Zomato Q3 FY25 results: Net profit falls 57% to Rs 59 crore, revenue up 64%

Zomato Q3FY25 results: Zomato aims to increase the number of Blinkit stores to 2,000 by December 2025

Food-delivery platform Zomato on Monday reported a 57 per cent drop in consolidated net profit to Rs 59 crore for the third quarter of financial year 2024-25 (FY25). The company had reported Rs 138 crore in net profit during the same period last year.  Sequentially, net profit fell 66.5 per cent from Rs 176 crore reported in Q2FY25.

 

This drop in profit has been attributed to rising expenses linked to the expansion of its quick commerce platform, Blinkit. Despite the profit slump, the food delivery giant saw its revenue grow significantly.  Zomato's revenue surged 64.9 per cent to Rs 5,405 crore in the October-December quarter compared to the same period last year, reflecting strong demand and expansion efforts. In Q3FY24, the company had reported Rs 3,288 crore in consolidated revenue from operations. Quarter-on-quarter, Zomato saw a 12.6 per cent rise in revenue from Rs 4,799 crore.

 

Zomato reported a 128 per cent year-on-year (Y-o-Y) growth in consolidated Adjusted Ebitda (earnings before interest, taxes, depreciation, and amortisation) to Rs 285 crore in Q3 FY25, primarily driven by an improvement in food delivery Adjusted Ebitda margin, which rose to 4.3 per cent of Gross Order Value (GOV) from 3.0 per cent a year ago.

 

However, on a quarter-on-quarter (Q-o-Q) basis, consolidated Adjusted Ebitda declined by 14 per cent (or Rs 45 crore). This decline was attributed to accelerated investments in expanding the quick commerce store network, leading to an increase in quarterly losses by Rs 95 crore Q-o-Q, despite the improvement in food delivery margins, the company said in an exchange filing.

 

Operating segments of the platform include: 

1. India food ordering and delivery
2. Hyperpure supplies (B2B business}
3. Quick commerce
4. Going out
5. All other segments (residual) 

Segment-wise growth

Zomato reported its highest revenue from operations, based on external customers, from its food ordering and delivery segment. In the third quarter, this segment saw 21.6 per cent rise in revenue at Rs 2,072 crore Y-o-Y from Rs 1,704 crore.

 

Quick commerce reported two-fold increase, bringing in Rs 1,399 crore in Q3FY25 compared to Rs 644 crore reported in Q3FY24.

 

Meanwhile, Zomato's 'Going Out' segment's revenue nearly tripled to Rs 259 crore, from Rs 73 crore during the same period last year.

 

In an exchange filing, following the release of its Q3 performance report, Zomato said that they had already opened 1,000 Blinkit stores in India this year. The company added that it would continue to focus on increasing the number of Blinkit stores in India, aiming to reach 2,000 by December 2025. The company also reiterated the launches of its District and Bistro mobile apps.