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Tag: Swiggy

  • Swiggy Aims for Profitability by FY26 Fueled by Instamart Expansion

    Swiggy Aims for Profitability by FY26 Fueled by Instamart Expansion



    Swiggy’s Path to Profitability: Instamart’s Role in Quick Commerce

    Swiggy’s Path to Profitability with Instamart in Quick Commerce

    Swiggy is aiming for overall profitability between December 2025 and June 2026, with its quick commerce branch, Instamart, playing a crucial role in this turnaround. This objective was outlined during the Q1 FY26 earnings call with market analysts and investors.

    Instamart’s Growth in Quick Commerce

    Instamart has shown substantial growth, with Gross Order Value (GOV) more than doubling at 108% year-on-year. The average order value (AOV) also saw significant increases of 26% year-on-year and 16% quarter-on-quarter, exceeding expectations. This success has been attributed to the effective basket-building initiative known as Maxxsaver, which encourages customers to make larger purchases.

    Improvements in Contribution Margins

    Swiggy’s Chief Financial Officer, Rahul Bothra, confirmed that contribution losses for Instamart reached their peak in previous quarters, and there has been an improvement in contribution margins by 100 basis points sequentially. The expectation for even greater improvements in Q2 FY26 was communicated. Bothra stated, “We stay committed to our goal of achieving contribution margin neutrality between the December and June quarters of 2026.”

    Expansion and Operational Focus

    Despite the rapid growth of Instamart, Swiggy expanded its network significantly, adding over 316 stores in Q4 FY25. The company believes its existing network of 4.3 million sq. ft. is adequate to support 100% growth without needing major new additions. The focus will now shift towards enhancing operations in current locations instead of expanding into new cities.

    Shifts in Product Offerings

    Interestingly, the non-grocery selections on Instamart, which accounted for 6.6% of the total mix a year ago, now contribute 18.5%, indicating strong interest in higher-ticket items. Although increased delivery costs and marketing expenditures slightly affected margin gains, optimism about long-term monetization through seller commissions and advertising remains high.

    Food Delivery Growth Amidst Competition

    While Instamart took the lead in discussions, Swiggy’s food delivery sector also reported a healthy 18.8% year-on-year GOV growth. The company claims to maintain the best service time in the industry, with initiatives such as Swiggy Bolt (its 10-minute delivery model) accounting for over 10% of order volume. Continuous investments in Bolt and SNACC, its experimental cloud kitchen brand, are ongoing, though losses in the “platform innovations” segment increased during the quarter.

    Strong Cash Reserves

    In terms of cash flow, Swiggy has reserves of Rs 5,500 crore, which allows the company to avoid needing an equity raise. An exit from its stake in Rapido has been hinted at due to competition overlaps in the food delivery sector.

    Management’s Confidence in Quick Commerce

    Despite the growing competitive landscape, particularly in quick commerce, management remains confident. Chief Executive Sriharsha Majety highlighted that the speed of delivery and customer experience at Swiggy are strong and that there is no need to match competitors on store density if it does not impact service quality.

    A Balanced Strategy for the Future

    With a balanced approach towards consolidation, monetization, and careful reinvestment, Swiggy is optimistic that Instamart’s momentum will propel the company into profitability in FY26.


  • Swiggy Boosts Employee Ownership with ₹150 Crore ESOP Initiative

    Swiggy Boosts Employee Ownership with ₹150 Crore ESOP Initiative



    Swiggy Launches New Employee Stock Option Grants

    Swiggy Introduces Employee Stock Options Worth Rs 150 Crore

    Swiggy, the food delivery and rapid commerce platform, has officially launched a fresh employee stock option (ESOP) programme valued at Rs 150 crore (approximately $17.5 million).

    Details of the ESOP Grant

    According to filings with the NSE, Swiggy Limited has issued 38.86 lakh stock options as part of its ESOP 2024 initiative. With the current market price standing at Rs 385.3 per share, this grant is evaluated at around Rs 150 crore.

