Swiggy Q2 Results Highlights: Net loss at ₹625.5 crore vs ₹657 crore YoY, revenue up 30%

• Revenue: ₹3,601.4 crore (▲30.3% YoY)
• Net loss: ₹625.5 crore in Q2 FY25 vs ₹657 crore in Q2 FY24

"Our Food delivery business is already profitable on an Adjusted EBITDA basis and is ramping up margins steadily every quarter. The out-of-home consumption business has made rapid progress in growth and profitability trajectory since acquisition and is expected to break even in the current fiscal," the company said.

"Quick-commerce is in the investment phase, amidst rapid expansion of its addressable market and substantial competitive intensity in the near term. Three out of the top seven cities are already contribution positive, with 75% of the stores in these cities being profitable. While we have a playbook for overall contribution profitability, we are going to earmark specific investments which we believe are optimal to acquire and ring-fence users to our platform to sustain long-term profitable growth. We expect contribution break-even by Q3FY26 (Oct-Dec 2025), and Adjusted EBITDA break-even by Q2FY27 (Jul-Sep 2026)," it added.

Furthermore, Swiggy said, "At the Consolidated Group level, we expect to achieve positive Adjusted EBITDA by Q3FY26 (Oct-Dec 2025)."

"It gives me immense pleasure to begin our journey as a listed company. We are at a unique juncture in our country’s history, where the Indian consumer’s ability and propensity to spend for convenience are rapidly rising. This is underpinned by economic growth, favourable demographics, and an intent to use time more efficiently. As a platform built to unlock unparalleled convenience, we believe Swiggy is uniquely positioned to benefit from these tailwinds.

In the last 10 years, Swiggy has successfully pioneered and scaled two of the largest categories in consumer tech in our country. We have touched over 118Mn users in our decade of existence by delivering joy through nearly 3.5 bn orders. We are immensely proud to be associated with over 522k delivery partners and 234k restaurant partners, and humbled to have the opportunity to enable the businesses of these entrepreneurs by connecting them seamlessly with consumers across 685 cities. Our growing network of 609 dark stores has expanded to cover 44 cities (as of Sep-24), and users continue to surprise us with their rising expectations of what all should be available to them in 10 minutes.

Swiggy’s Food delivery business continues to gain strength every quarter, and our GOV has grown 5.6% QoQ in Q2FY25. The business has ramped up profitability significantly, with Adjusted EBITDA margins improving by nearly 1,000 bps over the past 2.5 years, to 1.6% in Q2FY25. This has been the result of consistent growth in users and their spends, a leap in restaurant advertising, concerted efforts on efficiency in fixed costs, substantial improvement in on-ground execution (especially in Tier-2 cities), and cost-efficient interventions into improving the customer experience. It has come in spite of significant competitive action on subscription programmes ramping up, which had dragged growth for us in the second half the last scale. With the profitability ramp-up now well in motion, we have been able to create a sharper focus on growth and innovation to unlock the category. We launched multiple features and initiatives which create fresh consideration and stimulate new growth. These can be bucketed into new value-propositions (10 minute delivery - Bolt), aordability initiatives (PocketHero, Daily meals, Ecosaver delivery mode), user experience (Eatlists, Bulk delivery fleet), restaurant partner enablement (self-serve advertising at scale), and many more.

Swiggy Instamart is at an inflection point. The Quick-commerce category is expanding to more geographies, consumer shopping missions, and categories in retail. Over the past year, we have pivoted our network to larger and more optimized darkstores which now house nearly 3x the SKUs. We are increasing our store counts as well, and added 52 stores in Q2, taking our dark store footprint to ~2Mn sq ft (up 54% YoY). This has resulted in our national average delivery times reducing to 13 minutes in Sep-24 from 17 minutes a year ago. Our predictability metrics have improved as well, with availability of items and adherence to promised delivery times at industry best levels. As a result, our GOV growth has been accelerating since 3 quarters, and at over 24% QoQ it has been the fastest since Q1FY23. Despite significant growth investments and rising competitive intensity, our Contribution margin continued to expand from -7.5% in Q1FY24 to -1.9% in Q2FY25, and Adjusted EBITDA margins are improving as well.

This business is witnessing heightened degree of competitive action. This means that we will need to be agile and responsive to the market movements and modulate our investments towards long term health of the business for sustainable GOV growth. Our investments (including marketing spends) will be aimed at driving user growth, frequency and wallet share with continuous hyper-local and geographical store expansion.

