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Westlife Foodworld Ltd, the master franchisee of McDonald's in West and South India, reported a sharp 62.5% decline in net profit for the April-June quarter of FY26, with consolidated net earnings dropping to ₹1.22 crore from ₹3.25 crore in the same period last year.
Despite the profit dip, the company posted a 6.45% increase in revenue, with total sales reaching ₹653.25 crore, up from ₹613.64 crore in Q1 FY25. Total income, including other earnings, rose 7% year-on-year to ₹664.44 crore.
Operating costs continued to mount, with total expenses rising 7.43% to ₹662.78 crore for the quarter.
Same-store sales growth (SSSG) was modest at 0.5%, marking the third consecutive quarter of positive momentum, supported by stable guest counts and average transaction value.
On-premise sales — dining and takeaway — grew 8% year-on-year and contributed 59% to total sales. Off-premise sales, including delivery and drive-thru, increased 4% and accounted for 41% of sales, consistent with the company’s three-year average.
Digital channels continued to power growth, with digital sales making up 75% of total sales — up over 500 basis points YoY — driven by increasing use of mobile apps and in-store self-ordering kiosks.
The company added nine new outlets during the quarter, bringing its total restaurant count to 444 across 71 cities. Notably, it crossed the milestone of 100 drive-thru locations, with 106 now operational — representing roughly 24% of its total store base.
In a separate regulatory filing, Westlife announced an interim dividend of ₹0.75 per share for FY26, based on its Q1 financial performance.
Commenting on the company’s outlook, Chairperson Amit Jatia said, “As India’s consumption story continues to evolve, we see significant opportunity in both existing and emerging markets. Our Vision 2027 strategy is aimed at leveraging this growth through daypart leadership, omnichannel expansion, and aggressive network rollout.”
Shares of Westlife Foodworld closed at ₹776.50 on the BSE on Wednesday, up 2.11% from the previous day.
(Source: PTI)
