Nikita Tandon’s Post

The Indian food delivery space is currently a duopoly with Zomato holding about a 55% market share and the rest being cherished by Swiggy However, IPO-bound Swiggy is far behind its listed rival👇 🔶 In the Q1 of FY25, Zomato’s food delivery GOV stood at INR 9,264 Cr, while Swiggy’s stood at INR 6,808.3 Cr. In Q1, Zomato also had a higher average monthly transacting customers at 20.3 Mn users compared to Swiggy’s 14.03 Mn. 🔶 Notably, in FY24, Swiggy posted a GOV of INR 8,068.6 Cr in quick commerce, up over 57% YoY. Meanwhile, Zomato’s Blinkit clocked INR 12,469 Cr in FY24 GOV, up 93% YoY. This was despite an equal number of dark stores at around 520 at the end of FY24. 🔶 Quick commerce has become the dominant force in India’s ecommerce structure – however, Swiggy is trailing behind Zomato in this area, too. 🔶 Meanwhile, hashtag #Zomato is way ahead of Swiggy in the going-out segment.

The Indian food delivery space is currently a duopoly with Zomato holding about a 55% market share and the rest being cherished by Swiggy. However, IPO-bound Swiggy is far behind its listed rival👇 🔶 In the Q1 of FY25, Zomato’s food delivery GOV stood at INR 9,264 Cr, while Swiggy’s stood at INR 6,808.3 Cr. In Q1, Zomato also had a higher average monthly transacting customers at 20.3 Mn users compared to Swiggy’s 14.03 Mn. 🔶 Notably, in FY24, Swiggy posted a GOV of INR 8,068.6 Cr in quick commerce, up over 57% YoY. Meanwhile, Zomato’s Blinkit clocked INR 12,469 Cr in FY24 GOV, up 93% YoY. This was despite an equal number of dark stores at around 520 at the end of FY24. 🔶 Quick commerce has become the dominant force in India’s ecommerce structure – however, Swiggy is trailing behind Zomato in this area, too. 🔶 Meanwhile, #Zomato is way ahead of Swiggy in the going-out segment. Given this, and the fact that #Swiggy has hefty losses on the books along with a high valuation – will the foodtech major be able to replicate Zomato’s success on the bourses? Let us know your thoughts in the comments! #ipo #quickcommerce #delivery

"India's Convenience craze" Well, Zomato dropped off its results on the 22nd and wow, just crazy numbers continue! Zomato and Blinkit together did Rs. 16k Cr of food & Grocery delivery in just one quarter. I tried calculating the overall market size and here's the numbers I arrived at 👇🏻 1️⃣ Every year, India orders $8 billion of Food online! With the market still growing nearly 5% On every Food delivery, Zomato & Swiggy gets commission of roughly 25%, which is their revenue. And obviously the newly introduced Platform fees on every order adding to the bottom line of the company! Zomato alone earned 83 Cr from the platform fees last year. The current 6 months earning from platform fees is already 128 Cr for the company! 👉🏻 Eating outside food was a special occasion in Indian households but now it's all convenience driven! 2️⃣ Every year, India orders again $8 billion of Groceries and related products through Quick commerce channel! With the market growing above 25% 👉🏻 Who would have thought things can get delivered in just 10 minutes actually! But now that's possible with the magical dark stores, smart tech and 3 lakh+ delivery partners 🤯 Umm, Convenience at peak or the new normal way to manage busy life? 😅 #qcommerce #convenience #zomato #swiggy Zomato | Swiggy | Zepto | Flipkart | Blinkit | Albinder Dhindsa | Deepinder Goyal

🚀 Revenue Growth: Swiggy's revenue surged by 36% in FY24, reaching ₹11,247 crore (vs ₹8,265 crore in FY23). 📉 Loss Reduction: Losses were slashed by 44%, down to ₹2,350 crore (vs ₹4,179 crore in FY23), driven by a 8% reduction in expenses. 📈 Competitor Comparison: Zomato: ₹12,114 crore revenue, ₹351 crore profit Swiggy: ₹11,247 crore revenue, ₹2,350 crore loss 🍽️ Core Business: Food delivery generated $3 billion GOV with 14.3M MTUs and an AOV of ₹428. 🛒 Quick Commerce: Instamart lagged with ₹1,100 crore revenue and a ₹460 AOV, trailing Blinkit’s ₹2,301 crore revenue and ₹617 AOV. 📊 Instamart’s Reach: Operating in 27 cities with 17,000 SKUs through 523 active dark stores. 💡 Outlook: Swiggy indicates the peak of investments in Instamart is over, paving the way for further profitability. https://lnkd.in/gVC6mJAU

