Amid Rs 1,065 crore Q3 loss, Swiggy ramps up ad spend 47% to Rs 1,108 crore with 54% revenue rise

Swiggy on Thursday reported a consolidated net loss of Rs. 1,065 crore for the quarter ended December 31, 2025, compared with a loss of Rs. 799 crore in the year-ago period, even as revenue from operations surged 54% year-on-year to Rs. 6,148 crore.

Total expenses climbed to Rs 7,298 crore, led by advertising and sales promotion spends that jumped 47% to Rs 1,108 crore from Rs 751 crore in Q3 FY25, alongside higher delivery charges (Rs 1,533 crore) and employee costs (Rs 673 crore). The company's total income stood at Rs 6,244 crore, up from Rs 4,096 crore in Q3 FY25, driven by growth across food delivery, quick commerce, and supply chain businesses per stock exchange filings.

For the nine months ended December 31, 2025, Swiggy’s revenue from operations rose to Rs. 16,670 crore from Rs. 10,817 crore a year earlier, while losses widened to Rs. 3,354 crore compared with Rs. 2,036 crore in the corresponding period last year.

Segment-wise performance

Food delivery remained Swiggy’s most profitable segment, reporting a segment result of Rs. 282 crore in Q3 FY26, up from Rs. 193 crore a year earlier. Revenue from food delivery increased to Rs. 2,039 crore during the quarter.

Quick commerce, operated under Instamart, continued to weigh on profitability. The segment posted a loss of Rs. 791 crore for the quarter, although revenue rose to Rs. 1,016 crore, reflecting sustained investments in dark stores, network expansion and customer acquisition.

Swiggy’s supply chain and distribution business emerged as the largest revenue contributor, clocking Rs. 2,981 crore in quarterly revenue. Out-of-home consumption—including Dineout and SteppinOut—reported revenue of Rs. 103 crore during the period.

Costs and exceptional items

Total expenses during the quarter climbed to Rs. 7,298 crore, led by higher delivery-related charges, advertising and sales promotion spends, and employee costs.

The company also reported exceptional items of Rs. 10 crore in Q3 FY26, primarily linked to the statutory impact of India’s new labour codes and impairment related to certain closed dark stores and inactive kitchens.

Capital raises and strategic moves

During the December quarter, Swiggy raised Rs. 10,000 crore through a Qualified Institutional Placement (QIP), issuing shares at Rs. 375 apiece. Separately, the company completed the sale of its entire stake in Rapido for Rs. 2,399 crore, with a gain of Rs. 1,350 crore recognised under other comprehensive income in the September quarter.

The board has also approved the transfer of Swiggy’s Instamart business into a step-down subsidiary, Swiggy Instamart Private Limited, as part of an internal restructuring exercise. The move is intra-group in nature and does not impact ownership or control