Kolkata-based fast food chain Wow! Momo is reportedly looking to surpass the INR 600 Cr revenue mark in the financial year 2024-25 (FY25).
Wow! Momo saw a strong 14% year-on-year growth in its revenue at INR 475 Cr in FY24 as compared to INR 416 Cr a year ago, the Arc reported.
Now, the company is reportedly eyeing a revenue of INR 650 Cr in FY25. This would imply a 37% increase from the fiscal year gone by.
In an effort to scale its business and boost its topline, Wow! Momo plans to add 350 outlets to its existing base of 650 within the next 18 months. Additionally, it also plans to expand its frozen food business.
Wow! Momo is also reportedly planning to float an initial public offering (IPO) in 2027 — but its market debut would hinge on the company hitting the INR 1,000 Cr revenue mark.
Founded in 2008 by Binod Kumar Homagai, Sagar Daryani, and Shah Miftaur Rahman, Wow! Momo operates fast-food brands such as Wow! Chicken, Wow! Kulfi and Wow! China. It also sells a variety of frozen food via its FMCG vertical.
The 16-year-old company primarily competes with the likes of Rebel Foods, Curefoods and EatClub in the restaurant and cloud kitchen segments.
Wow! Momo last raised INR 70 Cr from Z3Partners to expand its quick-service restaurant chain in India. Prior to that, it raised INR 350 Cr in its Series D funding round led by Malaysian sovereign fund Khazanah in January. Wow! Momo counts marquee investors such as Tiger Global and Lighthouse among its backers.
During a recent interaction with the Arc, Wow! Momo cofounder and CEO Sagar Daryani said the company is “highly profitable” with 6-7% corporate EBITDA. Moreover, Wow! China has roughly achieved EBITDA break even.
Wow! Chicken was the biggest contributor to the QSR chain’s overall sales in FY24 at 55%, followed by Wow! Momo at 35%, Wow! China at 8% and Wow Kulfi at 2%. However, Wow! Momo and Wow! Chicken both reported a negative EBITDA during the year under review.
It should be noted that Wow! Momo heavily relies on food delivery apps Zomato and Swiggy to sell its products. However, it now plans to launch its own delivery app — Wow! Eats — as soon as next year.
Further, Wow! Momo is reportedly making its foray into the biryani market to take on the likes of Behrouz Biryani (Rebel Foods), Itminaan Biryani (Box8) and Biryani by Kilo. The company is vying for a slice of the biryani pie and will bank on its network of quick-service restaurants to do so.
