SWIGGY - Swiggy

📊 NSE: SWIGGY 🏢 Miscellaneous 📅 Last Updated: 12/14/2025 14:02

💰 Financial Performance

Revenue Growth by Segment

Food Delivery Gross Order Value (GOV) grew 43.7% over the last 2 years, with Adjusted Revenue growing 96.8% in the same period. Quick Commerce GOV grew 107.6% YoY to INR 7,022 Cr in Q2FY26. Out-of-Home Consumption GOV grew 52.5% YoY to INR 1,118 Cr in Q2FY26. Supply Chain & Distribution revenue reached INR 2,560 Cr in Q2FY26.

Geographic Revenue Split

Not disclosed in available documents, though the company operates across major Indian urban centers with a focus on dark store expansion in high-demand regions.

Profitability Margins

Food Delivery Adjusted EBITDA margin improved to 2.8% of GOV in Q2FY26 from 2.0% in FY25. Quick Commerce Adjusted EBITDA margin improved to -12.1% of GOV in Q2FY26 from -18.0% in Q4FY25. Out-of-Home Consumption has been profitable for 3 consecutive quarters, reaching an Adjusted EBITDA of INR 6 Cr in Q2FY26.

EBITDA Margin

Food Delivery generated an annualized Adjusted EBITDA of ~INR 960 Cr in Q2FY26. Group-level profitability is improving as Quick Commerce losses reduced from -18.0% of GOV in Q4FY25 to -12.1% in Q2FY26.

Capital Expenditure

Capital expenditure was INR 188 Cr in Q2FY26, representing a 55.7% reduction from the INR 425 Cr spent in Q4FY25 as upfront network investments stabilized.

Credit Rating & Borrowing

Not disclosed in available documents; however, the company maintains a strong cash position of INR 7,005 Cr (proforma for Rapido stake-sale) and recently raised capital via QIP at INR 375 per share.

⚙️ Operational Drivers

Raw Materials

Primary operational costs include 'Purchases of stock-in-trade' for the Quick Commerce segment (FMCG and groceries) and 'Delivery and related charges' which represent the cost of the delivery network.

Import Sources

Not disclosed in available documents; procurement is primarily domestic from wholesalers and brand partners.

Key Suppliers

Suppliers include various FMCG brands for Instamart and over 44,400 active restaurant partners for the Food Delivery segment.

Capacity Expansion

Quick Commerce capacity is measured by dark stores, with an average area of 3,199 sq ft per store in Q2FY26. Expansion is funded by QIP proceeds for dark stores and warehouses.

Raw Material Costs

Purchases of stock-in-trade and delivery charges are the primary costs. Delivery costs as a % of GOV are being optimized through operating leverage as order density increases.

Manufacturing Efficiency

Operational efficiency in Quick Commerce is tracked via orders per darkstore per day, which rose to 1,025 in Q2FY26, up from 985 in Q1FY26.

Logistics & Distribution

Delivery and related charges are a major expense, though operating leverage is playing out as visible in the 590bps improvement in Quick Commerce margins over the last two quarters.

📈 Strategic Growth

Expected Growth Rate

107.60%

Growth Strategy

Growth will be achieved by expanding the quick commerce fulfillment network (dark stores/warehouses), investing in technology and cloud infrastructure, and aggressive brand marketing. The company is also utilizing QIP proceeds for inorganic growth through unidentified acquisitions.

Products & Services

Food delivery services, Instamart grocery delivery, Dineout restaurant table bookings and discounts, and Supply Chain & Distribution services for wholesalers.

Brand Portfolio

Swiggy, Instamart, Dineout, SteppinOut, Scootsy, SuprDaily, and Lynks.

New Products/Services

Supply Chain and Distribution services for wholesalers/retailers and value-added services in the authorized distribution model are expected to increase operating margins.

Market Expansion

Expansion of the dark store network and scaling Instamart across urban regions using QIP proceeds and IPO capital.

Market Share & Ranking

Quick Commerce now accounts for 42% of total B2C GOV, up from 30% in Q2FY25, indicating rapid market share gains within the internal portfolio.

Strategic Alliances

Strategic stake in Rapido (sale expected to yield INR 2,400 Cr) and collaborations with restaurant partners for co-creating propositions.

🌍 External Factors

Industry Trends

The industry is shifting toward Quick Commerce, which grew 107.6% YoY for Swiggy. There is a trend toward 'unparalleled convenience' and integrated apps for food, grocery, and dining.

Competitive Landscape

Intense competition in Quick Commerce and Food Delivery requires constant optimization of customer incentives and upfront investments in network building.

Competitive Moat

Swiggy's moat is built on network effects (Food Delivery user base cross-pollinating to Instamart/Dineout) and brand recall. Quick Commerce now accounts for ~80% of Food Delivery GOV, showing high ecosystem stickiness.

Macro Economic Sensitivity

Revenue is sensitive to discretionary income levels, particularly for the Out-of-Home Consumption segment which is expected to expand as discretionary incomes rise.

Consumer Behavior

Shift toward rapid delivery (Quick Commerce) and integrated platform usage for all consumption needs.

⚖️ Regulatory & Governance

Industry Regulations

Operations are subject to data-related regulations, e-commerce logistics rules, and digital payment regulations.

Environmental Compliance

The company has established 2030 sustainability goals highlighting a commitment to responsible growth.

Taxation Policy Impact

The group reported a tax expense of INR 4 Cr for the half-year ended September 2024 against a loss before tax of INR 1,237 Cr.

Legal Contingencies

The company reported a loss before tax of INR 1,237 Cr for the half-year ended September 30, 2024. Specific values for pending court cases are not disclosed in the provided summaries.