The Out of Home Consumption business is witnessing secular growth and improving margins. Swiggy Dineout is one of the very selective and strategic acquisitions we have made in our history; and the integration of Dineout on our unified app has demonstrated the power of our one-app play. Within 2 years of acquisition and integration, Dineout today boasts of nearly 35K active and 65K listed restaurants. A 46% YoY GOV growth in Q2FY25 has taken the business to within striking distance of breaking even, with Adjusted EBITDA margins at -1.3%. We continue to take steps to unlock the growth potential of this category, through restaurant-based events and some innovations in the pipeline as well.

We're not just delivering food anymore; we're building an ecosystem. Groceries, pick-up and drop services, even toys, stationery and pet supplies – you name it, Swiggy delivers it. We're weaving ourselves into the fabric of Indian life, becoming as indispensable as chai and cricket.

Overall, Swiggy remains well poised to serve all its stakeholders. Excellence in sustainability is a journey, and our efforts on reducing our carbon footprint by opt-in batching through the ecosaver delivery mode, electrification of the delivery feet, and options for no-bag deliveries are our key steps in this direction. While our users are the focal point of our business efforts and our consumer-backward innovation funnel, we owe our existence to our thousands of partners who are the creators of value and the ultimate interface for our users; and we shall continue to partner with them in their efforts to create joy for consumers and a livelihood for themselves. We look forward to the engagement with investors, analysts, and the extended ecosystem, to continue to improve and deliver."

• GOV grew at 24.1% QoQ to ₹3,382 crore led by strong MTU growth (18% QoQ)
• Orders grew 21% QoQ, with prders per dark store per day growth of 10% QoQ, and dark store growth of 9% QoQ (+52 stores QoQ)
• Contribution margin improved from -3.2% in Q1 FY25 to -1.9% in Q2 FY25

• GOV grew at 5.6% QoQ to ₹7,191 crore led by strong MTU growth (5% QoQ)
• Adjusted EBITDA increased 94.1% QoQ to ₹112 crore, at 1.6% margin (+71 bps QoQ)
• Pioneered restaurant food delivery in 10 minutes with the launch of ‘Bolt’

• Consolidated adjusted revenue grew 26.5% YoY to ₹3,873 crore (11.4% QoQ)
• B2C adjusted EBITDA margin (% of B2C GOV) improved by 287bps YoY to -2.3% (42bps QoQ)
• Consolidated adjusted EBITDA loss reduced 30.2% YoY to ₹341 crore

The stock is trading 3.98% higher at ₹513.35 apiece on the NSE.

Swiggy debuted at ₹420 a unit, a premium of 7.69% over the issue price of ₹390.

Since then, Swiggy shares climbed 31.6% from the issue price.

• Traded volume: 164.72 lakh
• Traded value: ₹850.60 crore
• Total market capitalisation: ₹1,15,000.23 crore

• Current price: ₹514.8 (+4.27%)
• Open: ₹505
• High: ₹541.95
• Low: ₹505

• Sriharsha Majety, Managing Director and Group CEO
• Anand Kripalu, Chairman and Independent Director
• Suparna Mitra, Independent Director
• Nandan Reddy, Whole-time Director - Head of Innovation
• Sahil Barua, Independent Director
• Shailesh Vishnubhai Haribhakti, Independent Director
• Ashutosh Sharma, Nominee Director (Non-Executive)
• Anand Daniel, Nominee Director (Non-Executive)
• Sumer Juneja, Nominee Director (Non-Executive)
• Roger Clark Rabalais, Nominee Director (Non-Executive)

• Traded volume: 128.37 lakh
• Traded value: ₹664.59 crore
• Total market capitalisation: ₹1,14,104.85 crore

• Current price: ₹512 (+3.7%)
• Open: ₹505
• High: ₹541.95
• Low: ₹505

• Sriharsha Majety, Managing Director and Group CEO
• Rohit Kapoor, CEO- Food Marketplace
• Rahul Bothra, Chief Financial Officer
• Nandan Reddy, Whole-time Director and Head of Innovation
• Amitesh Jha, CEO- Instamart
• Girish Menon, Chief Human Resources Officer
• Phani Kishan, Chief Growth Officer
• Madhusudhan Rao, Chief Technology Officer

"SWIGGY LIMITED has informed the Exchange about Board Meeting to be held on 03-Dec-2024 to inter-alia consider and approve the Unaudited Financial results of the Company for the Quarterly ended September 2024," the company said in an exchange filing.

Swiggy share price

Swiggy shares on Monday settled at ₹500.95, up 6.42%, on the National Stock Exchange (NSE).

In the financial year 2023-24, Swiggy reported a net loss of ₹2,350 crore and a revenue of ₹11,247 crore.

The revenue and net loss stood at ₹8,264 crore and ₹4,179 crore, respectively, in FY23.