Restaurant Brands Asia Limited (RBA) AI Stock Analysis

• Market Cap: ₹37.03B
• Dividend Yield: N/A
• Average Volume (3M): 140.28K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.85
• Revenue Growth: 7.75%
• EPS Growth: 20.28%
• Country: IN
• Employees: 9,086
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Restaurants
• EPS (TTM): -0.30
• Shares Outstanding: 582,450,100
• 10 Day Avg. Volume: 107,063
• 30 Day Avg. Volume: 140,278
• PEG Ratio: 9.33
• Price to Book (P/B): 3.53
• Price to Sales (P/S): 1.26
• P/FCF Ratio: 37.83
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 41 Neutral
• Price Target: ₹68.00 ▲(6.95% Upside)

The overall stock score is primarily influenced by the company's strong revenue growth but offset by its struggles with profitability and high leverage. The bearish technical indicators and poor valuation further weigh down the score. Improvement in operational margins and debt management, along with a reversal in technical trends, could enhance the stock's outlook.

Positive Factors

Revenue Growth

Consistent revenue growth indicates a strong market position and effective expansion strategies, which can drive long-term business success.

Operational Efficiency

Efficient operations allow the company to generate cash even during net losses, providing a foundation for future investments and stability.

Asset Growth

Asset growth suggests potential for future expansion and improved financial health, supporting long-term strategic objectives.

Negative Factors

High Debt Levels

High debt levels can limit financial flexibility and increase risk, potentially impacting the company's ability to invest in growth opportunities.

Profitability Challenges

Ongoing profitability issues may hinder the company's ability to reinvest in its business, affecting long-term growth prospects.

Inconsistent Free Cash Flow

Inconsistent free cash flow can limit the company's ability to fund new projects or pay down debt, posing a risk to financial stability.

Restaurant Brands Asia Limited Business Overview & Revenue Model

Company Description

Restaurant Brands Asia Limited together with its subsidiaries operates quick service restaurants in India and Indonesia. The company develops, establishes, operates, and franchises Burger King branded restaurants. It also develops, establishes, operates, and franchises POPEYES branded restaurants in Indonesia. As of June 30, 2022, the company had 328 restaurants in India. It also operates 177 restaurants in Indonesia. The company was formerly known as Burger King India Limited and changed its name to Restaurant Brands Asia Limited in February 2022. Restaurant Brands Asia Limited was incorporated in 2013 and is based in Mumbai, India.

How the Company Makes Money

RBA generates revenue primarily through franchising, where it collects franchise fees and royalties from its network of franchisees who operate its restaurant brands. This model allows RBA to expand its footprint without bearing the full costs of opening new locations. Additionally, the company earns revenue from the sale of food and beverages at its company-operated outlets. Key revenue streams include menu sales, franchise royalties, and licensing agreements, with a significant portion of its earnings coming from partnerships with suppliers and distributors that enhance operational efficiency and product offerings. The company's strategic focus on market expansion in high-growth regions and its ability to adapt to local tastes and preferences also contribute to its revenue growth.

Restaurant Brands Asia Limited Financial Statement Overview

Summary

Restaurant Brands Asia Limited shows strong revenue growth but struggles with profitability due to persistent net losses and high leverage. Positive operating cash flows indicate operational efficiency, but inconsistent free cash flow and high debt levels pose challenges.

Income Statement

Restaurant Brands Asia Limited has shown consistent revenue growth over the years, with a significant increase in total revenue from 2021 to 2025. However, the company has faced persistent net losses, with negative net profit margins each year. The EBIT and EBITDA margins have been volatile, with EBIT being negative in multiple years. This indicates challenges in achieving profitability despite growing revenues.

Balance Sheet

The company's balance sheet shows a high level of debt relative to equity, with a debt-to-equity ratio consistently above 2. The equity ratio has declined over the years, suggesting increased reliance on debt financing. Although the return on equity is negative due to ongoing net losses, the company has managed to increase its total assets, which is a positive sign for potential future growth.

