Zomato Q1 Results: Net Profit Skyrockets to Rs 253 Crore Vs Rs 2 Crore YoY; Shares Hit All-Time High

Zomato on Thursday posted a huge jump in its consolidated net profit to Rs 253 crore for the June 2024 quarter, as compared with Rs 2 crore in the year-ago period. Its revenue from operations during April-June 2024 stood at Rs 4,206 crore, which is 74 per cent higher as compared with Rs 2,416 crore a year ago.

Its food and grocery delivery services have contributed substantially to its performance.

The company’s food delivery income jumped to Rs 321 crore in Q1 FY25, compared Rs 186 crore a year ago.

Following the results, the company’s shares jumped 3.7 per cent to hit an all-time high of Rs 238 apiece on the BSE.

Its total expenses also rose to Rs 4,203 crore during the quarter under review, from Rs 2,612 crore a year ago.

The reporting segments for the group include the food ordering and delivery business, Hyperpure Supplies (B2B), its quick commerce offering Blinkit, the going out segment and all other residual segments.

In a letter to shareholders, Zomato Chief Financial Officer Akshant Goyal shared that the gross order value (GOV) growth across its B2C businesses (food delivery, quick commerce and Going-out) accelerated to 53 per cent YoY (14 per cent QoQ) to Rs 15,455 crore.

“On the profitability front, consolidated Adjusted EBITDA increased by Rs 287 crore YoY to Rs 299 crore in Q1FY25 driven by margin expansion in all the four businesses. Business turned Adjusted EBITDA positive exactly one year ago (in Q1FY24), and within a year we are now at an annualised profit of about Rs 1,200 crore,” Goyal shared.

Blinkit co-founder and CEO Albinder Dhindsa said the quick commerce firm sees a line of sight of getting to about 2,000 stores for its current business.

“Most of these stores would be in the top 10 cities in India,” he said, adding that beyond the large cities, the size of the market is still undiscovered.