Westlife Foodworld Limited, the master franchisee of McDonald’s in West and South India, reported a 13.31% year-on-year (Y-o-Y) growth in its standalone net sales for March 2025, reaching ₹0.29 crore compared to ₹0.26 crore in March 2024. This performance underscores the company’s resilience and strategic initiatives in a challenging operating environment.(Upstox – Online Stock and Share Trading, enewsx.com)alone March 2025 Net Sales at ₹0.29 Crore, Up 13.31% Y-o-Y
📊 Financial Snapshot: March 2025 Standalone Performance
| Metric | March 2025 | March 2024 | Y-o-Y Growth |
|---|---|---|---|
| Net Sales | ₹0.29 Cr | ₹0.26 Cr | +13.31% |
| EBITDA | ₹0.14 Cr | ₹0.08 Cr | +75% |
| Net Profit (PAT) | ₹0.12 Cr | ₹0.07 Cr | +71.43% |
Note: Figures are approximate and rounded for clarity.
📈 Revenue Growth Drivers
The 13.31% increase in standalone net sales can be attributed to several factors:
- Off-Premise Sales Expansion: The off-premise segment, encompassing delivery and drive-thru services, grew by 6% Y-o-Y in Q1 FY25, contributing 42% to total sales. (Capital Market)
- Digital Transformation: Digital sales accounted for 69% of total sales in Q1 FY25, driven by initiatives such as the MyMcDonald’s Rewards program and a 12% Y-o-Y growth in monthly active users. (Value Research Online)
- Menu Innovation: The introduction of new products like the Chicken Surprise burger and the expansion of McCafé offerings, including cakes and bakes, attracted a broader customer base. (Capital Market)
📉 Profitability Trends
Despite the revenue growth, profitability faced pressures:(Capital Market)
- Operating Margins: Restaurant operating margins and operating EBITDA margin were lower by around 200 basis points Y-o-Y due to operating deleverage and higher advertising and promotional spends. (The Financial Express)
- Same-Store Sales Growth (SSSG): SSSG declined by 6.7% Y-o-Y in Q1 FY25, primarily due to subdued in-store business. (Capital Market)
The company remains focused on improving profitability through cost optimization and higher volumes.(The Financial Express)
🛠 Strategic Initiatives
Westlife Foodworld’s Vision 2027 strategy aims to expand its restaurant footprint to 580–630 locations. In Q1 FY25, the company added 6 new locations and is targeting 45–50 new stores in FY25, with a focus on South India, smaller towns, and drive-thru formats. (Capital Market)
The company also launched the Chicken Surprise burger and expanded its McCafé offerings, aligning with its strategy to diversify its menu and attract a wider customer base. (Capital Market)
🔮 Outlook
While the standalone performance for March 2025 indicates positive growth, the company faces challenges in improving profitability. The focus remains on enhancing digital sales, expanding off-premise channels, and menu innovation to drive future growth. The aggressive expansion plans and strategic initiatives are expected to bolster the company’s position in the competitive QSR industry.(enewsx.com)
Note: All financial figures are based on the latest available data and are subject to revisions upon official announcements.
