Travel Food Services Limited has scheduled its 19th Annual General Meeting (AGM) for Wednesday, September 16, 2026. The meeting will be conducted through Video Conferencing or Other Audio Visual Means in compliance with Ministry of Corporate Affairs guidelines.

The company dispatched electronic copies of the AGM notice and the Annual Report for FY26 to shareholders with registered email addresses. Physical copies will be sent only upon specific request via the Company Secretary.

E-Voting Schedule

Shareholders holding shares as of the cut-off date, September 9, 2026, are eligible to vote. Remote e-voting facilities are provided by National Securities Depository Limited.

Dividend and Tax Compliance

If approved at the AGM, the final dividend will be paid within statutory timelines to members on record as of the designated Record Date. Payments will be processed based on bank account details registered with Depository Participants.

The company is required to deduct Tax Deduction at Source on dividend income as per the Income Tax Act, 2025. Shareholders must ensure their PAN, Aadhaar linkage, and residential status are updated with their DPs to determine the applicable TDS rate.

Investor Instructions

Members are requested to validate email addresses and update bank details with their respective DPs or the Registrar and Share Transfer Agent. Queries regarding remote e-voting can be directed to the RTA helpdesk.

Travel Food Services delivered robust financial performance in the first quarter of FY27, reporting a 35.6% year-on-year increase in consolidated profit after tax (PAT) to ₹1.3 billion. This growth occurred against a backdrop of broadly flat passenger traffic, driven by disruptions in international routes due to geopolitical tensions in the Middle East.

System-wide sales expanded by 18% year-on-year to ₹8.4 billion, while consolidated revenue from operations grew by 20.6% to ₹4.5 billion. The company maintained its debt-free status, holding a consolidated cash balance of approximately ₹9.7 billion as of June 30, 2026.

Financial Performance

The company’s top-line growth was supported by strong net contract gains and operational efficiency. Consolidated like-for-like (LFL) sales grew by 4.2%, while net contract gains stood at 20.2%, reflecting contributions from recently commissioned units in Delhi, Cochin, Noida, and other key locations.

EBITDA rose by 11% year-on-year to ₹1.6 billion. However, the EBITDA margin moderated to 35.8% from the prior period, primarily due to higher employee costs and operating expenses associated with ramping up new airports and business initiatives. Reported gross profit stood at ₹3.9 billion with a margin of 85.7%. Adjusting for the reclassification of ₹223 million in lounge aggregation costs, the adjusted gross profit margin remained at approximately 81%.

What the Numbers Show

A significant portion of the profit growth was driven by non-operational factors. The improvement in PAT included a benefit of ₹131 million arising from the write-back of a GST provision following a favorable rectification order. This indicates that while operational revenue grew strongly, the bottom-line acceleration was partly aided by this one-time accounting adjustment.

Operational Updates

Travel Food Services continued to expand its footprint, commencing operations at Noida International Airport during the quarter. The system-wide presence now spans 21 airports, with a total of 580 travel QSR outlets and lounges across 153 brands. Over the last 12 months, the company added 87 travel QSR outlets and two lounges.

Despite flat overall traffic, domestic air traffic saw resilience, with May recording the highest-ever single month of domestic air traffic in India. International traffic faced headwinds, particularly affecting markets with high exposure to Middle East routes, such as certain South India locations.

Outlook and Strategy

Management highlighted a robust pipeline with over 50 outlets currently under development. The opening of Bhogapuram Airport on August 17 marks another milestone, where the company will operate multiple outlets under its joint venture, GHL.

The company is also expanding into passenger services, launching meet-and-greet and porter services under its Elite Assist brand at Noida Airport. These services will integrate into the EATS technology platform to enhance passenger engagement. Travel Food Services remains focused on disciplined capital allocation, targeting returns that mimic its existing portfolio maturity levels as it pursues opportunities in airports and highways.