Swiggy has started FY27 on a positive note with better financial performance and a clear long-term plan. The company reported strong revenue growth in the first quarter while its losses became much lower than last year. These results show that Swiggy continues to grow its business even as competition stays high.
Along with its quarterly numbers, the company also shared an ambitious goal for the future. Swiggy now wants to achieve an annualized Adjusted EBITDA of ₹10,000 crore by FY31. This target reflects the company’s confidence in its business model and its belief that scale and efficiency will help improve profits over the next few years.
The latest results also show progress across its major businesses, including food delivery and quick commerce. While the company still spends money to expand, it has made steady improvements in financial performance.
Revenue rises more than 37% year on year
One of the biggest highlights of the quarter was strong revenue growth. Swiggy reported revenue from operations of ₹6,812 crore in Q1 FY27. This was 37.3% higher than the same quarter last year.
This growth came as more customers continued to use the company’s services. Food delivery remained an important source of income, while quick commerce also added strong growth. The company has expanded its reach across many cities, which helped increase business during the quarter.
Higher revenue also shows that customer demand remains healthy. Even with competition from other platforms, Swiggy managed to attract orders and increase its overall business size.
Net loss becomes much lower
Although Swiggy is still not profitable on a net basis, its financial position improved during the quarter.
The company reported a net loss of ₹791 crore in Q1 FY27. In the same quarter last year, the net loss stood at ₹1,197 crore.
This means the company’s net loss declined by 34% year on year. The lower loss reflects better cost control and stronger revenue growth. As revenue increases, companies often gain better efficiency because many operating costs stay stable even as business expands.
The latest figures show that Swiggy has moved closer to its long-term profitability goals.
EBITDA loss also shows improvement
Another positive sign came from the company’s EBITDA performance.
Swiggy’s EBITDA loss declined to ₹650 crore, compared with ₹954 crore in the same period last year.
This improvement shows that the company’s core operations have become more efficient. Better operating leverage played an important role in this result. As the company handled more business, it managed to spread costs across a larger number of orders.
A lower EBITDA loss gives investors confidence that Swiggy continues to move in the right direction even though it still invests heavily in business expansion.
Food delivery remains a strong business
Food delivery continued to perform well during the first quarter of FY27. This business remains the largest part of Swiggy’s overall operations.
The company reported profitable growth in food delivery. More orders, higher customer activity, and better monetization helped improve earnings from this segment.
Food delivery has become a mature business for Swiggy. Strong demand, better operational efficiency, and careful cost management have helped improve profitability in this division.
This business also provides a stable foundation as Swiggy invests in newer areas such as quick commerce.
Instamart records strong growth
Swiggy’s quick commerce platform, Instamart, also delivered impressive results during the quarter.
Revenue from Instamart grew by more than 50% year on year. The business continued to attract customers who prefer very fast grocery and daily essentials delivery.
One of the biggest achievements for Instamart was that it reached contribution breakeven. This means the business now earns enough from its operations to cover direct operating costs before corporate expenses.
Although Instamart has not yet reached EBITDA profitability, this milestone shows that the business has become stronger. The company still plans to invest in this segment because it sees large future opportunities.
Other businesses also move forward
Apart from food delivery and quick commerce, Swiggy also operates out-of-home services and several newer businesses.
These businesses continued to grow during Q1 FY27. At the same time, they also showed better margins compared with earlier periods.
Although these segments contribute less than the company’s main businesses, they support Swiggy’s strategy to build a broader digital platform for consumers.
Steady improvement across different business areas also reduces dependence on a single source of revenue.
Swiggy sets a big FY31 target
One of the biggest announcements from the company was its long-term financial target.
Swiggy now aims to achieve an annualized Adjusted EBITDA of ₹10,000 crore by FY31.
This target reflects the company’s confidence that larger scale, stronger customer demand, and better efficiency will improve profitability over the next five years.
Management believes that as food delivery becomes stronger and quick commerce matures, both businesses will generate much higher earnings. Continued expansion, better cost control, and higher order volumes are expected to support this goal.
The FY31 target also gives investors a clear picture of where the company wants to reach over the long term.
Investors stay cautious
Despite the better financial results, Swiggy’s share price came under pressure after the earnings announcement.
Many investors remain careful because the company continues to spend heavily on quick commerce expansion. While this investment may help future growth, it also delays full profitability.
Competition in both food delivery and quick commerce also remains intense. Companies continue to compete through better services, faster delivery, and attractive customer offers.
Because of these factors, some market experts maintained a cautious view even after the company reported better quarterly numbers.
Growth and profits move together
Swiggy’s Q1 FY27 performance shows that the company has made meaningful progress on both growth and profitability.
Revenue increased by 37.3% year on year to ₹6,812 crore, while the net loss declined 34% to ₹791 crore. The EBITDA loss also improved from ₹954 crore to ₹650 crore, which reflects stronger operational performance.
Food delivery remained profitable, while Instamart achieved contribution breakeven after revenue growth of more than 50%. These achievements show that the company’s main businesses continue to become stronger.
The announcement of a ₹10,000 crore annualized Adjusted EBITDA target by FY31 adds another important milestone for the company. While challenges remain, especially due to heavy investment and strong competition, Swiggy has presented a clear roadmap for future growth and higher profitability.
Overall, the first quarter of FY27 reflects steady business expansion, better financial discipline, and growing confidence in the company’s long-term strategy. If Swiggy continues to improve efficiency while expanding its customer base, it could move much closer to its ambitious FY31 profitability target.
