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Zomato Limited announced its financial results for Q2 FY24-25, showcasing a solid revenue performance with noteworthy growth in consolidated earnings. The company continues to strengthen its market position, demonstrating consistent growth across its various segments.
Zomato's consolidated revenue for Q2 FY24-25 stood at ₹4,799 crore, reflecting an impressive year-on-year growth of 68.5%. The company’s profit before tax (PBT) was ₹237 crore, significantly higher compared to the modest ₹21 crore in Q2 FY23.
The primary driver of this revenue growth was the food delivery segment, followed by the robust performance of Hyperpure, Zomato’s B2B supplies vertical. Increased consumer demand and operational efficiencies further contributed to the profit surge.
Metrics | Q2 FY24-25 | Q2 FY23-24 | Y-o-Y Change (%) |
Revenue from Operations | 4,799 | 2,848 | 68.50% |
Other Income | 221 | 212 | 4.20% |
Total Income | 5,020 | 3,060 | 64.10% |
Total Expenses | 4,783 | 3,039 | 57.40% |
Profit Before Tax | 237 | 21 | 1028.60% |
Net Profit | 176 | 36 | 388.90% |
EPS (Basic) | 0.2 | 0.04 | - |
1. Food Delivery
Zomato's food delivery business recorded a revenue of ₹2,012 crore in Q2 FY24-25, growing significantly from ₹1,546 crore in the same quarter last year. This segment accounted for the majority of Zomato's consolidated revenue and continued to drive growth through an increased number of orders and higher average order value.
2. Hyperpure (B2B Supplies)
Hyperpure, Zomato's farm-to-fork supplies initiative, saw a strong revenue growth of 97.7%, reaching ₹1,473 crore compared to ₹745 crore in Q2 FY23-24. This vertical benefited from an increase in the number of restaurants using Zomato's supply chain services.
3. Quick Commerce
The Quick Commerce segment contributed ₹1,156 crore to the total revenue, a 128.8% year-on-year increase from ₹505 crore in Q2 FY23-24. The rapid expansion of this segment reflects Zomato's focus on providing faster delivery services.
Zomato’s Q2 results surpassed industry expectations, driven by its focused efforts in expanding its B2B business and enhancing the overall consumer experience in food delivery. The revenue growth in Quick Commerce and Hyperpure segments showcases the company’s strategic positioning in high-growth verticals, aligning with sector trends favoring e-commerce and quick delivery solutions.
Zomato’s management expressed confidence in the company’s future growth, citing operational efficiency, segment-wise diversification, and strong consumer demand as key factors for sustaining profitability. The company aims to strengthen its leadership position in the food delivery sector while continuing to grow its B2B and quick commerce segments.
In conclusion, Zomato’s impressive Q2 FY24-25 performance, with notable revenue growth and a sharp increase in profitability, underscores the company's resilience and strategic expansion. With continued focus on operational efficiency and market leadership, Zomato is well-positioned for sustained growth across its key business segments. As consumer demand for food delivery and quick commerce services increases, Zomato’s diversified offerings will likely drive further success in the coming quarters.
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This content is for educational purposes only. Securities quoted are exemplary and not recommendatory.
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