Swiggy Q3 Results : Food delivery and quick commerce platform Swiggy has announced its financial results for the October-December quarter after market close on Thursday, January 29. The company has incurred a net loss of Rs 1,065 crore compared to the net loss of Rs 800 crore in the same period last year. The company’s consolidated revenue increased by 54 percent on an annual basis in this quarter to Rs 6,148 crore. But despite this its losses have increased. This increase in revenue was due to strong growth in the quick-commerce segment. This led to an improvement in the company’s top-line performance.
Last year, during this period, the company had achieved a revenue of Rs 3,993 crore. Compared to the previous quarter, revenue has improved by 10.55 percent. Whereas in the September quarter it stood at Rs 5,561 crore. At the same time, the company’s adjusted EBITDA loss has increased from Rs 490 crore to Rs 712 crore on an annual basis.
Quick Commerce GOV doubles to Rs 7,938 crore
Swiggy’s quick-commerce business outperformed its core food delivery segment in the quarter. Gross order value (GOV) of the quick-commerce business grew by 103.2 per cent year-on-year and 13 per cent quarter-on-quarter to Rs 7,938 crore. This is the fourth consecutive quarter when there has been more than 100 percent annual growth.
The company added users doing 0.8 million monthly transactions during this period and increased its Darkstore network by 34 stores to 136 in 31 cities. The company also increased the average size of its darkstore, bringing the total active darkstore area to 4.8 million square feet.
Average order value grew by nearly 40% YoY to ₹746 due to continued expansion of non-grocery products and larger basket sizes. Contribution margin improved by 9 basis points over the previous quarter and by 208 basis points year-on-year to -2.5 percent. While adjusted EBITDA margin improved by 65 basis points compared to the previous quarter to -11.4 percent. However, the loss increased by Rs 59 crore compared to the previous quarter to Rs 908 crore.
Food delivery segment showed stable performance
The company’s food delivery business has performed stable in the third quarter. GOV of this segment has increased by 20.5 percent on annual basis to Rs 8,959 crore. This is the highest growth rate seen in the last three years. Due to the rapid pace of user addition during the third quarter, users transacting per month grew 22% year-over-year to 18.1 million.
The adjusted EBITDA of this segment improved by 13.1 percent compared to the previous quarter and reached Rs 272 crore. Its adjusted EBITDA margin of GOV reached 3 percent, its highest level in the last two years.