Fast-growing Indian airport travel QSR and lounge services company increases its footprint through a new contract win at Cochin International Airport

Travel Food Services (TFS) has expanded its presence at Cochin International Airport (CIAL) by securing a new contract to manage food and beverage (F&B) outlets and a lounge at the Domestic Terminal (T1). The new license allows TFS to set up, operate, maintain and manage approximately 11 quick-service restaurant (QSR) outlets and one lounge in the terminal's Security Hold Area (SHA). This strategic win significantly increases TFS's footprint in a key market, as CIAL is the 8th busiest airport in India, serving over 11 million passengers in the fiscal year 2024-25. The partnership with CIAL is particularly notable given the airport's global recognition as the world's first to be entirely powered by solar energy.

This contract underscores TFS's position as a leading concessionaire for airport F&B and lounge services. By operating in CIAL, which facilitates direct connectivity for 27 airlines, TFS can tap into a high-volume passenger base. The new outlets are set to enhance the travel experience for millions of domestic passengers, offering a range of dining options and a comfortable lounge space. This collaboration not only strengthens TFS's portfolio but also aligns it with an airport celebrated for its commitment to sustainability and innovation.

About the Company

Travel Food Services (TFS) is a key player in the Indian airport travel food and beverage sector, with a significant presence across 18 airports in India, Malaysia and Hong Kong. The company specialises in two main areas: Travel QSRs (Quick Service Restaurants) and Lounges. As of June 30, 2025, TFS operates 454 QSR outlets and 37 lounges, utilising a diverse portfolio of 130 partner and in-house brands. This extensive network caters to a wide range of travellers, offering a variety of cuisines and concepts. The company has also extended its QSR business to select highway locations in India.

The success of TFS is rooted in its strong foundation. It was founded by K Hospitality Corp, a major Indian hospitality player and is partnered with the UK-listed SSP Group plc. This collaboration combines K Hospitality Corp's five decades of experience in the Indian F&B industry with SSP's 60 years of expertise in the global travel retail market. Together, they are focused on enhancing the travel experience by providing travellers with diverse dining options and comfortable lounge spaces, including offerings at restaurants, cafes, bars and food courts.

The company has a market cap of Rs 16,534 crore and has delivered good profit growth of 29.1 per cent CAGR over the last 5 years with a healthy dividend payout of 27 per cent. The shares of the company have a PE of 46x, an ROE of 39 per cent and an ROCE of 42 per cent. The stock is up by 24.5 per cent from its 52-week low of Rs 1,009 per share.

Disclaimer: The article is for informational purposes only and not investment advice.