Swiggy shares in focus after Q4 losses double to Rs 1,081 crore
shares will be in focus on Monday after the food delivery platform reported a sharp widening of its net loss for the fourth quarter. Losses nearly doubled to Rs 1,081 crore, compared with Rs 554 crore in the same period last year. However, revenue from operations rose 45% year-on-year to Rs 4,410 crore.
The rise in losses was mainly driven by increased spending on Swiggy's quick commerce business, Instamart, amid intensifying competition from Blinkit and Zepto. The company ramped up investments in customer acquisition, dark store expansion, and marketing to defend market share, resulting in higher operating expenses.
by Taboola
by Taboola
Sponsored Links
Sponsored Links
Promoted Links
Promoted Links
You May Like
There are holes in her heart! Please help my daughter!
Donate For Health
Learn More
Undo
The gross order value (GOV) surged 40% YoY to Rs 12,888 crore in Q4FY25, driven by strong growth across its business verticals. However, the company's consolidated adjusted EBITDA loss widened to Rs 732 crore, due to ramp-up of investments in Instamart.
Food delivery business
The food delivery business reported a 17.6% YoY growth in GOV, reaching Rs 7,347 crore. Adjusted EBITDA margins for the segment improved to 2.9% of GOV, compared with just 0.5% a year ago.
Live Events
The growth was supported by innovative offerings, including the premium subscription program One BLCK and faster deliveries through the Bolt service, which now powers 12% of all food delivery orders.
Instamart
Quick-commerce, which operates under the Instamart brand, continued its rapid expansion, with GOV growing 101% YoY to Rs 4,670 crore. The business added 316 new dark stores, exceeding the cumulative dark stores added over the past eight quarters, and expanded its service footprint to 124 cities.
Despite the growth, Instamart's contribution margin declined to -5.6%, compared to -4.6% in the previous quarter, as Swiggy ramped up customer acquisition and network expansion.
Adjusted EBITDA loss for Instamart rose to Rs 840 crore, driven by higher operating costs associated with new stores and aggressive market expansion.
Out-of-Home Consumption
Swiggy's out-of-home consumption segment turned profitable, recording a 42% YoY growth in GOV and achieving an adjusted EBITDA margin of 0.3% of GOV.
On the user front, the platform's average monthly transacting users (MTUs) grew 35% YoY to reach 19.8 million, with 35% of users utilising more than one service on the platform. This multi-service usage has been a key driver of customer retention and growth.
"FY25 was a year of many firsts for Swiggy, with the launch of new services like Instamart, Snacc, and Pyng," said MD & Group CEO Sriharsha Majety.
The company said its focus on scaling Instamart, expanding its out-of-home consumption business, and improving efficiencies in food delivery are expected to remain key growth drivers in the coming quarters. However, the challenge of managing losses in the quick-commerce segment will be a critical area to watch.
Swiggy shares price target
As per Trendlyne data, the average target price of the stock is Rs 455, which shows an upside of 45% from the current market prices. The consensus recommendation from 21 analysts for the stock is a 'Buy'.
(
Disclaimer
: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times)
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Economic Times
12 minutes ago
- Economic Times
CBDT to ramp up AI-led crackdown on tax evasion ahead of new income tax law: Chairman Ravi Agrawal
IANS CBDT chairman Ravi Agrawal New Delhi: The Central Board of Direct Taxes (CBDT) aims to step up its crackdown on evasion through the greater use of data analytics and artificial intelligence (AI) to identify discrepancies in the reporting of income, chairman Ravi Agrawal said in an interview. This is in preparation for the new income tax law that's set to be approved by the Parliament in the current session. With access to over 6.5 billion domestic digital transactions and the exchange of information with overseas agencies, the Income Tax Department is poised to detect evasion more effectively, Agrawal said. He allayed concerns over powers that tax authorities have to access digital records. This is strictly restricted to search and seizure operations where taxpayers refuse to share information, and are not aimed at snooping on ordinary taxpayers, he said."The next phase of AI usage would be more intense, with reporting agencies providing more mature data for carrying out detailed analytics to identify evaders and hit the right targets," he Income Tax Department was proactively providing taxpayers with information about their financial transactions to encourage voluntary compliance. As many as 11 million updated returns have been filed, resulting in an additional tax mop-up of more than ₹11,000 crore, with the rollout of this facility since April 1, 2022. A recent nudge campaign led to withdrawal of tax deduction claims worth ₹963 crore, and the payment of ₹409.50 crore additional taxes between April 1, 2023, and June 18, 2025. A total of 30,161 taxpayers declared ₹29,208 crore of foreign assets and foreign income of ₹1,089 crore between November 2024 and March 31, 2025.'This was the result of analytics,' Agrawal said. 