Swiggy Narrows Quarterly Loss as Instamart Growth Accelerates

India’s Swiggy reported a narrower sequential loss for the December quarter, helped by strong momentum in its Instamart quick-commerce unit, and reiterated its goal of achieving contribution-margin break-even by the first quarter of fiscal 2027. The company posted a consolidated loss of 10.65 billion rupees, slightly improved from 10.92 billion rupees in the prior quarter, though still wider than the year-ago loss of 7.99 billion rupees.

Contribution margins in quick commerce improved sequentially, with Instamart’s contribution margin rising 9 basis points to negative 2.5%. Adjusted EBITDA margins at Instamart also strengthened, improving 65 basis points quarter-on-quarter to negative 11.4%. Swiggy said improved network density and a higher store count in key markets helped reduce cost per order, supporting the loss reduction.

Quick-commerce revenue jumped 76% year-on-year, driven by a similar increase in net order value, lifting Swiggy’s overall revenue 54% to 61.48 billion rupees. During the quarter, the company added 34 dark stores, taking its total to 1,136, as competition with rivals such as Blinkit and Zepto continues to intensify through discounts, faster deliveries and rapid warehouse expansion.

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