Tata Starbucks added 71 new stores and entered 15 new cities during the year in FY23
Its net sales for FY23 stood at Rs 1,087 crore, representing a growth of 71 per cent over FY22. The company, in its earnings presentation, said that business was earnings before interest and taxes (EBIT) positive for the year.
Updated Apr 26, 2023, 12:24 PM IST
Tata Starbucks, a joint venture between the Tata Consumer Products Limited and Starbucks Coffee Company, has surpassed the Rs 1,000-crore sales mark for the first time in FY23, after starting operations about a decade ago.
Its net sales for FY23 stood at Rs 1,087 crore, representing a growth of 71 per cent over FY22. The company, in its earnings presentation, said that business was earnings before interest and taxes (EBIT) positive for the year.
The company mentioned that during the January-March quarter, Tata Starbucks recorded a revenue growth of 48 per cent, bringing FY23 growth to 71 per cent, albeit on a base impacted by the pandemic.
Tata Starbucks added 71 new stores and entered 15 new cities during the year in FY23, the highest-ever annual store addition. With this, the total store count now stands at 333 across 41 cities.
The coffee chain is now looking to rapidly expand its presence in the coming years, the company said in the investor presentation. “To achieve this, we are looking to enhance its relevance for more segments of consumers,” the company added.
It also mentioned in its presentation that the My Starbucks Rewards loyalty program crossed 2.3 million, registering a 100 per cent growth year-on-year.
The company highlighted that it ran its pilot programme in 2022 across four cities. It included introducing familiar options in its beverage menu, adding a new 6oz ‘picco’ size in hot beverages, revamping its food menu, and refurbishing store interiors.
The pilot stores demonstrated improved operating metrics, it said, adding that these workstreams will be rolled out nationally in 2023.
Tata Starbucks arrived in India in October 2012, as a joint venture between Starbucks Coffee Company and Tata Consumer Products Limited. Since then, the brand continues to grow even as it faces increasing competition.
Published on: Apr 26, 2023, 12:24 PM IST