Restaurant India News: Westlife Foodworld Q1 Profit Slumps 62.5 pc, Adds 9 McDonald’s Outlets in Growth Push

Westlife Foodworld, which operates McDonald’s restaurants in South and West India, reported a 62.5 percent decline in consolidated net profit for the quarter ending June 30, 2025. The company posted a profit of Rs 1.22 crore, down from Rs 3.25 crore in the same period last year, according to its regulatory filing.

Despite the fall in profit, revenue from operations grew 6.45 percent year-on-year to Rs 653.25 crore, compared to Rs 613.64 crore in Q1 FY25. The company also noted a Same-Store Sales Growth (SSSG) of 0.5 percent, marking the third consecutive quarter of positive performance, driven by steady guest traffic and average transaction value.

Total expenses for the quarter rose 7.43 percent to Rs 662.78 crore, contributing to the dip in profitability. On-premise sales for the quarter saw an 8 percent year-on-year growth, contributing 59 percent to total sales, while off-premise sales grew by 4 percent. The off-premise business, which includes delivery and takeaway, maintained its 41 percent share, consistent with its three-year average.

Digital sales saw continued momentum, reaching a 75 percent contribution, which is over 500 basis points higher year-on-year, primarily driven by mobile app usage and self-order kiosks.

The company’s total income, including other income, stood at Rs 664.44 crore, up 7 percent from the year-ago quarter.

During the June quarter, Westlife Foodworld opened nine new restaurants, increasing its presence to 444 locations across 71 cities. It also crossed the 100 Drive-Thru milestone, now operating 106 Drive-Thru restaurants, which make up approximately 24 percent of its total outlets.

In a separate disclosure, the board approved an interim dividend of Rs 0.75 per equity share of face value Rs 2 each for FY26, based on the financial performance for the quarter.

Amit Jatia, Chairperson, Westlife Foodworld,  commented, “As India’s consumption story continues to evolve, we see significant opportunity in both existing and emerging markets. Our Vision 2027 framework is designed to capitalise on these structural growth drivers. We believe that our three key strategic priorities of daypart leadership, omnichannel integration and network expansion will not only enhance shareholder value but also redefine the QSR experience for consumers.”

On Wednesday, shares of Westlife Foodworld Ltd closed at Rs 776.50 on the BSE, registering a 2.11 percent increase from the previous close.