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Spice Lounge eyes Rs 1,200 Cr revenue from new ventures
7 Sep
Summary
- New division targets Rs 1,200 crore revenue potential.
- Expansion includes food emulsifiers, agrochemicals, and sourcing.
- Company aims for backward integration and B2B supply.
Spice Lounge Food Works is poised for a significant expansion with its new Food Emulsifier & Agro Division. This venture aims to tap into a substantial Rs 1,200 crore revenue potential, a considerable leap from its FY26 revenue of Rs 158 crore. The proposed business will integrate food emulsifiers, agri-sourcing, and agrochemicals, leveraging a backward-integration strategy. It plans to supply both Spice Lounge's internal restaurant and QSR businesses, alongside external institutional clients. Currently, the Rs 1,200 crore figure represents an opportunity, not secured revenue. The company is actively developing sourcing tie-ups, partnerships, processing infrastructure, and customer onboarding. Existing operations, including its restaurant and QSR segments, are expected to provide an initial customer base for the new division's products. This offers a potential advantage in establishing demand channels. The company's financial performance showed improvement in the June 2026 quarter, with revenues up 24.31% year-over-year and net profit increasing significantly. However, scaling the new division will require careful management of balance sheets and cash flows. Spice Lounge is also in discussions for global strategic partnerships, which could bolster technology, sourcing, and customer access, though these remain confidential for now.