ETtech Explainer: Swiggy’s losses balloon despite moving towards improving economics

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When Swiggy reported its losses for the April-June quarter, doubling to Rs 1,197 crore, it laid out a series of steps it had taken to improve profitability. But the high cash burn that the company is fraught with indicates that these measures may take some time to show their impact. For its quick commerce business, Instamart, Swiggy continued to guide for a contribution margin break-even between Q3FY26 and Q1FY27. Contribution refers to revenue minus the direct order fulfilment costs.

What has Swiggy done to arrest losses?

  • The company reiterated that…



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ETtech Explainer: Swiggy’s losses balloon despite moving towards improving economics



When Swiggy reported its losses for the April-June quarter, doubling to Rs 1,197 crore, it laid out a series of steps it had taken to improve profitability. But the high cash burn that the company is fraught with indicates that these measures may take some time to show their impact. For its quick commerce business, Instamart, Swiggy continued to guide for a contribution margin break-even between Q3FY26 and Q1FY27. Contribution refers to revenue minus the direct order fulfilment costs.

What has Swiggy done to arrest losses?

  • The company reiterated that…



Source link

Disclaimer

We strive to uphold the highest ethical standards in all of our reporting and coverage. We StartupNews.fyi want to be transparent with our readers about any potential conflicts of interest that may arise in our work. It’s possible that some of the investors we feature may have connections to other businesses, including competitors or companies we write about. However, we want to assure our readers that this will not have any impact on the integrity or impartiality of our reporting. We are committed to delivering accurate, unbiased news and information to our audience, and we will continue to uphold our ethics and principles in all of our work. Thank you for your trust and support.

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