New Delhi, July 10 -- Virtual restaurant platform Dil Foods is looking to broaden its cuisine portfolio including through acquisitions, enter new geographies and deepen its presence in existing markets as it embarks on the next phase of expansion following its recent funding round, a top company executive told VCCircle.
"The mission has always been to occupy a larger chunk of daily meal consumption of consumers of India. Just through regional food, we would not be able to capture a large chunk from a consumer's plate. So, with this new fundraise, we are expanding our cuisine category as well," said Arpita Aditi, founder and CEO of Dil Foods.
"We are expanding to some newer territories, which we have never tried in the past, and we are looking for some new acquisitions of brands as well, which can help us establish ourselves in those regions," Aditi added.
Founded by Aditi, Dil Foods operates a network of virtual food brands by partnering with restaurants that have underutilised kitchen capacity instead of operating its own cloud kitchens. While partner restaurants prepare the food, Dil Foods owns the brands, recipes, technology platform and supply chain.
Earlier this year, Dil Foods raised Rs 72 crore in a Series B funding round led by Bikaji Foods Family Office, with participation from existing investors V3 Ventures, MJV Ventures and Alteria Capital.
Aditi said that the company is targeting annual revenue of around Rs 330 crore in the financial year through March 2027 after closing FY26 at Rs 178 crore, compared with Rs 89 crore a year earlier. It currently processes around 24,000 orders a day across its network.
The company currently operates around 430 partner kitchens across Bengaluru, Hyderabad, Chennai, Pune, Mumbai and Ahmedabad. It has also entered the National Capital Region through the acquisition of an undisclosed continental food brand.
Aditi said that one of the company's immediate priorities is to increase its share in cities where it already has a presence before accelerating expansion into new markets.
"We may be in Bengaluru, we may be in Mumbai, but we still would not have more than 5% of the repeat market share. The market is occupied by the small and medium restaurants in each city, and the national brands and chain brands still continue to occupy just about 16-17% in total. So we intend to make our presence stronger in the places where we are present," Aditi said.
The company is simultaneously expanding into tier-II cities including Surat, Vadodara, Indore, Kanpur, Ghaziabad and Tiruppur, where it sees growing demand for organised food brands.
"The consumers in tier-II cities are looking for some aspirational food. There are still a lot of tier-II cities that do not have access to a good burger, do not have access to a good pizza. Sure, they get some pastas, but still do not know what an Arrabbiata or an Alfredo or a Pomodoro is. So we do plan to expand to tier-II cities as well with our targeted brands," she said.
Dil Foods also plans to expand The Jungle Kitchen, a brand launched in collaboration with the Kapoor family. "We are also focusing on a brand called The Jungle Kitchen that we have launched in collaboration with the Bollywood Kapoor family. We plan to expand that as well in tier-II space, because generally in tier-II space people have more affinity towards the stars and what they eat and what has been their family legacy recipes," she said.
Published by HT Digital Content Services with permission from VC Circle.