Swiggy Q2 results: Loss narrows to Rs 625 crore, revenue surges 30% YoY

Food delivery aggregator Swiggy reported a net loss of Rs 625.5 crore for the September quarter, marking an improvement from the Rs 657 crore loss posted in the same period last year. The loss for the previous quarter ended June stood at Rs 611 crore.

Revenue grew significantly, up by 30 per cent year-on-year to Rs 3,601 crore, compared to Rs 2,763 crore in the same quarter last year and Rs 3,222 crore in the June quarter.

Food delivery business turns profitable

Swiggy’s core food delivery segment saw a 22 per cent year-on-year growth in revenue, reaching Rs 1,577 crore. On a sequential basis, the revenue increased by 4 per cent. Importantly, the food delivery segment reported a positive EBIT of Rs 122 crore, a sharp turnaround from the Rs 44 crore EBIT loss last year and higher than the Rs 67 crore EBIT profit in the June quarter.

Quick-commerce sees explosive growth

Swiggy’s Instamart business continued its rapid expansion, with revenue rising 136 per cent year-on-year to Rs 490 crore. However, the EBIT loss remained steady at Rs 317 crore, compared to Rs 320 crore last year and Rs 280 crore in the June quarter.

The quick-commerce segment added 52 new stores across 12 cities and now operates in 54 cities, delivering over 32,000 unique items with an average delivery time of 13 minutes.

Gross order value climbs

Swiggy’s gross order value (GOV) increased by 30 per cent year-on-year to Rs 11,306 crore, with Instamart’s GOV rising 24 per cent sequentially. Contribution margins improved by 124 basis points from the previous quarter.

In quick commerce, we are responding to consumer behaviour to bring more convenience to urban households. We aim to double our active dark store area by March 2025.”

Stock reaction

Swiggy’s shares, which initially surged 9 per cent during intraday trading, pared gains post-earnings announcement to close 0.5 per cent lower at Rs 491.