Dreamfolks gets nightmarish

DreamFolks is a big loser today too as the market has given a big thumbs down to its immediate discontinuation of domestic airport lounge services (within India), effective from 16 Sept’25.

This is a big deal as this business was a core revenue stream and losing a large piece of it will reduce access fees, margins, etc.

Three of its lounge-partner suppliers, Encalm Hospitality, Adani Digital and Semolina Kitchens, have either already terminated contracts or are in process.  Axis Bank and ICICI Bank have also ended certain programs with DreamFolks.

With partners pulling out, fewer lounges in their network, fewer cards giving access, they lose both supply-side revenue (from lounge operators) and demand-side (from banks/card network fees).

The stock, the moment it opened, hit the 5% LC of the day at Rs.124.45, where it stays frozen. This is not too far from its 52-week low of Rs.122.25, which will easily be breached if there is no damage control by tomorrow.