Zomato shares fall over 3%; Q2 earnings lower then estimates despite three-fold jump; Should you Buy, Sell or Hold?

Shares of online food delivery company Zomato are set to be in focus after the company’s Q2 earnings report revealed a profit miss compared to Street estimates. Despite this, Zomato posted robust growth across key segments, with its profit and revenue significantly improving year-on-year.

Profit Soars 389% YoY

Zomato’s profit for the second quarter surged by 389% year-on-year, reaching Rs 176 crore, up from the same period last year. This substantial growth was primarily driven by increasing food delivery margins and near break-even performance in its quick commerce business.