Swiggy Q4 results: Ad spends rise 135% YoY to Rs 977.7 crore

Swiggy Limited, India’s leading food delivery and quick commerce platform, ramped up its advertising and promotional expenditure to a massive Rs 2,712 crore in the financial year ended March 31, 2025, as part of its aggressive market expansion strategy. This sharp rise in ad spend came even as the company posted a consolidated net loss of Rs 3,117 crore, widening from Rs 2,350 crore in the previous fiscal.

The steep increase in promotional outlay reflects Swiggy's intensified efforts to compete in the increasingly crowded food delivery and quick commerce sectors. Total annual expenses rose to Rs 18,725 crore, driven by higher costs in marketing, employee benefits, and logistics.

In the fourth quarter alone, Swiggy reported a sharp increase in its advertising and sales promotion expenditure, reaching Rs 977.7 crore, marking a 135% year-on-year (YoY) surge from Rs 415.2 crore in the same quarter last year.

However, the company continued to report losses, with a consolidated net loss of Rs 1,081.18 crore in Q4 FY25, nearly double the loss of Rs 554.7 crore in the same period last year. On a quarter-on-quarter (QoQ) basis, the loss increased by 35% from Rs 799 crore in Q3 FY25.

Swiggy MD and CEO Sriharsha Majety said that FY25 was a year of many firsts for Swiggy. “We launched multiple new apps, across Instamart, Snacc and recently, Pyng; all of which are aimed at opening up new user-segments and markets.”

The Swiggy CEO added that quick-commerce is in a phase of rapid expansion and heightened competitive intensity, for which the company has ramped-up investments aimed at market expansion (Megapods), reach (over 1,000 stores across 124 cities) and differentiation (Maxxsaver).

The platform's Gross Order Value (B2C GOV) rose ~40% YoY to Rs 12,888 crore, with a consolidated adjusted EBITDA loss increasing to Rs 732 crore due to significant growth investments in quick commerce.

Instamart GOV growth rose to 101% YoY, adding 316 new darkstores and expanding service to 124 cities.

Food delivery GOV grew 17.6% YoY, with adjusted EBITDA margins improving further to 2.9% of GOV, up from 0.5% a year ago.

The company also highlighted the successful completion of its initial public offering (IPO), which raised Rs 4,359 crore, contributing to its growth strategy.

The management acknowledged the challenges faced during the year but emphasised the importance of continued investment in technology and infrastructure to enhance customer experience and operational efficiency.