Swiggy Q1 loss narrows 34% to ₹791 crore; revenue rises 37%, Instamart hits contribution breakeven

Food and grocery delivery platform Swiggy on Thursday reported a 34% year-on-year (YoY) decline in its consolidated net loss for the quarter ended June 30, 2026, aided by continued growth in its food delivery business and improving unit economics in its quick commerce segment. Ahead of the earnings announcement, shares of Swiggy settled 2.99% higher at ₹295.80, valuing the company at ₹81,650 crore.

The Bengaluru-headquartered company posted a consolidated net loss of ₹791 crore for the June quarter, compared with ₹1,197 crore in the corresponding quarter last year. The loss remained broadly stable sequentially against ₹800 crore reported in the March quarter, according to the company's exchange filing.

Revenue from operations rose 37.3% YoY to ₹6,812 crore from ₹4,961 crore in the year-ago period. Including other income of ₹211 crore, total income increased to ₹7,023 crore.

Total expenses climbed to ₹7,813 crore from ₹6,244 crore a year earlier, reflecting continued investments in customer acquisition, quick commerce expansion, and logistics. Advertising and sales promotion expenses stood at ₹1,160 crore, while delivery-related costs came in at ₹1,750 crore during the quarter.

Food delivery GOV grows 17.4%

Swiggy's core food delivery business remained profitable and continued to expand despite a high base. Gross order value (GOV) grew 17.4% YoY and 5.4% sequentially to ₹9,490 crore. The company said that after adjusting for restaurant-led order cancellations caused by LPG supply disruptions during the early part of the quarter, like-for-like GOV growth would have been around 18%.

Monthly transacting users (MTUs) in the food delivery business increased 17.8% YoY to 19.2 million.

The segment's profitability also improved. Adjusted EBITDA rose by ₹100 crore year-on-year to ₹292 crore, while the adjusted EBITDA margin expanded by 70 basis points to 3.1%.

Swiggy said the first quarter saw a seasonal impact on margins along with annual salary revisions, both of which it expects to normalise over the rest of the financial year.

Sriharsha Majety, Managing Director and Group CEO, said, "Food delivery economics continue to strengthen as we innovate across affordability and consumer propositions to broaden adoption and unlock the next 100 million users in the category. Out-of-home consumption remains a profitable, fast-growing part of our business, making meaningful progress."

Instamart hits contribution breakeven

Swiggy's quick commerce business, Instamart, continued to post strong growth while moving closer to profitability. Instamart's GOV rose 39.8% YoY to ₹7,907 crore during the quarter.

The company added 28 net dark stores during the quarter, taking its network to 1,171 stores across 131 cities. Its total warehousing footprint expanded 14.6% YoY to 4.9 million square feet.

A key milestone during the quarter was Instamart achieving contribution breakeven in May 2026, in line with the timeline management had guided a year ago.

Highlighting the significance of Instamart reaching contribution breakeven, Majety added, "In quick commerce, we delivered contribution breakeven exactly as we guided a year ago - a milestone that marks a real inflection point for the business. As base-level assortment in quick commerce becomes increasingly commoditised, we believe our differentiated assortment strategy will be the engine for our next phase of growth, with further EBITDA improvement driven by scale-led efficiencies."

Contribution margin improved by 440 basis points year-on-year to negative 0.2%, while adjusted EBITDA losses narrowed by ₹80 crore sequentially. The adjusted EBITDA margin improved to negative 9.8% from negative 10.9% in the previous quarter.

However, the quick commerce business continued to report an adjusted EBITDA loss of ₹778 crore as Swiggy maintained investments in expanding its store network and strengthening its delivery infrastructure.