    The disclosed stock options carry an exercise price of Rs 1 each and convert into a fully paid-up equity share upon vesting. Employees can exercise these options any time after the vesting period until the company undergoes liquidation.

    Recent Developments and Expansions

    This announcement follows the recent entry of Swiggy into the travel concierge and lifestyle management sector with the launch of a new app named Crew, as reported exclusively by startup Superb.

    Earlier in April of this year, the Bengaluru-based enterprise revealed additional employee stock options under its ESOP 2024 scheme for eligible employees, totalling Rs 443.4 crore (about $52 million).

    Financial Performance Overview

    In the fourth quarter of FY25, Swiggy’s losses escalated by 95% year-on-year, reaching Rs 1,081 crore, despite a 45% increase in revenue, which amounted to Rs 4,410 crore. For the full fiscal year, the total revenue reported was Rs 15,227 crore.

    In comparison, rival Zomato achieved profitability with Rs 39 crore in the last quarter of the previous fiscal year (Q4FY25), while Zepto managed to reduce its losses to Rs 1,248 crore in FY24.

    Market Standing

    At the end of trading on Friday (July 11, 2025), Swiggy’s shares were priced at Rs 385.3, leading to a market capitalisation of Rs 96,080 crore (around $11.3 billion).


  • Citigroup Offloads ₹12 Crore Swiggy Stake to BNP Paribas in Major Transaction

    Citigroup Offloads ₹12 Crore Swiggy Stake to BNP Paribas in Major Transaction



    Swiggy Shares Sold by Citigroup Global Markets to BNP Paribas


    Swiggy Shares Sold by Citigroup Global Markets to BNP Paribas

    Swiggy’s shares have been sold by Citigroup Global Markets, the brokerage and investment banking branch of Citigroup Inc., to BNP Paribas Financial Markets, the investment division of the notable French banking firm BNP Paribas, through a block deal.

    Citi has liquidated 320,000 shares at a price of Rs 381 each to BNP Paribas Financial Markets, which totals Rs 12.2 crore based on data obtained from the stock exchange regarding bulk transactions.

    This transaction occurs after it has been announced that Swiggy plans to discontinue its digital storefront platform, Minis, by August 10. The Minis platform has not been visible on the Swiggy application for more than a year, indicating a potential gradual shutdown. This digital storefront provided various categories, including home-cooked meals, artisanal gifts, and baking necessities.

    In the last quarter of the financial year concluding March 31, 2025, Swiggy reported a revenue of Rs 4,410 crore, alongside a loss of Rs 1,081 crore during the same timeframe. The food delivery segment plays a crucial role as a revenue source for Swiggy, accounting for 37% of the total revenue, with quick commerce following closely behind.

    Currently, Swiggy’s stock is being traded at Rs 392.2 (as of 11:42 AM), with a total market capitalisation of Rs 96,030 crore.


  • Swiggy Launches Innovative Travel and Lifestyle Concierge App, Crew

    Swiggy Launches Innovative Travel and Lifestyle Concierge App, Crew



    Swiggy Enters Travel Concierge Space with Crew

    Swiggy Launches Crew: A New Travel Concierge App

    Swiggy is making its mark in the travel concierge sector with the introduction of its new app, Crew. Sources cited by Startup Superb indicate that this platform is designed to provide tailored concierge services, assisting users with a variety of daily and special tasks.

    Features of the Crew App

    The Crew app is equipped to tackle an array of services such as obtaining an international driving license, selecting an ideal housewarming gift within a specified budget, arranging locksmith services, laundering clothing and footwear, and even organising trips to Europe.

    Background of Swiggy’s Concierge Services

    In October of the previous year, Swiggy undertook a pilot project called Rare Life, which aimed at offering premium events and experiences. However, the company decided to discontinue this service in its beta phase to shift its focus towards travel and lifestyle management.

