[ad_1]
Food delivery platform Zomato on Thursday reported a narrowing of its net loss at Rs 63 crore for the quarter ending December 31, 2021 helped by a gain, while revenue jumped due to increased demand for restaurant meals. It reported a net loss of Rs 353 crore in the year-ago period.
Consolidated revenue from operations rose 83% to Rs 1,112 crore as against Rs 609 crore in the year-ago period.
The company reported exceptional gain of Rs 316 crore during the quarter.
The company’s Gross Order Value grew by 84.5% YoY and 1.7% QoQ to Rs 5,500 crore ($733 million) in Q3FY22.
The revival of in-restaurant dining in Q3FY22 led to some green shoots in our dining-out ad-sales business, the company said in a stock exchange filing.
“We are currently well capitalized with $1.7 billion cash on our balance sheet, and we don’t envisage raising cash in the foreseeable future,” Zomato said.
“We are very bullish on the product-market fit, unit economics, as well as the growth trajectory of the quick commerce category. It reminds us of the food delivery category a few years ago when many platforms competed over a large and growing market but ultimately only the few who delivered exceptional experience to their customers survived. As a result, we are updating the upper bound of our potential investments in this category to $400 million cash over the next two years,” Zomato added.
Zomato said it is in the process of setting up its own NBFC.
Also, we are in the process of setting-up our own non-banking financial company (NBFC) which will allow us to extend short term credit to our ecosystem – our delivery partners, customers and restaurant partners. We believe we can add significant value to, and improve the experience of, our platform partners with this initiative without requiring Zomato to allocate significant capital.
On Thursday, the company’s scrip on BSE closed 0.4% higher at Rs 94.60.
Dear Reader,
Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.
As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.
Support quality journalism and subscribe to Business Standard.
Digital Editor
[ad_2]
Source link
