Zomato’s Q4 results revealed a significant turnaround, with the company reporting a net profit of Rs 175 crore for the quarter ending March 31, 2024, a stark contrast to the Rs 188 crore YoY loss in the previous year. This positive shift came alongside a remarkable surge of 73% in operational revenue.
On Monday, Zomato, a food delivery platform, announced a consolidated net profit of Rs 175 crore for the quarter ending March 31, 2024, compared to a Rs 188 crore loss reported in the previous year period. However, the profit fell short of the Rs 191 crore estimate by the SMT poll.
Revenue from operations in the reviewed quarter reached Rs 3,562 crore, up from Rs 2,056 crore in the same period of the previous fiscal year, marking a 73% year-on-year increase. However, it slightly missed the SMT poll estimate of Rs 3,579 crore.
Sequentially, profit surged 27% from Rs 138 crore in the December quarter. Revenue also increased by 8.3% quarter-on-quarter (QoQ).
The consolidated financial results comprise unaudited data from 19 subsidiaries, showing total assets of Rs 92 crore as of March 31, 2024, and total revenues of Rs 4 crore and Rs 14 crore for the quarter and year ending March 31, 2024, respectively. Total net loss after tax for the subsidiaries was Rs 23 lakh and Rs 2 crore for the quarter and year ending March 31, 2024, respectively.
Blinkit, Zomato’s quick commerce arm, achieved positive adjusted EBITDA in March.
Zomato’s food ordering and delivery business in India recorded Q4FY24 revenue of Rs 1,739 crore, an increase from Rs 1,172 crore in the previous year. Revenue for this segment in FY23 totaled Rs 6,361 crore compared to Rs 4,533 crore.
In the mentioned quarter, quick commerce business revenue reached Rs 769 crore, more than doubling from Rs 363 in Q4FY23. For FY24, this segment generated Rs 2,301 crore in revenue compared to Rs 806 crore in FY23.
YOY Loss Improvement in EBITDA:
The gross order value (GOV) in Q4FY24 surged across B2C sectors (food delivery, quick commerce, and going-out), with a 51% YoY increase (5% QoQ) to Rs 13,536 crore. Food delivery GOV rose by 28% YoY and decreased by 0.6% QoQ, quick commerce GOV increased by 97% YoY and 14% QoQ, while going-out GOV grew by 207% YoY and 25% QoQ.
Consolidated adjusted EBITDA stood at Rs 194 crore, marking a Rs 369 crore improvement from the same quarter last year.
Earnings were disclosed during market hours, causing the stock to drop over 7% to the day’s low of Rs 186.75 on the NSE.
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