Swiggy, a food tech and grocery delivery company, reported a revenue of Rs 3,601.5 crore for the July-September period, marking a 30 percent increase from Rs 2,763.3 crore in the same quarter of the previous year. This growth was attributed to an increase in the number of transacting users on the platform. Additionally, the company's losses narrowed by 5 percent, decreasing from Rs 657 crore to Rs 625.5 crore during this period. In comparison, Swiggy's rival Zomato reported a revenue of Rs 4,799 crore and a profit after tax of Rs 272 crore for the same quarter. This announcement marks Swiggy's first financial results since going public last month. During Q2FY25, Swiggy experienced a growth in its monthly transacting users, adding one million to reach a total of 17.1 million, which represents a 7 percent increase quarter on quarter and a 19 percent increase year on year. Sriharsha Majety, the MD & Group CEO, highlighted the company's focus on innovation and execution to enhance consumer experience. Swiggy's new 10-minute food delivery service, Bolt, has gained traction, accounting for 5 percent of all food orders. The company is also expanding its quick commerce service, Instamart, which is now available in 54 cities and offers over 32,000 unique items with an average delivery time of 13 minutes. As of December 3, Swiggy's share prices closed at Rs 501.30 on the BSE. #swiggy #loss #BSE #comment #share

With #Diwali just round the corner….#Swiggy and #Zomato increased #platformfees to ₹10 per order in select cities. 👉 In 2023 , Zomato introduced a platform fee of ₹2 per order. 👉 In Jan 2024, increased to ₹4 per order and in Oct 2024 to ₹10 per order. 👉 The platform fee applies to all #customers, irrespective of whether one has a Gold membership or not. 👉 Swiggy's platform fee was increased to ₹6 per order in June from ₹5 & now increased to ₹10 from 23rd Oct. 📣 What are Platform fees ? Platform fees are additional charges applied to each food order, separate from #GST, #Restaurant charges, and delivery fees. These fees are crucial for the companies revenue and cost management. 💡 Indeed Fee increase is expected to boost revenue significantly for both companies. Swiggy and Zomato deliver approximately 20-25 lakh orders daily, and the additional platform fees could generate ₹1.25 to ₹1.5 Cr per day 🚀 #retail #Channel #Flipkart #Blinkit #Metro #NCR #Teilen #Wissen 👉 #Zepto, Introduced Platform fee earlier this year, generating an additional ₹ 11 lakh daily from ₹5.5 lacs Orders. 📣 Results 🚀 Swiggy reported a 45% increase in operating #revenue as of March 2023, despite a 15% rise in net loss. Zomato saw significant revenue #growth, with a 69% increase in FY23.

Swiggy vs. Zomato: Who’s leading the race now? Indian food delivery companies are growing steadily, and Swiggy is working quite hard to catch up to the leader, Zomato. And, after going public, Swiggy just released its first quarterly results, and here’s how it did: ⤍ Gross revenue: ₹3,873 crore in Q2 FY25, a 26.5% YoY growth. ⤍ Gross order value (GOV): Increased by 30% YoY, showing a strong order surge. ⤍ Monthly transacting users (MTUs): Grew to 1.71 crore, a 6.8% increase from the previous quarter and 18.8% YoY. ⤍ Loss reduction: Losses decreased by 5% YoY to ₹625.5 crores, because of the strong growth in food and quick commerce. Although Swiggy hasn’t turned profitable yet, the company is moving in the right direction, reducing its EBITDA loss by 30.2% YoY to ₹341 crores. Quick commerce is one of Swiggy’s fastest-growing areas: ⤍ Revenue: Rose 137.5% YoY to ₹513 crore. ⤍ GOV: Increased 75% YoY to ₹3,382 crore. ⤍ Orders: Grew from 5.6 crore in Q1 to 6.8 crore in Q2. ⤍ Dark stores: Expanded to 609, with a 52-store increase QoQ. However, the competition is fierce. Zomato’s Blinkit, a key player in quick commerce, has a higher average order value (₹660) compared to Swiggy’s ₹499, and more monthly users (8.9 million vs. 6.2 million). Swiggy is also diversifying its revenue streams: ⤍ Investing ₹1,600 crore into Scootsy Logistics to expand premium delivery services. ⤍ Acquired Team Mumbai in the World Pickleball League, entering sports and entertainment. Swiggy is growing fast in both food delivery and quick commerce, but its path to profitability is still uncertain. BTW, which one do you prefer: Swiggy or Zomato?

