Food delivery platform Swiggy has generated revenue from operations of Rs 5,476 crore in the first nine months of FY24, marking a 25-30% year-on-year growth in the ongoing fiscal, as per a report by Entrackr on Wednesday.
Within this, the food delivery business constituted 82.65% of the total operating revenue, amounting to Rs 4,526 crore and the remaining sales came from its quick commerce arm Instamart, the report said citing a document drafted by an investment banker on behalf of Swiggy.
During the first nine months of FY24, Swiggy’s gross order value stood at Rs 24,230 crore, with food delivery comprising a substantial 76.2% of it. The company’s food delivery arm also improved its Ebitda margins to -1.9% from -17.5% while that of Instamart improved to -109.5% from -259%.
The company is expected to file IPO papers in May and list on the bourses around the festive season, seeking a valuation of around $12-15 billion. For comparison, the market cap of its listed rival Zomato is near $19.5 billion. Swiggy’s IPO is expected to consist of fresh issue of shares and an offer for sale.
“Swiggy is likely to go for an IPO in the second half of this year and the secondary transaction appears to be an attempt to spruce up its cap table,” the report said citing a source.
In FY23, Swiggy’s revenue from operations had grown about 45% to Rs 8,264.6 crore, compared to Rs 5,705 crore in the preceding year. Its losses also increased 15% to Rs 4,179 crore during the year, compared to Rs 3,629 crore in FY22.
Recently, US-based asset management company Baron Capital marked up the fair value of its stake in Swiggy by nearly 17% to $87.2 million as of December 31, from $74.7 million in the previous quarter. This put Swiggy’s valuation at $12.1 billion, 13% higher than the $10.7 billion when it last raised funds in 2022.
Besides Baron Capital, Swiggy’s other investor Invesco had also recently marked up its valuation to $8.5 billion as of October 31, from $7.8 billion as of July. Both Invesco and Baron Capital were a part of Swiggy’s last fundraising round of $700 million in January 2022. Baron Capital had bought into that round as a fresh investor with $76.7 million in exchange for a 1.9% stake.