Westlife gets tasty

Westlife Development is an Indian fast food restaurant holding company. Its wholly owned subsidiary Hardcastle Restaurants, which holds the master franchise for McDonald's in western India and South India.

The stock is today among the top five gainers on the BSE; opening over 3% higher at Rs.555, the stock rose almost 9.5% to an intraday high at Rs.587.80.

The market is thrilled with its Q1FY23 performance wherein it reported an all-time, record high revenue of Rs.538 crore, up 108% (YoY). Its Average Annualized Sales Per Store stood at Rs. 7 crore. The same-store sales growth (SSG) saw a jump of 97%.

PAT came in at Rs.24 crore v/s loss of Rs.33 crore (YoY) and up from Rs.15 crore on QoQ.

Its EBITDA at Rs. 92 crore, which was 18x higher YoY and margin came in at 17.1%, down from 20% (YoY) and up from 16% sequentially. Margin improvement largely led by favorable operating leverage, cost optimization initiatives and improved productivity.

The company added 5 restaurants during Q1 and is strengthening presence in smaller and emerging cities. It is on track to add 35-40 new restaurants in FY23 and 200+ over the next 3-4 years.