Travel Food Services is the leading player in the fast-growing Indian airport travel quick service restaurant (“Travel QSR”) and lounge (“Lounge”) sectors based on revenue in Fiscal 2025, with a market share based on revenue (including Associates and Joint Ventures) of approximately 26% in the Indian airport travel QSR sector and approximately 45% in the Indian airport Lounge sector in Fiscal 2025.
Travel Food Services, an Book Built Issue amounting to ₹ 2,000 Crores, consisting entirely an an Offer for Sale of 6.29 Lakh Shares. The subscription period for the Travel Food Services IPO opens on July 07, 2025, and closes on July 09, 2025. The allotment is expected to be finalized on or about Thursday, July 10, 2025, and the shares will be listed on the BSE & NSE with a tentative listing date set on or about Monday, July 14, 2025.
The Share Price Band of Travel Food Services IPO is set at ₹ 1,045 to ₹ 1,100 per equity share. The Market Capitalisation of the Travel Food Services Limited at IPO price of ₹ 1,100 per equity share will be ₹ 14,484.74 Crores. The lot size of the IPO is 13 shares. Retail investors are required to invest a minimum of ₹ 14,300, while the minimum investment for High-Net-Worth Individuals (HNIs) is 14 lots (182 shares), amounting to ₹ 2,00,200.
Kotak Mahindra Capital Company Limited, HSBC Securities and Capital Markets (India) Private Limited, ICICI Securities Limited and Batlivala & Karani Securities India Private Limitedare the book running lead manager of the Travel Food Services IPO, while MUFG Intime India Private Limited (Formerly Link Intime India Private Limited) is the registrar for the issue.
Travel Food Services LimitedIPO GMP Today
The Grey Market Premium of Travel Food Services Limited IPO is expected to be ₹ 0 based on the financial performance of the company. No real trading is done on the basis of Grey Market Premium that's why no real discovery of price can be done before the listing of shares on the stock exchange. The Grey Market Premium totally depends upon the Demand and Supply of the shares of the company in unorganized manner which is not recommended. The Grey Market Premium is mentioned for educational and informational purposes only.
Travel Food Services LimitedIPO Live Subscription Status Today: Real-Time Update
Travel Food Services IPO will be open for its subscription on 07 July, 2025.
Travel Food Services Limited IPO Allotment Date - Step by Step Guide to Check Allotment Status Online Travel Food Services IPO allotment date is 10 July, 2025, Thursday. Travel Food Services IPO Allotment will be out on 10th July, 2025 and will be live on Registrar Website from the allotment date. Check Travel Food Services IPO Allotment Status here. Here's how you can check the allotment status:
- Navigate to the IPO allotment status page.
- Select Travel Food Services Limited IPO from the dropdown list of IPOs
- Enter your application number, PAN, or DP Client ID
- Submit the details to check your allotment status.
By following either of these methods, investors can quickly determine their allotment status and proceed accordingly with their investments.
Objectives of Travel Food Services LimitedIPO
Travel Food Services will not receive any proceeds from the Offer (the “Offer Proceeds”) and all the Offer Proceeds will be received by the Promoter Selling Shareholder after deduction of Offer related expenses and relevant taxes thereon, to be borne by the Promoter Selling Shareholder.
Travel Food Services is the leading player in India's airport Travel QSR and Lounge sectors, based on revenue in Fiscal 2025, according to the CRISIL Report. The company holds a 26% revenue market share in the airport Travel QSR segment and ~45% in the Lounge segment.
The Travel QSR business includes a diverse portfolio of 127 in-house and partner F&B brands, operating 442 outlets across India and Malaysia as of March 31, 2025. Most outlets are located in airports, with some on highways. The Lounge business includes 37 lounges across India, Malaysia, and Hong Kong, primarily serving premium-class passengers and select card or loyalty program members.
Presence spans 14 Indian airports, including 13 of the top 15 by passenger traffic, collectively accounting for 74% of India’s air passenger traffic in FY25. Additionally, operations extend to three airports in Malaysia and one in Hong Kong.
As of March 31, 2025, the company operated the largest network of Travel QSR outlets in India with 384 out of 413 outlets located in airports. It also managed the largest network of private airport Lounges with 28 lounges across 10 Indian airports.
