The retailer sees strong traction from online channels and North India expansion; food and B2B segments remain key growth drivers
Ikea India reported a 6 per cent increase in sales for the financial year ending August 2025, with annual revenue reaching Rs 1,860.8 crore. The home-furnishing major’s Swedish parent, Ingka Group, which operates on a September–August fiscal cycle, posted a marginal 0.9 per cent dip in global revenue to 41.5 billion euros during the same period.
The company said its India unit’s Ebitda (excluding fixed costs) improved by 12 per cent year-on-year. “Our share of online sales grew by 34 per cent, and our entry into the North market through online and new format stores across Delhi and Bengaluru has been truly rewarding,” Ikea India’s Chief Financial Officer Murali Iyer said in a statement.
During the year, Ikea India attracted 110 million customers across its physical stores and digital channels. “Ikea for Business contributed 19 per cent to the total sales, growing 20 per cent year-on-year, while food continued to be both a strong visitation and revenue driver at 10 per cent,” Iyer added.
Focus On Profitability And Market Potential
Ikea India CEO Patrik Antoni said the company aims to turn profitable within the next two years. He cited the promising growth potential of India’s home-furnishing market, projected to reach USD 48 billion by 2030, expanding at a CAGR of 8.7 per cent.
“The goal of Ikea India is to turn profitable within the next two years,” Antoni said. “At Ikea, we see a long-term opportunity to contribute to this growth by making home furnishing more affordable, accessible, and sustainable for the many people,” he added.
Operational Expansion And Product Strategy
In FY25, the retailer deepened its footprint in North India, launching online deliveries and a new city store in West Delhi, alongside a Plan and Order Point in Bengaluru.
The company, known for its focus on affordability, now offers over 6,500 home furnishing products in India — including more than 50 furniture items under Rs 1,000 and 750 decor products priced below Rs 200.
As per Ikea India’s most recent filing with the Registrar of Companies (RoC) for FY 2023–24 (under Indian accounting standards), revenue from operations stood at Rs 1,809.8 crore, up 4.5 per cent, while total losses widened to Rs 1,299.4 crore.
Food Business And Local Adaptation
Food remains a strong pillar of Ikea’s customer experience in India, contributing nearly 10 per cent of total sales. In FY25, the company served over 2.2 million food tickets, with about one million visitors dining in its in-store restaurants. Its signature chicken meatballs continued to lead the menu with around 200,000 portions sold.
Adapting to local palates, Ikea India offers vada pav in Mumbai, bisibele bhath in Bengaluru, and biryani in Hyderabad, along with seasonal and festive menus.
Current Footprint
Since opening its first Indian store in 2018, Ikea has expanded to three large-format outlets in Hyderabad, Navi Mumbai, and Bengaluru, as well as city stores in Worli and West Delhi. It also operates two distribution centres in Pune and Gurugram to support its growing online business.
