Swiggy Q1 FY27: loss narrows 34% to Rs 791 Cr, revenue up 37%
Swiggy's June quarter shows a company growing fast and losing less. The growth is not coming from where most brands assume.
- Revenue Rs 6,812 crore, up 37 percent; net loss Rs 791 crore
- Scootsy distribution is about 47 percent of reported revenue
- Food delivery EBITDA of Rs 299 crore funds quick commerce
- Advertising and promotion spend of Rs 1,160 crore in one quarter
Swiggy closed the June quarter with operating revenue of Rs 6,812 crore, up 37 percent from Rs 4,961 crore a year earlier, and a consolidated net loss of Rs 791 crore against Rs 1,197 crore in Q1 FY26.
The segment split matters more than the headline. Scootsy, the supply chain and distribution arm, contributed Rs 3,195 crore, up 41 percent and close to 47 percent of total revenue. Food delivery brought in Rs 2,208 crore, up 23 percent. Instamart added Rs 1,232 crore, up 53 percent. Dining out contributed Rs 126 crore.
On profitability, food delivery posted positive EBITDA of Rs 299 crore while quick commerce ran a segment loss of Rs 651 crore. Total expenditure rose 25 percent to Rs 7,813 crore, with procurement at Rs 2,975 crore, delivery costs at Rs 1,750 crore, advertising and sales promotion at Rs 1,160 crore and employee benefits at Rs 662 crore.
For brands, three things follow. First, nearly half of Swiggy’s reported revenue is now B2B distribution through Scootsy, so top line growth is not a clean read on consumer demand. Second, an advertising and promotion line of Rs 1,160 crore in a single quarter shows how much category visibility is still bought rather than earned. Third, the loss is narrowing because food delivery is funding quick commerce, not because quick commerce has stopped burning cash. Plan trade terms and joint business plans on the assumption that Instamart keeps pushing for margin rather than volume through the rest of FY27.
Zane’s analysis draws on original reporting by Entrackr. Read the original report.