Ahead of Swiggy IPO, Baron values it at over $12 billion: Report

livemint.com:

Moneycontrol. Mint reported earlier this year that Invesco, a US-based asset management company (AMC), increased Swiggy's valuation to USD 8.3 billion two times in a row. The valuation adjustment for Swiggy by Baron comes amidst the backdrop of its competitor, Zomato, witnessing around a 58 per cent surge in stock price over the last six months, fueled by improved profitability and rapid growth of its quick commerce arm, Blinkit.

Zomato's current market capitalization stands at ₹1,41,072.44 crore, as per BSE. Baron's reassessment of Swiggy's value, as of December 31, 2023, coincides with Zomato's market capitalization reaching USD 13 billion ( ₹1.07 lakh crore). Despite Swiggy's revenue climbing by 45 per cent to ₹8,625 crore in FY23, its net loss widened to ₹4,179 crore.

This was a significant increase from the previous financial year's revenue of ₹5,705 crore and a net loss of ₹3,629 crore, as per the Moneycontrol report. Also Read | IRCTC joins hands with Swiggy for pre-ordered meal delivery; service to be available at 4 railway stations. Details here Mint in February reported that Zomato's financial results for the October-December quarter of fiscal 2023-24 (Q2FY24), showcased a consolidated net profit of ₹138 crore.

This marks a significant turnaround from the net loss of ₹347 crore recorded in the same period last year. The online food delivery platform has now achieved profitability for the third consecutive quarter. Additionally, Zomato reported a substantial increase in revenue from operations for the third quarter of the current fiscal, reaching ₹3,288 crore.