Zomato rides on Swiggy flavour

Shares of Zomato climbed close to 2 per cent on Tuesday’s early trade. Brokerages have been bullish on the stock following Prosus’ report on Swiggy, which disclosed that the latter’s GOV revenue was up 26 per cent in the last calendar year, similar to Zomato.

Domestic brokerage Emkay Global stated that Zomato’s higher growth has been aided by superior performance in quick commerce.

It added that Swiggy’s food delivery profitability improved on account of operating leverage with additional revenue streams, after turning EBITDA positive in March 2023. Its overall losses narrowed to $261 million (from $531 million in calendar year CY 2022).