Swiggy Posts 45% Spike In FY23 Revenue, Loss Widens Past Rs 4,000 Crore

Swiggy's revenue surged, but losses expanded past the Rs 4,000-crore mark in FY23, even as its core food delivery business turned profitable.

The Bengaluru-based unicorn's revenue from operations came in at Rs 8,264.6 crore, up 45% from Rs 5,705 crore in FY22, according to financial statements filed via Tofler. The company's loss widened to Rs 4,179 crore from Rs 3,629 crore in the previous fiscal.

The company also incurred cash losses of Rs 3,096.5 crore in FY23.

In May, the company's Chief Executive Officer, Sriharsha Majety, said Swiggy’s food delivery business had turned profitable as of March 2023.

However, its quick commerce arm, Instamart, continued to burn and weigh on the balance sheet. "Our quick commerce offering, Instamart, has grown 30 times in two years while significantly reducing its year-on-year operating burn," it said in a statement in the filing.

"Post-business recovery from Covid in FY22, our revenues have grown 42% in FY23, particularly on the back of the expansion of our quick commerce offering. On the back of top line growth and reducing operating burn in both food delivery and quick commerce, we saw our profit before tax margin (as a percentage of revenue) improve by 11% year-on-year," it said.

In comparison, listed rival Zomato Ltd. posted Rs 7,079.4 crore in revenue from operations in FY23, with a loss of Rs 971 crore.

Swiggy is also planning to file its initial public offering by the end of this fiscal, which may comprise an offer-for-sale along with a fresh issue.

The company is also reportedly slashing about 400 jobs as it looks to shed costs ahead of the IPO.

Long-time investor Invesco recently raised the fair value of its stake for the second time in a row at around $8.3 billion, up from $7.85 billion.