Snacks, Not Cornflakes, Drive Kellanova’s India Turnaround as FY25 Profit Jumps 33 Percent

Growth

January 5, 2026

Kellanova’s India business had a strong FY25, powered by growing demand beyond its traditional breakfast portfolio. The company reported an 8 percent rise in revenue and a sharp 33 percent jump in net profit, signalling that its push into snacks and nutrition is starting to pay off in a meaningful way.

For years, Kellogg’s cornflakes defined the brand’s identity in India. That association is now steadily widening. Categories such as ready to eat snacks, bars and nutrition focused offerings are contributing a larger share to overall sales. This shift has helped the company reduce its dependence on the breakfast table and tap into more frequent consumption occasions across the day.

The performance also reflects sharper execution in pricing, distribution and product mix. While input costs remained a concern during the year, Kellanova managed to protect margins through calibrated price actions and better cost controls. Higher margin products within the snacks and nutrition portfolio played an important role in lifting profitability.

India remains a key growth market for the global packaged foods major. Urban consumers are increasingly open to convenient, portion controlled foods that fit busy routines, while health awareness is pushing interest in products with functional benefits. Kellanova appears to be aligning its portfolio with these shifts rather than relying solely on legacy brands.

The company’s strategy indicates a clear intent to compete as a broader packaged foods player, not just a breakfast specialist. With improved financials, a more balanced category mix and sustained brand investments, Kellanova is positioning itself for steady, long term growth in the Indian market.

If the momentum in snacks and nutrition continues, FY25 could be remembered as the year when Kellanova successfully reshaped its India story from a cereal centric business to a more diversified food company.

Ayurveda Wellness Brand Kapiva’s FY25 Revenue Jumps 50% to ₹342 Crore Despite Higher Losses

INVESTMENTS

SnackTeam

January 5, 2026

Ayurveda-led wellness brand Kapiva posted a strong expansion in scale in FY25, riding a surge in demand for preventive health and plant-based nutrition, even as higher investments in marketing and operations continued to weigh on profitability.

The direct-to-consumer company reported revenue from operations of ₹342 crore for the year ended March 31, 2025, reflecting a year-on-year growth of about 50% from ₹228 crore in FY24, according to financial disclosures. Including non-operating income of nearly ₹7 crore, Kapiva’s total income for the year stood close to ₹349 crore.

The topline growth was driven entirely by product sales, supported by deeper penetration across online platforms and marketplaces, along with rising consumer interest in Ayurveda-backed solutions for everyday health management. Kapiva’s portfolio spans categories such as digestion, immunity, diabetes care, liver health, hormonal balance, energy, and sports nutrition, positioning the brand at the intersection of traditional formulations and modern consumption patterns.

FY25, however, also saw a sharp escalation in costs as the company pushed aggressively on brand visibility and customer acquisition. Advertising and promotional expenses climbed 53% year-on-year to ₹188 crore, making marketing the single largest expense line and accounting for roughly 45% of total costs. Overall expenditure rose 44% to ₹418 crore, compared with ₹290 crore in the previous year.

Input costs moved in tandem with scale. The cost of materials consumed increased 43% to ₹97 crore, forming around 23% of total expenses. Employee benefit expenses rose 28% to ₹59 crore, reflecting team expansion, while transportation and logistics costs stood at ₹22 crore. Legal and professional fees nearly doubled to ₹16 crore, adding further pressure on the cost structure.

As a result, Kapiva reported a net loss of ₹69 crore in FY25, widening from ₹56 crore a year earlier. Founded in 2015, the company continues to prioritise growth and market share in India’s rapidly evolving wellness and nutrition segment, even as it works towards improving operating leverage over the medium term.

Gig Workers’ Strike Rekindles Debate Over 10-Minute Delivery Model in India

Business

SnackTeam

January 3, 2026

India’s fast-growing quick commerce industry is facing renewed scrutiny after a nationwide strike by gig workers on December 31 reignited debate around ultra-fast delivery promises and working conditions. More than 2 lakh delivery partners associated with platforms including Zomato, Blinkit, Swiggy, Instamart, Zepto, Amazon and Flipkart temporarily logged off, demanding higher pay, social security cover and safer working environments.

