Delhi NCR-based tea café chain Chaayos has significantly reduced its net loss, cutting it by over 50% to INR 54 crore in FY24 from INR 109.3 crore in FY23.
This improvement came on the back of cost optimization efforts and achieving EBITDA profitability.
Chaayos Cuts Down on its Losses
However, the sharp decline in losses was accompanied by subdued revenue growth. Operating revenue grew just 4.89%, reaching INR 248.6 crore in FY24 compared to INR 237 crore the previous year. Including other income, total revenue rose 7%, climbing from INR 253.4 crore in FY23 to INR 271.2 crore in FY24.
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The company’s EBITDA performance marked a turnaround, improving from a loss of INR 22.1 crore in FY23 to a positive INR 28.3 crore in FY24. This translated into an EBITDA margin of 11%, a significant leap from -9% the year prior.
About Chaayos
Founded in 2012 by Raghav Verma and Nitin Saluja, Chaayos operates a wide network of tea-centric cafés across India while also selling premixed teas through its website and online marketplaces. To date, it has raised about $85 million from prominent investors such as Tiger Global, Alpha Wave, and Elevation Capital, with its most recent $53 million Series C round supporting its expansion.
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Chaayos faces competition from tea café brands like Chai Point, Chai Sutta Bar, and MBA Chaiwala, while also contending with coffee-focused chains such as The Third Wave Coffee, Blue Tokai, and Starbucks.
