Swiggy , India's leading food delivery and quick commerce platform, reported robust growth in its Q2 results, with significant improvements in key business segments despite an increase in net loss.

Financial Highlights

• B2C Gross Order Value (GOV) reached ₹16,683.00 crore, representing a 47.6% YoY growth
• Consolidated adjusted revenue grew to ₹5,911.00 crore, a 52.6% YoY increase
• Net loss expanded to ₹1,092.00 crore, up from ₹626.00 crore in the same quarter last year
• Consolidated adjusted EBITDA loss was ₹695.00 crore, improving from ₹813.00 crore in Q1

Segment Performance

Food Delivery

• GOV of ₹8,542.00 crore, showing 18.8% YoY growth
• Adjusted EBITDA margin improved to 2.8%

Quick Commerce

• GOV of ₹7,022.00 crore, demonstrating a 107.6% YoY growth
• Average order value reached ₹697.00, a 40% YoY increase
• 40 new dark stores added, reaching a total of 1,102 stores across 128 cities
• Profit margins improved from -4.6% in Q1 to -2.6% in Q2

Operational Insights

• Platform monthly transacting users grew 34% YoY to 22.9 million
• The company incorporated a step-down subsidiary, "Swiggy Instamart Private Limited," to house its Instamart business
• Board approved the transfer of the quick commerce business to this subsidiary through a slump sale, subject to shareholder approval

Strategic Moves and Fundraising

• Swiggy announced plans to sell its 12% stake in Rapido for ₹2,400.00 crore
• The Board will consider fundraising up to ₹10,000.00 crore through QIP route
• A Board meeting is scheduled for November 7 to discuss potential fundraising options

Market Response

Swiggy shares closed 0.23% lower at ₹418.00 on the day of the announcement. While the stock remains above its IPO price of ₹390.00, it has seen a 23% decline.

Outlook

Swiggy's Q2 results demonstrate strong growth across its business segments, particularly in quick commerce. The improvement in food delivery margins and quick commerce profitability are positive signs. While net losses have increased, the company's strategic moves, including potential fundraising and business restructuring, indicate a focus on long-term profitability and market leadership. The significant growth in user base and order values suggests continued consumer adoption of Swiggy's services, positioning the company for future growth in the competitive food delivery and quick commerce sectors.

Swiggy , the popular food delivery platform, is gearing up to reveal its financial performance for the second quarter of the fiscal year. The company has scheduled a board meeting on October 30 to approve the unaudited standalone and consolidated financial results for the quarter and half-year ended September 30.

Key Highlights

• Board Meeting Date: October 30
• Earnings Call: Scheduled for 5 p.m. on the same day
• Results Coverage: Q2 and H1 FY2024 (ended September 30)

Previous Quarter Performance

To provide context for the upcoming results, let's take a look at Swiggy's performance in the previous quarter:

Recent Stock Performance

Swiggy's stock has shown mixed performance across different time frames:

As of Wednesday morning, Swiggy's stock was trading at ₹424.70, up 0.62% from the previous close.

Investors and analysts will be watching Swiggy's Q2 results to gauge the company's financial health and growth trajectory. The scheduled earnings call is expected to provide further insights into the company's performance and future strategies.

As the food delivery and quick commerce sectors continue to evolve, Swiggy's financial results will be closely scrutinized for indicators of market trends and the company's competitive positioning.