BB & Associates, auditor of Zomato subsidiary Hyperpure resigns

Food and grocery delivery platform Zomato said on Saturday that the statutory auditor of its business-to-business (B2B) supplies vertical Hyperpure has resigned. BB & Associates, which was appointed as the auditor for Hyperpure in July 2021 for a period of five years, has completed the audit of the Zomato subsidiary for 2022-23 (April-March).

In a letter to the board of directors of Zomato Hyperpure Pvt Ltd, BB & Associates wrote: “Further to our various discussions with the management of Zomato Limited, holding company, we understand that they want to appoint one of the large audit firms as statutory auditors of the company (Hyperpure). Accordingly, we have agreed to step down as statutory auditors of the company with effect from May 13, 2023”.

“We have completed the statutory audit of the company for the financial year ended March 31, 2023 and issued the audit report to the board of directors of the company on May 12, 2023,” it added.


The letter has been filed by Zomato with the stock exchanges. Deloitte Haskins & Sells is the statutory auditor to Zomato, and reviews the unaudited consolidated financials of the Gurgaon-based company.

For the quarter-ended December 31, Zomato reported Hyperpure’s revenue growing 26% quarter-on-quarter and 169% year-on-year to Rs 421 crore. The company said it was focussing on growing the vertical over achieving profitability.

“At this time, we are choosing growth over profitability in this business... because Hyperpure is a multi-city business with each city at a different stage on the profitability curve. Our oldest city Bangalore (4+ years old) is already close to being profitable and hence the newer cities are the largest contributor to losses in this business,” Zomato chief executive Deepinder Goyal had said.

The company had also pointed out that Hyperpure has started to tap into the quick commerce opportunity. A portion of the revenue growth witnessed by the B2B vertical during the December quarter was on account of goods supplied to the sellers on Zomato-owned quick-commerce platform Blinkit’s marketplace.

Zomato is expected to announce its earnings for the quarter ended March 31 and 2022-23 (April-March) on May 19.

On Friday, Zomato’s stock ended trading 0.1% higher than its previous close at Rs 62.57 on the BSE.