Swiggy’s second-quarter performance reflects growth across its food delivery and quick-commerce operations, but the company continues to balance expansion with profitability. Its consolidated net loss narrowed to ₹922 crore in the July–September 2026 quarter, while revenue from operations increased 36.1% year over year. The food delivery business delivered its highest-ever quarterly adjusted EBITDA, whereas Instamart continued to invest heavily in pricing, marketing and infrastructure.
The results also highlight the different economics of Swiggy’s businesses. Food delivery is generating stronger adjusted operating earnings, supported by advertising revenue and delivery efficiencies. Quick commerce, meanwhile, is growing its order value and store network but remains a major source of losses. For investors, the central question is whether Swiggy can sustain rapid revenue growth while gradually improving consolidated margins.
Key Takeaways
- Revenue increased 36.1%: Swiggy reported ₹7,571 crore in Q2 FY27, up from ₹5,561 crore a year earlier.
- Net loss narrowed 15.6%: The consolidated loss fell to ₹922 crore from ₹1,092 crore in Q2 FY26.
- Food delivery hit a record: Adjusted EBITDA reached ₹341 crore, with a margin of 3.4% of gross order value.
- Instamart continued expanding: Quick-commerce net order value rose 31.4% year over year to ₹6,954 crore.
- Dark-store network grew: Instamart added 69 dark stores, taking its total to 1,240.
- Expenses increased: Total expenses climbed nearly 30% to ₹8,703 crore.
- Profitability remains uneven: Food delivery is generating adjusted operating profit, while Instamart continues to report substantial adjusted EBITDA losses.
Swiggy Q2 FY27 Results: Revenue and Loss Comparison
Swiggy’s financial results show that revenue growth is outpacing the reduction in its consolidated loss. The company is generating more business, but operating costs remain high as it competes across food delivery and quick commerce.
| Financial metric | Q2 FY27 | Q2 FY26 | Year-over-year change |
|---|---|---|---|
| Revenue from operations | ₹7,571 crore | ₹5,561 crore | +36.1% |
| Consolidated net loss | ₹922 crore | ₹1,092 crore | Loss narrowed 15.6% |
| Total expenses | ₹8,703 crore | ₹6,711 crore | Approximately +30% |
| Food delivery adjusted EBITDA | ₹341 crore | — | Record quarterly level |
| Instamart adjusted EBITDA | -₹895 crore | — | Loss remains substantial |
Source: Swiggy’s Q2 FY27 results as reported by Moneycontrol, Reuters and Financial Express. Figures are rounded.
Revenue also increased from ₹6,812 crore in the preceding quarter, Q1 FY27, representing sequential growth of approximately 11.1%.
Despite the year-on-year improvement, Swiggy’s consolidated net loss widened from ₹791 crore in Q1 FY27 to ₹922 crore in Q2 FY27. This distinction matters: the company reduced its loss compared with the same quarter last year, but its loss increased compared with the immediately preceding quarter.
Total expenses rose to ₹8,703 crore, reflecting the cost of operating and expanding its businesses. The next stage of Swiggy’s growth will depend on whether revenue and order volumes increase faster than the costs required to serve them.
Food Delivery Business Achieves Record Adjusted EBITDA
Swiggy’s food delivery operation was a major positive in the quarter. Gross order value (GOV), which measures the total value of orders placed through the platform before accounting for the company’s recognised revenue, rose 17.7% year over year to ₹10,054 crore.
The business recorded adjusted EBITDA of ₹341 crore, with a margin of 3.4% of GOV. Adjusted EBITDA is a measure of operating performance before interest, taxes, depreciation and amortisation, excluding specified adjustments. It is not the same as net profit.
Several factors supported the improvement, including advertising revenue and better delivery efficiency. Advertising gives restaurants another way to promote listings and reach customers on the platform, while more efficient delivery operations can help control fulfilment costs.
Swiggy also reported that its monthly transacting users increased 15.2% year over year to 19.8 million. A larger active customer base can support order growth and improve opportunities for advertising and repeat purchases.
The company is also developing its affordability strategy through Toing, its offering focused on budget-friendly meals. The platform had expanded to more than 50 cities, with approximately two-thirds of its new users reportedly being first-time food delivery customers.
The challenge is to retain those customers and encourage repeat ordering without relying excessively on discounts that could weaken margins.
Instamart Grows as Quick-Commerce Losses Persist
Instamart continued to expand during the quarter, but growth came alongside significant spending.
Its net order value (NOV) rose 31.4% year over year to ₹6,954 crore. NOV measures the value of orders processed by the business under its reporting methodology; it is different from revenue recognised in the consolidated income statement.