SSP Group, a FTSE 250 company listed on the London Stock Exchange, is a global leader in the Travel F&B sector. SSP operates over 3,000 F&B and Lounge outlets across 600+ locations in 38 countries as of May 31, 2025, with a portfolio of ~550 brands and bespoke concepts. Travel Food Services leverages SSP’s global brand relationships and corporate governance practices.
K Hospitality, owned by the Kapur Family Trust, is a prominent player in India’s food services industry, with a presence in 35 cities and business verticals including QSRs, restaurants, catering, and banquets under brands like Copper Chimney, Blue Sea Catering, and LifeCo Services. Travel Food Services benefits from K Hospitality’s 50+ years of F&B expertise, strong supplier network, and operational know-how. As of March 31, 2025, they had 5,331 on-roll employees and 191 off-roll employees. The Bankers to the Company are Kotak Mahindra Bank Limited, ICICI Bank Limited, HDFC Bank Limited, The Hongkong and Shanghai Banking Corporation Limited and YES Bank Limited.
INDUSTRY ANALYSIS
India’s Travel and Tourism Industry
India’s travel and tourism industry continues to demonstrate strong growth momentum, supported by rising disposable incomes, a growing middle class, digital penetration, infrastructure expansion, and evolving consumer preferences. The organised & branded hotel sector and online travel agencies (OTAs) have emerged as key contributors to this growth. Furthermore, increased air connectivity and expanding airport infrastructure are accelerating the adoption of air travel across the country.
Geopolitical Tensions and Their Impact on Air Travel
Between May 7 and May 12, 2025, air travel in northern and western India faced disruption due to geopolitical tensions stemming from India’s cross-border military action against Pakistan. As a precaution, 32 airports in these regions were temporarily closed, leading to the cancellation of nearly 300 flights per day.
However, the situation was promptly stabilised, and all airports resumed operations by May 12, 2025. Daily domestic passenger traffic recovered quickly, reaching 0.46 million by May 21, 2025—almost on par with traffic figures from January to April 2025.
Separately, geopolitical uncertainties involving Turkey and Azerbaijan have led to advisories from online travel platforms urging Indian travellers to avoid these countries. This has triggered a shift in outbound travel demand toward alternative destinations such as Russia, Hungary, Czech Republic, Vietnam, Singapore, Bali, and Dubai.
Surge in Organised Hospitality and Online Travel Agencies
The demand for organised and branded hotels in India has significantly surpassed pre-COVID levels. Between FY22 and FY24, the segment registered an impressive CAGR of ~41%, with the industry estimated at ₹1,000–1,050 billion in FY25.
Online travel agencies (OTAs) have also shown robust growth, with gross revenues expanding at a CAGR of 54% between FY22 and FY24. Notably, the B2B OTA segment is projected to grow at 15–16% CAGR from FY25 to FY28, reaching ₹1,025–1,055 billion from the current base of ₹700–725 billion.
Indian Aviation Industry: Growth Trends and Drivers
India’s aviation sector is poised for sustained growth, backed by increasing demand for both business and leisure travel, an expanding middle class, and government-led initiatives such as UDAN (Ude Desh ka Aam Nagrik) under the Regional Connectivity Scheme (RCS).
Between FY15 and FY25, domestic and international passenger traffic grew at CAGRs of 9.1% and 4.2%, respectively. Even amidst the COVID-19 pandemic, the sector recorded modest growth of 1.8% (domestic) and 0.3% (international) between FY19 and FY24.
Airport Infrastructure and Fleet Expansion
India’s airport infrastructure is undergoing significant transformation. With a projected capital expenditure of ₹600–650 billion between FY25 and FY29, airport development remains a priority. This includes both greenfield airports such as Jewar, Navi Mumbai, and Bhogapuram, and brownfield expansions at airports in Bengaluru, Hyderabad, Guwahati, and Chennai.
These investments follow an earlier capex of ₹790 billion between FY20 and FY24 and are being propelled by government policies such as the Greenfield Airports Policy (2008), which has sanctioned 21 new airports—12 of which are already operational.
Airport Retail: A Rising Consumption Hub
Airport retail in India is evolving rapidly in tandem with the rise in passenger traffic and urban consumption patterns. Organised retail in the country is expected to reach ₹25–26 trillion by FY29 from ₹13 trillion in FY25, and airport retail is benefitting from this momentum.
With approximately 167 million domestic air passengers in FY25—representing ~12% of India’s population (compared to ~255% in the U.S.)—airport retail, particularly quick service restaurants (QSRs) and lounges, is flourishing. These two segments alone account for ~35% (₹64 billion) of the airport retail market in FY25.