The strike, timed on one of the busiest days of the year, drew attention to the 10-minute delivery model that underpins much of quick commerce growth. Worker unions argue that tight timelines increase physical risk, mental stress and road accidents, while offering limited income security. Platforms, however, have pushed back against allegations of exploitation.

Deepinder Goyal, founder and chief executive of Eternal, which operates Zomato and Blinkit, defended the model, saying public perception often overlooks how the system is designed. In posts on X, Goyal said delivery speed is driven by dense store networks rather than riders being pressured to move faster. He also shared earnings data, stating that Zomato delivery partners earn an average of ₹102 per hour excluding tips. According to him, a partner working 10 hours a day for 26 days could earn about ₹26,500 a month before expenses, or roughly ₹21,000 after accounting for fuel and maintenance.

Despite the protest, Zomato and Blinkit together delivered about 7.5 million orders on December 31, underlining the scale at which quick commerce has become embedded in urban consumption. Labour experts say this contrast highlights a deeper structural tension. Government think tank Niti Aayog estimates India has over 12.7 million gig workers today, a number projected to rise to 23.5 million by 2030.

Economists point out that while gig platforms have created large-scale employment in a short span, incomes have not kept pace with rising living costs over the past five years. The strike has also coincided with the government notifying draft rules under the new Labour Codes, which propose formal recognition and expanded social security for gig and platform workers.

As political leaders and labour experts weigh in, the episode has triggered a broader national conversation on whether speed-led convenience can continue without rethinking worker welfare, pay structures and regulation in India’s platform economy.

Avenue Supermarts Q3 Update: DMart Revenue Rises 13% YoY to Rs 17,613 Crore

Growth

SnackTeam

January 3, 2026

Avenue Supermarts, the company behind the DMart retail chain, reported steady topline growth in the December quarter, supported by store expansion and consistent consumer demand across its network. In a provisional business update for the quarter ended December 31, 2025, the retailer said its standalone revenue from operations rose 13 percent year on year to Rs 17,613 crore, compared with Rs 15,565 crore in the same period last year.

The Mumbai based company, promoted by investor Radhakishan Damani, ended the quarter with a total of 442 stores, underlining its continued focus on physical expansion even as competition intensifies across India’s organised retail sector. The company clarified that the revenue numbers shared are provisional and subject to revision when detailed quarterly results are announced.

While revenue momentum remained healthy, Avenue Supermarts’ stock performance has lagged broader market benchmarks. Over the past year, the shares have gained about 4 percent and are currently trading below both their 50 day and 200 day simple moving averages, reflecting investor caution around margins and near term profitability trends.

In the preceding September quarter, the retailer had reported revenue from operations of Rs 16,676 crore, marking a 15 percent increase from the year ago period. Net profit for that quarter rose 4 percent year on year to Rs 685 crore, though it declined sequentially from Rs 773 crore posted in the June quarter. On a standalone basis, total revenue in the September quarter grew 15.4 percent year on year to Rs 16,219 crore, while net profit increased 5 percent to Rs 747 crore.

Operating performance also showed improvement, with EBITDA for the September quarter rising 11.3 percent year on year to Rs 1,230 crore. The company had added eight new stores during that period.

The latest quarterly update indicates that Avenue Supermarts continues to deliver predictable revenue growth driven by scale and expansion. However, margin trends and cost pressures will remain key areas to watch when the company releases its full earnings report.

DSM Fresh Foods Acquires 51% Stake in Avyom Foodtech to Enter RTE and RTC Segment

Growth

SnackTeam

January 3, 2026

DSM Fresh Foods has taken a decisive step into India’s fast-expanding ready food market by approving the acquisition of a controlling stake in Avyom Foodtech Private Limited, signalling a strategic shift beyond its core fresh foods business. The board of the listed company, which operates under the ZappFresh brand, has cleared the purchase of 51 percent equity in Avyom Foodtech through a cash investment of about Rs 7.5 crore, marking its entry into ready-to-eat and ready-to-cook categories.