Instamart added 69 dark stores during Q2 FY27, bringing its total to 1,240 stores across 133 cities, according to Reuters. Dark stores are fulfilment facilities designed to prepare online orders for delivery rather than serve walk-in shoppers.
| Instamart indicator | Q2 FY27 |
|---|---|
| Net order value | ₹6,954 crore |
| Year-over-year NOV growth | 31.4% |
| Dark stores added during the quarter | 69 |
| Total dark stores | 1,240 |
| Adjusted EBITDA loss | ₹895 crore |
The adjusted EBITDA loss of ₹895 crore demonstrates the financial cost of competing in quick commerce. Companies in this market spend on fulfilment infrastructure, product availability, promotions, delivery operations and customer acquisition.
Swiggy has to balance faster delivery and wider selection against the cost of maintaining a dense store network. Adding stores can improve geographic coverage and reduce delivery distances, but new locations also bring rent, staffing, inventory and operating expenses.
The company is therefore pursuing two objectives at once: increasing Instamart’s order value and improving its unit economics. Revenue growth alone will not establish whether the strategy is succeeding; investors will also look for sustained improvement in contribution margins and adjusted EBITDA.
Why Swiggy’s Overall Loss Remains High
Swiggy’s consolidated loss reflects the combined performance of businesses at different stages of maturity. Food delivery has demonstrated an ability to generate adjusted EBITDA, while Instamart continues to invest in expansion.
The company’s total expenses increased nearly 30% year over year to ₹8,703 crore. These costs include the resources required to run its delivery platforms, fulfil orders, market services and operate its quick-commerce infrastructure.
Competition adds further pressure. Swiggy faces Zomato in food delivery and competes with Blinkit, Zepto and other operators in quick commerce. Promotions and delivery incentives may help attract customers, but maintaining them can affect profitability.
Swiggy’s reported net loss also differs from adjusted EBITDA because the measures account for different expenses and adjustments. Even when a business reports positive adjusted EBITDA, it can still contribute to a consolidated net loss after depreciation, financing costs, taxes and other items.
For that reason, the record food delivery result is encouraging but does not mean the entire company has reached profitability.
Swiggy Versus Zomato: Competition Remains Intense
Swiggy’s quarterly results arrive amid continued competition in India’s food delivery and quick-commerce markets. Rival Eternal, the parent company of Zomato and Blinkit, reported ₹24,138 crore in revenue and ₹125 crore in profit for its September quarter, according to Moneycontrol.
The two companies have different business mixes and reporting characteristics, so revenue and profit figures should not be compared without considering their respective segment structures.
Swiggy’s immediate priorities include preserving food delivery margins, attracting customers through affordability initiatives and improving Instamart’s economics as the store network expands.
In quick commerce, store count and order growth are only part of the picture. The quality of sales, average order value, fulfilment expenses, inventory management and customer retention all influence whether additional volume translates into better profitability.
The Bigger Picture
Swiggy’s Q2 FY27 results show that India’s on-demand delivery market continues to offer opportunities for growth, but scaling the business remains expensive. Revenue increased 36.1% year over year, and the consolidated net loss narrowed compared with the year-ago quarter. Food delivery achieved record adjusted EBITDA, indicating stronger operating performance in a core business.
However, the rise in expenses and Instamart’s ₹895 crore adjusted EBITDA loss underline the risks of aggressive quick-commerce expansion. Swiggy must demonstrate that higher order values and a larger store network can eventually support stronger margins. Its long-term financial performance will depend not only on attracting customers and increasing sales, but also on improving the economics of each order.
FAQs
1. What was Swiggy’s revenue in Q2 FY27?
Swiggy reported revenue from operations of ₹7,571 crore in Q2 FY27, up 36.1% from ₹5,561 crore in the same quarter a year earlier.
2. How much did Swiggy’s net loss narrow?
The company’s consolidated net loss narrowed 15.6% year over year to ₹922 crore, compared with ₹1,092 crore in Q2 FY26. However, the loss was higher than the ₹791 crore reported in Q1 FY27.
3. How much profit did Swiggy’s food delivery business generate?
Swiggy’s food delivery business recorded adjusted EBITDA of ₹341 crore, with a margin of 3.4% of gross order value. Adjusted EBITDA is not the same as net profit.
4. Why is Instamart still loss-making?
Instamart is spending on pricing, marketing, fulfilment and dark-store expansion as it competes in quick commerce. It reported an adjusted EBITDA loss of ₹895 crore in Q2 FY27.
5. How many Instamart dark stores does Swiggy operate?
Instamart added 69 dark stores during the quarter, taking its total to 1,240 stores across 133 cities.
Looking Ahead
Swiggy’s upcoming results will show whether it can maintain food delivery’s stronger margins while reducing the cost of expanding Instamart. Investors will monitor GOV and NOV growth, customer activity, dark-store productivity and the evolution of contribution margins. Continued revenue growth will be more valuable if it is accompanied by improved operating efficiency.
The company faces a strategic choice between expanding quickly to capture market share and pacing investment to improve profitability. Its affordability initiatives may attract new customers, while a larger fulfilment network can improve convenience. But lasting financial progress will depend on repeat orders, disciplined spending and better economics across the business, particularly in quick commerce.
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