Zomato result: April-June quarter loss at Rs 360 cr; revenue up 26% QoQ

Food delivery platform Zomato on Tuesday reported Q1 FY22 loss at Rs 360 crore as compared to the adjusted EBITDA loss of Rs 170 crore. The company had recorded Rs 99.8 crore loss in the year-ago period.

The adjusted revenue grew 26 per cent quarter-over-quarter to Rs 1,160 crore. The total revenue, however, surged to Rs 844.4 crore vs Rs 266 crore during the same period last year.

The Deepinder Goyal-led company said its India food delivery business reported the highest ever GOV (gross order value), number of orders, transacting users, active restaurant partners and active delivery partners to date in any quarter in its history.

The company's India food delivery GOV in Q1 FY22 grew 37 per cent QoQ to Rs 4,540 crore from Rs 3,310 crore in Q4 FY21.

Zomato founder and CEO put out a tweet saying: "Two updates – 1 – Last week, we delivered our billionth order on @zomato 2 – We just published our first quarterly results post IPO."

Also read: Zomato share falls 4% ahead of Q1 earnings

Zomato's expanses jumped to Rs 1,259.7 crore during Q1 FY22, primarily due to higher employee benefits offered, amounting to Rs 390.7 crore. It also bought stock-in-trade at Rs 74.7 crore.

Zomato's initial public offering (IPO) had opened for subscription on July 14, in a price band of Rs 72-76 per share. The IPO ended with a bumper 38 times subscription. The stock later made its debut at Rs 115, reflecting 51.31 per cent gain against the issue price on the BSE. It then hit a high of Rs 138, a jump of 81.57 per cent.

The Zomato IPO comprised a fresh issue of equity shares worth Rs 9,000 crore and an offer-for-sale (OFS) worth Rs 375 crore by existing investor Info Edge (India), which is the parent company of Naukri.com.

As per Zomato, its revenue growth was largely on the back of growth in its core food delivery business, which continued to grow despite the severe COVID wave starting April. On the other hand, COVID significantly impacted the dining-out business in Q1 FY22, reversing most of the gains the industry made in Q4 FY21.

Also read: Zomato sets up digital payments subsidiary Zomato Payments

The GOV is defined as the total monetary value of all food delivery orders placed online on the Zomato platform, including taxes, customer delivery charges, gross of all discounts, and excluding tips.

The company said Q1 FY22 was also one of the most challenging quarters. "At the peak of the second wave, almost 35 per cent of our employees were battling COVID in their households. On top of it, we were executing very hard along with Feeding India to source and distribute oxygen concentrators to as many hospitals in need as possible," the company said in a statement to the stock exchanges.

Meanwhile, Zomato share closed 4.22 per cent down on BSE at Rs 124.95, compared to the previous session close of Rs 130.60.

Also read: Zomato Listing Live Updates: Share Price Ends at Rs 126