DSM Fresh Foods Reports Strong Growth, Raises Quarterly Run Rate to ₹85 Crore After Meevaa Foods Acquisition
DSM Fresh Foods, the parent company of omnichannel meat delivery and processed foods brand Zappfresh, has reported a 58% year-on-year increase in revenue from operations, reaching approximately ₹74 crore in the first quarter of FY27.
According to the company’s provisional business update filed with stock exchanges, the strong performance was driven by rapid retail expansion, wider omnichannel distribution, and increased demand across both its consumer and institutional businesses.
Following the completion of the Meevaa Foods acquisition in early July, the combined entity is now operating at a pro forma quarterly revenue run rate of approximately ₹85 crore, further strengthening its position in India’s organised meat and seafood market.
What Drove Zappfresh’s Growth?
DSM Fresh Foods attributed its robust Q1 performance to multiple growth drivers across distribution, retail expansion, and enterprise sales.
During the quarter, the company expanded its customer base by adding more than 70 enterprise clients across domestic and international markets.
It also strengthened its omnichannel presence through wider availability on e-commerce, quick commerce, and modern retail platforms. A key milestone was the launch of Blinkit deliveries in Mumbai, enabling faster access to customers in one of India’s largest consumption markets.
The company believes that increasing digital accessibility and retail availability have significantly contributed to higher sales momentum during the quarter.
Retail Expansion Surpasses FY27 Target
One of the biggest highlights of the quarter was Zappfresh’s rapid retail expansion.
The company increased its footprint to nearly 200 co-branded outlets, exceeding its original FY27 target of 150 outlets well ahead of schedule.
Building on this momentum, DSM Fresh Foods plans to accelerate store expansion throughout the remainder of FY27 as it seeks to increase the contribution of its higher-margin business-to-consumer (B2C) segment.
Expanding physical retail presence remains a key part of the company’s strategy to strengthen brand visibility while improving customer accessibility across major cities.
Strengthening the Farm-to-Fork Supply Chain
Alongside expanding sales channels, DSM Fresh Foods continued investing in its sourcing and supply chain infrastructure.
During the quarter, the company:
- Onboarded 10 new sourcing partners
- Began 270-acre land aggregation as part of its backward integration strategy
- Expanded its sourcing ecosystem to include more than 1,700 seafood farmers
The company also incorporated Varuna Aquatech Private Limited, which will focus on building its long-term aquaculture platform and strengthening seafood production capabilities.
These initiatives are aimed at improving supply chain efficiency, ensuring consistent product quality, and reducing procurement costs over the long term.
International Expansion Gains Momentum
DSM Fresh Foods also strengthened its international presence during the quarter.
The company expanded distribution across key overseas markets, including the United Kingdom, Canada, and countries within the Gulf Cooperation Council (GCC) region.
Additionally, it appointed a new distribution partner in Dubai, supporting its broader export strategy for processed food and seafood products.
Growing international demand is expected to become an increasingly important contributor to the company’s long-term revenue growth.
Meevaa Foods Acquisition Boosts Scale
The acquisition of Meevaa Foods, completed in the first week of July, has further enhanced the company’s scale.
Following the integration, the combined business is operating at an estimated quarterly revenue run rate of ₹85 crore, including Meevaa’s contribution.
The acquisition strengthens DSM Fresh Foods’ processed food portfolio while expanding manufacturing capabilities and market reach.
The company expects operational synergies from the acquisition to support future growth across both consumer and institutional businesses.
FY28 Growth Outlook
DSM Fresh Foods has reiterated its ambitious guidance for FY28, targeting:
- ₹600 crore in annual revenue
- EBITDA margins between 18% and 20%
The company expects these targets to be driven by continued retail expansion, increased sales of higher margin value added products, deeper backward integration, and stronger omnichannel distribution.
Its integrated farm-to-fork business model, which combines sourcing, processing, distribution, and retail, is expected to play a key role in achieving long-term profitability.
Outlook
India’s organised meat and seafood market continues to witness strong growth as consumers increasingly shift towards branded, hygienic, and conveniently available food products.
With strong revenue growth, expanding retail operations, strategic acquisitions, and investments across its supply chain, DSM Fresh Foods is positioning Zappfresh as a leading omnichannel player in the premium meat and seafood segment.
The company’s continued focus on technology enabled distribution, international expansion, and integrated sourcing infrastructure is expected to support sustainable growth as it works toward its FY28 financial targets.
