Zomato reported a consolidated loss of Rs 63.2 crore for the quarter ended December 31 on February 10. (Q3FY22). In the previous fiscal year, the company reported a loss of Rs 352.6 crore.
Deepinder Goyal and Pankaj Chaddah established Zomato in 2008 as an Indian international restaurant aggregator and food delivery startup. Zomato provides restaurant information, menus, and user ratings, as well as food delivery services from partner restaurants in various cities.
Zomato Ltd’s December quarter loss was reduced to 67.2 crores, thanks to a one-time gain of 315.8 crores from the sale of its investment in sports platform Fitso.
Zomato recorded a loss of 352.6 crores in the previous fiscal year’s December quarter and 435 crores in the second quarter of this fiscal.
Revenue from operations totaled Rs 1,112 crore, an increase of 82.7 percent over the previous fiscal’s corresponding quarter revenue of Rs 609.4 crore.
In addition, the restaurant aggregator and meal delivery company reported that it’s Gross Order Value (GOV) increased by 84.5 percent year on year and 1.7 percent quarter on quarter to Rs 55 billion or 5,500 crores ($733 million) in Q3FY22.
“Orders increased by 93% year on year and 5% quarter on quarter. The average order value (AOV, which includes customer delivery charges) decreased by 3% year on year, owing mostly to a decrease in customer delivery charges ” the business stated in its earnings announcement.
According to Zomato, the adjusted EBITDA loss in Q3FY22 was Rs 2.7 billion ($36 million), down from Rs 3.1 billion ($41 million) in the previous quarter.
In a press release accompanying the regulatory filing, Zomato stated that it is “currently well-financed with $1.7 billion cash on our balance sheet.” The company stated that it did not intend to raise financing in the near future.
Zomato stated that with the funds in hand, it intends to focus on two important areas of investment: core food businesses and rapid commerce.
Zomato disclosed its quarterly financial results on the same day that its shares closed 0.32 percent higher on the BSE at Rs 94.5.
In a news release, the company stated that it had made cash investments totaling around $225 million in the previous year across three companies: Blinkit (formerly Grofers), Shiprocket, and Magicpin. The investment was undertaken with the goal of establishing rapid e-commerce in India, according to the company.
Notably, Zomato has invested in six businesses so far. It made a $5 million investment in UrbanPiper for a 19% share last month, as well as a $15 million investment in Adonmo for a 5% stake.
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