Westlife Foodworld Q1 Results Review - Thriving Against The Odds: ICICI Securities

ICICI Securities Report

Westlife Foodworld Ltd. maintained its strong performance across all key metrics. We are impressed with the revenue outperformance (compared to peers) led by same-store sales growth (driven by higher guest count).

We also reckon that lower price hike in burgers versus pizza (during last two years) and Westlife’s aggressive focus on value meals (at Rs 179 popular price point) have likely contributed to market share gains.

Reinvestments on customer experience (72% Experience of the Future stores, and menu – including food and beverages) continue to yield result: dine-in revenue share improved by healthy 200 bps YoY to 60%.

Also, in the off-premise business, Westlife’s outperformance versus peers (9%YoY versus 8%YoY for Jubilant FoodWorks Ltd.) is encouraging.

Operating profit margins remained healthy led by stable input cost, efficiency and price hikes (in earlier quarters). The journey of execution-driven outperformance continues to add up for Westlife. Maintain 'Add'.

Click on the attachment to read the full report:

DISCLAIMER

This report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.