Chrome Hospitality — Detailed FY26-27 Trend and Prior-Year Review

Detailed Outletwise and Group Trend Review | April–July FY26-27 versus Prior Year

Late CheckoutLylaGroup Consolidated

Executive Summary

April–July FY26-27 versus the same period prior year. Cost rates improved materially across both outlets; revenue and inventory productivity require differentiated actions.

Group Sales

₹784.4L vs ₹829.3L PY
-5.4% YoY

Net cost rate 21.1% vs 24.3% PY, an improvement of 13.1%

Late Checkout

Sales ₹474.0L vs ₹507.2L PY
-6.6% YoY

Net cost rate 21.5% vs 22.6% PY; kitchen turns 23.4x vs 29.9x PY

Lyla

Sales ₹310.4L vs ₹322.0L PY
-3.6% YoY

Net cost rate 20.4% vs 26.9% PY — outstanding improvement of 24.1%

Key Signal

Gross consumption -14.1%; gross cost -16.1%; net cost -17.8%

Bar turns lag significantly: Group 4.1x vs 6.7x PY

Group Revenue Trend — Monthly FY26-27 vs FY25-26

Monthly group revenue comparing current year against prior year. May was the only month to record positive growth (+1.0%); April saw the sharpest decline at -15.8%, driven by the shift in trading conditions.

Outlet Revenue Trend — Late Checkout & Lyla

Both outlets show diverging trajectories in July: Late Checkout fell sharply (-19.4%) whilst Lyla accelerated strongly (+18.5%), suggesting distinct demand patterns that warrant separate action plans.

Late Checkout (₹L)

Lyla (₹L)

Group Gross Consumption Trend

Group gross consumption fell in three of four months, with a notable reduction in April (-21.5%). The consumption-to-sales ratio consistently tracked below prior year except for a minor uptick in June (+1.2%), confirming tighter alignment between procurement and throughput.

Outlet Gross Consumption Trend — Late Checkout & Lyla

Lyla's consumption ratio has improved consistently across all four months, reflecting disciplined portion and production control. Late Checkout shows a June spike (+10.0% rate) worth investigating against specific event or operational drivers.

Late Checkout — Consumption (₹L) & Rate

Lyla — Consumption (₹L) & Rate

Group Gross Cost Trend

Group gross cost value fell in every month. The gross cost rate also improved in three of four months, with May recording the strongest improvement at -20.6% YoY. June remained broadly flat, with cost and revenue moving in tandem.

Outlet Gross Cost Trend — Late Checkout & Lyla

Lyla's gross cost rate has improved in every single month — a consistent and commendable result. Late Checkout's June rate of 24.0% vs 22.1% PY warrants a closer review of the cost drivers relative to the corresponding consumption spike that month.

Late Checkout — Gross Cost (₹L) & Rate %

Lyla — Gross Cost (₹L) & Rate %

Group Net Cost Trend

Net cost — after credits — improved in every month of the review period. The YTD net cost rate of 21.1% versus 24.3% PY represents a meaningful structural improvement, not a one-off. May and July recorded the strongest month-level improvements.

Outlet Net Cost Trend — Late Checkout & Lyla

Lyla's net cost rate improvement is especially notable — every month tracks at least 20 percentage points of YoY rate improvement. Late Checkout's June net cost rate of 22.0% vs 19.8% PY is the one adverse data point and aligns with the June consumption spike identified earlier.

Late Checkout — Net Cost (₹L) & Rate %

Lyla — Net Cost (₹L) & Rate %

Group Kitchen / Food Stock Turnover

Annualised kitchen turnover has declined across all four months, from 31.1x to 30.4x in the current year, compared to a range of 37.7x–43.2x in the prior year. The consistent gap signals that average food inventory levels have grown relative to consumption throughput — a pattern that warrants review of ordering frequency and par-level discipline at both outlets.

Outlet Kitchen / Food Stock Turnover — Late Checkout & Lyla

Lyla maintains notably higher kitchen turnover than Late Checkout, and its year-on-year decline has been moderating each month — a sign of stabilising inventory management. Late Checkout's turnover fell materially in May (-35.1%) and July (-32.4%), the two months that coincide with its highest closing inventory positions.

Late Checkout — Kitchen Turns (x)

Lyla — Kitchen Turns (x)

Group Bar Stock Turnover

Bar stock turnover has declined sharply across all four months, with July recording a -52.5% YoY fall. The Group YTD bar turnover of 4.1x versus 6.7x PY represents a sustained and significant deterioration. High-value liquor inventory is the primary balance-sheet driver; a formal SKU-level ageing review is the recommended immediate next step at both outlets.

