Online food delivery platform Zomato on Thursday reported narrowing of its consolidated net loss to Rs. 250.8 crore for the second quarter ended September 2022.
The company’s consolidated net loss stood at Rs. 434.9 crore in the year-ago period.
Revenue from operations increased to Rs. 1,661.3 crore during the July-September quarter, as against Rs. 1,024.2 crore in the corresponding period of the previous financial year, it said in a regulatory filing.
The company said this is the first quarter where it has crossed the billion dollar annualised revenue mark.
However, its total expenses also rose to Rs. 2,091.3 crore during the quarter under review, from Rs. 1,601.5 crore a year ago.
“We are building for the long term, and we are going to continue evaluating and taking bets which may compromise short term expectations for the long term,” Zomato CEO and Founder Deepinder Goyal said.
Sharing his views on how Zomato could ‘execute better’, Goyal said, “There are a number of areas where we should improve — we should do more with less, ship higher quality products faster, listen to our customers better and engage with our restaurant partners and delivery partners for feedback more often. We should take more multiplier risks and challenge existing paradigms.”
“We should empower our team members who have more ‘fire in their belly’, and let go of people who don’t. A culture of high standards is an endless list of things. But the starting point of that culture is ‘being present’ — not just physically, but intellectually,” he added.
Regarding its Blinkit acquisition, Goyal said, “There were a number of people who didn’t like the transition, and decided to leave, but we are past all the pain, and now have a stable team at Blinkit which is executing very well to produce outcomes that would surprise the best of us.”
“I know that most investors currently ascribe zero value to the Blinkit business, and that’s understandable. But I am confident this will change in due course of time,” he added.
Zomato CEO Akshant Goyal said the transaction with Blinkit closed on August 10, and hence the financials for Blinkit have been consolidated from that date.
“Our Adjusted Revenue grew by 16 percent quarter-over-quarter and 48 percent year-over-year to Rs. 21.07 billion (Rs. 2,107 crore) in Q2FY23,” he added.