CLSA has maintained an ‘Outperform’ rating on Restaurant Brands Asia (RBA) and raised its target price to ₹117, following sequential improvement in India operations and encouraging forward guidance.
Q4 consolidated sales growth came in below expectations, but EBITDA growth was broadly in line, helped by cost controls and strategic pricing. In India, same-store sales (SSS) rose 5.1% YoY, reversing the 0.5% YoY decline seen in Q3FY25 — a trend seen as a positive inflection by CLSA.
The company also revised its long-term guidance, now targeting 800 stores in India by FY29, while expecting gross margins to improve 50–70 bps annually through premiumization and better scale efficiency.
Disclaimer: This article is based on the brokerage report by CLSA. It does not constitute investment advice.