Airport QSR and Food & Beverage Industry
The food and beverage (F&B) segment has become central to India’s airport retail ecosystem. Accounting for 34–35% of the total airport retail market, F&B offerings have advanced significantly in both product diversity and customer experience. Importantly, F&B remains a consumption need that cannot be served by e-commerce, reinforcing its importance in airport settings.
With airports becoming more than just transit hubs, they now serve as lifestyle destinations offering diverse dining, shopping, and relaxation experiences.
Airport Lounge Industry: Room for Expansion
Airport lounges in India offer travellers premium services including high-quality meals, quiet working spaces, relaxation areas, and additional amenities like showers and wellness options. Despite growing demand, India still lags behind international standards in lounge availability.
As of September 2024, India had around 90–100 operational lounges across 138 airports (~0.7 lounges per airport). In contrast, global hubs like London Heathrow operate 33 lounges for comparable passenger traffic. Delhi, Mumbai, and Bengaluru airports—India’s busiest—each host only 8–10 lounges, indicating significant growth potential in this segment.
Conclusion: A High-Growth Ecosystem with Evolving Dynamics
India’s travel and tourism sector is poised for strong expansion, driven by a blend of macroeconomic growth, infrastructure investments, digital adoption, and rising consumer aspirations. While geopolitical risks pose intermittent challenges, structural tailwinds in aviation, hospitality, retail, and digital travel services continue to create a robust and resilient ecosystem.
BUSINESS STRENGTHS
1. Market Leadership in Airport Travel QSR and Lounge Segments
The company was the leading player in India’s airport-based Travel QSR and Lounge sectors by revenue in Fiscal 2025, with the largest network of Travel QSR outlets—384 out of 413 situated in airports—and a 26% revenue share in the Travel QSR segment, as per the CRISIL Report.
2. Operational Expertise in High-Security Airport Environments
With 16 years of industry experience since launching the first Travel QSR outlet in 2009, the company has built robust capabilities to operate efficiently in complex, security-sensitive airport settings, strengthening its value proposition for airport concessions.
3. Long-Term Relationships with Major Airport Operators
The company maintains established partnerships with leading airports, including a presence at Delhi Airport (15 years), Mumbai (16 years), Bengaluru (6 years), and Chennai and Kolkata (11 years). It has served as the sole F&B and Lounge concessionaire at Chennai and Kolkata Airports since 2014.
4. Diverse Brand Portfolio Across Global, Regional, and In-House Offerings
Operates 127 F&B brands—90 franchised international and regional brands and 37 in-house brands. The portfolio includes KFC, Pizza Hut, Subway, Wagamama, Bikanervala, Third Wave Coffee, and proprietary brands such as Caféccino, Idli.com, Curry Kitchen, and Dilli Streat, offering tailored menus for varied traveler preferences.
5. Strong Understanding of Traveler Preferences
Focused on delivering customized dining experiences through a curated menu mix that addresses both local tastes and international expectations, aligned with airport operator requirements.
6. Experienced Management Backed by SSP and K Hospitality
Managed by a professional team averaging 24+ years of experience across hospitality, FMCG, IT, infrastructure, and retail sectors. Benefits from strategic support and brand synergies through SSP Group, a global Travel F&B leader, and K Hospitality, a legacy Indian F&B company with a 50+ year track record.
BUSINESS STRATEGIES
1. Enhance Like-for-Like (LFL) Sales through Optimised Offerings
Capitalising on the structural growth in Indian air passenger traffic, the strategy focuses on customising product offerings and services to increase LFL sales, i.e., revenue growth from the same set of outlets year-over-year.
2. Expand in Existing and New Markets
With air travel underpenetrated in India (0.27 trips per capita vs. 0.81 in China and 0.99 in Brazil, per 2023 data), the company plans to scale operations in current locations while entering new domestic and international markets.
3. Drive Operational Synergies and Scale Efficiencies
Emphasis on margin optimisation through data-driven category and menu management, coordinated with culinary and operations teams to improve product mix, ticket size, and profitability.
4. Maximise Capital Efficiency through Structured Allocation
Follows a rigorous capital review process, aligned with SSP’s investment model, ensuring capital is deployed efficiently. Proposals are vetted by designated committees or the Board, depending on investment thresholds.
