All posts by Saurav Rathod

Dabur India Q2 earnings
Dabur Q2 Results: 17.5% YoY Drop in Net Profit to ₹425 Cr, Announces ₹2.75 Interim Dividend

Company Overview

Dabur India Ltd. is a prominent Indian consumer goods company with a strong portfolio in the fast-moving consumer goods (FMCG) sector, particularly in health, wellness, and personal care products. Established in 1884, Dabur has become a trusted household name and is recognized for its Ayurvedic and natural product offerings, catering to a broad spectrum of customer needs across India and over 100 international markets. Ayurveda-based healthcare is Dabur’s core strength. The brand’s portfolio includes products such as Dabur Chyawanprash, Dabur Honey, Dabur Honitus, and Dabur Lal Tail, which are deeply rooted in Ayurvedic formulations. The company has acquired 51% stake in Badshah Masala.

Industry Outlook

The FMCG sector has witnessed a significant shift toward health, wellness, and immunity-boosting products, accelerated by the COVID-19 pandemic. Consumers are increasingly seeking products with natural ingredients and Ayurvedic formulations for both preventive and curative healthcare. The FMCG sector in India is benefiting from expanding consumer spending in both urban and rural areas. Rising disposable incomes, population growth, and increasing awareness of branded, quality products have fuelled FMCG demand. The demand for personal care items free of chemicals, synthetic ingredients, and additives is expected to grow, allowing Dabur to expand its market share in segments such as oral care, skin care, and hair care.

Business Segments

  • Health Care: It includes many product categories in its portfolio like Dabur Chyawanprash, Honey, Pudin Hara, Dabur Lal Tail, etc. which is huge brands in India and they all are used for consumers’ health benefits and healthy routines. This segment is a core business contributes about 31-35% of Dabur’s revenue.
  • Personal Care: It is used by many consumers as daily routine for their personal care, the products like Dabur Amla, Dabur Red Paste, and Vatika. And there are other international brands of Dabur which has presence outside India for personal care, oral care, skin or hair care, etc.
  • Food & Beverages: This segment includes a very popular packaged soft drink brand called Real, its yearly turnover is more than ₹1000 crore. And the Badshah Masala brand, which is a huge private company is acquired 51% stake for ₹590 crore.
  • Geography: The international business accounts for almost 25% revenue of the company. The geography distribution of International market is Middle East- 24%, Africa- 24%, Europe- 15%, America- 15% and Asia-22%.

Quarterly Highlights

  • Revenue of ₹3029 crore in Q2 FY25 down by 6.54% YoY from ₹3204 crore in Q2 FY24.
  • EBITDA of ₹553 crore in this quarter at a margin of 18% compared to 21% in Q2 FY24.
  • Profit of ₹418 crore in this quarter compared to a ₹507 crore in Q2 FY24.

Business Highlights

  • The heavy monsoon and flooding impacted the beverage category in this quarter, but edible oils and ghee have grown by 70% and the Badshah has continued its growth with the gains in market share.
  • UAE and Egypt saw a strong double digit growth, so Dabur is investing in capacity expansion to service increased demand.
  • Winter season is great for the company as its many products are related and beneficial to use in this particular season like Chyawanprash products, Honey, Oils, etc. which will increase their quarterly revenue.
  • Dabur has merged Sesa Care Private Ltd with annual turnover of ₹133 crore, which can help Dabur premiumize the Ayurvedic portfolio to attract higher margins.

Financial Summary and Key Ratios

SWOT Analysis

Strengths:

  1. Established brand with a strong legacy
  2. Diverse and comprehensive product portfolio
  3. Extensive and well-established distribution network

Weaknesses:

  1. Limited presence in developed markets
  2. Fluctuating raw material costs
  3. Exposure to regulatory risks

Opportunities:

  1. Growth potential in Tier 2 and Tier 3 markets
  2. Opportunities for product innovation and premium offerings
  3. Expansion into international markets
  4. Rising demand for Ayurvedic and natural products

Threats:

  1. Intense competition in the industry
  2. Risk of counterfeit or imitation products
  3. Vulnerability to economic downturns
Narayana Hrudayalaya Q2 Results
Narayana Hrudayalaya Q2 Results: Revenue Growth Despite 12.3% Decline in Net Profit

