Sapphire Foods India, the Yum Brands franchisee for KFC and Pizza Hut, reported a return to profit in the June quarter as aggressive discounting, notably 99-rupee meal deals, boosted customer traffic and revenue. The company posted a net profit of 140.4 million rupees on roughly 8.91 billion rupees in revenue, with same-store sales turning positive for Pizza Hut and improving at KFC locations. Across the first quarter, revenue rose about 14–15% year over year, and margins improved, signaling stronger operating efficiency despite higher costs. Management highlighted the impact of value menus on demand amid growing competition from new fast-food entrants. Some reports also note Sapphire Foods’ ongoing plan to merge with Devyani International, a deal that would consolidate a large network of KFC and Pizza Hut outlets. Overall, the results reflect a broader trend of discount-driven growth in India’s quick-service restaurant sector, as players compete for market share.