Swiggy shares fell up to 8% after Q3 results showed strong revenue growth of nearly 54% but widening losses rising to ₹1,065 crore.
The food delivery business continued to perform well with revenue rising to ₹2,041 crore and GOV growing 20.5%, while Instamart more than doubled YoY with a GOV of ₹7,938 crore.
Despite near-term losses, Nomura maintained a positive rating with a price target of ₹546, implying about 70% upside.
Shares of food delivery and quick-commerce giant Swiggy were trading 6% low at 10:28 am on Friday. The shares were changing hands at ₹307 from the previous close of ₹327.40. During the early trade, the shares fell as much as 8% after touching a low of ₹302.15 at 9:38 am.
The fall comes after the company reported its quarterly results on Thursday for the quarter ended December 31 for the financial year 2025-26 (FY26). It had revealed a mix of revenue growth and widening losses as the company continues to invest heavily in expanding its services.
1 January 2026
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Its consolidated revenue from operations climbed by nearly 54% to around ₹6,148 crore compared with the year-ago quarter. However, the company’s net loss widened significantly to ₹1,065 crore, up from ₹799 crore in the corresponding period last year.
The company reported a bigger operating loss for the quarter, with EBITDA (Earnings Before Interest, Tax, Depreciation and Amortisation) coming in at a loss of ₹782 crore. This was higher than the loss of ₹725 crore recorded in the same quarter last year.
Swiggy’s food delivery business showed strong growth, earning ₹2,041 crore in revenue during the quarter, up from ₹1,637 crore a year ago. The total value of orders placed on the platform (known as Gross Order Value or GOV) grew by 20.5% compared to last year. At the same time, the food delivery business saw an improvement in operating performance, with adjusted EBITDA rising 1.5 times to ₹272 crore.
Growth was not limited to food delivery alone. Swiggy’s quick-commerce business, Instamart, continued to see very strong demand. In the third quarter, Instamart’s business more than doubled compared to last year, with its GOV reaching ₹7,938 crore.
However, despite the sharp rise in revenue, Swiggy is still struggling to turn profitable. Heavy spending on fast delivery infrastructure, marketing campaigns, and customer offers is putting pressure on its margins and adding to losses. This focus on rapid expansion over short-term profits has continued since the company’s IPO in late 2024, according to reports.
During the quarter, Swiggy also added around 34 new dark stores, taking the total number to 1,136 across 131 cities. These stores now cover about 4.8 million square feet. The average value of each order also went up sharply, rising 39.7% year-on-year to ₹746.
Brokerage firm Nomura has shared its view on Swiggy’s shares, saying the company is seeing strong growth in its food delivery business. According to Nomura, the slower growth in quick commerce is a deliberate move by Swiggy to avoid unhealthy and aggressive competition.
The brokerage added that Swiggy’s recent fundraise of ₹10,000 crore has strengthened its financial position, especially for expanding its quick-commerce business.
Nomura also pointed out that at current market prices, investors are not giving much value to Swiggy’s quick-commerce segment. However, it cautioned that the stock’s future performance will depend on how well the company executes its plans and moves closer to profitability.
Despite these risks, Nomura has maintained a ‘Buy’ rating on the stock and set a price target of ₹546, which suggests a potential upside of about 70% from current levels.
