Swiggy's Instamart Achieves Contribution Margin Breakeven

Swiggy's quick commerce division, Instamart, has achieved contribution margin breakeven, reporting a positive margin of 0.2% on its gross order value (GOV) of ₹7,907 crore for the first quarter of fiscal year 2027. The company announced the achievement based on its shareholders' letter.

The contribution margin is calculated as the difference between adjusted revenue and the sum of fees and discounts. Instamart reached this operational milestone in May 2026, driven by an increase in revenue per order (RPO), which rose to ₹108 from ₹97 in the previous quarter (Q4 FY26).

Alongside the improved margin, Instamart also narrowed its adjusted EBITDA loss to ₹778 crore in Q1 FY27, a decrease from ₹896 crore in the same quarter of the previous fiscal year. This indicates enhanced operational efficiency despite ongoing investments in expanding its network.

The quick commerce business also saw network expansion, adding 28 new darkstores during the June quarter. This brings Instamart's total network to 1,171 darkstores spread across 131 cities.