Dreamfolks Services To Scale Highway Dining Business To 600 Outlets Soon

She highlighted that with the growing awareness about credit card benefits, the highway dining services segment would grow faster than its airport lounge service did at its launch over a decade ago.

Kallat said that the highway dining business looks set to add around 20% to the company’s top line in the next couple of years. "We can say in the next two years, these services will contribute around 20% to our top line."

The top executive revealed that the company would focus on an asset-light model for expansion, focusing on partnerships with existing players.

"The way we have partnered with other operators and brands for our airport lounges, highway dining will be in a similar model. We are not going to invest in having our own outlets, right now, we are focused on building and installing our technology in all these places," she said.

Kallat projected that the company would likely maintain a gross margin of 11–13% and have an earnings before interest, taxes, depreciation and amortisation of 7–9% in the current fiscal.

"Our business model has always been such that we try to ensure that from the immediate effect, it is profitable and there's no loss. The other services we are introducing will be at higher margins compared to our ongoing lounge products," she said.