Zomato and Swiggy have reported their Q2 FY26 financials, showing strong growth in quick commerce but declining profitability. Swiggy’s losses widened to ₹1,092 crore from ₹626 crore a year ago, while Zomato-parent Eternal saw profits fall 63% year-on-year to ₹65 crore, largely due to higher marketing spends. Despite this, revenue growth remained robust, with Swiggy up 54% to ₹5,561 crore and Zomato surging 2.7 times to ₹13,590 crore, reflecting their strategy of prioritizing market share over margins.
Quick commerce is driving growth, with Zomato’s Blinkit contributing ₹9,891 crore, nearly three-fourths of total revenue, while Swiggy’s Instamart saw strong GOV growth but added only 40 new stores versus Blinkit’s 272. Both are investing in faster delivery, expanded categories, and dark-store infrastructure.
Food delivery showed signs of recovery, with Eternal’s NOV up 14% YoY and profitability at 5.3%. Analysts favor Zomato for its scale, operational leverage, and quicker path to profitability, whereas Swiggy remains cash-intensive, making Eternal the preferred pick for sustainable growth in India’s competitive food-tech sector.
