by Bengaluru, India – Zomato, India’s leading food delivery company, has reported its first-ever quarterly profit. The company reported a net profit of ₹37.4 crores (around $4.8 million) in the first quarter of fiscal year 2024 (Q1 FY24).
“We are delighted to report our first-ever quarterly profit,” said Deepinder Goyal, Founder and CEO of Zomato. “This is a testament to the hard work of our team and the trust of our customers.”
Zomato’s profit was driven by a number of factors, including:
- The growth in food delivery: Food delivery is the company’s core business and it has been growing rapidly. Zomato’s food delivery revenue grew 71% year-on-year in Q1 FY24.
- The growth in advertising revenue: Zomato also generates revenue from advertising. Advertising revenue grew 18% year-on-year in Q1 FY24.
- The improvement in operating margins: Zomato’s operating margins improved to 16.5% in Q1 FY24, compared to 11.8% in Q1 FY23.
Zomato’s shares surged 11% on the Bombay Stock Exchange (BSE) following the announcement of the profit. The company’s market capitalization is now over ₹1.3 trillion (around $16 billion).
“We are confident that we will continue to grow our business and deliver strong results in the future,” said Goyal. “We are focused on expanding our food delivery business, growing our advertising revenue, and entering new markets.”
Key takeaways from the story:
- Zomato reported its first-ever quarterly profit.
- The profit was driven by the growth in food delivery and advertising revenue.
- Zomato’s shares surged 11% on the BSE following the announcement of the profit.
- Zomato is confident that it will continue to grow its business and deliver strong results in the future.
