 46 gives 4-year and 5-quarter tr [Showing first 8,000 characters — download PDF for full document]