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Tata Starbucks Reports Wider Losses in FY25 Despite Revenue Growth

The coffee chain expanded aggressively, opening 58 new stores and entering 19 cities, but muted demand in the QSR segment impacted profitability.

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Starbucks.
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Overview

  • Tata Starbucks reported a net loss of Rs135.7 crore in FY25, up from Rs82.16 crore in FY24, according to the latest annual report.
  • Revenue grew by 5% to Rs1,277 crore, driven by the addition of 58 new stores and entry into 19 new cities, bringing the total to 479 stores across 80 cities.
  • The company is now the largest organised café operator in India by store count, though the market remains under-penetrated compared to similar economies.
  • Muted demand across the Quick Service Restaurant (QSR) segment weighed on overall sales growth and profitability during the year.
  • Tata Starbucks remains focused on long-term growth, aiming to reach 1,000 outlets by FY28, with additional contributions expected from its Tata MyBistro vending business.