Swiggy Narrows Losses, Quick Commerce Arm Achieves Breakeven

Indian food delivery platform Swiggy has significantly narrowed its net losses during the first quarter of the fiscal year. The company’s core food delivery business continued its growth trajectory despite margin pressures, while its quick commerce arm, Instamart, reached a key breakeven point.

In the first quarter, Swiggy's net loss decreased by 34% year-on-year to INR 791 crore. Operating revenue saw a 36.8% year-on-year increase, reaching INR 6,812 crore, while expenses rose by 25% to INR 7,813 crore.

The breakeven achieved by Instamart was a significant development. This turnaround was driven by stronger monetization, an increase in average revenue per order to INR 108, and a strategic decision to prune over 4 million unprofitable users from its base. The quick commerce network was also expanded with 28 new dark stores.

Growth in the traditional food delivery segment faced temporary headwinds, including supply chain disruptions, seasonal impacts like monsoons, annual salary hikes, and increased investments in delivery partners. However, the company reiterated its medium-term guidance of 18–20% GOV growth amidst intensifying competition.

Swiggy is also investing in new ventures such as Toing for affordable food delivery and the Crew concierge platform, although these remain loss-making. In contrast, the company’s supply chain and distribution arm saw a sharp reduction in losses to INR 8 crore, with revenues surging to INR 3,195 crore.