Compared to its listed industry peers like Jubilant FoodWorks, Devyani International, Sapphire Foods India, Westlife Foodworld, and Restaurant Brands Asia, Travel Food Service achieved the highest earnings per share (EPS) in fiscal 2024.
FinTech BizNews Service
Mumbai, 11 December, 2024: Mumbai-based Travel Food Services (TFS), operating a travel quick service restaurant and a lounge business across airports in India and Malaysia, has filed its Draft Red Herring Prospectus (DRHP) with capital markets regulator, Securities and Exchange Board of India (SEBI) for its Rs 2,000 crore Initial Public Offering (IPO).
The IPO with a face value of Re 1 is entirely an offer for sale of up to Rs 2,000 crore by Kapur Family Trust. The offer includes reservations for subscriptions by eligible employees. Compared to its listed industry peers like Jubilant FoodWorks, Devyani International, Sapphire Foods India, Westlife Foodworld, and Restaurant Brands Asia, Travel Food Service achieved the highest earnings per share (EPS) in fiscal 2024. Revenue from operations increased by 30.85% to Rs 1,396.32 crore in fiscal 2024 from Rs 1,067.15 crore in fiscal 2023, attributable to an increase in its LFL Sales and Net Contract.
Profit after tax increased by 18.59% to Rs 298.02 crore in fiscal 2024 from Rs 251.30 crore in fiscal 2023. For the three months ended June 30, 2024, revenue from operations stood at Rs 409.86 crore, and profit after tax stood at Rs 59.55 crore. The Offer is being made through the book-building process, wherein not more than 50% of the net offer is allocated to qualified institutional buyers, and not less than 15% and 35% of the net offer is allocated to non-institutional and retail individual investors respectively. Travel Food Services launched its first travel quick-service restaurant (QSR) outlet in 2009. It is promoted by SSP Group plc (“SSP”) and its affiliates—SSP Group Holdings Limited, SSP Financing Limited, SSP Asia Pacific Holdings Limited—along with the Kapur Family Trust, Varun Kapur, and Karan Kapur. SSP, an FTSE 250 company listed on the London Stock Exchange, is recognized as a global leader in the Travel Food & Beverage (F&B) sector based on revenue in 2024, as per the CRISIL Report.
The Kapur Family Trust operates under the flagship brand K Hospitality, which oversees and invests in several hospitality and food service businesses, including Travel Food Services (collectively referred to as “K Hospitality”). Headquartered in Mumbai, the company leads the rapidly expanding Indian airport Travel QSR and Lounge sectors, holding the top position in terms of revenue for Fiscal 2024, according to the CRISIL Report. Its Travel QSR portfolio features a diverse selection of food and beverage (F&B) concepts tailored for travelers, including fast food, cafes, bakeries, food courts, and bars, primarily located in airports and some highway locations to cater to the needs of fast-moving customers.
In Fiscal 2024, the company commanded a 24% revenue market share (including its Associates and Joint Ventures) in the Indian airport Travel QSR sector, as highlighted by the CRISIL Report. It also managed the largest network of private airport Lounges in India as of March 31, 2024, operating 24 Lounges across eight airports and capturing a 45% revenue market share in the airport Lounge sector during the same period. From 2009 until June 30, 2024, TFS contract retention rate is at 92%. The company’s presence spans 14 airports in India, including major hubs like Delhi, Mumbai, Bengaluru, Hyderabad, Kolkata, and Chennai, as well as three airports in Malaysia, as of June 30, 2024.