    Internal Launch and Testing of Crew

    According to insider information, Swiggy co-founder Phani Kishan unveiled the Crew app during an internal announcement. “The app was released as an invite-only pilot, with the team conducting internal trials for the last two weeks,” revealed a source who preferred to remain unnamed.

    App Availability and Market Focus

    The Crew app is currently accessible on Android, with plans for a wider rollout in the near future. Unlike Rare Life, which was aimed at the high-end market, Crew is concentrating on the broader demographic across major Indian metropolitan areas. It is anticipated that the app may implement a subscription model for future revenue generation.

    Comparison with Other Concierge Services

    Swiggy’s Crew app can be compared to home concierge and lifestyle management service Pinch. The concierge market has seen a notable influx of new entrants recently, including Indulge Global, which attracted attention during Shark Tank India Season 4 and successfully raised $1 million in its inaugural funding round. Other key players in this arena include RedBeryl and CribLife.


  • Shalabh Shrivastava Steps Down from Swiggy as Saurav Goyal Takes the Helm at Driver Org

    Shalabh Shrivastava Steps Down from Swiggy as Saurav Goyal Takes the Helm at Driver Org



    Swiggy Announces Leadership Changes in Driver Org

    Swiggy’s Driver Org Leadership Changes

    Swiggy’s Driver Org has experienced a notable shift in leadership with Shalabh Shrivastava’s departure from the company, as reported by informed sources. This change is significant for the seamless operations of Swiggy.

    Background of Shalabh Shrivastava

    Prior to his tenure at Swiggy, which began in November of the previous year, Shrivastava amassed over a decade of experience at Flipkart. He excelled in his role as VP and National Head of Large and Furniture Supply Chain, holding this position for nearly three years.

    Saurav Goyal Steps In

    On Tuesday, Swiggy announced that Saurav Goyal would take over the leadership of the Driver and Delivery operations. Although the company did not acknowledge Shrivastava’s resignation, Goyal’s appointment marks a significant transition.

    Experience of Saurav Goyal

    Goyal, who has been with Swiggy since 2020, will also maintain his position as Senior Vice President of Business Finance until a suitable replacement is appointed. He brings with him more than 18 years of experience working with prominent companies, including Ola, and has played a crucial role in supporting Swiggy’s IPO ambitions.

    The Importance of Driver and Delivery Operations

    The Driver and Delivery operations play a vital role for foodtech platforms like Swiggy, as they are responsible for nurturing relationships with delivery partners, a crucial element of the logistics network. Swiggy collaborates with over 250,000 restaurants in 700 cities, employing more than 500,000 delivery workers.

    Challenges and Competition

    As competition intensifies from rivals such as Blinkit and Zepto, Swiggy finds itself navigating challenging waters. Despite a 45% rise in operating revenue year-on-year to Rs 4,410 crore in Q4 FY25, losses escalated by 95% to Rs 1,081 crore, highlighting the pressures in the fast-evolving food and quick-commerce sectors.


  • Swiggy Reports ₹4,410 Crore Revenue in Q4 FY25, Instamart Soars by 115%

    Swiggy Reports ₹4,410 Crore Revenue in Q4 FY25, Instamart Soars by 115%



    Swiggy Reports 45% Growth in Q4 FY25 Revenue

    Swiggy Records 45% Growth in Q4 FY25 Revenue

    Swiggy has achieved a remarkable 45% year-on-year increase in its operating revenue, climbing to Rs 4,410 crore during Q4 FY25, compared to Rs 3,045 crore in Q4 FY24. Despite this growth, the Bengaluru-based company experienced a substantial 95% rise in losses during the same timeframe.

    Key Revenue Contributors

    The food delivery segment remains a significant driver of revenue for Swiggy, accounting for 37% of the total income in Q4 FY25. Revenue from this division saw an 18% increase, reaching Rs 1,629 crore, up from Rs 1,375 crore in Q4 FY24.