'We were able to carry out a pan-India operation.'The clear message from the tax authorities is that the department is non-intrusive and a facilitator but is keeping watch, said the CBDT chairman. A similar campaign will be rolled out this year using fresh data sets, he noted that the data received under various information exchange agreements had improved over the past two years. 'The quality of information has improved because they have also understood our requirements and it is helping us identify taxpayers that hold foreign assets,' he said. There is an emphasis on regular updates, as technology evolves to tackle areas such as the dark web, crypto and other new forms of said India is 'actively participating and contributing' to discussions at global forums on the Crypto-Asset Reporting Framework. 'India's voice in all these platforms is being heard. We are deliberating as to how best we can actually exchange information,' he said, adding that the country had already enabled this through regulation. The CBDT chairman said digitisation has helped expand the taxpayer base to 90 million in FY25, from 30 million in FY14. Data showed that gross refunds issued increased by 474% — from Rs 83,008 crore in FY14 to Rs 4.76 lakh crore in FY25 — with the average refund processing time dropping to 17 days, from 93 22% of income tax returns were processed within a day, and 26% in two to seven department is collating annual data on about 6.5 billion transactions to prepare pre-filled forms for about 400 million taxpayers, with 99% of them agreeing with the information provided. 'As a country we should appreciate the background effort in pre-population of ITRs, which is prompting taxpayers towards compliance,' he said. With the Parliament select committee submitting a report on the new income tax bill, the real work for the department starts now. 'The bill is the first step, and associated with this will be rules, forms and capacity building,' said Agrawal. 'This is a transition for the I-T Department, as well as for taxpayers.' The immediate focus would be to gear up the department for the massive transformation expected, with the new law that takes effect April 1, 2026.
Time of India
18 minutes ago
- Time of India
Trump vs Columbia: Ivy league school to pay $200 million in landmark settlement; campus protests curbed
Columbia University will now be paying more than $220 million along with making major policy changes as part of a settlement with the Trump administration. The deal follows allegations of civil rights violations and claims the university failed to protect Jewish students from discrimination, as reported exclusively by the New York Post. The Ivy League university will also be subjected to federal oversight, with independent monitoring in place to ensure it adheres to merit-based admissions and hiring processes. The agreement follows four months of negotiations and comes amid mounting pressure on elite universities like Harvard, which has taken the administration to court over the loss of $2.6 billion in funding linked to similar issues. As part of the settlement, Columbia will pay $200 million to the federal government to resolve discrimination claims and a further $20 million to Jewish staff who were reportedly targeted during anti-semitic protests on campus in the wake of the 7 October 2023 Hamas attacks on Israel. The Trump administration is touting the payout as the largest of its kind in nearly two decades under Title VI of the Civil Rights Act. As per a source cited by the New York Post, when the government pulled $400 million from Columbia in March, it put billions more in research and other funding at risk. The deal mandates that Columbia dismantle any programmes that discriminate based on race, bringing it in line with the Supreme Court's 2023 ruling that banned race-based affirmative action. Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like This Could Be the Best Time to Trade Gold in 5 Years IC Markets Learn More Undo by Taboola by Taboola It will also create new faculty positions aimed at boosting intellectual diversity and overhaul its approach to discipline, removing oversight from the faculty senate and placing it under the Provost's Office. The settlement includes strong security provisions too. Columbia must coordinate with the NYPD to prevent incidents like the 2024 occupation of Hamilton Hall and impose a blanket ban on masked protests. Disciplinary action has already been taken, with dozens of students suspended, penalised, or expelled over recent anti-Israel demonstrations. In a further move likely to fuel debate, the university's admissions office will now vet international applicants more closely, requiring them to disclose their reasons for studying in the US, data that will be shared with federal authorities. Columbia will also report disciplinary actions for visa-holding students under the Student and Exchange Visitor Program (SEVIS) and reduce reliance on international enrolment. Several academic departments and international centres, including the Center for Palestine Studies and the Middle East Institute, will now come under close scrutiny by a newly created senior vice provost role, aimed at ensuring ideological balance and compliance with federal rules. The school will also align with Title IX standards by ending policies that allow biological men to compete in women's sports or use women's facilities. Most of the $400 million in previously frozen federal funding will be restored once Columbia meets all conditions of the agreement. The resolution will remain in effect for three years, with a compliance monitor issuing twice-yearly updates on progress. 