Swiggy shares plunged nearly 14% on October 23, 2026, hitting a 52-week low of ₹182.20 on the BSE after the food delivery and quick-commerce company’s second-quarter results disappointed investors. The sell-off came despite revenue from operations rising 36.1% year on year to ₹7,571 crore, as concerns over mounting Instamart losses, competitive intensity and the path to profitability overshadowed growth in the company’s core food delivery business.
Swiggy reported a consolidated net loss of ₹922 crore for Q2 FY27, narrower than the ₹1,092 crore loss recorded a year earlier but wider than the ₹791 crore loss in the preceding quarter. Brokerages including Jefferies, Nomura and Bernstein lowered their price targets following the results. The revisions highlighted investor concerns about the cost of expanding quick commerce, even as Swiggy reported higher order values, customer additions and improving food delivery profitability.
Key Takeaways
- Share price: Swiggy fell approximately 13.8% to ₹182.20 on the BSE, reaching a 52-week low on October 23.
- Net loss: ₹922 crore in Q2 FY27, down 15.6% year on year but higher than the previous quarter.
- Revenue: Rose 36.1% year on year to ₹7,571 crore.
- Instamart losses: Adjusted EBITDA loss widened to ₹895 crore from ₹849 crore a year earlier.
- Food delivery: Adjusted EBITDA reached a quarterly record of ₹341 crore.
- Brokerage targets: Jefferies cut its target to ₹330, while Nomura reduced its target to ₹300. Motilal Oswal lowered its target to ₹280.
- Main concern: Investors are weighing Swiggy’s growth against the expense of competing in India’s quick-commerce market.
Swiggy Share Price Falls After Q2 Results
Swiggy’s sharp decline followed the release of its September-quarter results on October 22. The stock had already been under pressure before the announcement, with investors concerned about the company’s competitive position and its ability to reduce losses while expanding Instamart.
On October 23, the stock fell to ₹182.20 on the BSE, its lowest level in 52 weeks. The decline reflected a reassessment of the company’s near-term earnings outlook, particularly as quick-commerce operations continued to consume substantial resources.
The market reaction was notable because Swiggy’s revenue growth remained strong. However, revenue expansion alone was not enough to reassure investors, given that the company’s quarterly loss increased compared with the June quarter and its adjusted EBITDA loss also widened sequentially.
Q2 FY27 Results: Revenue Grows, Losses Remain High
Swiggy’s financial performance showed a mixed picture, with robust sales growth alongside continued pressure on profitability.
| Financial metric | Q2 FY27 | Q2 FY26 | Year-on-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% |
| Adjusted EBITDA loss | ₹760 crore | ₹695 crore | Loss widened |
| Total expenses | ₹8,703 crore | ₹6,711 crore | Approximately +29.7% |
Figures are rounded where appropriate. Adjusted EBITDA is a non-GAAP operating measure and should not be confused with consolidated net profit or loss.
The results show that Swiggy is generating substantially more revenue than a year ago. Nevertheless, expenses increased as the company invested in customer acquisition, quick-commerce infrastructure and operating capacity.
The difference between the year-on-year and sequential comparisons is important. Swiggy’s net loss improved against Q2 FY26 but deteriorated from Q1 FY27. Investors therefore focused on the latest direction of profitability rather than the annual comparison alone.
Instamart Losses Drive Investor Concerns
Instamart was a central factor behind the negative market reaction. The quick-commerce business reported an adjusted EBITDA loss of ₹895 crore in Q2 FY27, compared with ₹849 crore a year earlier and ₹778 crore in the previous quarter.
Its gross order value increased 31% year on year to ₹9,230 crore. Net order value rose 34.8% year on year to ₹6,594 crore, with sequential growth accelerating to 13.4%.
These figures indicate that Instamart continued to attract demand. However, the increase in losses shows that scaling the business remains expensive.
Swiggy added 69 net dark stores during the quarter, taking its network to 1,240 stores across 133 cities. Monthly transacting users reached 14.8 million, up 23% year on year. More stores and users can support future growth, but they also require investment in inventory, fulfilment, delivery and customer incentives.
Instamart’s adjusted EBITDA margin improved to negative 9.7% of gross order value from negative 12.1% a year earlier. Its contribution margin also improved year on year to negative 1% from negative 2.6%. These improvements suggest better unit economics in some areas, but the widening absolute loss shows that growth and investment continue to weigh on the overall business.
Food Delivery Business Shows Stronger Profitability
Swiggy’s core food delivery business delivered a more encouraging performance. Gross order value increased 17.7% year on year to ₹10,054 crore, while adjusted EBITDA rose to a record ₹341 crore from ₹240 crore a year earlier.
Adjusted EBITDA margin improved to 3.4% of gross order value from 2.8%. Advertising revenue, greater order density and delivery efficiency helped support profitability.
The segment also increased its monthly transacting user base to 19.8 million from 17.2 million in the year-ago quarter. Swiggy said food delivery gross order value growth exceeded 20% in September and maintained its full-year growth guidance of 18% to 20%, excluding its Toing budget-meal offering.
The performance demonstrates that Swiggy’s established food delivery operation can generate stronger earnings even as the quick-commerce business requires heavy investment. The challenge is to maintain that improvement while funding growth in Instamart and other initiatives.
Jefferies, Nomura and Motilal Oswal Cut Price Targets
Several brokerages lowered their Swiggy price targets following the quarterly results, reflecting concerns about profitability and competition.
| Brokerage | Revised target price | Key concern |
|---|---|---|
| Jefferies | ₹330 | Instamart losses and the cost of quick-commerce expansion |
| Nomura | ₹300 | Competitive pressure and the path to stronger margins |
| Motilal Oswal | ₹280 | Slower growth than competitors and the need for a clearer quick-commerce profitability plan |
Jefferies cut its target from ₹435 to ₹330, while Nomura reduced its target to ₹300. Motilal Oswal lowered its target from ₹360 to ₹280 but retained its Buy rating, according to reports published after the results.
Bernstein also lowered its target price, as reported by The Economic Times. The exact revised figure is not included here because it could not be independently confirmed from the available reporting.
A price-target reduction does not necessarily mean a brokerage expects the stock to keep falling. Analysts may lower their estimates while retaining a
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