Zomato Reports Stellar FY24 Earnings, Net Profit Hits Rs 351 Cr; Blinkit Achieves Break-Even
Foodtech giant Zomato has announced a net profit of Rs 351 crore for the fiscal year ending March 2024. The company witnessed a robust 71% increase in its standalone revenue, totaling Rs 12,114 crore, driven largely by its expanding food delivery and quick commerce segments.
Zomato’s fourth quarter performance particularly underscored its strong growth trajectory, with revenue from operations soaring to Rs 3,562 crore, marking a 73% year-on-year increase and an 8% rise from the preceding quarter. The quarter also saw Zomato converting a prior loss of Rs 188 crore into a substantial profit of Rs 175 crore.
The company’s Gross Order Value (GOV) from its Business-to-Consumer (B2C) sectors, which includes food delivery, Blinkit, and dining out experiences, reached Rs 13,536 crore in the quarter ending March 2024, up by 51% from the same quarter last year. Blinkit, Zomato’s quick commerce arm, significantly contributed to this growth, with its GOV nearly doubling to Rs 4,027 crore.
Highlighting a significant milestone, Zomato reported that Blinkit turned adjusted EBITDA positive in March. The adjusted EBITDA reflects earnings before interest, taxes, depreciation, and amortisation, adjusted for one-time and non-recurring items, indicating efficient operational management.
Under the leadership of Deepinder Goyal, Zomato is aggressively expanding its quick commerce operations, with plans to escalate the number of quick commerce stores to 1,000 by March 2025. In the latest quarter alone, Blinkit has opened 75 new stores, bringing the total to 526. An additional 100 stores are slated to be added in the first quarter of FY25.
Despite the positive earnings report, Zomato’s shares experienced a slight dip, closing down 2.31% at Rs 196.65 each on Friday.