'This agreement marks an important step forward after a period of sustained federal scrutiny and institutional uncertainty,' said acting president Claire Shipman. 'The settlement was carefully crafted to protect the values that define us and allow our essential research partnership with the federal government to get back on track. Importantly, it safeguards our independence, a critical condition for academic excellence and scholarly exploration, work that is vital to the public interest.' Leaked details from the talks suggest that Columbia agreed to release internal admissions and hiring data and accept the $200 million fine to avoid further loss of research funding. In March, the White House issued nine key demands as a prerequisite for federal support, including enforcement of institutional neutrality and academic diversity. The final deal explicitly bans the use of diversity narratives or racial identity statements in applications, in a move likely to send ripples through higher education. The conflict has led to dramatic leadership changes at Columbia. President Minouche Shafik stepped down in August 2024 amid escalating protests. Her interim successor, Katrina Armstrong, was removed just seven months later after publicly supporting the administration's mask ban, while privately assuring faculty she wouldn't enforce it. She has now been replaced by Shipman, whose past private messages questioning fears of anti-semitism and pushing to remove the only Jewish board member and quick appointment of an 'Arab' member instead,have triggered a congressional investigation. Republican lawmakers are currently reviewing whether new laws are needed to hold university leadership more accountable, amid growing concerns over campus anti-semitism and ideological bias.
Time of India
24 minutes ago
- Time of India
Himachal Pradesh chief minister Sukhvinder Singh Sukhu urges Centre to expedite civil aviation projects
Shimla: Chief minister on Wednesday urged Union minister of civil aviation Kinjarapu Rammohan Naidu to expedite pending issues related to the civil aviation sector in Himachal Pradesh. Tired of too many ads? go ad free now The request was made through a formal letter following discussions held during Sukhu's recent visit to New Delhi. In the letter, the CM highlighted the proposed expansion of Kangra Airport, for which the state government is in the process of acquiring approximately 150 hectares of land. Awards amounting to over Rs 1,900 crore have been prepared, and Rs 410 crore has already been disbursed. With the statutory one-year period for land acquisition ending next month, Sukhu requested the ministry to recommend the project to the ministry of finance and the Prime Minister's Office (PMO) for special central assistance. Sukhu also raised concerns about the techno-economic feasibility report of Kangra Airport, prepared by a private firm, stating that the estimated costs were on the higher side. He urged the Airport Authority of India (AAI) to review the report to arrive at a more realistic cost assessment. He also proposed exploring a tripartite agreement involving AAI, the state government, and a private partner to facilitate the airport's expansion. The CM pointed out that Kangra Airport currently operates under visual flight rules (VFR), which require a minimum visibility of five kilometres. He recommended introducing special VFR operations to reduce the visibility requirement to 2.5 km, enabling flight operations during low-visibility conditions. Given that Kangra is the largest and busiest airport in the state, Sukhu also called for the installation of night landing facilities. Tired of too many ads? go ad free now Sukhu also requested the deployment of state police for airport security at Kullu and Shimla airports, similar to the arrangement at Kangra Airport, replacing the Central Industrial Security Force (CISF). He also sought an extension of watch hours at Shimla Airport from 1 pm to 4 pm to allow a broader window for flight operations. To enhance infrastructure at Shimla Airport, the CM urged the provision of a second apron suitable for ATR 42/600 aircraft, which would support increased and simultaneous flight operations. He also called for the resumption of daily flights on the Shimla-Dharamshala-Shimla sector by Alliance Air. Sukhu requested operational authorisation for heliports at Sanjauli, Rampur, Baddi, and Kangnidhar by Oct this year. He added that under the Udan (Ude Desh ka Aam Nagrik) regional connectivity scheme's second phase, four additional heliports should be sanctioned at Jaskot in Hamirpur, Dehra in Kangra, and one each in Una and Bilaspur districts to boost air connectivity. He noted that air operators such as Heritage Aviation, Global Vectra, and Pawan Hans Ltd would be directed to operationalise their routes under the Udan scheme.
