Westlife Food

Westlife Foodworld reported a consolidated revenue of ₹660 crores in Q4 FY26, marking a 9% year-on-year growth. For the full fiscal year 2026, revenue stood at ₹2630 crores, growing 5% YoY. The quarter saw a positive same-store sales growth (SSSG) of 1.5%, underpinned by mid-single-digit guest count growth, a momentum that continued into April. On-premises sales grew 9% YoY, while off-premises sales increased 6% YoY.

Gross margin for Q4 FY26 remained strong at 68.1%, a sequential improvement of 60 basis points. For the full year, gross margins were 67.7%, improving by 140 basis points YoY. Restaurant operating margins for FY26 grew by 100 basis points YoY to 20.3%, and operating EBITDA remained stable at 13.2%. Cash profit after tax for Q4 FY26 was ₹48.7 crores (7.4% of sales), and for the full year, it was ₹240 crores (9% of sales), despite inflationary pressures on commodities like cocoa and coffee.

The company's strategy focused on accessible everyday value and iconic McDonald's experiences, driving guest count growth. The '99 everyday value meal' continued strong traction, boosting dine-in footfall. McCafé is being leveraged to drive daily coffee consumption, with a monthly coffee subscription program launched in Q4 to enhance loyalty. Merchandise-led campaigns, featuring a sipper and tote bag, were rolled out to engage Gen Z and sustain brand buzz, primarily through digital media.

Westlife Foodworld opened a record 48 new restaurants in FY26, bringing the total count to 478 across 78 cities. In Q4 alone, 21 new restaurants were opened. The company plans to accelerate expansion, targeting 60+ new restaurants annually, with all new stores featuring digital modern design and McCafés. Store closures are viewed as portfolio management, with 6-7 annual closures considered normal for optimizing the network.

Digital sales contributed 76% to total sales, an increase of over 100 basis points year-on-year. This growth was driven by higher engagement across the McDonald's app, McDelivery platform, and self-ordering kiosks. Cumulative app downloads reached 52 million, with approximately 3.5 million monthly active users, growing at a healthy double-digit rate, enhancing frequency and personalization.

While the West region continued to outperform, the South region showed meaningful improvement in Q4 FY26, with same-store sales growth ending nearly flattish and guest count growth being marginally positive. This progress in the South is a key focus for the company's overall growth strategy, aiming for balanced growth across all regions.

The company achieved a significant milestone in its sustainability journey, being ranked sixth globally in the restaurants and leisure facilities sector by the S&P Global Corporate Sustainability Assessment. It was included in the Sustainability Yearbook for 2026, reflecting its commitment to embedding sustainability as a core long-term growth strategy.