Outlet Bar Stock Turnover — Late Checkout & Lyla

Late Checkout's July bar turnover of 2.8x versus 7.8x PY (-64.1%) is the most acute reading across the period and warrants urgent SKU-level attention. Lyla's bar turnover has shown material improvement in June and July as sales volumes recovered, with July nearly matching prior year at 8.7x vs 8.9x PY.

Late Checkout — Bar Turns (x)

Lyla — Bar Turns (x)

Group Purchase / Sales Ratio

The purchase/sales ratio shows volatility month-to-month, reflecting the lumpy nature of large purchase orders relative to monthly sales. April's elevated ratio (27.2% vs 22.8% PY) and June's increase (24.0% vs 22.2% PY) should be read alongside the corresponding sales volumes to avoid misinterpretation — a high ratio on a strong sales month is less concerning than on a soft month.

Outlet Purchase / Sales Ratio — Late Checkout & Lyla

Lyla's purchase/sales ratio has improved consistently from May onwards, reflecting tighter alignment of purchasing with actual consumption. Late Checkout's April ratio of 28.0% vs 21.0% PY and June's 23.3% vs 19.1% PY suggest purchase timing requires a closer review against a rolling four-week consumption forecast.

Late Checkout — Purchase/Sales %

Lyla — Purchase/Sales %

Group Credits Ratio

Group credits as a percentage of total sales rose in June and July — up 32.9% and 34.3% YoY respectively. Credits include food, beverage and liquor credits to cost, and should be reviewed for composition, authorisation level and guest-value purpose. A rising credit ratio is not automatically negative if it reflects approved service recovery or guest-relation activity, but the Jun–Jul trend warrants a compositional review to confirm purpose and governance.

Outlet Credits Ratio — Late Checkout & Lyla

Lyla's credit ratio shows a material increase from May onwards — the May figure of 2.1% vs 1.0% PY (+106%) and June's 2.7% vs 0.8% PY (+262%) represent the most significant movement in the dataset. These figures must be reviewed by composition: food vs beverage vs liquor, authorisation level, and whether each credit line was guest-facing, operational or adjusting.

Late Checkout — Credits/Sales %

Lyla — Credits/Sales %

YTD Sales and Revenue Composition — April to July

Liquor is the largest single revenue contributor across both outlets and drives the most significant YoY shortfall — Group liquor is down ₹33.5L (-10.1%). Beverage is the only category showing growth at Group level (+1.8%), with Late Checkout beverage up +11.5% YoY — an encouraging trend to build on.

YTD Consumption and Cost Comparison — April to July

Lyla's YTD net cost rate of 20.4% versus 26.9% PY — a 24.1% improvement — is the standout result of the review period. Both outlets and the Group have delivered net cost rates significantly below prior year. The challenge ahead is to sustain these rates whilst recovering revenue.

YTD Turnover, Purchase and Credit Comparison — April to July

Bar stock turnover is the most significant operational gap across the Group. Late Checkout's bar turns of 3.5x versus 6.2x PY (-44.2%) and its slower kitchen turns highlight inventory build-up. Lyla's credit ratio at 2.3% versus 1.3% PY (+83.4%) is the one area requiring compositional review alongside its otherwise strong performance.

Conclusions and Plan Ahead

Group

  • Protect the improved net-cost rate — it represents genuine structural gain
  • Recover revenue whilst keeping purchase cadence aligned with consumption
  • Formalise KPI benchmarks only after management sign-off; avoid premature targets

Late Checkout

  • Prioritise July revenue recovery with a clear short-term activation plan
  • Conduct kitchen and bar SKU-level ageing review; identify and address slow-moving liquor
  • Set weekly min-max and reorder exceptions; review purchase commitments against a four-week rolling forecast
  • Protect guest availability and service standards throughout

Lyla

  • Protect and sustain the outstanding gross and net cost improvements
  • Identify and repeat the operating drivers behind July's revenue recovery (+18.5%)
  • Strengthen beverage activation and upselling programming
  • Review the elevated credit ratio by composition, authorisation and purpose

Governance

  • Weekly outlet exception report with named owners and action dates
  • Monthly Group, Late Checkout and Lyla KPI review with evidence for credit approvals
  • Maintain separate kitchen and bar turnover tracking; follow-up status at each review
  • Decisions required — not attributions. This review closes with a forward action register.