    The quick commerce segment exhibited exceptional performance, with revenue soaring by 115% to Rs 689 crore in Q4 FY25 from Rs 320 crore in Q4 FY24. This notable growth in gross order value (GOV) was fuelled by an increase in order frequency and the establishment of additional dark stores.

    Significant Contributions from Scootsy Logistics

    Scootsy Logistics played a crucial role in Swiggy’s overall operating revenue, contributing 45% to the total. Revenue from this segment rose by 58% year-on-year, amounting to Rs 2,004 crore in Q4 FY25, compared to Rs 1,265 crore in Q4 FY24. During this quarter, Swiggy allocated Rs 1,000 crore towards expansion and growth for Scootsy.

    Overall Financial Performance

    Swiggy’s total revenue, including contributions from Dine Out, Genie, Swiggy Mini, and other non-operating income, reached Rs 4,531 crore in Q4 FY25. Over the full fiscal year ending March 2025, total revenue rose by 35% to Rs 15,227 crore from Rs 11,247 crore in FY24.

    Expenditure Overview

    On the expenditure side, the procurement of FMCG products for supply chain distribution constituted 33% of overall costs, which increased by 52% to Rs 1,854 crore in Q4 FY25. Additionally, delivery charges grew by 27%, amounting to Rs 1,161 crore in Q4 FY25. Swiggy also recorded expenses of Rs 695 crore and Rs 978 crore on employee benefits and advertising, respectively.

    Overall, Swiggy’s total expenses for the quarter rose by 53% to Rs 5,609 crore, an increase from Rs 3,668 crore in Q4 FY24. On a fiscal year-on-year basis, total expenses surged to Rs 18,725 crore in the quarter ending March 2025, compared to Rs 13,947 crore in FY24.

    Losses and Stock Performance

    The substantial 53% increase in expenses resulted in a 95% surge in losses, which reached Rs 1,081 crore in Q4 FY25, up from Rs 555 crore in Q4 FY24. On an annual basis, Swiggy’s losses grew by 33% to Rs 3,117 crore in FY25 from Rs 2,350 crore in FY24.

    Swiggy experienced a slight drop of 0.25% in its share price today, trading at Rs 314.4 (as of 16:20), with a total market capitalisation of Rs 72,000 crore.

    Zomato’s Financial Snapshot

    In comparison, Zomato’s parent company, Eternal, reported a 64% increase in revenue from operations, reaching Rs 5,833 crore in Q4 FY25, compared to Rs 3,562 crore in Q4 FY24. Despite this growth, the Gurugram-based firm saw its profit after tax decline to Rs 39 crore in Q4 FY25.


  • Swiggy Passes the Baton of Major Food Brands to Kouzina

    Swiggy Passes the Baton of Major Food Brands to Kouzina



    Kouzina Food Tech Secures Exclusive License with Swiggy for Digital-First Food Brands

    Kouzina Food Tech secures exclusive license with Swiggy for digital-first food brands

    Kouzina Food Tech has formed a strategic partnership with Swiggy, acquiring an exclusive license for its digital-first food brands, including The Bowl Company, Homely, Soul Rasa, and Istah. According to a filing by Swiggy, Kouzina will manage the operations, development, and growth of these brands. Once specific conditions are met, Swiggy will transfer full ownership to Kouzina.

    Operational Changes at Swiggy

    In recent years, Swiggy has restructured its cloud kitchen operations and scaled them back significantly. In 2023, the Bengaluru-based company transferred its Access Kitchens division to Kitchens@ via a share swap arrangement.

    Expansion Plans with Kouzina

    Kouzina’s co-founder and CEO, Gautam Balijepalli, expressed confidence in the partnership, stating that the brands will be scaled even more rapidly. The expansion will occur in new markets using an asset-light approach. Currently, Homely operates in select Bengaluru locations, while The Bowl Company is set to launch shortly. The company also plans to extend its reach to additional cities soon.

