Restaurant Brands Asia sees shares plummet after poor show in Indonesia

share on

twitter /
facebook /
linkedin /
- email
- telegram
- whatsapp
- wechat
- pinterest
- line
- snapchat
- reddit

Restaurant Brands Asia, the master franchisee of Burger King in India and Indonesia, saw its shares plummet by over 6% this week after the company reported weak financial results for its December quarter, according to CNBC. The results were a result of a poor showing by the Indonesian market.

The company reported its consolidated net loss widening to Rs 50.4 crore in the December quarter of FY23 as against Rs 22.6 crore in the year-ago period.

Don't miss: Burger King names new brand and comms lead

It's earnings before interest, taxes, depreciation and amortization (EBITDA) also dropped by 42.4 percent to Rs 29.7 crore in Q3FY23 compared to Rs 51.6 crore a year ago.

Revenue though rose by 20.9% to Rs 526.3 crore in the same quarter from Rs 435.3 crore in the year-ago period, according to an exchange filing.

In an investor presentation that was reported upon by CNBC, the company stated that its Indonesian market is of concern and they are seeing relatively flat revenues. Indonesia reported an EBITDA loss of Rs 18.1 crore in its third quarter against a gain of Rs 18.9 crore a year ago.

Saying that, the company said that it has been performing well in the India market and opened a total of 45 new restaurants in the third quarter. MARKETING-INTERACTIVE has reached out for a statement.

Restaurants Brands Asia currently operates 182 stores in Indonesia as of 31 December last year.

share on