Tata Starbucks Expands: Navigating Losses Amidst Revenue Growth
Tata Starbucks' loss increased to Rs 135.7 crore in FY25, while its revenue rose by 5% to Rs 1,277 crore. Despite a challenging market, the company continues to expand, adding 58 stores and aiming for 1,000 by FY28. Investment and focus on long-term growth remain priorities.
- Country:
- India
Tata Starbucks reported a significant widening of its net loss to Rs 135.7 crore in FY25, despite achieving a 5% increase in revenue to Rs 1,277 crore. This information comes from the latest annual report by Tata Consumer Products Ltd (TCPL).
The quick-service chain, a 50:50 joint venture between TCPL and Starbucks Corporation, had previously recorded a net loss of Rs 82.16 crore in FY24. Despite challenges, the company continues to expand its footprint, opening 58 new stores and entering 19 new cities, bringing its total to 479 stores across 80 cities.
TCPL is committed to long-term growth, aiming to have 1,000 cafes by FY28. In FY25 alone, the company has invested Rs 125 crore in Tata Starbucks and expects further growth from its new vending business, Tata MyBistro, signaling a strategic drive to enhance its market position.
(With inputs from agencies.)
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