Company Overview

Narayana Hrudayalaya Ltd. (also known as Narayana Health) is one of India’s leading healthcare providers, headquartered in Bengaluru, Karnataka. Founded in 2000 by renowned cardiac surgeon Dr. Devi Prasad Shetty, the company has grown into a comprehensive healthcare network with a strong focus on affordable and accessible care. Narayana Health specializes in high-quality tertiary and quaternary care across a range of specialties, particularly in cardiology and oncology. Narayana Health operates over 20 hospitals and 7 heart center across India, with a strong presence in both urban and semi-urban areas. The company also has an international hospital in the Cayman Islands.

Industry Outlook

The Indian healthcare industry was valued at approximately $280 billion in 2022 and is projected to reach $532 billion by 2028, growing at a CAGR of around 10-12%. The government’s PLI scheme for the pharmaceutical and medical device industries aims to boost local production and reduce dependence on imports, potentially lowering healthcare costs in the long term. India faces a shortage of hospital beds, with about 1.3 beds per 1,000 people, below the WHO recommendation of 5. While there is progress, addressing this gap, especially in rural areas, remains a priority. About 70% of India’s population lives in rural areas but has limited access to healthcare. Expanding healthcare facilities in these areas and increasing the availability of affordable care are crucial for balanced sector growth.

Business Mix

  • Owned Hospitals: Its where company owns the hospitals and operates the patients and handle their works. It contributed ₹817 crore in Q2 FY25 revenue of the company.
  • Operated Hospitals: It has a portfolio of hospitals where it does not own them but operates in it. It has contributed about ₹315 crore in this quarter.
  • Heart Centers: The Company has its own Heart center in India, where it treats the patients with their extraordinary skills. It has contributed ₹17.5 crore for Q2 FY25.
  • Other Ancillary Business: It provides equipments to other hospitals for surgery or other operations to perform. It earned a revenue of ₹17 crore this quarter.
  • Specialty Profile: It includes the treatment and facilities of Cardiac Science, Oncology, Neuro Sciences, Medicines and GI sciences, renal sciences, Orthopedics and others, in their hospitals.

Quarterly Highlights

  • Revenue of ₹1167.7 crore in Q2 FY25 up by 10.9% YoY from ₹1052.7 crore in Q2 FY24.
  • EBITDA of ₹308 crore in this quarter at a margin of 22% compared to 24% in Q2 FY24.
  • Profit of ₹199 crore in this quarter compared to a ₹227 crore in Q2 FY24.
  • Domestic revenue is ₹1081.6 crore up by 13.5% YoY & International revenue is ₹76.2 crore down by 19.2% YoY.

Business Highlights

  • The patient footfalls including day care business is 710,000 in Q2 and the Average revenue per Patient is ₹135,000.
  • Narayana Health has total 40 facilities & 5789 operational beds, from which 2 facilities and 128 beds for Heart centers.
  • The capex of ₹534 crore is expected for FY25. The capex is used for Facility Improvement, medical equipment purchase and new investment in Land, hospital constructions and clinics, etc.

Financial Summary and Key Ratios

SWOT Analysis:

Strengths

  1. Affordable Healthcare Model – Known for providing cost-effective healthcare solutions.
  2. Extensive Network – A broad reach that enhances accessibility for patients.
  3. Specialized Expertise – Strong focus on specialized medical services and treatments.
  4. Reputable Brand – Trusted brand with a strong reputation in the healthcare industry.

Weaknesses

  1. Geographical Limitations – Presence concentrated in specific regions, limiting reach.
  2. Low Profit Margins – Cost-focused model results in slimmer profit margins.
  3. High Operational Expenses – Substantial running costs impact overall profitability.

Opportunities

  1. Expansion into Tier 2 & 3 Cities – Opportunity to grow in emerging urban areas with increasing healthcare needs.
  2. Rising Demand for Healthcare – Growing population and healthcare awareness drive demand.
  3. International Growth – Potential to expand services globally and tap new markets.
  4. Focus on Wellness Services – Increasing interest in wellness services opens new revenue channels.

