Westlife Foodworld Q3 FY26 revenue rises to ₹671 crore

Key update from the quarter

Westlife Foodworld, which operates McDonald’s restaurants in West and South India through a wholly owned subsidiary, reported consolidated revenue of ₹671 crore in Q3 FY26. The company said revenue increased 2.6% year-on-year (YoY) amid a challenging operating environment. It also highlighted stable guest counts in the quarter, alongside continued efforts to drive guest count growth through value meals, digital engagement, and hyperlocal marketing. The group’s operations are considered a single business segment.

Q3 FY26 financial snapshot

For Q3 FY26, consolidated revenue stood at ₹671 crore (also stated as ₹67,071.66 lakh). Cash profit after tax (cash PAT) for the quarter came in at ₹58.3 crore, which the company said was 8.7% of sales. Cash PAT rose 12.2% YoY, indicating profitability improvement even as topline growth remained modest. The company also reported that nine-month revenue grew 4.4% YoY, though it did not provide the absolute nine-month revenue figure in the shared details.

What supported revenue despite a difficult demand backdrop

The company attributed its performance to an ongoing focus on value and customer engagement. It cited “aggressive” guest count growth initiatives led by value meals, higher digital engagement, and hyperlocal marketing. While the quarter saw stable guest counts, the emphasis on value-led offerings suggests an attempt to protect footfalls in an inflation-pressured consumption environment.

Store expansion remains central to the strategy

Westlife Foodworld reiterated its Vision 2027 ambition to reach 580-630 restaurants by 2027. During Q3 FY26, it added 10 new stores. It also indicated that 20-25 new restaurants are expected to open in Q4, signaling a continued build-out of the network.

Management commentary from earlier disclosures also underlined that the company’s network expansion has remained on track, with a focus on South India, smaller towns, and drive-thru formats.

Q4 FY25 results offer context on demand and channels

In Q4 FY25, the company reported revenue from operations of ₹603.14 crore, up 7.26% YoY from ₹562.28 crore. Same-store sales growth (SSSG) was 0.7%, while adjusted SSSG, excluding the leap year impact, was 1.7%, supported by improved footfall and a stable average check.

Channel mix remained important in Q4 FY25. Off-premises sales, which accounted for 43% of revenue, grew 5% YoY, while on-premises sales grew 8% YoY. Digital sales contribution increased by more than 500 basis points sequentially to about 75%, largely driven by the company’s mobile app.

Profitability: mixed signals across quarters and years

For Q4 FY25, net profit was reported at ₹1.52 crore (0.3% margin), more than doubling from ₹0.76 crore a year earlier, but lower sequentially versus the December 2024 quarter figure cited in the shared text. In the same quarter, total expenses increased to ₹611.76 crore from ₹565.51 crore, with higher material and employee costs mentioned as drivers.

For the full year FY25, the company posted consolidated net profit of ₹12.15 crore, sharply lower than ₹69.21 crore in FY24, despite revenue from operations increasing to ₹2,491.19 crore from ₹2,391.81 crore. Annual expenses rose to ₹2,502.62 crore from ₹2,314.43 crore, which weighed on the bottom line. Profit before tax for FY25 was stated at ₹13.05 crore, versus ₹95.84 crore in FY24.

Network scale and unit rollout milestones

As of March 31, 2025, the company had 438 restaurants across 69 cities, after adding 18 restaurants and closing one in Q4 FY25. It also reported that 47 new restaurants were opened in FY25, in line with guidance of 45-50. A milestone cited during the period was the opening of the 100th drive-thru restaurant.

Separately, older FY24 disclosures in the provided text noted that the company had reached 397 restaurants after adding 17 in Q4 FY24 and 41 during FY24. Those details help frame the pace of additions over time leading up to the FY25 base.

Summary table of disclosed metrics

Market impact and what investors track next

The Q3 FY26 print shows Westlife Foodworld growing revenue while keeping cash profitability improving, with cash PAT at 8.7% of sales. For investors, the expansion pipeline remains a key swing factor because new store additions can influence near-term operating leverage. The earlier FY25 numbers also show that expenses and operating deleverage can compress reported profit even when revenue grows.

Near-term attention is likely to remain on three measurable drivers already highlighted by the company: (1) guest counts and same-store sales trends, (2) the mix shift toward digital and off-premises, and (3) the pace of store additions toward the 580-630 target by 2027, including the 20-25 openings guided for Q4.

Conclusion

Westlife Foodworld’s Q3 FY26 results showed steady growth with revenue at ₹671 crore and higher cash PAT, while the company continues to push value-led demand levers and digital engagement. The next datapoints will be Q4 store openings and any updated progress indicators on SSSG, channel mix, and cost pressures as expansion continues.