- The US-based chain Burger King which entered the Indian market in 2014 reported FY18-19 sales of Rs 644 crore while their losses dropped to Rs 16 crore. It had Rs 389 crore revenue a year ago with a net loss of Rs 63 crore.
- Burger King has 214 outlets across the country and has recorded sales of Rs. 375 crore in Financial Year 18. The business currently in a loss on the consolidated level but making a profit at operating levels of stores, showing that it can generate a surplus after meeting costs including staff, raw material, and lease rentals.
Fast-food chain Burger King reported a 66 percent increase in sales in India in the year to March 2019 and significantly reduced losses on the back of aggressive expansion, entry-level pricing and the largest vegetarian menu in the international fast-service restaurant chains.
The US chain which entered the Indian market in 2014 reported FY18-19 sales of Rs 644 crore while their losses dropped to Rs 16 crore. It had Rs 389 crore revenue a year ago with a net loss of Rs 63 crore, data from Veratech Intelligence revealed. India has been the fastest-growing restaurant expansion market for Burger King.
It opened about 58 stores in the last fiscal year, bringing the store count to 214.
“It was obvious to us even before we began the first restaurant that the offerings of Burger King must be truly Indian. Our menu width means that we can serve burgers that fit the Indian palate and attract customers looking for daily value, “said Rajeev Varman, CEO of Burger King India, stating that during the fiscal period it turned Ebitda positive. “Through strategic investment in brand building and national supply chain growth and operational efficiencies, we have concentrated on a robust expansion plan over the past five years,” Varman said.
Notwithstanding a two-year delay in India’s entry, this hostility helped Burger King outpace US competitor Starbucks in terms of revenue. A month ago, the parent Everstone Group received a fresh equity injection of Rs 45 crore and a Rs 150 crore loan facility. The company has so far raised Rs 612 crore, of which Rs 100 crore has been raised last fiscal.
Burger King has 214 outlets across the country and has recorded sales of Rs. 375 crore in Financial Year 18. The business currently in a loss on the consolidated level but making a profit at operating levels of stores, showing that it can generate a surplus after meeting costs including staff, raw material, and lease rentals.
Recently, Burger King India received a fresh capital injection of Rs 45 crore and a loan facility of Rs 150 crore from its parent Everstone Group, the master franchise owner of the American fast-food chain in India.
While with the fresh injection, the paid-up capital increased to Rs 366.48 crore, Burger King India also increased its approved capital from Rs 350 crore to Rs 405 crore, the company said to the Registrar of Companies (RoC) in its latest filings.
