Cloud kitchen brand Biryani by Kilo (BBK) intends to cross the Rs. 300 crore revenue mark in the current fiscal and become profitable by June next year, Vishal Jindal, co-founder and CEO of the company, stated.
According to Jindal, the biryani chains recorded revenue of Rs. 132 crores in FY 2022 and Rs. 65 crores in FY 2021 and the brand is growing at a CAGR of 90-100 per cent.
Jindal further said that BBK has achieved more than three times the growth in its sales compared to pre-pandemic levels. Presently, the brand is doing business of Rs. 20 crores per month, in comparison to monthly sales of Rs. 6 crores pre-pandemic.
BBK aims to become profitable by June-July next year with an annual run rate of Rs. 500 crores. “At outlet level, we are profitable with 25 to 30 per cent of EBITDA. “At an entity level, we are on track to become profitable by June 2023”.
BBK is currently losing 18–20% of its revenue, but by December of this year, the company hopes to reduce its losses to 10%. When asked about the factors helping the retailer reduce its losses, Jindal explained that presently, around 50 percent of BBK’s 100 plus outlets are less than 6 months old. However, as they mature, the outlet level EBITDA increases to 25–30 percent, which thus helps take care of the company’s marketing and corporate costs.A market study says that biryani is one of the biggest categories in the F&B industry and a USD 4-billion-dollar market in India, and there is no market leader in this category, unlike burger and pizza giants from the west. But now a Biryani leader has to come from India”, he opined. Sharing its plans to scale the brand, Jindal said that BBK is in advanced stages of acquiring two brands. While one is a low-calorie, high-protein ice cream brand, the second is a north Indian cuisine brand. “We’ll do only 3 to 4 acquisitions in our entire lifecycle. We are in advanced talks with two brands, and we might acquire one or two more brands next year.