Swiggy shares plunged 15% on Friday, hitting the lower circuit at ₹179.65 on the BSE, as investors reacted to the company's September-quarter earnings and concerns over quick-commerce profitability.
The stock opened at ₹204.90 before declining sharply. Several brokerages subsequently reduced their target prices, citing competition, execution challenges and uncertainty surrounding Instamart's profitability.
Swiggy reported a consolidated net loss of ₹922 crore for the July-September quarter of 2026-27, narrowing from ₹1,092 crore in the corresponding period last year.
However, the loss widened sequentially from ₹792 crore in the preceding quarter.
Revenue from operations increased 36% year-on-year to ₹7,571 crore, compared with ₹5,561 crore a year earlier, according to the company's exchange filing.
Total expenses climbed to ₹8,703 crore from ₹6,711 crore.
The consolidated adjusted earnings before interest, taxes, depreciation and amortisation (EBITDA) loss increased to ₹760 crore from ₹695 crore in the year-ago quarter.
Meanwhile, food delivery gross order value (GOV) rose 17.7% year-on-year to ₹10,054 crore.
Swiggy Managing Director and Group CEO Sriharsha Majety said the food delivery business achieved its highest profits and margins, supported by category expansion through Toing, its affordable meals offering.
Swiggy's quick-commerce business recorded net order value (NOV) of ₹6,954 crore, representing 31.4% annual growth and a 13.4% sequential increase.
Instamart added 69 dark stores during the quarter, matching the combined additions of the previous three quarters. The expansion increased its total network to 1,240 stores.
Majety said quick-commerce growth accelerated in line with guidance. He also confirmed that the company had secured approvals required to qualify as an Indian-owned and controlled company, with the transition underway.
Despite improvements in food delivery and continued Instamart expansion, brokerages remained concerned about sustained growth and profitability.
