Tata Starbucks announced a 76% increase in revenue to 636 crore for the fiscal year 2021-22, as well as a "substantial" decrease in net loss.
Tata Starbucks Ltd, the coffee chain operator, claimed a 76% increase in revenue to 636 crores for 2021-2022, and a "much" lower net loss, owing to the normalization of operations following the lifting of COVID-related limitations.
According to Tata Consumer Products Ltd, better realization from existing stores and new outlets added during the financial year ending March 31, 2022, drove revenue growth (TCPL).
"Revenue from operations increased by 76% to 636 crores, and net loss decreased dramatically," TCPL said in a statement about the JV's performance.
It did not, however, specify the net loss for FY22.
It "experienced a robust comeback after re-opening during the second wave of the pandemic" and increased the number of stores it opened throughout the year to 50, the most in a single year.
The organization now has 268 locations in 26 different cities.
Tata Starbucks was founded in 2012 as a 50:50 joint venture between Starbucks Corporation and Tata Consumer Products Ltd, the Tata group's FMCG business (TCPL).
"The Company has invested a sum of 86 crore in equity capital during the financial year 2021-22," TCPL noted.
"As COVID restrictions loosened throughout the year, strong sequential sales recovery was achieved, with the addition of 50 new stores in eight new cities. The new stores are a mix of landmark store openings, such as the Golden Temple complex in Amritsar, Jio World Drive in Bandra Kurla Complex in Mumbai, and Brahmaputra Riverfront in Guwahati, as well as smaller footprint stores, such as the Golden Temple complex in Amritsar, Jio World Drive in Bandra Kurla Complex in Mumbai, and Brahmaputra Riverfront in Guwahati "It was stated.
Furthermore, the number of members in the reward program My Starbucks Rewards increased by 21% last year. It has a dedicated customer base of about 1.1 million people.
"To navigate this pandemic and make the Starbucks experience as engaging and customized as ever, Tata Starbucks focused on innovation, digitization, and strong customer interactions," it stated.
Even after dine-in limits were relaxed, its delivery vertical performed well.
"At the operating profit level before depreciation and amortization (EBITDA), the business was able to deliver breakeven," it stated.
As COVID limitations lifted throughout the year, Tata Starbucks saw a strong sequential improvement in sales, with the shop operation index reaching 95% by March.
"With the limits, we also witnessed an increase in average daily transactions on our distribution channel. Even as the limits were removed, the levels remained higher than pre-COVID "According to the firm.