Westlife Foodworld Q2 FY27 results: net loss of ₹2.04 crore vs ₹27.71 crore profit, revenue up 16.3%

How did Westlife Foodworld perform in Q2 FY27?

Westlife Foodworld reported consolidated revenue of ₹746.73 crore in Q2 FY27, up ₹104.88 crore or 16.3% from ₹641.85 crore in Q2 FY26. EBITDA rose ₹26.21 crore or 39.0% to ₹93.35 crore, and EBITDA margin expanded 2.0 percentage points to 12.5%. Against Q1 FY27, revenue increased ₹11.09 crore, EBITDA rose ₹0.43 crore and margin was broadly unchanged at 12.5%.

The company reported a net loss of ₹2.04 crore in Q2 FY27 against a net profit of ₹27.71 crore in Q2 FY26 and ₹0.59 crore in Q1 FY27. Basic EPS was -₹0.13, compared with ₹1.78 and ₹0.04 in the respective earlier periods. The quarter also included standalone revenue of ₹0.35 crore and standalone profit after tax of ₹0.01 crore.

What changed in Westlife Foodworld's costs and profit?

Total expenses rose ₹86.88 crore, or 13.0%, to ₹755.28 crore in Q2 FY27 from ₹668.40 crore in Q2 FY26. Cost of materials increased ₹65.22 crore, or 36.9%, to ₹242.14 crore, while employee cost rose ₹10.83 crore, or 10.5%, to ₹113.49 crore. Finance costs increased ₹3.71 crore to ₹40 crore, depreciation rose ₹4.50 crore to ₹61.90 crore and other expenses rose ₹2.61 crore to ₹297.75 crore.

Other income fell ₹4.84 crore, or 45.2%, to ₹5.86 crore from ₹10.70 crore, while tax moved from ₹9.24 crore to a ₹0.66 crore credit. Q2 FY26 included a ₹52.81 crore gain from a redevelopment transaction, whereas Q2 FY27 had no exceptional item. The company said commodity and utility inflation, particularly oil and chicken, and higher minimum wages in Karnataka pressured restaurant-level margins; cost governance and operating leverage helped EBITDA margin expand despite the headwinds.

How did the first half of FY27 go?

For H1 FY27, Westlife Foodworld reported revenue of ₹1,482.36 crore, up ₹182.87 crore or 14.1% from ₹1,299.49 crore in H1 FY26. Total income rose ₹177.82 crore, or 13.5%, to ₹1,494.81 crore, while operating cash flow increased to ₹185.26 crore from ₹149.81 crore.

Profit before tax moved from ₹38.61 crore in H1 FY26 to a loss of ₹1.91 crore in H1 FY27, and profit after tax moved from ₹28.94 crore to a loss of ₹1.45 crore. Basic EPS declined from ₹1.86 to -₹0.09. H1 FY27 also included the impact of new labour codes, which the filing reported as ₹968.59 lakh.

What do the balance sheet and cash flow show?

At 30 September 2026, total assets were ₹2,935.60 crore, compared with ₹2,830.20 crore at 31 March 2026. Total equity declined to ₹608.82 crore from ₹619.09 crore, while cash and cash equivalents increased to ₹26.04 crore from ₹16.50 crore and inventories rose to ₹86.70 crore from ₹69.87 crore. Borrowings were not specified in the reported balance-sheet data.

H1 FY27 operating cash flow was ₹185.26 crore, compared with ₹149.81 crore in H1 FY26. Investing cash flow was negative ₹112.09 crore against negative ₹74.73 crore, and financing cash flow was negative ₹63.63 crore against negative ₹119.47 crore. Capital expenditure was ₹116.25 crore, compared with ₹94.99 crore a year earlier.

How has Westlife Foodworld done over the last 8 quarters?

Revenue reached a quarterly high of ₹746.73 crore in Q2 FY27 after ₹735.64 crore in Q1 FY27, while the low in the supplied series was ₹603.14 crore in Q4 FY25. Revenue has risen year-on-year in each of the last eight quarters. Profit after tax peaked at ₹27.71 crore in Q2 FY26 and was lowest in Q2 FY27 at a loss of ₹2.04 crore, following ₹0.59 crore in Q1 FY27.

EBITDA margin rose from 10.5% in Q2 FY26 to 14.5% in Q3 FY26, then eased to 12.5% in Q2 FY27 from 12.6% in Q1 FY27. The latest quarter therefore showed continued revenue growth, while margin moved marginally lower and profit shifted into loss.

What else did the company announce?

Westlife Foodworld filed its consolidated and standalone unaudited financial results for the quarter and half year ended 30 September 2026 on 23 October 2026. The filing said the results and the limited-review reports of SRBC&CO LLP were approved by the Board of Directors at its meeting held on 23 October 2026.

The company also filed its Q2 FY27 earnings presentation on 23 October 2026. The presentation reported sales growth of 16%, same-store sales growth of 10.1%, an operating EBITDA margin of 13.1%, a network of 492 restaurants across 80 cities, 11 new restaurants in the quarter and more than 75% digital sales contribution. The supplied same-day filings did not specify a dividend, fund raise or appointment.

What did Westlife Foodworld's management say?

Management said same-store sales rose 10.1%, with double-digit guest-count growth in every month, and that digital channels generated more than 75% of sales, supported by more than 58 million app downloads and approximately 4.2 million monthly active users. It identified wage, commodity and utility inflation, including sharp South India minimum-wage increases, a dynamic operating environment and potential margin dilution from owned-delivery expansion as risks. No analyst concerns were recorded in the supplied earnings-call material.

How did Westlife Foodworld shares react?

Immediately after the filing appeared, the stock fell 3.5% within five minutes, 1.5% within 15 minutes and 0.3% within 30 minutes. It closed the reaction day up 3.2% from the pre-results close of ₹541.00, and by the next day's close it was up 8.1%; by five sessions, it was up 10.6% from that same close.

The Restaurants industry median moved down 0.4% on the reaction day and next day, and up 1.1% over five days. Westlife Foodworld therefore outperformed the industry median by 3.6 percentage points on the reaction day, 8.6 percentage points by the next day's close and 9.5 percentage points over five sessions. Earlier reaction-day moves ranged from a fall of 2.5% on 24 October 2024 to a rise of 1.9% on 23 July 2025.