Tata Starbucks Narrows FY26 Loss To ₹49 Crore As Revenue Rises
Tata Starbucks reduced its FY26 net loss to ₹49.47 crore as revenue rose 7% and the company crossed the 500-store milestone in India.
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Tata Consumer Products said Tata Starbucks reduced its net loss to ₹49.47 crore in FY26 as the coffee chain benefited from higher sales and continued expansion across India.
The company had reported a net loss of ₹135.7 crore in FY25, according to the latest annual report released by Tata Consumer Products.
Revenue for the year increased 7% to ₹1,367 crore.
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Expansion Drives Sales Growth:
Tata Starbucks operates Starbucks cafés in India through a 50:50 joint venture between Tata Consumer Products and Starbucks Corporation.
According to the company, growth during FY26 was largely driven by network expansion, with the addition of 23 net new stores during the fiscal year.
The company also attributed sales growth to new beverage launches, expanded food offerings, seasonal collaborations and a wider gifting portfolio.
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Premium Coffee Market Expands:
Tata Consumer Products said Tata Starbucks recorded positive same-store sales growth (SSSG) during the year, indicating higher sales at outlets that have been operational for at least one year.
During FY26, Tata Starbucks crossed the milestone of 500 stores in India and expanded its presence to 80 cities.
The company said it continued strengthening its position in metro markets while also accelerating expansion into Tier II and Tier III cities.
According to the report, store expansion was carried out in a calibrated and phased manner with a focus on improving profitability and operational efficiency.
“Tata Starbucks is expanding with discipline, focusing on calibrated store growth, deeper city penetration and stronger format innovation,” the company said.
It added that the strategy is aimed at maintaining Starbucks’ premium brand positioning while increasing accessibility across both large urban centres and emerging markets.
The development reflects the growing scale of India’s organised café and premium coffee market as international and domestic brands continue expanding beyond major metropolitan cities.
For the food and beverage industry, the results highlight how coffee chains are increasingly balancing aggressive expansion strategies with a stronger focus on operational efficiency, profitability and localisation of offerings for Indian consumers.
The company’s expansion into smaller cities also underlines rising consumer demand for premium café experiences outside traditional urban markets as organised coffee retail continues to deepen its footprint across India.
