Starbucks posts 21% growth in FY20; TCPL invests Rs 53 crore in JV

Tata Starbucks, the coffee chain joint venture (JV), posted a growth of 21 per cent for the financial year 2019-20 (FY20), helped by increase in sales and stores, according to the annual report of Tata Consumer Products (TCPL).
 

Though business achieved high store growth, Tata Starbucks’ profitability was adversely impacted in FY20 by reversal of deferred tax assets because of tax rate changes, implementation of the new accounting standards for leases and also to some extent by the impact of the lockdown.
 

During FY21, TCPL invested Rs 53 crore in the JV, taking the total investment to Rs 288.80 crore. Tata Starbucks, a 50:50 JV between Tata Group firm TCPL and Starbucks Corporation, has added 39 new stores opened during the year, taking the total count to 185 stores in 11 cities.