Ready-to-Cook Food: iD Fresh Food’s Growth Story
Ready-to-cook food is increasingly becoming essential in Indian kitchens, as consumers pursue convenience while still enjoying home-cooked meals. iD Fresh Food has directed its business strategy towards this trend, achieving approximately Rs 900 crore in revenue for FY26, all while maintaining profitability.
Revenue and Operations Overview
iD Fresh Food’s revenue from operations surged by 27.7% year-on-year, reaching Rs 870 crore in FY26, up from Rs 681 crore in FY25, according to its consolidated financial statements reviewed by Startup Superb. The Bengaluru-based company is well-known for manufacturing ready-to-cook products like idli and dosa batter, as well as parathas. Additionally, it trades in various food items, including curd, paneer, coffee, specialty batter, and more.
Manufacturing Facilities and Income Breakdown
iD Fresh operates manufacturing units in Bengaluru, Hyderabad, Mumbai, Haryana, and Ajman in the UAE. The sale of manufactured goods, such as parathas and various batters, generated Rs 671 crore, contributing to 75% of its overall operating income. The remaining income stemmed from the trading of goods like dairy products, chapatis, beverages, and frozen fruits. Further, the company added Rs 8 crore in other income, mainly from interest on investments, bringing its total income to Rs 879 crore in FY26.
Cost Structure and Expenditure
Raw material procurement constituted the largest portion of the company’s expenses, accounting for 49% of total expenditure. This cost increased by 18.3%, reaching Rs 394 crore in FY26. Employee benefit expenses also climbed by 16%, amounting to Rs 168 crore. During FY25, the company allocated Rs 70 crore for advertising. Various other costs, including legal fees, rent, freight, transportation, and overheads, led to total expenditure rising by 20.5% to Rs 801 crore in FY26, up from Rs 665 crore in FY25.
Profit and Performance Metrics
Despite rising costs, robust revenue growth allowed iD Fresh to elevate its profit before tax, excluding exceptional items, to Rs 79 crore in FY26 from Rs 24 crore in FY25. Notably, the analysis omits exceptional items totalling Rs 713 crore, primarily due to changes in fair value on preference shares and deconsolidation gains from a subsidiary. This exclusion aims to present a clearer overview of the company’s operational performance.
EBITDA and Current Assets
iD Fresh Food registered an EBITDA of Rs 111 crore in FY26, with its return on capital employed (ROCE) and EBITDA margin recorded at 17.4% and 13%, respectively. Additionally, its total current assets stood at Rs 250 crore during the fiscal year.
Market Position and Future Challenges
iD Fresh Food has positioned itself as one of the pioneering players in India’s ready-to-cook food market, developing a substantial business from products that were previously prepared predominantly at home. Nevertheless, this opportunity is accompanied by challenges. The category’s success has attracted numerous competitors, exerting pressure on pricing, margins, and distribution strategies. The next stage of growth for iD Fresh will hinge not only on diversifying its product offerings and expanding its market presence but also on enhancing distribution efficiency and cultivating stronger consumer loyalty.
The pressing challenge for iD Fresh lies not in demonstrating that consumers are willing to invest in convenience, but rather in persuading them to select its offerings over an expanding array of choices.