This is the first instance when Zomato has dropped below its issue price of Rs 76.
Shares of Zomato plunged sharply on Tuesday continuing the downward trend after posting its quarterly numbers for the December quarter of the current financial year 2021-22.
The food delivery company had narrowed consolidated net loss to Rs 67.2 crore for the third quarter (Q3) as against Rs 352.6 crore in the same quarter last fiscal.
Though, the company's expenses in Q3 had surged on a yearly basis.
Zomato shares fell as much as 8.07 per cent to hit an all-time low of Rs 75.75.
This is the first instance when the stock has dropped below its issue price of Rs 76.The food-tech firm has plunged around 20 per cent in the last four trading sessions.During the Q3, Zomato had said the reduction in customer delivery charges and a soft impact of post-Covid-19 reopening, including some shift from delivery to dining out, resulted in a weak gross order value growth.Zomato's total expenses in the Q3 were higher at Rs 1,642.6 crore as against Rs 755.7 crore in the same period last fiscal.
"Zomato reported lukewarm results in Q3 FY22," according to a research report by JM Financial Institutional Securities Limited.The food delivery firm had made a strong debut at the exchanges in July last year.
This year, the stock has declined more than 40 per cent amid a recent sell-off in new-age tech stocks.