Profit loss narrows, revenue soars—So why did Swiggy stock crash 4%?
Mumbai/IBNS: Shares of Swiggy Ltd. fell more than 4 percent in early trade on Friday despite the food delivery and quick-commerce platform reporting a narrower net loss and strong revenue growth for the June quarter, media reports said.
The stock declined as much as 4.28 percent to Rs. 283.25 apiece during the session.
Financial performance
For the quarter ended June 30, 2026 (Q1 FY27), Swiggy reported a consolidated net loss of Rs. 791 crore, narrowing 34 percent from Rs. 1,197 crore in the corresponding quarter last year.
Revenue from operations rose 37 percent year-on-year to Rs. 6,812 crore, surpassing analysts' expectations.
Instamart continues to improve
Swiggy's quick-commerce business, Instamart, showed further improvement in profitability during the quarter.
Its contribution margin improved to -0.2 percent of gross order value (GOV) from -1.8 percent in the previous quarter.
The company attributed the improvement to higher advertising revenue, increased repeat customers and a broader product assortment.
Why did the stock fall?
Despite the stronger financial performance, investors appeared cautious amid intense competition in the quick-commerce segment and concerns over continued investments required to sustain growth, leading to profit booking in the stock.
Support Our Journalism
We cannot do without you.. your contribution supports unbiased journalism
IBNS is not driven by any ism- not wokeism, not racism, not skewed secularism, not hyper right-wing or left liberal ideals, nor by any hardline religious beliefs or hyper nationalism. We want to serve you good old objective news, as they are. We do not judge or preach. We let people decide for themselves. We only try to present factual and well-sourced news.
Support objective journalism for a small contribution.