Threats

  1. High Competition – Competing with numerous healthcare providers for market share.
  2. Changing Regulations – Frequent shifts in healthcare regulations create operational challenges.
  3. Economic Uncertainty – Economic downturns can reduce patient spending on non-essential healthcare services.

Vardhaman Textiles Q2 Results
Vardhaman Textiles Q2 Results: Profit Soars 46.57% Year-on-Year

Company Overview

Vardhman Textiles Ltd. is one of India’s largest textile manufacturers, recognized for its integrated operations in yarn, fabric, and garment production. Established in 1965 and headquartered in Ludhiana, Punjab, Vardhman has grown into a vertically integrated textile conglomerate with a diverse product range. The company caters to both domestic and international markets, supplying a variety of textile products to some of the world’s leading brands. The clientele lists are GAP, H&M, Walmart, Calvin Klein, Tommy Hilfiger, etc. It is presented in 57 countries.

Industry Outlook

The global textile market was valued at approximately $1 trillion in 2022 and is projected to grow at a CAGR of around 4.4%, reaching $1.35 trillion by 2027. Valued at around $150 billion in 2022, the Indian textile and apparel market is expected to reach $250 billion by 2025 at a CAGR of 10%. Increasing disposable incomes, e-commerce expansion, and demand from emerging markets drive this growth. Rising demand for apparel, home textiles, and technical textiles are also key contributors. Many global brands are shifting sourcing away from China to South Asian countries. India, Bangladesh, and Vietnam are key beneficiaries, with India’s textile exports to the US and EU increasing by over 15% annually. Challenges such as raw material price volatility and energy costs remain, necessitating efficient resource management and technology adoption for sustained growth.

Segment Information

  • Yarn: Yarn segment includes ranges of specialised greige, dyed and recycled sustainable yarns in various materials like cotton, polyester, acrylic, viscose, and specialized fibres, along with blends. This diverse portfolio allows us to cater to a wide array of customer requirements. In this quarter Yarn segment earned revenue of ₹2454 crore. It sold about 68,461 metric tons of Yarn this quarter.
  • Fabrics: We specialize in manufacturing fabrics suitable for tops, bottoms and outerwear across kids, men and women categories. Our capabilities extend to piece-dyed, yarn-dyed and printed fabrics, catering to both casual and formal wear. Our facilities feature a mix of advanced European and Japanese machinery and technologies, enabling us to handle a vast range of products from 60 GSM to 400 GSM.
  • Garments: Vardhman Apparels outlook has always been to satisfy our customers with high quality shirts with our state of the art infrastructure and equipments accompanied by our innovative product that we offer our customers as a futuristic approach. To produce world class garments both for the international and domestic brands, offering wide range of products in all blends. It had earned revenue of ₹112 crore in FY24.

Quarterly Highlights

  • Revenue of ₹2502 crore in Q2 FY25 up by 4.38% YoY from ₹2397 crore in Q2 FY24.
  • EBITDA of ₹315 crore in this quarter at a moderate margin of 13% compared to 9% in Q2 FY24.
  • Profit of ₹197 crore in this quarter compared to ₹136 crore in Q2 FY24.

Business Highlights

  • Bangladesh is the second largest exporter player for India and even though there were issues with Bangladesh, the company’s sales or exports were not affected much and financials were remained at same levels.
  • Cotton prices are at lower side of $0.6, and the company has exhausted its inventory so it has started buying cotton from market in Q1 and start of Q2 FY25 at lower prices.
  • The EBITDA and profitability margins are in downward trend for many years and it is a negative signs as the company’s clients are reliable and strong, the sales are growing but the profits are remaining same.

Financial Summary and Ket Ratios

SWOT Analysis of Vardhaman Textiles

Strengths:

  1. Strong market position in the textile industry.
  2. Wide range of products.
  3. Focus on sustainability and eco-friendly practices.

Weaknesses:

  1. Fluctuating raw material prices.
  2. Limited B2C presence.
  3. Heavy reliance on exports.

Opportunities:

  1. Government incentives and support.
  2. Growth through e-commerce channels.
  3. Shifts in global supply chains.

Threats:

  1. Intense market competition.
  2. Economic downturns.
  3. Tightening environmental regulations.
  4. Currency exchange rate volatility.

