The coffee market in India is getting bigger, and Blue Tokai Coffee Roasters is a D2C brand that people are watching. In FY25, they cut their losses by 20.2% to ₹50.2 crore, from ₹62.9 crore in FY24. At the same time, their income went up quite a bit.
For the year ending in March 2025, Blue Tokai’s income went up by 1.5X to ₹325.4 crore, from ₹215.8 crore the year before. Adding in some other income, the company’s total income went up 50.5% from last year. People seem to want their coffee from stores, packs and online. That income places Blue Tokai near the top of growing D2C brands in food and drinks.
Matt Chitharanjan, Shivam Shahi, and Namrata Asthana started Blue Tokai in 2013. Blue Tokai has been building a different kind of D2C business by doing their own sourcing and roasting, and having stores and online retail. Now, they have four roasting places and over 100 stores in Delhi NCR, Mumbai, Bengaluru, Hyderabad, and other cities. They also have places in Tokyo and Dubai. Having both online and offline helps Blue Tokai.
Even if growing bigger cost them some money, the company is getting better at handling it. Loss before tax went down almost 40% to ₹39.1 crore in FY25, from ₹64.2 crore in FY24. The tax affected the loss, showing that the core business is becoming more profitable.
Total spending went up 35.3% from last year to ₹385 crore, because of investments in growth, new stores, and people. The biggest cost was materials, which was 27.2% of the total at ₹104.6 crore. That’s up 19.5% from FY24, because they’re using more coffee and selling more packages. They spent 12.6% more on employees, which is ₹94.5 crore, because they needed more people for operations, roasting, and the cafés as they grew.
Rent went up a lot, increasing 67% from last year to ₹55.2 crore, which is 14.3% of total costs. This is because Blue Tokai is opening many new cafés, which are important for their D2C strategy. It helps people remember the brand, connects with consumers, and drives people to keep buying.
The losses are going down, showing that they’re getting better at making money per product. Blue Tokai’s situation reflects what’s happening in the D2C market, where brands want smart growth instead of quick, unprofitable expansion. They’re competing with Third Wave Coffee Roasters, SLAY Coffee, Rage Coffee, and Sleepy Owl in India’s coffee area.
Blue Tokai has raised over $97 million in funding, with investors including Verlinvest, Anicut Capital, 12 Flags, and A91 Partners. That puts them among the top D2C brands in India’s drink area. Even if FY25 didn’t have new funding, the improved financial situation makes the brand look better for the future, because investors care more about profit and smart growth.
The D2C industry is focused on things like sustainability and efficiency and Blue Tokai’s FY25 shows that brands can mix stores expansion with solid direct-to-consumer strategy. With income over ₹300 crore and losses going down, the brand seems set for growth in India’s coffee market.