The move positions DSM Fresh Foods to tap into rising demand for convenience-led food solutions, driven by urban consumption patterns and higher penetration of frozen and processed foods. The structure of the transaction allows for future participation by strategic investors in Avyom Foodtech, subject to board approval, a step aimed at strengthening capital support while keeping operating leadership closely aligned with long-term growth plans.

As part of the wider transaction framework, Avyom Foodtech has signed a binding agreement to acquire the operating food processing business of Ambrozia Frozen Foods on a slump-sale basis. This acquisition brings with it around five acres of land, a fully functional processing plant, and installed machinery, along with related liabilities such as bank loans and trade payables. The assets are expected to give DSM immediate manufacturing capability without the delays and costs typically associated with building a facility from scratch.

According to disclosures, the acquired processing business has previously recorded peak annual revenues of about Rs 16 crore, offering proof of commercial viability. The facility operates under FSSAI approvals and is equipped for export-oriented production, providing DSM with a platform to explore overseas markets alongside domestic expansion.

Managing Director Deepanshu Manchanda said the acquisition marks a turning point for DSM Fresh Foods as it evolves into a broader food solutions company. By integrating processed foods with its existing strengths in sourcing, cold-chain management and distribution, the company aims to improve unit economics and build a scalable value-added foods vertical. The investment is expected to be rolled out in phases, aligning capital deployment with operational scale-up and demand growth.

After 75 Lakh New Year’s Eve Orders, Zomato’s 10-Minute Delivery Model Faces Fresh Scrutiny

Quick Commerce

SnackTeam

January 2, 2026

A public exchange between two senior industry voices has brought India’s ultra fast delivery model under renewed scrutiny, as concerns over rider safety and working conditions intersect with record order volumes.

Former Jet Airways chief executive Sanjiv Kapoor questioned the necessity of 10 minute deliveries in Indian cities after Zomato founder and CEO Deepinder Goyal said his platforms continued operating at full scale on New Year’s Eve despite strike calls by sections of gig workers. Kapoor’s comments came in response to Goyal’s social media post highlighting operational performance on December 31.

According to Goyal, Zomato and Blinkit together fulfilled more than 75 lakh orders for over 63 lakh customers in a single day, supported by around 4.5 lakh delivery partners. He noted that the platforms maintained normal service levels and said law enforcement support helped prevent disruptions. The companies also said deliveries were completed without offering incentives beyond what is typically paid on New Year’s Eve.

Kapoor did not contest the data but shifted the focus to delivery timelines. He questioned whether such speed was essential outside of medical needs, asking if extending delivery windows to 30 minutes or an hour would meaningfully harm consumers while easing pressure on riders. His remarks echoed long standing complaints from delivery partners who argue that tight timelines increase stress and elevate accident risks in already congested urban environments.

Goyal, in an earlier post, defended the gig economy model, stating that systems which consistently attract and retain large numbers of workers cannot be described as fundamentally unfair. He also framed the sector as a major source of organised employment with long term social impact.

The exchange unfolded amid coordinated protests by gig workers on December 25 and December 31. Unions including the Telangana Gig and Platform Workers’ Union and the Indian Federation of App Based Transport Workers claimed that between 1.7 and 2 lakh workers logged off apps nationwide. Their demands included an end to ultra fast delivery targets, restoration of earlier payout structures, safeguards against sudden account blocks, insurance coverage, and mandated rest breaks.

As quick commerce continues to expand rapidly, the debate highlights a growing tension between consumer convenience, platform growth, and the sustainability of work conditions on the ground.

Farmley Nears Rs 400 Crore Revenue in FY25 as Healthy Snacking Demand Accelerates

Growth

SnackTeam

January 2, 2026

Noida-based healthy snacking company Farmley closed FY25 on a stronger financial footing, riding a sharp rise in demand for better-for-you food options across India. The company’s operating revenue climbed to nearly Rs 400 crore in the year ended March 2025, marking a year-on-year growth of about 71 percent, according to filings with the Registrar of Companies. In comparison, Farmley had reported operating revenue of roughly Rs 230 crore in FY24.

