INSUBCONTINENT EXCLUSIVE:
aggregator's net loss narrowed to Rs 251 crore for the September quarter (Q2FY23), as against Rs 429.6 crore, in the year-ago period.
The
company's revenue, too, increased 62.2 per cent year-on-year (YoY) to Rs 1,661 crore in Q2FY23 as against Rs 1,024 crore in Q2FY22
Blinkit (quick commerce) closed on August 10, 2022, only 50 days of Blinkit consolidated results contributed into overall financials, the
company said.
Adjusted Ebitda losses for Zomato (ex-quick commerce) for the quarter, however, was down to Rs 60 crore as compared to Rs 310
The management expected the adjusted Ebitda loss (ex-quick commerce) to come down further and eventually get to break-even in the next 2 to
4 quarters.
"The increase in contribution margin was driven by improvements on both cost and revenue side
This has been the result of scale and heightened focus on profitability over the last few quarters," the company said.Analysts at ICICI
calibration of employee expenses and marketing spends
The brokerage firm, therefore, estimates EBITDA margin of -1.3 per cent by FY24E.
"The hyperpure business (B2B e-commerce vertical of
Zomato) is likely to benefit from growth in the overall segment
However, scale-up of Hyperpure will be contingent on significant investments in building refrigerated supply chains and technology for
per share.
Besides, analysts at JPMorgan expect the food business to break even by Q1FY24, and overall business in Q3FY24.
"The combined
business is likely to benefit from better unit economics as Blinkit drives up frequencies and Zomato drives traffic, which will eventually
drive CAC/delivery costs down and take-rates up, the brokerage firm said.
At 02:13 pm, shares of Zomato traded 12 per cent higher at Rs
71.75 apiece, as compared to 1.9 per cent rise in the S-P BSE Sensex
The average trading volumes on the counter jumped over five-fold as around 344 million equity shares, representing 4 per cent of total
equity of Zomato, had changed hands on the NSE and BSE.
Meanwhile, in the past three months, the stock outperformed market as shares gained
25 per cent, as against 3.9 per cent rise in the S-P BSE Sensex
The stock has recovered 78 per cent from its record low price of Rs 40.55, which it had touched on July 27, 2022.
In the past one year,
however, the market price of Zomato has almost halved, as against 3 per cent gain in the benchmark index
That apart, it had hit an all-time high of Rs 169 on November 16, 2021.
