Two prominent Indian cloud kitchen operators, Curefoods and Rebel Foods, reported significant year-on-year revenue growth for the fiscal year 2026. While Curefoods saw a 23% rise in revenue alongside increased net losses, Rebel Foods achieved a 20.7% revenue increase with a narrowing net loss.
- Curefoods revenue up 23% to Rs 916 crore, net loss rises 13%
- Rebel Foods revenue grows 20.7% to Rs 1,952 crore, net loss narrows 16%
- Both firms face rising expenses mainly from material and employee costs
What happened
Curefoods recorded a 23% increase in operating revenue for FY26, reaching Rs 916 crore, up from Rs 746 crore in FY25. This growth came despite a 13% year-on-year increase in net losses, which rose to Rs 192 crore. The increase in expenses, up nearly 19.4%, was primarily due to higher material costs, employee benefits, and depreciation.
Rebel Foods also posted strong revenue growth of 20.7%, with operating income increasing to Rs 1,952 crore from Rs 1,617 crore in the previous year. Notably, the company reduced its net losses by 16% to Rs 282 crore, while its total expenses rose 14%, driven by similar cost pressures in materials, staffing, and amortisation. Both companies continue to expand across multiple cities and brands.
Why it matters
The growth in revenue for Curefoods and Rebel Foods highlights the continued strength and expansion of cloud kitchens and food delivery brands in India, a market that remains competitive and capital-intensive. Curefoods' acquisition of pan-India rights for Krispy Kreme marks a strategic diversification that could boost its offline presence beyond cloud kitchens.
Rebel Foods' narrowing losses amid rising costs suggests operational efficiencies and perhaps stronger unit economics across its numerous brands in India and overseas. However, both companies must manage rising expenses carefully as they scale, balancing growth with profitability challenges common in fast-expanding consumer food sectors.
What to watch next
Attention will focus on Curefoods' paused IPO plans, initially approved by SEBI, to understand the timing and conditions under which they intend to pursue public markets. How the company manages its increasing losses and expense base while growing revenues will be closely scrutinized by investors.
For Rebel Foods, future developments may include deeper international expansion and whether it can continue to reduce losses while maintaining revenue growth. Tracking cost management, brand performance, and margin improvements will be key indicators of sustainable success.
Both firms' abilities to innovate in cloud kitchen models and offline food services, amid India’s evolving consumer behavior post-pandemic, will shape their competitive positioning and market valuation moving forward.