Swiggy Q3 results: Net loss widens to Rs 799 crore, GOV grows 38%

(This report has been updated)   Swiggy on Wednesday reported widening of its consolidated net loss to Rs 799 crore for the third quarter of the financial year 2024-25 (Q3FY25) from Rs 574.4 crore a year-ago period, a slippage which the food and grocery delivery platform attributed to a rise in capex on warehousing and dark store infrastructure.

 

It was Swiggy’s second quarterly results post its stock market debut in November 2024. 

 

The company’s consolidated revenue from operations grew 31 per cent year-on-year (Y-o-Y) to Rs 3,993 crore, up from Rs 3,049 crore in Q3FY24. Swiggy’s consolidated total income also went up 30.8 per cent to Rs 4,095.8 crore in Q3FY25, compared to Rs 3,130.9 crore reported in Q3FY24.

 

The firm told the regulator that it expects to achieve “positive adjusted Ebitda by the third quarter of FY26.”

 

When asked about the reasons for widening of the net loss, Swiggy chief financial officer (CFO) Rahul Bothra, attributed it to adjusted Ebitda (earnings before interest, taxes, depreciation, and amortisation), which is a combination of food delivery and investments in quick commerce. ESOP charges also played a role.

 

“Adjusted Ebitda has gone up by Rs 149 crore in the quarter. There is a depreciation increase as a result of the capex that we have spent on both warehousing as well as dark store infrastructure,” said Bothra.

 

Regarding Swiggy’s path to profitability and strategies related to that, Bothra said that in the previous quarter, Swiggy had guided for adjusted Ebitda of break even at the corporate level by October-December quarter in 2025. He said the company is committed to that guidance and this would be driven as a result of the food delivery Ebitda margin, where the firm is witnessing a strong growth.

 

“As a result of food delivery, increasing its cash flow profile and quick commerce getting contribution break-even in the quarter that I mentioned, we believe that we can achieve adjusted profitability,” said Bothra.

 

Swiggy’s gross order value (GOV) grew 38 per cent Y-o-Y to Rs 12,165 crore. The company said the consolidated adjusted (Ebitda) loss reduced by 2 per cent Y-o-Y to Rs 490 crore but rose Rs 149 crore quarter-on-quarter (Q-o-Q).

 

The platform’s Average MTU (monthly transacting users) increased 25.3 per cent Y-o-Y to reach 17.8 million, with nearly a third of all users utilising more than one service on the platform.

 

“We delivered higher Y-o-Y growth across all three of our primary businesses during Q3, which accelerated B2C GOV growth to 38 per cent Y-o-Y,” said Sriharsha Majety, MD and Group CEO, Swiggy.

 

“The secular expansion in food delivery margins and cash flow generation is balanced by growth investments being made in quick-commerce including dark-stores expansion and marketing, amidst high competitive intensity in the near term. With this thrust, Instamart added another 86 stores in January 2025, and has grown MTUs to 9 million (+2 million),” he said.

 

The company continued the focus on creating segmented offerings for the consumer during the festive quarter, which the company believes will open up more consumption occasions.

 

In terms of innovations and technology investments, Rohit Kapoor, CEO Food Marketplace, Swiggy said in recent months, the company introduced Bolt and Snacc (10-minute food delivery), and expanded into new categories within Quick-Commerce.

 

“Bolt has been scaled up to 425 cities, already accounts for 9 per cent of overall food deliveries,” said Kapoor, adding, “While we are innovating, we’re also learning how to innovate without investing additional dollars into the food business.”

 

The company also launched Swiggy Scenes focused on restaurant event reservations, and introduced One BLCK, the premium tier of Swiggy One subscription program.

 

Swiggy’s food delivery business’ gross order value (GOV) grew 19.2 per cent Y-o-Y to Rs 7,436 crore. Adjusted Ebitda grew 63.7 per cent Q-o-Q to Rs 184 crore, delivering a 2.5 per cent margin, up from 0.3 per cent a year ago. The segment also added 2.4 million MTUs over the past year, driven by multiple industry-leading innovations.

 

Swiggy Instamart reported an 88 per cent Y-o-Y (15.5 per cent Q-o-Q) rise in GOV to Rs 3,907 crore. Average order value increased by 14 per cent Y-o-Y to Rs 534 driven by greater selection and increased consumer salience.

 

Instamart added 96 new active stores during the quarter (+16 per cent Q-o-Q); driving up active darkstore area to 2.45 million sq ft (+25 per cent Q-o-Q). Growth investments in quick-commerce led to a reduction in contribution margin from -1.9 per cent in Q2FY25 to -4.6 per cent in Q3FY25, as the company ramped up user activation and dark-store expansion across geographies.