The growth was powered by wider adoption of Farmley’s core product categories, including makhana-based snacks, roasted nuts and seeds, and date-centric offerings. These categories have gained traction as Indian consumers increasingly shift away from traditional fried snacks toward products positioned around health, convenience and clean ingredients. The company’s expanding presence across online marketplaces, quick commerce platforms and modern retail channels also contributed to higher volumes.

While expenses rose in line with scale-up efforts, Farmley succeeded in tightening losses during the year. Net loss narrowed by around 15 percent to Rs 22.5 crore in FY25, compared with Rs 26.5 crore in the previous fiscal. The improvement indicates better cost controls and improving contribution margins, even as the brand continued to invest in marketing, supply chain and product development.

Key profitability indicators showed incremental improvement, although they remained in the red. Return on capital employed stood at minus 51.56 percent, while EBITDA margin improved to minus 3.68 percent. Industry observers view these trends as early signs of healthier unit economics, particularly for a direct-to-consumer brand operating in a competitive packaged food market.

Farmley’s FY25 performance highlights the momentum building in India’s organised healthy snacking segment. Rising health awareness, changing lifestyles and higher willingness to pay for perceived nutrition are reshaping consumer baskets across urban and semi-urban markets. For Farmley, the combination of strong revenue growth and a narrowing loss base signals progress toward long-term sustainability, even as competition intensifies and brands race to balance scale with profitability.

India’s New Year’s Eve Food Frenzy: Swiggy Logs Record Biryani, Pizza and Burger Orders Nationwide

Quick Commerce

SnackTeam

January 2, 2026

India rang in 2026 with an unmistakable marker of celebration: food, ordered in record volumes across cities big and small. Data released by Swiggy shows that New Year’s Eve turned into one of the busiest food ordering days of the year, with demand peaking well before midnight as households, parties and large groups planned ahead.

Biryani once again dominated the national menu. Orders surged sharply through the evening, crossing 2.18 lakh portions before 7.30 pm alone. At its peak, just before 8 pm, Swiggy logged an astonishing 1,336 biryani orders every minute, reinforcing the dish’s status as India’s most preferred party staple. The scale of celebration was evident in outlier orders too, including a single 16 kg biryani order placed by a customer in Bhubaneswar.

Pizzas and burgers followed closely, reflecting urban comfort food preferences. By 8.30 pm, more than 2.18 lakh pizzas and over 2.16 lakh burgers had been delivered nationwide. Bengaluru featured prominently, with one user placing an order for 100 burgers in a single transaction. Goa and Gurugram also saw unusually large orders, ranging from dozens of kebabs and tikkas to bulk dessert boxes.

Emerging cities played a significant role in the evening’s momentum. Places such as Patna, Surat, Vadodara, Jaipur, Nagpur, Pune and Indore recorded an early spike in orders, particularly for cakes, pizzas and biryani, indicating that celebrations were no longer limited to late night metro crowds.

As the night progressed, traditional Indian desserts took centre stage. Rasmalai, gajar halwa and gulab jamun ranked among the most ordered sweets after 10.30 pm, while pizza emerged as the most popular choice to usher in the new year.

Dining out remained equally strong. Bengaluru and Hyderabad led restaurant bookings on Swiggy Dineout, while cities like Ahmedabad, Lucknow and Jaipur posted sharp growth. Group celebrations were notable in Vadodara and Chandigarh, and Mumbai saw individual dining bills climb as high as ₹94,251.

Together, the numbers painted a clear picture of how India welcomed 2026: by feasting early, ordering big and celebrating everywhere.

