Zomato Ltd.'s net profit fell in the second quarter of fiscal 2025 to miss analysts' estimates, even as the food delivery giant continued to expand its top line.
Net profit was down 30% at Rs 176 crore in the July-September period. This compares to Rs 253 crore in the preceding quarter ended June 30.
The Gurugram-based company, however, marked its sixth consecutive profitable quarter on a consolidated basis.
Zomato Q2 FY25 Results Key Highlights (Consolidated, QoQ)
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Revenue up 14% to Rs 4,799 crore versus Rs 4,206 crore (Bloomberg estimate: Rs 4,682 crore).
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Ebitda up 28% to Rs 226 crore versus Rs 177 crore (Bloomberg estimate: Rs 209 crore).
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Margins at 4.7% versus 4.2% (Bloomberg estimate: 4.5%).
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Net profit down 30% at Rs 176 crore versus Rs 253 crore (Bloomberg estimate: Rs 245 crore).
Zomato Vs Swiggy: Not Just Quick Commerce But Also Quick Funds Race
Zomato Q2 FY25 Results Key Highlights (Consolidated, YoY)
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Revenue up 69% to Rs 4,799 crore versus Rs 2848 crore.
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Ebitda at Rs 226 crore versus Ebitda loss of Rs 47 crore.
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Margins at 4.7%.
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Net profit up 389% to Rs 176 crore versus Rs 36 crore.
Zomato’s gross order value rose 55% year-on-year to Rs 17,670 crore and 14% rise on a sequestial basis. Excluding the acquisition of Paytm’s entertainment ticketing business, the company's GOV rose 53% on a yearly basis and 13% on a sequential basis. The food delivery segment recorded a 21% YoY growth and a 5% increase QoQ. Quick commerce saw a 122% YoY increase and a 25% rise QoQ, while the going-out segment posted a 171% YoY growth, with a 46% increase QoQ.
In the business-to-business segment, Hyperpure's revenue rose 98% YoY and 22% QoQ. Consolidated adjusted revenue for the quarter increased by 58% YoY and 13% QoQ to Rs 5,127 crore, aligning with the GOV growth.
Zomato’s quick commerce arm, Blinkit, reported newly launched stores reaching around Rs 7 lakh in GOV per day during their first full quarter, achieving contribution break-even. However, the company has not seen margin expansion due to investments in infrastructure, including 152 net new stores and seven warehouses added in the quarter.
Zomato plans to introduce a new district app within the next four weeks to enhance operational efficiency and customer engagement.
Shares of Zomato settled 3.52% lower at Rs 256.35 apiece on the NSE, compared to a 1.25% decline in the benchmark Nifty 50.
Zomato Approves Raising Up To Rs 8,500 Crore Via QIP. Read more on Earnings by NDTV Profit.