Zomato Limited announced on Monday a consolidated net profit of Rs 175 crore for the quarter ended March 31, 2024. This marks a significant turnaround from a consolidated net loss of Rs 188 crore in the same period last year.
During Q4 of the fiscal year 2023-24, the company reported a consolidated revenue of Rs 3,562 crore, which represents a robust 73% increase compared to Rs 2,056 crore in the previous year. Total expenses for the quarter amounted to Rs 3,636 crore, up by 49.5% from Rs 2,431 crore in the corresponding period last year.
Zomato highlighted that its food delivery gross order value (GOV) grew by 28% year-on-year in Q4FY24, driven by a 5% increase in average order value (AOV) and a 23% rise in order volume. This growth contributed to a year-on-year acceleration in the company’s topline, reaching 61%, which surpassed the stated outlook of 40% or more.
The company’s adjusted earnings before interest, taxes, depreciation, and amortisation (Ebitda) reached Rs 194 crore, reflecting margin expansion in both the food delivery and quick commerce segments. Notably, the quick commerce business achieved adjusted Ebitda breakeven in March 2024.
Within the quick commerce sector, Zomato’s Blinkit brand experienced exceptional growth, with a 97% year-on-year increase in gross order value (GOV). This growth was mainly driven by rapid store expansion, adding 75 net new stores in Q4FY24, bringing the total store count to 526. Zomato plans to further expand by adding 100 more stores in the current quarter and aiming to reach 1,000 stores by the end of FY25. Blinkit achieved adjusted Ebitda positivity in March 2024, with a steady-state margin expectation of 4-5%.
For the entire financial year, Zomato reported a consolidated net profit of Rs 351 crore, a significant improvement from a consolidated net loss of Rs 971 crore at the end of FY23. Consolidated revenue from operations for FY24 stood at Rs 12,114 crore, up 71% from Rs 7,079 crore in FY23.
Zomato emphasized that the results for the year ended March 31, 2024, are not directly comparable with the previous year due to the acquisition of Blink Commerce Pvt Ltd (formerly known as Grofers India Pvt Ltd) in June 2022.
Commenting on the results, Deepinder Goyal, founder & CEO of Zomato, stated, “We believe that we can continue to grow faster if we continue to innovate using our customer-first principles, while creating value for all our other stakeholders – our restaurant partners, and our delivery partners.”
