Amid widening losses, strong user addition drives growth for Zomato in Q2

Despite widening losses, stock gains on top-line showing, acquisition plans

The country’s largest listed foodtech company, Zomato, surprised the Street with strong top-line performance in the September quarter. Aided by a 158 per cent jump in gross order value (GoV) year-on-year (YoY) in the India food delivery business, revenue for the company was up 140 per cent YoY.

On a sequential basis, growth came in at 21 per cent and was significantly higher than Street estimates. Growth in GoV was due to a higher number of restaurants, delivery partners, and transacting customers on its platform.

The company indicated that the 26 per cent increase in the number of transacting users