Westlife Foodworld to introduce 20-minute McDonald’s delivery to support sales recovery

New Delhi: Westlife Foodworld, which runs McDonald’s outlets across western and southern India, has announced plans to roll out a 20-minute delivery service through its own app, as the company looks to strengthen its delivery business and improve sales performance, as per the news report.

Delivery contributes around 40% of the company’s overall revenue. The new model, which has already been tested in select markets, is expected to help lift same-store sales by 3%–5% over the next two years, Chief Executive Officer Akshay Jatia said during a post-earnings call.

“The move is aimed at strengthening its delivery business and reducing reliance on ‘unpredictable’ third-party performance,” Jatia said, without sharing further details.

The company expects deliveries made through its in-house McDelivery app to double over the same period. Westlife also projects that new initiatives, including the faster delivery rollout, will generate cash flow of around Rs 400–500 million over the next year.

The announcement comes at a time when fast-food chains are facing subdued demand across India, particularly in urban markets, as consumers curb spending amid higher living costs. Local eateries and smaller quick-service operators have also intensified competition in metro cities, where Westlife has a significant presence.

Rival Jubilant Foodworks, which operates Domino’s Pizza in India, remains the only major chain to have sustained growth recently, supported by lower prices and its 30-minute delivery model.

Westlife reported an adjusted loss for the quarter ended September 30, weighed down by rising ingredient and labour expenses. The company posted a consolidated loss before exceptional items and tax of Rs 158.5 million, compared with a profit of Rs 7.1 million in the same quarter last year.

Same-store sales fell 2.8% during the quarter, while total revenue rose 3.8% to Rs 6.42 billion. The company recorded a one-time gain of Rs 581.7 million from the sale of a store property.

Peer operator Sapphire Foods, which manages KFC and Pizza Hut outlets in India, also reported a wider quarterly loss, reflecting continued pressure across the quick-service restaurant segment.