 Morning Dispatch |
Swiggy Q1 losses narrow; Groww founders plan new fund
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Happy Friday! Swiggy trimmed its losses in the April-June quarter as revenue rose. This and more in today’s ETtech Morning Dispatch.
Also in the letter:
■ Salil Parekh’s plans post Infosys
■ Sarvam’s new appointment
■ Kissht eyes growth
Sriharsha Majety, Group CEO, Swiggy
Swiggy narrowed its loss while reporting strong revenue growth in the first quarter of FY27.
Financials:
Swiggy expects Instamart to achieve adjusted earnings before interest, taxes, depreciation and amortisation (Ebitda) breakeven once quarterly orders reach 250-300 million, up from 114.5 million in the April-June quarter.
Also Read: Instamart operating-level breakeven hinges on order volumes expanding 2.5x
Yes, but: The quick commerce unit’s push towards profitability, however, came at the expense of growth. Order volume increased 24% year-on-year to 114.5 million, compared with a 27% increase in the January-March quarter.
New driver: CEO Sriharsha Majety said on an earnings call that a key focus area for Sinha would be to build on Instamart’s differentiated assortment approach. “We want to build on the early momentum we saw in the first quarter with our differentiated assortment strategy and take that flywheel to the next level,” he said.
Also Read: Competition poses no risk to food delivery, company in a strong position: Swiggy
(L-R) Harsh Jain, Lalit Keshre, Ishan Bansal and Neeraj Singh, cofounders, Groww
Groww’s four cofounders are setting up a Rs 400-500 crore seed and early-stage fund using their own capital to back consumer internet and deeptech startups.
It marks a sharp scale-up from their first Rs 65 crore fund, which was launched in 2023.
The setup
Salil Parekh has no intention of retiring to the quiet life once his term as Infosys CEO ends. After helping CEO-designate Ashiss Kumar Dash adjust and settle into the new role, Parekh will look for something else to "add value," he told ET's Jochelle Mendonca and Manu P Toms. Edited excerpts.
Highlights at Infosys: It’s been a huge sort of privilege to be in this position at Infosys. The revenues doubled… from $10 billion to $20 billion. The number of employees went up from about 200,000 to just over 300,000. We (are) one of the fastest growing at about 8% over that period. We’ve done something like $100 billion of large deals.
What’s next: Infosys is very close to my heart; I’ll always be available. I’m enjoying what I’m doing, so I will look to do something else after that as well. I’m hoping to do something where I can add value.
On transition: Dash is a great leader and we worked together for many years. We are now going to work together to make sure that he starts to see the overall scope of the business. He will start to engage in different aspects of the business. Initially, he’s going to get some additional training in the next few months and then get into the overall exposure.
Also Read: Infosys Q1 profit rises 12% and revenue 14%; Ashiss Kumar Dash to take charge next fiscal
Sarvam new appointment: AI startup Sarvam AI has appointed Devendra Singh Chaplot, a founding member of Mira Murati’s Thinking Machines Lab (TML) and Mistral AI, as an advisor.
Kissht expects to beat 40% growth target: Digital lender Kissht expects to exceed its guidance of more than 40% growth in assets under management (AUM) in FY27 after a strong first quarter, as improving repayment trends have allowed it to resume lending in certain pin codes where it had paused originations due to concerns about borrower stress.
■ ByteDance’s big bet on AI (FT)
■ With Moonshot’s free Kimi K3, China changes the sovereign AI playbook (Rest of World)
■ Dancing dots: The motion-sickness cure hidden in iPhone settings (BBC)
Also in the letter:
■ Salil Parekh’s plans post Infosys
■ Sarvam’s new appointment
■ Kissht eyes growth
Swiggy losses narrow as Q1FY27 revenues grow 37%
Swiggy narrowed its loss while reporting strong revenue growth in the first quarter of FY27.
Financials:
- Net loss: Down 34% year-on-year (YoY) to Rs 791 crore from Rs 1,197 crore.
- Revenue from operations: Up 37% YoY to Rs 6,812 crore from Rs 4,961 crore.
- Total income: Up 39% to Rs 7,023 crore.
- Total expenses: Up 25% YoY to Rs 7,813 crore.
