Zomato co-founder and chief technology officer (CTO) Gunjan Patidar is the latest to resign from his position at the food delivery platform, the company informed the BSE in a filing on Monday.
Patidar’s departure is the fourth top-level exit at Zomato in a span of about two months. On November 18, Mohit Gupta, co-founder at the firm, had also resigned from his position at the foodtech company. He was preceded by Rahul Ganjoo, the head of new initiatives who, too, quit the firm. Ganjoo’s exit was just after the departure of Siddharth Jhawar who headed the Gurugram-based company’s intercity food delivery service. He joined Tiger Global-backed adtech unicorn Moloco’s India operations.
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Patidar was not designated as key managerial personnel under the Companies Act, 2013, the exchange filing said. The top-level exits come at a time when Zomato has reported a higher net loss of Rs 251 crore in Q2FY23, up 35% from Rs 186 crore in Q1FY23. It had reported a net loss of Rs 435 crore in Q2FY22.
Zomato chief executive officer Deepinder Goyal said although the company’s food delivery business has been growing and steadily moving towards profitability, he believes there is room for the “business to grow much faster than what it is currently trending at”.
The share price of Zomato, which went public last year, is down over 60% from a high of Rs 162. It closed at Rs 60.25 apiece on Monday.
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Besides Zomato, a clutch of new-age technology companies — including Paytm, Nykaa, Delhivery, Policybazaar, CarTrade and Nazara — have lost nearly Rs 2.5 trillion in market capitalisation since listing on the exchanges. Shareholders have been disappointed by either poor performance or unwieldy acquisitions, like Blinkit in the case of Zomato. Analysts at Jefferies said the scepticism on quick commerce was high “given no proof of concept yet in any large market in the world”.