Swiggy Reports Increased Losses Despite Revenue Growth
Food delivery giant Swiggy reported a significant increase in net loss for the third quarter ending December 31, reaching ₹799 crore. This marks a considerable rise from the ₹574.38 crore loss recorded during the same period last year. The company also reported a loss of ₹625.53 crore in the preceding quarter.
The loss rise coincided with a surge in total expenses, which climbed to ₹4,898.27 crore from ₹3,700.17 crore in the corresponding quarter of the previous year. However, Swiggy saw a substantial increase in revenue, reaching ₹3,993.07 crore, up from ₹3,048.69 crore in the same period last year. Despite financial challenges, the company remains focused on long-term growth strategies.
Growth Strategies and Market Expansion
Swiggy’s Managing Director and Group CEO, Sriharsha Majety, stated that the company continues to refine its service offerings to cater to different customer segments, particularly during festive seasons. The company believes these initiatives will enhance consumer engagement and increase food delivery demand.
Majety also emphasized the company’s balanced approach between sustaining food delivery margins and investing in growth areas. These include Swiggy’s quick-commerce segment, expansion of dark stores, and aggressive marketing strategies to remain competitive in the industry. Despite increased spending, Swiggy remains optimistic about the long-term benefits of these strategic investments.
The gross order value for the quarter surged by 38 percent, reaching ₹12,165 crore, reflecting strong demand for Swiggy’s services. Meanwhile, the company’s consolidated adjusted EBITDA loss saw a marginal improvement, reducing by 2 percent year-over-year to ₹490 crore.
Info Edge Announces Stock Split; Shares Gain 3.10%
In a separate development, Info Edge (India) announced a stock split in the ratio of 1:5. This announcement led to a positive response in the stock market, with its share price climbing 3.10 percent to ₹7,943.20 on the Bombay Stock Exchange (BSE).
The company’s board approved the subdivision of equity shares with a face value of ₹10 into five equity shares of ₹2 each. This move aims to enhance liquidity and make shares more accessible to retail investors.
During the quarter ending December 31, Info Edge reported a net profit of ₹200.19 crore, compared to ₹213.53 crore in the same period last year. While there was a slight decline in profitability, the company remains focused on strengthening its market position through strategic initiatives and shareholder-friendly policies.
Both Swiggy and Info Edge’s latest financial updates reflect the evolving dynamics of India’s digital economy, with a blend of growth opportunities and market challenges shaping their financial performance.