    The Rationale Behind New Brand Launches

    Swiggy introduced brands like The Bowl Company and Homely to address market needs in food delivery, providing a diverse range of options for consumers. Arpit Mathur, VP at Swiggy, noted that Kouzina’s asset-light, digital-first model is well-suited for further scaling these brands.

    The Bowl Company: A Culinary Favourite

    The Bowl Company, established by Swiggy in 2017, is well-known for its signature dishes, which include the Peri Peri Chicken Rice Bowl, Nawabi Paneer Lababdar Rice Bowl, Drunken Chicken Rice Bowl, and Dhaba Style Dal Tadka Rice Bowl.

    Kouzina’s Future Directions

    Kouzina operates with over 250 kitchen partners across more than 100 cities. The company recently acquired Vasudev Adiga’s and has invested in MOPP Foods, a brand featured on Shark Tank. Kouzina is actively seeking franchise partners to facilitate the growth of these brands through its cloud kitchens, aiming to develop a strong, sustainable business and to go public within five years.


  • Swiggy and Zomato: Navigating Distinct Journeys in the Fast-Food Delivery Arena

    Swiggy and Zomato: Navigating Distinct Journeys in the Fast-Food Delivery Arena

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    Foodtech Leader Zomato Ends 15-Minute Delivery Pilot

    Foodtech leader Zomato has discontinued its 15-minute food delivery trial known as Quick, just four months after it commenced operations. This decision was confirmed during the company’s Q4 earnings report, where founder and CEO Deepinder Goyal highlighted operational difficulties, mentioning that the existing restaurant density and kitchen infrastructure are not capable of supporting 10-minute deliveries, which resulted in an inconsistent customer experience.

    This closure occurs while competitor Swiggy enhances its focus on ultra-fast delivery. Swiggy’s 10-minute food delivery service, Bolt, which was introduced in October 2024, has grown to cover over 500 cities, including both metropolitan areas and tier II and III markets. Swiggy asserts that Bolt now accounts for more than 10% of its overall food delivery orders, backed by a network of over 45,000 restaurant partners.

    Swiggy’s Rapid Expansion in Ultra-Fast Delivery

    The Swiggy Instamart service initially did not prioritise 10-minute deliveries but later improved its turnaround times to compete with companies like Blinkit and Zepto. An analyst focusing on the online ordering market, who wished to remain anonymous, stated that this time, Swiggy is keen to avoid delays in the ultra-fast food delivery sector and is determined to maintain its edge by expanding to over 500 cities.

    Zomato’s Strategic Refocus

    Zomato’s founder, Goyal, pointed out that Quick was merely a short-term trial and did not create any additional demand. On the other hand, Rohit Kapoor, CEO of Swiggy Food Marketplace, expressed that its growth to over 500 cities marks the beginning of a wider rollout.

    Zomato is evidently redirecting its efforts towards fortifying its core services and improving unit economics, particularly after its Blinkit division experienced a rise in EBITDA loss to Rs 178 crore in Q4 FY25, compared to Rs 103 crore in Q4 FY24. Nonetheless, the subsidiary recorded a significant revenue increase of 122% in the last quarter of FY25. Overall, Zomato’s group profit fell by 78%, while operational revenue soared by 64% during the same timeframe.

    Continuing In Fast Food Delivery Through Bistro

    Despite the discontinuation of Quick, Zomato plans to remain in the fast food delivery market via Blinkit’s Bistro—an independent platform aimed at delivering snacks, puffs, and baked goods. The aforementioned analyst remarked that Zomato would not have terminated Quick if Bistro were not in place, affirming there is a robust and growing demand for 10–15-minute food deliveries in metro and larger urban areas. Zomato is acknowledging this demand and retains its involvement through Bistro.

    The closure of Quick appears to have been inevitable, considering both the overlap with Blinkit and the increasing pressure on Zomato’s bottom line. It seems overly simplistic to attribute this to challenges in restaurant density or food infrastructure, areas Zomato is expected to understand well.