Swiggy versus Zomato: The Epic Showdown in the Indian Food Delivery Arena! 🍽️📈 The FY24 financial showdown between Swiggy and Zomato highlights how these two giants shape India's food delivery landscape. Despite Swiggy generating ₹11,247 Cr in revenue, Zomato comes ahead with ₹12,114 Cr, and even posts a net profit of ₹351 Cr! Swiggy, on the other hand, is still in the red with -₹2,350 Cr in net losses, despite commanding a healthy 24,700 Cr gross order value. Both platforms have similar Average Order Values (₹428), but Zomato’s broader reach—700+ cities and 2.47 lakh restaurant partners—gives it an edge over Swiggy’s presence in 653 cities with 1.96 lakh partners. Zomato's higher monthly active users (18.4M) compared to Swiggy’s 12.7M further demonstrates its wider user base and market dominance. What stands out is the EPS: ₹0.41 for Zomato versus a negative ₹-8.6 for Swiggy. The numbers tell a clear story—Zomato is growing profits while Swiggy continues to invest heavily for future growth. The competition is intense, but it’s far from over! #zomato #investment #finance #swiggy

Swiggy Outperform Rating Given By CLSA target price Rs 708 1. Swiggy's Innovation and Growth Potential - Swiggy is a leading innovator in food delivery and quick commerce in India. The company has significant growth potential due to its early-mover advantage. The Indian quick commerce market is expected to grow 6x from FY24 to FY27, and Swiggy is set to benefit greatly. Swiggy’s growth trajectory includes improving profitability and accelerating execution. 2. Market Size and Potential The total addressable market (TAM) for food delivery and quick commerce is estimated at US$16bn and US$27bn by FY27, respectively. Food delivery is a two-player market, while quick commerce is expected to be dominated by three players. Swiggy's gross order value (GOV) and revenue are projected to grow at CAGRs of 43% and 32% respectively from FY24 to FY27. 3. Swiggy’s Innovation and Execution - Swiggy is recognized as one of India's most innovative brands, offering services like event bookings and dineout. It has a strong consumer loyalty program. The key concern for investors is whether Swiggy's execution can match its innovation, but the company has a capable management team to ensure success. 4. Comparison with Zomato - While Swiggy was an early mover, Zomato has overtaken it in both food delivery and quick commerce in terms of GOV and transacting customers. Despite this, the market is large enough to accommodate both players, and Swiggy still has ample growth opportunities. Swiggy is expected to lag behind Zomato, but this is reflected in its valuation discount. 5. Investment Recommendation - Coverage is initiated with an Outperform rating and a target price of Rs 708. The target price is derived from a mix of DCF and a sales multiple of 1.4x ( 22% discount to Zomato’s multiple ). Risks include potential regulatory scrutiny and higher discounting in the quick commerce space. Key Financial Forecasts - Revenue - Rs 82,646M ( FY23 ) to Rs 260,511M ( FY27 ) Net Profit - Loss of Rs 41,791M ( FY23 ) to Profit of Rs 18,427M ( FY27 ) EBITDA - Negative Rs 42,758M ( FY23 ) to Positive Rs 20,020M ( FY27 ) EPS - Loss of Rs 19.0 ( FY23 ) to Profit of Rs 7.4 ( FY27 ) #swiggy #clsa #Zomato

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