Devyani–Sapphire Merger Creates India’s Largest QSR Chain With 3,000+ Outlets Across KFC and Pizza Hut

QSR & Cloud Kitchen

SnackTeam

January 2, 2026

India’s quick service restaurant landscape is set for a major consolidation as Devyani International and Sapphire Foods India move to merge their operations, creating the country’s largest single QSR platform by store count. The transaction, disclosed through stock exchange filings, is expected to take effect from April 1, 2026, subject to regulatory approvals.

Once completed, the combined entity will operate more than 3,000 restaurants across India and select international markets, significantly strengthening its scale in the highly competitive fast food segment. Both companies are key franchise partners of Yum! Brands, operating KFC and Pizza Hut outlets across the region.

Under the proposed share swap arrangement, Devyani International will issue 177 of its shares for every 100 shares held in Sapphire Foods. The merger is expected to unlock annual cost and operating synergies of around ₹210 to ₹225 crore by the second full year after integration, driven by efficiencies in procurement, supply chain, marketing and shared services.

Devyani International, controlled by RJ Corp chairman Ravi Jaipuria, is already Yum! Brands’ largest franchisee in India, with more than 2,000 outlets across India, Thailand, Nigeria and Nepal. Beyond KFC and Pizza Hut, its portfolio includes Costa Coffee, Vaango, Biryani By Kilo, Goila Butter Chicken and other emerging food brands.

Sapphire Foods, backed by Samara Capital, operates over 1,000 restaurants across India and Sri Lanka, adding a strong presence in the island nation to Devyani’s existing international footprint. Post-merger, Devyani will hold unified franchise rights for KFC and Pizza Hut across the Indian market, simplifying brand management and expansion planning.

The companies have indicated that full operational integration is likely to be completed within 15 to 18 months. As part of the broader transaction, Devyani will also take over 19 KFC restaurants currently operated by Yum! India in Hyderabad and make a one-time payment towards licence and approval fees.

Management said the merged platform will prioritise faster KFC expansion, a turnaround strategy for Pizza Hut, and scaled investment behind newer homegrown brands, positioning the group for sustained growth in India’s evolving QSR market.

Zomato, Blinkit Hit Record 75 Lakh Orders on New Year’s Eve Despite Gig Worker Strike Call

Quick Commerce

SnackTeam

January 2, 2026

Food delivery major Zomato and quick commerce platform Blinkit closed 2025 on a historic high, clocking a combined 75 lakh orders on New Year’s Eve, even as sections of gig workers went ahead with a nationwide strike call. The milestone was confirmed by Deepinder Goyal, founder of Eternal, the parent company of both platforms.

In a post shared on social media, Goyal said more than 4.5 lakh delivery partners were active across Zomato and Blinkit on December 31, serving over 63 lakh customers in a single day. According to him, coordination with local law enforcement helped prevent disruptions, allowing operations to continue smoothly despite calls for work stoppages.

New Year’s Eve is traditionally the busiest day of the year for food delivery and quick commerce companies, and this year proved no different. Zomato offered delivery partners payouts of roughly Rs 120 to Rs 150 per order, in line with incentives offered during previous New Year periods. Goyal clarified that no extraordinary incentives were rolled out beyond the usual festive-day structure.

Labour unions, however, presented a contrasting picture. Worker groups including the Indian Federation of App-Based Transport Workers and the Telangana Gig and Platform Workers Union claimed that around 2.1 lakh gig workers participated in strikes on December 25 and December 31. Their demands centred on higher pay, improved safety conditions, social security benefits, and an end to ultra-fast delivery timelines, which they argue increase accident risks.

Despite the protests, companies had prepared extensively for the year-end surge. Industry executives said internal war rooms were set up to manage order spikes, logistics load, and customer support, continuing a trend seen over the past two years as New Year’s Eve order volumes hit fresh records annually.

Commenting on the broader debate, Goyal said the scale and consistency of participation from delivery partners reflected confidence in the platform model. He described the gig economy as one of India’s largest organised job creators, adding that its long-term impact would be felt as stable incomes enable better education and opportunities for workers’ families.

The record-breaking New Year performance underlines both the growing dependence on app-based delivery and the unresolved tensions shaping the future of gig work in India.

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