5. Build Organisational Strength through People-Centric Culture
With 5,331 on-roll employees (as of March 31, 2025), the business is guided by the principles of Ownership, Transparency & Trust, and People First (OTP), embedding these values across all levels of the organisation.
BUSINESS RISK FACTORS & CONCERNS
1. High Dependence on Airport Operations
Travel QSRs and Lounges located at airports contributed over 95% of operational revenue for FY 2023–2025. Business continuity is highly reliant on concession agreements; failure to renew or secure new ones on favourable terms, or early termination, could adversely impact operations and growth.
2. Limited Agreement Tenure and Upcoming Expirations
Concession agreements typically have an average term of 8.21 years. As of March 31, 2025, 20% of such agreements are set to expire within the next three years. Non-renewal or inability to secure new agreements could reduce market presence and affect financial returns.
3. Revenue Concentration in Top 5 Airports
Top five airports—Bengaluru, Chennai, Delhi, Kolkata, and Mumbai—accounted for approximately 86–90% of operational revenue during FY 2023–2025. Any termination of agreements or decline in passenger traffic at these locations could significantly reduce revenue.
4. Brand Partner Dependence
Franchised brands contributed over 54% of Travel QSR revenue for FY 2023–2025. Inability to retain existing brand partners or onboard new ones may hinder business growth and profitability. Actions of brand partners beyond management control may also pose strategic conflicts.
5. Lounge Partner Dependency
Lounge services formed roughly 45% of operational revenue during FY 2023–2025. Revenue is dependent on contracts with airlines, card issuers, and loyalty programmes. Most agreements are renewed annually. Failure to retain key partners or sign new ones could negatively affect lounge operations.
6. Competition from Udaan Yatri Café
The Udaan Yatri Café initiative offers lower-priced food options at airports. This may divert footfall from Travel QSR outlets, reducing overall sales and profitability.
7. Customer Sensitivity to Airport Pricing
Food and beverage prices at airport outlets often carry surcharges compared to city locations. Perceptions of overpricing may deter customers, reduce revenue, and invite negative publicity.
Travel Food Services is heavily reliant on airport-based operations, brand partnerships, and lounge collaborations. Any disruption in concession agreements, brand/franchise relationships, or customer traffic—particularly at top airports—could severely impact revenue and growth. Additionally, pricing perception and government initiatives like Udaan Yatri Café pose competitive threats.
Travel Food Services Limited Financial Information (Restated Consolidated)
Amount in (₹ in Million)
Period Ended
Mar 31, 2025
Mar 31, 2024
Mar 31, 2023
Reserve of Surplus
10,402.35
8,697.44
6,516.02
Total Assets
19,027.29
16,964.39
13,323.24
Total Borrowings
0.00
637.81
310.52
Fixed Assets
1,209.50
1,221.76
956.34
Cash
252.96
680.87
421.93
Net Borrowing
-252.96
-43.06
-111.41
Revenue
17,627.09
14,623.95
11,035.82
EBITDA
6,763.46
5,499.93
4,580.54
PAT
3,796.59
2,981.20
2,512.99
EPS
27.58
21.85
18.52
Note 1:- RoE, ROCE & RoNW calculation in KPI is based on 31st Mar, 2025 Data, given in RHP. Note 2:- Pre EPS and Post EPS calculation in KPI is based (Profit/Loss for the Year) on 31st Mar, 2025 Data, given in RHP. Note 3:- RoNW calculation in KPI is based on 31st Mar, 2025 Data, given in RHP. Note 4:- Price to Book Value calculation in KPI is based on Cap Price Post Issue, given in FINANCIAL EXPRESS.
Key Performance Indicator
KPI
Values
EPS Pre IPO (Rs.)
₹ 27.58
EPS Post IPO (Rs.)