    At times, Zomato’s decisions suggest the need for the company to consistently innovate to engage its employees. However, this approach does not yield the desired results. It is crucial to establish a separate sandbox for experiments, yet to satisfy investors looking for real operational profits, Zomato must refine more conventional, repetitive processes. Delaying this could diminish the company’s impressive valuations sooner rather than later.

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  • Swiggy Boosts Employee Ownership with ₹150 Crore ESOP Initiative

    Swiggy Introduces New $52 Million ESOP Initiative



    Swiggy Limited Announces New Employee Stock Options Plan 2024

    Swiggy Limited Launches Employee Stock Options Plan 2024

    Swiggy Limited, a prominent food delivery and quick-commerce platform, has announced new employee stock options under its Employee Stock Option Plan 2024 for eligible team members. The Nomination and Remuneration Committee has approved a resolution to distribute 12,896,462 ESOPs (Employee Stock Options) to employees, as stated in a filing with the National Stock Exchange (NSE).

    Details of the Employee Stock Options

    According to the recent filings, each of these stock options will be exchanged for an equity share. Given Swiggy’s current market valuation, these newly allocated ESOPs are estimated to be worth Rs 443.4 crore, or around $52 million.

    Recent Developments at Swiggy

    This announcement occurs just three months after Swiggy distributed 2.61 crore shares through various ESOP initiatives. Consequently, the company’s paid-up equity share capital has risen to Rs 2.26 crore from Rs 2.23 crore.

    Investments in Subsidiaries

    Recently, Swiggy made a significant investment of Rs 1,000 crore in its subsidiary, Scootsy Logistics, to support expansion efforts. Scootsy Logistics was responsible for 42% of Swiggy’s total revenue in the previous quarter.

    Financial Performance

    Swiggy has yet to release its financial results for the fourth quarter of the last fiscal year (Q4 FY25). However, in the third quarter of FY25, the company achieved a remarkable 31% year-on-year growth, increasing revenue to Rs 3,993 crore, compared to Rs 3,049 crore in Q3 FY24. Despite this growth, Swiggy’s losses climbed by 39.2%, amounting to Rs 799 crore during the same timeframe.

    Stock Market Performance

    Following today’s trading session, Swiggy’s stock was priced at Rs 343.85 per share, resulting in a total market capitalization of Rs 78,620 crore (approximately $9 billion). In light of recent market fluctuations, the company’s stock also reached an all-time low of Rs 306.95 on April 7.


  • Sahil Barua Steps Down from Swiggy Board Amid Increasing Professional Responsibilities

    Sahil Barua Steps Down from Swiggy Board Amid Increasing Professional Responsibilities


    Swiggy Announces Resignation of Independent Director Sahil Barua

    Swiggy, a prominent player in the food delivery and quick commerce sector, informed on Friday about the resignation of Sahil Barua, who served as an Independent Director on the company’s board. This change will take effect from April 11, 2025.

    The exit is attributed to Barua’s growing professional obligations, as stated in a regulatory document released by the company. Sahil Barua, co-founder and CEO of the logistics company Delhivery, has been an essential part of Swiggy’s board, particularly during significant phases of its expansion and public market entry.

    “Gratitude is extended to Swiggy for the opportunity to be part of the Board. Swiggy stands out as one of the remarkable Indian internet enterprises, backed by exceptional founders and management. He anticipates supporting Harsha and the Swiggy team as a user and well-wisher,” remarked Barua.

    In addition to his role at Swiggy, Barua continues his directorship at Delhivery Limited, a key player in India’s logistics and supply chain industry.

    Swiggy’s Board of Directors

    The independent board at Swiggy also comprises Anand Kripalu, Shailesh Haribhakti, and Suparna Mitra.

    Recent Changes in Leadership

    This year, Swiggy’s company secretary and compliance officer, M Sridhar, previously announced his resignation just a year after his recruitment to the Bengaluru-based company.