INSUBCONTINENT EXCLUSIVE:
DIL is expanding Costa Coffee's presence in high footfall locations, such as airports
Representative image3 min read Last Updated : Jun 12 2024 | 10:38 PM IST
British coffee chain Costa Coffee reported a 49 per cent growth
in revenue from operations to Rs 151.8 crore in India, Devyani International Ltd said in the annual report.
Its gross profit stood at Rs
116.6 crore, up 45 per cent from the year-ago period, it said.
Devyani International Ltd (DIL) is the master franchisee for Costa Coffee,
which is owned by global beverage major Coca-Cola.
The company added 67 new stores in India in 2023-24, taking its count to 179.
"In FY24,
revenue from operations stood at Rs 151.8 crore as against Rs 101.8 crore in the previous year, registering a growth of 49 per cent, driven
Gross profit stood at Rs 116.6 crore as against Rs 80.4 crore in the previous year," it said.
However, its average daily sales per store
was down to Rs 32,710 in FY24
It was at Rs 35,085 a year before.
"As the new stores stabilise and reach their maturity level, this performance is expected to improve,"
the company said.
DIL is having rapid expansion of Costa Coffee network in India, driven by the growing young population.
"Looking ahead,
we are focused on adding 60-70 new units annually," it said, adding, "As we continue to pour our efforts into building the brand and seizing
business opportunities, we are confident of crafting a stronger tomorrow."According to DIL, India's coffee culture is brewing stronger than
With this expansion, we have more than trebled our store count over the last two years, growing from 55 stores to 179," it said.
DIL is
expanding Costa Coffee's presence in high footfall locations, such as airports.
"With the domestic travel market booming, airports are
buzzing with activity, making them prime spots for our premium coffee
Our presence at these locations aligns perfectly with the high demand and premium experience travellers seek," it said.
Costa Coffee
competes with Starbucks, which is operated in a 50:50 JV with Tata group firm Tata Consumer Products and Barista in the fast growing Indian
market.
"Our approach is about opening new channels and experimenting with different venues
The goal is to identify what works, understand consumer demand, and then expand these successful strategies into a regular part of our
business," it said.
DIL also operates QSR chains of KFC and Pizza Hut in India
It also owns home-grown QSR chain Vaango.
DIL is promoted by RJ Corp Ltd, which is also a promoter of Varun Beverages Ltd (VBL), the
bottling partner of PepsiCo.(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of
the content is auto-generated from a syndicated feed.)First Published: Jun 12 2024 | 10:38 PMIST
