Boba Bhai FY26 Reports: Revenue Rises to ₹68 Crore as Losses Widen to ₹21.8 Crore

Bengaluru-based quick-service restaurant (QSR) chain Boba Bhai reported a 139% year-on-year increase in revenue from operations to ₹68 crore in FY26, compared with ₹28.44 crore in FY25.

The company’s revenue growth came as it expanded its store network and increased sales from its food and beverage business. However, higher employee, material, advertising and commission costs pushed its net loss to ₹21.8 crore in FY26 from ₹9.96 crore a year earlier.

Including ₹1 crore in other income, Boba Bhai’s total income stood at ₹69 crore in FY26, compared with ₹29.44 crore in FY25.

Food and Beverage Sales Drive Revenue

Food and beverage sales remained Boba Bhai’s main source of revenue, rising 137.1% to ₹67.26 crore in FY26. The category contributed about 99% of the company’s operating revenue.

Scrap sales contributed ₹28 lakh during the year, compared with ₹7 lakh in FY25.

The company’s expenses, meanwhile, increased 2.3 times to ₹90.4 crore from ₹39 crore in FY25. Cost of materials consumed rose 138.5% to ₹25 crore, while employee benefit expenses increased 210.3% to ₹13.5 crore.

Advertising and promotional expenses rose 139.9% to ₹13 crore, while commission expenses increased 155.9% to ₹11.44 crore. Other expenses stood at ₹31.46 crore, up 120.3% year-on-year.

Boba Bhai had 188 employees as of March 2026.

Despite the increase in losses, some operating metrics improved. The company’s expenditure per rupee of operating revenue declined to ₹1.33 in FY26 from ₹1.37 in FY25, while its EBITDA margin improved to -30.35% from -34.67%.

However, ROCE deteriorated to -41.12% from -32.47%. Cash and bank balances also declined sharply to ₹2.85 crore at the end of FY26 from ₹24.07 crore a year earlier.

Boba Bhai was founded by Dhruv Kohli and initially focused on bubble tea before expanding into Korean-inspired food and other QSR offerings. The company operates through physical outlets and delivery channels and has also been developing packaged and ready-to-drink products.

Boba Bhai Plans Further Store Expansion

Boba Bhai raised ₹40 crore in March 2026 from existing investors including 8i Ventures, Titan Capital Winners Fund and Global Growth Capital, along with new investors including Big Capital and angel investors.

The company currently operates around 100 stores across eight cities. It plans to expand to 10 cities in FY27 and add another 150–200 stores during the financial year.

Boba Bhai is also increasing its focus on physical QSR outlets while developing its packaged food, quick-commerce and ready-to-drink businesses. Earlier this year, founder Dhruv Kohli said the company was targeting 250–300 stores and more than ₹200 crore in revenue for FY27.

The company has also been investing in backend infrastructure, including a planned automated manufacturing facility in Bengaluru intended to support its expanding outlet network.

As Boba Bhai expands, improving store-level economics and reducing the gap between revenue growth and operating costs will remain important. FY26 saw revenue increase sharply, but expenses grew faster than revenue and the company continued to report a net loss.