Swiggy Q1 Results: Net loss narrows to Rs 791 crore; revenue jumps 37% YoY

Food delivery and quick commerce major Swiggy on Thursday reported a consolidated net loss of Rs 791 crore for the first quarter of FY27, marking a nearly 34% year-on-year decline from the net loss of Rs 1,197 crore reported in the year-ago period.

Revenue from operations rose more than 37% YoY to Rs 6,812 crore during the April-June quarter of FY27, compared with Rs 4,961 crore in the year-ago period.

Swiggy’s total income rose over 39% YoY to Rs 7,023 crore, while total expenses increased more than 25% YoY to Rs 7,813 crore during the quarter under review. Among the segments, Swiggy’s food delivery segment reported a revenue growth of 23% YoY to Rs 2,208 crore. The food delivery segment gross order value (GOV) grew more than 17% YoY to Rs 9,490 crore. Its Monthly Transacting Users (MTU) rose around 18% YoY to 1.92 crore.


The company said Q1 margins were impacted by seasonal factors and annual salary hikes during the quarter, adding that the margin pressure is expected to normalise over the rest of the year.

Instamart Q1 performance

Instamart, the company’s quick commerce arm, reported Rs 778 crore loss, while revenue from operations soared nearly 53% YoY to Rs 1,232 crore. Instamart’s GOV rose nearly 40% YoY to Rs 7,907 crore, while contribution margin improved 440 bps to 0.2%.

Instamart added 28 dark stores during the quarter, taking its network to 1,171 stores across 131 cities. The quick commerce business now spans 4.9 million sq ft of retail space, up nearly 15% year-on-year.

Meanwhile, Toing, Swiggy's standalone budget food delivery platform, expanded to 50 cities. The company said two out of every three new Toing users were first-time category users, helping restaurant partners achieve greater scale through higher order volumes.

Swiggy's Out-of-Home (OOH) business also maintained strong momentum, with gross order value (GOV) rising 44.8% year-on-year.

Food delivery economics continue to strengthen as Swiggy innovates across affordability and consumer propositions to broaden adoption and unlock the next 100 million users in the category, said the company’s MD & Group CEO Sriharsha Majety. He added that out-of-home consumption remains a profitable, fast-growing part of our business, making meaningful progress.

“In quick commerce, we delivered contribution breakeven exactly as we guided a year ago- a milestone that marks a real inflection point for the business. As base-level assortment in quick commerce becomes increasingly commoditised, we believe our differentiated assortment strategy will be the engine for our next phase of growth, with further EBITDA improvement driven by scale-led efficiencies,” he further said.

Swiggy’s management on competition in food delivery segment

Swiggy’s management said it believes its competitive position in Food delivery is durable with no near term risks to the underlying growth trajectory. This comes as Flipkart plans to launch a pilot in India's online food delivery sector soon.

“Any new entrant must find a value vector that established platforms do not already serve at scale. Our confidence rests at the back of our “Speed, Selection and Affordability” framework, and we have proactively pre-empted the newer models that can be targeted across these,” Swiggy said.

Instamart growth outlook

The company’s management said Instamart achieved the break-even contribution target in May 2026, and has deliberately decided to incubate certain investment levers in better customer experience (specific investments in improving availability, speed and curated value propositions) from thereon, which resulted in the overall quarter burn coming at -0.2% CM with a slight uptick in marketing spends below CM (apart from annual wage hikes).

“As we calibrate the near term investment choices, we will be making certain real-time decisions to accelerate growth rates while remaining on the path of fiscal discipline. We expect Contribution margins to be rangebound in the zero to -100 bps territory for the next couple of quarters while accelerating the sequential quarterly growth rates. This does not assume any change in the existing competitive landscape. We recognise the need for accelerated growth to achieve Adjusted EBITDA profitability in the business,” it added.

Swiggy share price

Swiggy shares gained 3% to close at Rs 296 apiece on NSE ahead of the earnings announcement. The stock has jumped more than 12% in a week and 23% in a month, although it is down 25% in 2026 so far.

In the longer term, Swiggy shares have fallen around 27% in one year.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)