₹ 27.58
P/E Pre IPO
39.88
P/E Post IPO
39.88
ROE
35.47 %
ROCE
51.40 %
P/BV
13.82
Debt/Equity
-
RoNW
34.64 %
Travel Food Services Limited IPO Peer Comparison
Company Name
EPS
ROCE
ROE
P/E (x)
P/Bv
Debt/Equity
RoNW (%)
Travel Food Services Limited
₹ 27.58
35.47 %
35.47 %
39.88
13.82
-
34.64 %
Jubilant FoodWorks Limited
₹ 3.19
12.9 %
10.7 %
205
22.3
2.08
10.7 %
Devyani International Limited
₹ 0.08
6.28 %
-0.64 %
-
18.3
2.91
-0.64 %
Sapphire Foods India Limited
₹ 0.60
5.78 %
2.03 %
371
7.32
0.92
2.03 %
Westlife Foodworld Limited
₹ 0.78
6.71 %
2.04 %
980
19.7
2.69
2.04 %
Restaurant Brands Asia Limited
₹ -3.71
-3.01 %
-28.2 %
-
5.23
2.02
-28.2 %
Travel Food Services Limited Contact Details
TRAVEL FOOD SERVICES LIMITED
Block-A South Wing 1st Floor, Shiv Sagar Estate, Dr. Annie Besant Road, Worli, Mumbai 400 018, Maharashtra, India Contact Person : Neeta Arvind Singh Telephone : +91 22 4322 4322 Email : cs@travelfoodservices.com Website : https://www.travelfoodservices.com/
Travel Food Services IPO Registrar and Lead Manager(s)
Registrar : MUFG Intime India Private Limited (Formerly Link Intime India Private Limited) Contact Person : Shanti Gopalkrishnan Telephone : +91 81 0811 4949 Email : travelfood.ipo@in.mpms.mufg.com Website : https://in.mpms.mufg.com/
Travel Food Services is the leading player in the fast-growing Indian airport travel quick service restaurant (“Travel QSR”) and lounge (“Lounge”) sectors based on revenue in Fiscal 2025, with a market share based on revenue (including Associates and Joint Ventures) of approximately 26% in the Indian airport travel QSR sector and approximately 45% in the Indian airport Lounge sector in Fiscal 2025.
The Company benefits from the combined experience of the Promoters, (i)SSP Group plc (“SSP”), SSP Group Holdings Limited, SSP Financing Limited and SSP Asia Pacific Holdings Limited, and (ii) Kapur Family Trust, Varun Kapur and Karan Kapur.
The Revenues from operations for the Fiscals ended on Mar 31, 2025, 2024 and 2023 were ₹ 17,627.09 Million, ₹ 14,623.95 Million and ₹ 11,035.82 Million. The EBITDA for the Fiscals ended on Mar 31, 2025, 2024 and 2023 were ₹ 6,763.46 Million, ₹ 5,499.93 Million and ₹ 4,580.54 Million. The Profit after Tax for the Fiscals ended on Mar 31, 2025, 2024 and 2023 were were ₹ 3,796.59 Million, ₹ 2,981.20 Million and ₹ 2,512.99 Million respectively. This indicates a steady growth in financial performance.
The Company Key Performance Indicates the pre-issue EPS of ₹27.58and post-issue EPS of ₹ 27.58 for FY24.The pre-issue P/E ratio is 39.89x, while the post-issue P/E ratio is 39.89x agaisnt the Industry P/E ratio is 236x. The company's ROCE for FY24 is 51.40%, ROE for FY24 is 35.47% and RoNW is 34.64%. These metrics suggest that the IPO is fairly priced.
The Grey Market Premium (GMP) of Travel Food Services showing listing gains of 18.18 %.Given the company's financial performance and the valuation of the IPO, we recommend Risky Investors to Apply to the Travel Food Services Limited IPO for Listing gain.
Disclaimer: The information provided in this IPO review is for educational and informational purposes only and should not be construed as financial advice or an offer to buy or sell securities. The review must not be used as a singular basis of any investment decision. The views herein are of a general nature and do not consider the risk appetite or the particular circumstances of an individual investor; readers are requested to take professional advice before investing. Nothing in this document should be construed as investment advice. The content is based on publicly available information and market perceptions as of the date of publication and is subject to change. Neither the author nor the website is responsible for any losses or damages arising from the use of this information. 1.“Registration granted by SEBI, membership of a SEBI recognized supervisory body (if any) and certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors.” 2. “Investment in securities market are subject to market risks. Read all the related documents carefully before investing.” 3. To read the Disclaimers, Disclosures, Investor Charter, Investor Complaints please visit our website abhayvarn.com
About the Author
CA Abhay Kumar (Also known as CA Abhay Varn) is a qualified Chartered Accountant by profession and cleared CA at age 21. He is a SEBI Registered Research Analyst with Registration Number - INH300008465. He Possesses 8+ years of experience in the Stock Market Field and has also worked in Big CA firms.
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