Zomato Q1 Results: Revenue increases 67% YoY, net loss reduces to Rs186 crore

2 Aug 2022 , 07:54 AM

Compared to the March quarter’s net loss of Rs359.70 crore and the June quarter’s net loss of Rs360.70 crore, Zomato reported a lowering of its overall net loss to Rs186 crore on Monday.

The combined operating revenue increased 67.44% year over year to Rs1,413.90 crore from Rs844.40 crore in the same quarter last year. According to a BSE filing by the company, Ebitda loss was decreased to Rs150 crore.

According to Zomato, their meal delivery service saw a 15% sequential increase and adjusted Ebitda break-even.

Growth in gross order value (GOV), which increased by 10% sequentially to Rs6,430 crore in the June quarter, and growth in revenue per order were the main drivers of revenue growth.

When compared to the prior quarter, strong growth in order volumes and modest growth in average order values contributed to GOV growth.

“The food delivery industry achieved a significant milestone in terms of profitability last quarter when it reached Adjusted Ebitda break-even. As previously mentioned, improvements on both the cost and revenue side drove the contribution as a percentage of GOV to climb to 2.8% in Q1FY23 from 1.7% in Q4FY22 “said Zomato.

Revenue for Hyperpure (B2B supply) increased to Rs270 crore in Q1FY23 by a 40% QoQ and 260% YoY increase. The adjusted Ebitda loss margin decreased from 20% in the fourth quarter of FY22 to 13% in the first quarter of FY23.

“Infrastructure rather than demand is what is limiting this industry’s expansion (supply chain, warehousing, last-mile delivery, etc.). And after four years of diligent work, we have a quality infrastructure in place in many places, and we are now experiencing tremendous development “said Zomato.