Sphera Franchise Group (BVB: SFG), the operator of the Pizza Hut, Taco Bell, and KFC chains in Romania and Moldova, with locations in Italy as well, recorded a positive start to 2026, reporting consolidated sales of RON 378 million in Q1 2026, up 4.2% compared to the same period last year.
Growth was driven by the return to positive performance of KFC Romania, the Group’s main business engine, and by the strong evolution of Taco Bell. Sales reflected the contribution of restaurants opened in 2025, four new units in Romania (KFC), Italy (KFC and Cioccolatitaliani), and the Republic of Moldova (KFC), as well as the continued attractiveness of the brands among consumers.
The Group’s normalised EBITDA reached RON 24 million, down 3% compared to Q1 2025, while normalised net profit amounted to RON 5.5 million. Profitability was mainly impacted by higher operating expenses, increased labor and rental costs, intensified marketing investments, and the temporary effects associated with the accelerated expansion pace and the operational ramp-up phase of newly opened restaurants.
“We see consumers being more cautious with spending, operational costs still elevated, and widening differences between concepts that manage to generate traffic and those that require recalibration. In this context, our focus remains on developing brands that deliver traction and relevance in the market, as well as expanding our portfolio in segments where we see real long-term growth potential,” said Călin Ionescu, CEO of Sphera Franchise Group.
After a more volatile 2025, Romania reconfirmed its position as the Group’s growth engine in Q1 2026, with sales of RON 326.1 million, up 4.8% yearonyear and contributing 86.3% of consolidated sales. Italy generated RON 45.6 million, up 2.0% yearonyear, supported by stable network performance and operational expansion. In the Republic of Moldova, revenues reached RON 6.2 million, temporarily affected by the relocation of the KFC Chișinău MallDova restaurant in March 2026.
At the brand level, KFC generated sales of RON 324.3 million in Q1 2026, up 4.2% yearonyear, and reported restaurant-level operating profit of RON 26.2 million.
Taco Bell recorded the highest growth rate in the portfolio, with revenues up 12.2%, reaching RON 27.1 million compared to Q1 2025, supported by accelerated network expansion and the brand’s popularity among younger consumers. Operating profit reached RON 0.5 million, temporarily influenced by costs associated with rapid development and the growth phase of newly opened restaurants.
Pizza Hut reported revenues of RON 26.3 million, down 3.2% vs. Q1 2025, reflecting operational efficiency measures and network reorganization aimed at improving longterm profitability and optimizing the cost structure.
Cioccolatitaliani, launched in 2025, contributed RON 0.3 million in Q1 2026, with the network still in an early development and expansion stage. Restaurant-level expenses increased by 5.2% compared to Q1 2025, reaching RON 353.5 million, slightly above the sales growth rate, driven by higher labor costs, rent, and brand-building investments. Meanwhile, the Group continued implementing procurement efficiency and operational optimization measures, which improved the share of raw material costs in sales.
(Photo source: Sphera Franchise Group press release)
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