Swiggy expects Instamart to achieve adjusted earnings before interest, taxes, depreciation and amortisation (Ebitda) breakeven once quarterly orders reach 250-300 million, up from 114.5 million in the April-June quarter.
Also Read: Instamart operating-level breakeven hinges on order volumes expanding 2.5x
Yes, but: The quick commerce unit’s push towards profitability, however, came at the expense of growth. Order volume increased 24% year-on-year to 114.5 million, compared with a 27% increase in the January-March quarter.
New driver: CEO Sriharsha Majety said on an earnings call that a key focus area for Sinha would be to build on Instamart’s differentiated assortment approach. “We want to build on the early momentum we saw in the first quarter with our differentiated assortment strategy and take that flywheel to the next level,” he said.
Also Read: Competition poses no risk to food delivery, company in a strong position: Swiggy
Groww founders plan Rs 400-500 crore fund for consumer, deeptech startups
Groww’s four cofounders are setting up a Rs 400-500 crore seed and early-stage fund using their own capital to back consumer internet and deeptech startups.
It marks a sharp scale-up from their first Rs 65 crore fund, which was launched in 2023.
The setup
- Lalit Keshre, Ishan Bansal, Harsh Jain and Neeraj Singh will be general partners, supported by a small dedicated investment team.
- The vehicle will deploy capital over two to three years and write larger cheques than the first fund, which invested up to Rs 5 crore.
- Consumer remains the core thesis, while deeptech bets will cover AI and other frontier technologies that require longer gestation periods.
- The founders are institutionalising their angel investing without bringing in external limited partners.
- The move follows a liquidity event for the promoter group. In May, the promoter group sold stake worth Rs 250-260 crore.
- Groww founders join a list of founder-led platforms such as Titan Capital, but differs by remaining entirely funded by Groww’s four cofounders.
Will aim to make Groww India's largest wealth platform: CEO Lalit Keshre
Online investment platform Groww plans to make wealth management a key growth area over the next decade as it looks to expand beyond broking, CEO Lalit Keshre said in the company's annual report.- Affluent users: Doubled to around 400,000 in FY26 from 200,000 a year earlier. (Groww defines affluent users as customers with at least Rs 25 lakh in assets on the platform.)
- Revenue from affluent users: Up to Rs 492 crore from Rs 230 crore.
- Average annual revenue per affluent user: Up 21% to Rs 16,604.
Not retiring, will continue to look to add value after Infosys tenure ends: Salil Parekh
Salil Parekh has no intention of retiring to the quiet life once his term as Infosys CEO ends. After helping CEO-designate Ashiss Kumar Dash adjust and settle into the new role, Parekh will look for something else to "add value," he told ET's Jochelle Mendonca and Manu P Toms. Edited excerpts.
Highlights at Infosys: It’s been a huge sort of privilege to be in this position at Infosys. The revenues doubled… from $10 billion to $20 billion. The number of employees went up from about 200,000 to just over 300,000. We (are) one of the fastest growing at about 8% over that period. We’ve done something like $100 billion of large deals.
What’s next: Infosys is very close to my heart; I’ll always be available. I’m enjoying what I’m doing, so I will look to do something else after that as well. I’m hoping to do something where I can add value.
On transition: Dash is a great leader and we worked together for many years. We are now going to work together to make sure that he starts to see the overall scope of the business. He will start to engage in different aspects of the business. Initially, he’s going to get some additional training in the next few months and then get into the overall exposure.
Also Read: Infosys Q1 profit rises 12% and revenue 14%; Ashiss Kumar Dash to take charge next fiscal
Other Top Stories By Our Reporters
Sarvam new appointment: AI startup Sarvam AI has appointed Devendra Singh Chaplot, a founding member of Mira Murati’s Thinking Machines Lab (TML) and Mistral AI, as an advisor.
Kissht expects to beat 40% growth target: Digital lender Kissht expects to exceed its guidance of more than 40% growth in assets under management (AUM) in FY27 after a strong first quarter, as improving repayment trends have allowed it to resume lending in certain pin codes where it had paused originations due to concerns about borrower stress.
Global Picks We Are Reading
■ ByteDance’s big bet on AI (FT)
■ With Moonshot’s free Kimi K3, China changes the sovereign AI playbook (Rest of World)
■ Dancing dots: The motion-sickness cure hidden in iPhone settings (BBC)
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