Zomato shares spurt 14% after food delivery platform turns profitable

Zomato's stock jumped 14.11 per cent to touch an intraday high of Rs 98.39 on BSE, against its previous close of Rs 86.22.

By: PTI

New Delhi | Updated: August 4, 2023 10:15 AM IST

2 min read

The food delivery platform reported a consolidated net profit of Rs 2 crore for the April-June quarter, against a net loss of Rs 186 crore in the same quarter a year ago, Zomato said. (File image)

Listen to this article

Your browser does not support the audio element.

Zomato shares jumped over 14 per cent in the morning trade on Friday, after the company said it has turned profitable, and posted its first-ever quarterly profit since its listing in 2021.

The stock of the online food ordering/delivery company jumped 14.11 per cent to touch an intraday high of Rs 98.39 on BSE, against its previous close of Rs 86.22. By 10 am, Zomato’s shares were trading 10.30 per cent higher at Rs 95.10.

The food delivery platform reported a consolidated net profit of Rs 2 crore for the April-June quarter, against a net loss of Rs 186 crore in the same quarter a year ago, Zomato said in a filing with exchanges on Thursday. In the quarter ended March, Zomato reported a net loss of Rs 189 crore.

Zomato, which also runs grocery-delivery platform Blinkit, said its revenue from operations jumped 70.9 per cent YoY to Rs 2,416 crore in the June quarter from Rs 1,414 in Q1FY23.

Blinkit’s business turned contributive positive for the first time ever in the month of June 2023, Zomato said in its filing.

Zomato CEO and MD Deepinder Goyal said, “We have been working hard to make our business less complex, and putting the right people at the right spots within our businesses. These things do not have definite/measurable impact, and I can in hindsight say that most of our seemingly “risky” bets have changed the trajectory of the business significantly, much faster than we expected”.

From the homepage