Swiggy Q4: losses nearly double to Rs 1,081 crore despite 45% revenue growth

Meals and grocery supply platform Swiggy noticed its web loss virtually double to Rs 1,081 crore through the January-March quarter, because it aggressively expanded its quick commerce community within the interval, including practically 4 darkish shops per day.Development in fast commerce additionally pushed the corporate’s consolidated working income, which rose 45% year-on-year (YoY) to Rs 4,410 crore.

Founder and group CEO Sriharsha Majety pointed out that investments made by Swiggy within the 10-minute grocery supply enterprise Instamart peaked through the fourth quarter of fiscal 2025, and he expects losses within the phase to start unwinding.

“We imagine that Instamart reached the height of adjusted Ebitda losses in late This autumn; and from hereon, we count on to progressively unwind losses, the tempo of which shall be decided by our enlargement of AOV (common order worth) and take-rates, and the character and quantum of aggressive depth,” Majety stated. Take price is the ratio of product sales to income.

That is in sharp distinction to the assertion made by Swiggy’s largest rival, Zomato mum or dad Eternal, which stated on Could 1 that it’s going to aggressively pursue market share positive aspects for its fast commerce enterprise Blinkit even at the price of short-term profitability.

In the meantime, Swiggy has revised its steerage for Instamart’s contribution breakeven. Initially, it had focused the October-December 2025 quarter, however this has now been adjusted to a variety – from the third quarter of fiscal 2026 to the primary quarter of fiscal 2027.

Consequently, the corporate’s corporate-level adjusted Ebitda breakeven steerage has additionally been modified by the identical measure.In an interaction with ET, Swiggy’s chief monetary officer Rahul Bothra, stated that, having achieved its goal of over 1,000 darkish shops, future retailer openings will now not be pushed by enlargement targets however by the expansion noticed in zones the place new shops are wanted.

“Hereon, we imagine that retailer additions shall be a by-product of progress…retailer enlargement itself needn’t comply with a sure community enlargement steerage. This doesn’t imply that we’ll purpose to develop slower…we’ve got made a alternative of community the place we’ve got these megapods, that are two-and-a-half instances bigger than darkish shops and these can do 5,000-6,000 orders per day in comparison with 2,000-3,000 orders a day (carried out by smaller darkish shops,” he stated.

Instamart’s gross order worth (GOV) for the March quarter came in at Rs 4,670 crore – in comparison with Blinkit’s Rs 9,421 crore – double from the year-ago interval. For the corporate, nevertheless, this progress didn’t lead to improved bottomlines, as fast commerce’s adjusted Ebitda loss elevated to Rs 840 crore towards Rs 304 crore within the year-ago interval.

Swiggy stated that this was on account of spending on buyer acquisition and model advertising, which led to a 60% progress in month-to-month transacting customers (MTUs).

Additionally Learn: Swiggy Q4 earnings: key takeaways

A number of brokerages have pegged Blinkit to have the best market share within the sector, adopted by Zepto within the second spot. The short commerce market can also be seeing enlargement coming from the likes of Flipkart and Amazon.

The frontloading of darkish retailer enlargement and the related prices on advertising additionally contributed to Swiggy’s Rs 1,488 crore money burn through the March quarter. As of March 31, its money stability stood at Rs 6,695 crore towards Rs 8,183 crore within the year-ago interval.

Meals supply

A broader slowdown and a seasonally weak quarter triggered Swiggy’s meals supply enterprise to develop 17.6% YoY by way of GOV – which is on the decrease finish of its 18-22% progress steerage. The meals supply progress for Swiggy through the interval was, nevertheless, sooner than rival Zomato, which posted a 16% on-year progress in GOV within the phase.

“Meals supply is a comparatively mature class, and we imagine that sustained progress from hereon shall be led by innovation in the direction of bringing new customers into the ecosystem and new meals into meals supply carts,” Majety stated in a letter to the shareholders.

Swiggy has been doubling down on its fast meals supply providing, Bolt, the place it aggregates eating places for 10-15-minute order fulfilments. It stated that through the quarter, Bolt contributed 12% to the corporate’s total meals supply volumes.

Final week, it stated that Bolt has been expanded to 500 cities.

“Cross-pollination of customers from fast commerce can also be turning into a big supply of meals supply person progress, since round 30% of customers acquired on Instamart previously six months are new to the Swiggy ecosystem,” Majety stated.

“Creation of segmented propositions on velocity (Bolt) and affordability (Loopy offers, PocketHero) has helped enhance the salience of the platform,” he added.