Swiggy’s Q2 FY26 Losses Widen to ₹1,092 Cr Despite Strong Revenue Surge

Food delivery major Swiggy has reported a consolidated net loss of ₹1,092 crore in the second quarter of financial year 2026. The current net loss is higher than ₹626 crore the foodtech incurred in the year-ago period. However, the q2 losses declined from ₹1,197 crore loss reported in first quarter ended in June this year.

The company’s revenue from operations in the same quarter stood at ₹5,561 crore, nearly 54% up (year-on-year) from ₹3,601 crore in the corresponding quarter of the last financial year. Its revenue increased 12% on a quarter-on-quarter basis as compared to ₹4,961 crore in the April-June quarter.

Swiggy has attributed the increase in losses to a sharp rise in operating costs during the quarter. Its total expenses surged to ₹6,711 crore in Q2 FY26, a 56% jump from ₹4,309 crore in the same period last year. Even sequentially too, costs increased 7.5% from ₹6,244 crore in Q1 FY26.

The spending pressure came primarily from higher stock-in-trade purchases, increased advertising and promotional outlays, elevated delivery and logistics expenses, and rising finance costs.

“Swiggy’s food delivery business delivered another quarter of robust growth and improved profitability, with the double digit YoY order growth at the highest in two years. This was led by acceleration in user-growth on the back of new propositions like Bolt, 99-Store, Deskeats, and health-focused curations; all aimed at covering the entire breadth of user expectations,” Sriharsha Majety, MD and group CEO of Swiggy.

“Instamart made giant strides in catering to all purchase-missions through Maxxsaver (grocery) and Quick India movement (non-grocery), driving up AOV 40% YoY. A ~200 bps QoQ Contribution margin improvement showcases our commitment to drive scale-led, sustainable and profitable growth in Quick-commerce, led by best-in-class speed and selection,” he added.

The company’s gross order value also grew sharply as it accelerated 107.6% year-on-year and 24.2% quarter-on-quarter to ₹7,022 crore, supported by the addition of 0.9 million MTUs. It has expanded its network by adding 40 dark stores during the quarter, taking the total to 1,102 across 128 cities.

It also increased the average store size to 4,160 square feet, which pushed total active dark store area to 4.6 million square feet, up 135.8% YoY and 6.9% QoQ. The average order value rose 40% YoY to ₹607, surpassing internal guidance, driven by a broader non-grocery catalogue and larger basket sizes across customer cohorts.

The company’s contribution losses narrowed 30% QoQ to ₹181 crore, with contribution margin improving 202 bps QoQ to -2.6%, keeping the business on track to break even before the June 2026 quarter. Meanwhile, adjusted EBITDA margin improved 375 bps QoQ to -12.1%, as losses fell by ₹47 crore QoQ to ₹849 crore.

The company’s board will meet on November 7 to consider a ₹10,000 crore fundraise plan via a qualified institutional placement (QIP) route.