Quick commerce burns weigh on Swiggy in Q1; Instamart AOV jumps 25%

Revenue up 52% YoY to ₹5,048 crore; Quick commerce sees ₹896 crore loss even as Instamart GOV doubles

Swiggy posted a consolidated net loss of ₹1,197 crore in Q1 FY26, nearly doubling from ₹611 crore in the same period last year. Losses also rose sequentially from ₹1,081 crore in Q4 FY25. The widening loss was attributed to a sharp 60 per cent increase in total expenses, which climbed to ₹6,244 crore during the quarter.

 

This came despite a significant 52 per cent year-on-year rise in revenue from operations, which reached ₹5,048 crore, up from ₹3,310 crore a year earlier. Sequentially, revenue rose 11.4 per cent from ₹4,531 crore.

 

Instamart GOV Doubles, But Quick Commerce Losses Persist 

Swiggy’s quick commerce arm Instamart recorded a Gross Order Value (GOV) of ₹5,655 crore in Q1, a YoY growth of 108 per cent and 21.1 per cent sequentially. The platform added 41 darkstores during the quarter, taking its total network to 1,062 darkstores across 127 cities, covering 4.3 million sq ft. 

 

Average Order Value (AOV) rose by 25.6 per cent YoY to ₹612, led by assortment expansion and Maxxsaver adoption. Despite these gains, Quick Commerce posted a loss of ₹896 crore in the quarter. Adjusted EBITDA margin improved marginally to -15.8 per cent from -18.0 per cent in Q4.

 

Food Delivery Holds Steady with Double-Digit Growth 

Swiggy’s core food delivery segment delivered GOV of ₹8,086 crore, up 18.8 per cent YoY. Monthly Transacting Users (MTUs) grew by 1.2 million quarter-on-quarter, driving 16 per cent YoY growth.

 

Seasonal factors such as the monsoon and Q1's annual delivery partner appraisals impacted profitability, resulting in an adjusted EBITDA margin of 2.4 per cent, down from 2.9 per cent in the previous quarter.

 

Leadership Outlook and Strategic Focus 

Sriharsha Majety, Swiggy’s MD and Group CEO, noted that the company has surpassed its March 2025 peak loss in quick commerce. He reaffirmed the focus on “agile and calibrated network expansion” and increasing basket sizes to drive profitability. 

 

Majety emphasised the role of initiatives like Bolt and 99-store in broadening Swiggy’s food delivery appeal, enabling restaurant partners to access new customers and increase order volumes.

 

Consolidated Adjusted EBITDA and Forward Outlook 

Swiggy reported a consolidated adjusted EBITDA loss of ₹813 crore for the quarter. The company remains focused on achieving scale-led profitability while navigating competitive pressures, particularly in the quick commerce space.

 

As the festive season approaches, Swiggy expects a normalisation in operating margins, while continuing to balance investment in new formats with disciplined financial planning.