Sapphire Foods India Limited reported its financial results for the quarter ended June 30, 2025, posting an increase in revenue but slipping into losses due to rising costs.
For Q1FY26, the company’s revenue from operations rose 8.15% year-on-year to ₹7,768.28 million, compared to ₹7,182.89 million in the same quarter last year. Including other income, the total income stood at ₹7,836.08 million, up 8.29% YoY.
However, the rise in expenses outpaced revenue growth. Total expenses for the quarter grew 10.36% to ₹7,854.52 million, against ₹7,117.19 million in Q1FY25. Major expense heads included employee benefits at ₹1,023.27 million (up from ₹949.22 million) and cost of materials consumed at ₹2,533.42 million (up from ₹2,256.09 million).
Consequently, the company reported a loss before tax of ₹18.44 million, compared to a profit of ₹118.32 million a year ago. After accounting for taxes, the net loss stood at ₹17.38 million, versus a net profit of ₹81 million in Q1FY25.
The management attributed the decline in profitability to higher input and operating costs, despite steady revenue growth supported by demand.
Sapphire Foods continues to operate as a leading franchisee of global QSR brands in India and other South Asian markets, with a focus on expanding its footprint and optimizing costs to improve margins in the coming quarters.
