Archive · 4 Nov 2025
Zomato vs. Swiggy: Investors Weigh Q2 Results and Quick Commerce Growth
Imagine two big companies, Zomato and Swiggy, that deliver food and also groceries very quickly.
They just shared how much money they made and spent.
Both are growing really fast, especially in delivering groceries super fast, like in minutes!
But to do this, they are spending a lot of money on advertising and opening new stores.
This means they aren't making as much profit right now, and their 'losses' are getting bigger.
Zomato's grocery delivery part, called Blinkit, is doing very well and is a big part of their money.
Swiggy's grocery part, called Instamart, is also growing fast.
Even though they aren't making much profit now, they are becoming the main players in fast grocery delivery.
Some people who invest money think Zomato might be a better choice because it seems closer to making real profits in the future, while Swiggy is still spending a lot more cash to grow.
Both Zomato and Swiggy reported lower profitability in Q2 FY26 due to increased spending on growth and quick commerce.
Swiggy's losses widened year-on-year, while Zomato's profits saw a significant decrease.
Both companies experienced strong revenue growth, driven by their quick commerce segments (Blinkit for Zomato, Instamart for Swiggy).
Companies are heavily investing in quick commerce infrastructure and faster delivery, prioritizing market share over immediate profits.
Analysts generally favor Zomato as a better investment due to its perceived path to profitability and operational leverage from Blinkit.
- Who
- Food delivery and quick commerce companies Zomato and Swiggy
- What
- Released Q2 financial results showing lower profitability amidst rapid growth in quick commerce, leading to investor analysis on which company is a better buy.
- When
- September quarter of fiscal 2025-26 (Q2 FY26)
- Where
- India
- Why
- Companies are prioritizing market share and growth, particularly in the quick commerce segment, by investing heavily, which impacts short-term profitability.
Zomato
Swiggy
Profitability Outlook
Zomato
Showing operational leverage and a clearer path to profitability, with positive margins in its food delivery business.
Swiggy
Still burning cash heavily in its quick commerce arm, with a slower path to profitability.
Quick Commerce Performance
Zomato
Blinkit shows strong growth in Net Order Value (NOV) and improvements in EBITDA profitability due to better unit economics; opened significantly more new stores (272 vs 40).
Swiggy
Instamart saw strong growth but lagged Blinkit in new store openings and profitability metrics.
Investor Preference
Zomato
Considered a better pick due to scale, existing profitability, stronger growth, and a better risk-to-reward ratio.
Swiggy
Growth is commendable but more cash-intensive, making it a less preferred pick for investors focused on near-term profitability.
- Swiggy Q2 Loss
- ₹1,092 crore (up from ₹626 crore year-ago)
- Zomato Q2 Profit
- ₹65 crore (down 63% year-on-year)
- Swiggy Revenue Growth
- 54% YoY to ₹5561 crore
- Zomato Revenue Growth
- 2.72x to ₹13,590 crore
- Zomato's Blinkit Contribution
- Nearly three-fourths of total revenue (₹9,891 crore)
- Swiggy's Instamart Growth
- Doubled contribution year-on-year
- Blinkit New Stores (Q2)
- 272
- Instamart New Stores (Q2)
- 40