Cash Flow

Cash flow analysis reveals a positive trend in operating cash flows, indicating operational efficiency. However, free cash flow has been inconsistent, with both positive and negative figures over the years, partly due to significant capital expenditures. The operating cash flow to net income ratio is strong, suggesting that despite net losses, the company generates solid cash from operations.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	26.02B	25.51B	24.37B	20.54B	14.86B	10.02B
Gross Profit	6.95B	5.76B	10.64B	9.52B	6.37B	452.12M
EBITDA	2.67B	1.07B	2.61B	1.47B	937.88M	512.91M
Net Income	-2.09B	-2.16B	-2.18B	-2.21B	-1.96B	-2.46B
Balance Sheet
Total Assets	0.00	34.63B	27.09B	24.93B	23.82B	19.63B
Cash, Cash Equivalents and Short-Term Investments	5.60B	5.60B	1.16B	3.02B	6.78B	4.12B
Total Debt	0.00	18.32B	14.30B	11.68B	8.87B	9.01B
Total Liabilities	-8.94B	25.68B	20.80B	16.47B	13.14B	18.53B
Stockholders Equity	8.94B	9.09B	6.27B	8.25B	10.41B	848.86M
Cash Flow
Free Cash Flow	0.00	848.38M	639.49M	-2.28B	-686.92M	-63.00M
Operating Cash Flow	0.00	3.50B	3.46B	1.24B	691.65M	287.21M
Investing Cash Flow	0.00	-2.12B	-2.12B	129.41M	-10.78B	-3.36B
Financing Cash Flow	0.00	3.85B	-2.51B	-1.70B	11.12B	3.57B

Restaurant Brands Asia Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 63.58
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:RBA, the sentiment is Negative. The current price of 63.58 is below the 20-day moving average (MA) of 63.63, below the 50-day MA of 65.63, and below the 200-day MA of 74.85, indicating a bearish trend. The MACD of -0.13 indicates Negative momentum. The RSI at 47.57 is Neutral, neither overbought nor oversold. The STOCH value of 41.30 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:RBA.

Restaurant Brands Asia Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ARVIND	73 Outperform	₹82.19B	19.98	―	1.18%	8.84%	41.74%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
DEVYANI	54 Neutral	₹178.95B	-529.94	―	―	20.91%	-202.35%
WESTLIFE	52 Neutral	₹83.85B	222.99	―	0.14%	6.65%	73.46%
SAPPHIRE	50 Neutral	₹81.08B	-10,600.84	―	―	10.18%	-104.25%
BARBEQUE	45 Neutral	₹7.44B	-13.70	―	―	-1.36%	-516.77%
RBA	41 Neutral	₹37.03B	-17.16	―	―	7.75%	20.28%

Restaurant Brands Asia Limited Corporate Events

Restaurant Brands Asia Limited Fined for Packaging Violation

Restaurant Brands Asia Limited has received an order from the Additional District Magistrate of Surajpur, Gautam Budh Nagar, Uttar Pradesh, under the Food Safety and Standards Act, 2006. The order pertains to a violation of packaging and labeling regulations, resulting in a fine of Rs. 2,10,000. The company has stated that this order will not have a material impact on its financial, operational, or other activities.

Restaurant Brands Asia Limited Reports Financial Results and Leadership Appointment

Restaurant Brands Asia Limited announced the unaudited standalone and consolidated financial results for the quarter and half-year ending September 30, 2025, reflecting the company’s ongoing financial performance. Additionally, the company appointed Mr. Subramaniam Pillai as a Senior Management Personnel, indicating a strategic move to strengthen its leadership team. These developments are expected to impact the company’s operational strategies and market positioning positively.

Restaurant Brands Asia Releases QIP Proceeds Utilization Report

Restaurant Brands Asia Limited has released a Monitoring Agency Report concerning the utilization of proceeds from a Qualified Institutions Placement (QIP) for the quarter ended September 30, 2025. The report, issued by ICRA Limited, highlights the deployment of unutilized proceeds and corrects a previous reporting error regarding the balance in the QIP Monitoring Account. This announcement provides stakeholders with transparency on the company’s financial management and compliance with regulatory requirements.