Westlife Q3 Net Profit Down 86% Despite Revenue Rise
Food & Beverage.

Westlife Q3 Net Profit Down 86% Despite Revenue Rise

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On-premise growth and digital expansion offset delivery dip; company adds 10 new restaurants, maintains focus on omni-channel strategy

Westlife Foodworld, the McDonald’s franchisee in India, reported a net profit of Rs 1 crore for the third quarter of fiscal 2026, down 85.7 per cent from Rs 7 crore a year earlier. Revenue increased 2.5 per cent to Rs 670 crore from Rs 654 crore.

While Ebitda rose 9.7 per cent to Rs 97 crore, with margins improving to 14.5 per cent from 13.5 per cent, supported by operational discipline and supply chain efficiencies. Cash profit after tax stood at Rs 583 million, representing 8.7 per cent of sales.

On-premise Growth Counters Delivery Dip

The company’s on-premise business grew 6 per cent year-on-year, supported by value meals, enhanced digital engagement and hyperlocal marketing. Delivery saw a marginal decline due to volatility in third-party aggregator demand but was partly offset by growth on the McDelivery app.

Restaurant operating margins rose by 150 basis points year-on-year, while operating EBITDA margins improved 70 basis points, reflecting cost optimisation despite higher brand and growth investments. Gross margins remained broadly stable sequentially, aided by supply chain efficiencies and partly offset by menu price adjustments following GST rate changes.

Digital, Omni-channel And Network Expansion
Westlife’s omni-channel ecosystem continues to scale, providing a unified customer experience across dine-in, takeaway, drive-thru, delivery, on-the-go and digital platforms. The company reported approximately 3.5 million monthly active users and roughly 50 million cumulative app downloads, with 74 per cent of sales digitally led.

On network expansion, Westlife added ten restaurants in the quarter, taking its total footprint to 458 outlets across 73 cities as of December 2025. The company remains on track to achieve a medium-term target of 580–630 restaurants by 2027, aided by the Experience of the Future and McCafe formats, covering all eligible restaurants.

, said, “Our Q3 performance reflects disciplined execution in a challenging demand environment. By strengthening our value proposition, enhancing digital engagement and maintaining operational rigour, we delivered stable profitability at the back of increased guest counts. As we move forward, our focus remains on running great restaurants, building brand relevance and driving long-term sustainable growth,”  said Amit Jatia, Chairperson, Westlife Foodworld.

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