Vedant Fashions Reports 37% YoY PAT Growth in Q2
Vedant Fashions Reports 37% YoY PAT Growth in Q2, Reaching ₹67 Crore

Company Overview

Vedant Fashions Ltd. is one of India’s leading ethnic wear companies, best known for its flagship brand Manyavar, catering to wedding and celebration wear for men, women, and children. Founded in 2002 and headquartered in Kolkata, Vedant Fashions has grown into a prominent player in India’s organized ethnic wear market, capitalizing on the strong cultural affinity for traditional clothing. The company has a widespread retail network with over 500 exclusive brand outlets across 200+ cities in India. Additionally, Vedant Fashions has expanded internationally, with stores in the USA, UAE, and Canada.

Industry Outlook

The Indian ethnic fashion industry is poised for steady growth, driven by increasing disposable incomes, cultural trends, and a growing preference for branded and organized ethnic wear. The Indian ethnic wear market is expected to grow at a CAGR of around 10% over the next five years, driven by demand for wedding and festival attire. By 2025, the market is projected to reach approximately $20 billion, fuelled by a mix of traditional festivals, weddings, and family celebrations. Additionally, there is rising interest in region-specific attire, which showcases local craftsmanship and heritage.

Segment Information

  • Men’s Ethnic Wear: In this segment brands like Manyavar and Twamev are involved to cater a men’s wear segment.
  • Women’s Ethnic Wear: For women wear, in this portfolio Mohey brand makes exclusive for wedding and festive wear for women.
  • Affordable Wear: To cater for young generations and customers with low price capacity this segment includes Manthan in its portfolio.
  • Regional & Multi-Cultural Wear: To provide for cultural preference this segment includes Mebaz in its portfolio collections.

Brands

  • Manyavar: Manyavar is their flagship brand contributing major in the revenue of Vedant Fashions. It is into the Men’s and Boy’s shopping categories, at mid-premium spectrum. It is sold through Exclusive Brand Outlet (EBO), Multi Brand Outlet (MBO) and E-commerce.
  • Mohey: Mohey is a brand focused on women’s wedding & festive attire, including Lehengas, sarees, gowns and suits.
  • Twamev: It is a premium brand that caters to high-end customers with luxury wedding and celebrations wear.
  • Manthan: It is an affordable men’s ethnic wear, designed to capture the growing demand among young age populations and price. sensitivecustomers.
  • Mebaz: This brand specifically caters to South Indian and multicultural preferences. It is for men, women, and children’s wedding and festive wear.

Quarterly Highlights

  • Revenue of Rs 267.9 crore in this quarter, up by 22.7% YoY.
  • EBITDA of Rs 121.7 crore up by 27.5% YoY from Rs 95.4 crore in Q2 FY24. At EBITDA margin of 45.4% in Q2.
  • Profit is Rs 66.9 crore up by 37.3% YoY from Rs 48.7 crore in Q2 FY24. At PAT margin of 25% in Q2.

Business Highlights

  • The company has successfully launched a new festive and celebration wear brand Diwas.
  • A new EBO of 4.7k area is rolling out in Q2 FY25.
  • Jahnvi Kapoor is onboarded as a new brand ambassador for its women’s wear brand ‘Mohey’.
  • Vedant Fashions has no borrowings on its balance sheet; it’s a lease liability, which is money taken in advance for a contract.

Financial Summary and Key Ratios

SWOT Analysis

Strengths:

  • Diverse brand portfolio
  • Strong brand recognition
  • Focus on premium segment
  • Extensive retail network

Weaknesses:

  • Seasonal demand fluctuations
  • High pricing limits reach
  • Limited to ethnic wear

Opportunities:

  • Growing digital presence
  • Celebrity endorsements
  • Focus on regional and cultural apparel

Threats:

  • Changing fashion trends
  • Intense competition
  • Economic downturns impacting spending

HDFC Bank Q2 Results
HDFC Bank Q2 Results: Net Profit Up 5.3% to ₹16,821 Crore; NII Rises 10% Year-Over-Year Amid Declining Asset Quality

Company Overview

HDFC Bank Limited (also known as HDFC) is an Indian banking and financial services company headquartered in Mumbai. It is India’s largest private sector bank by assets and the world’s tenth-largest bank by market capitalization. The company is India’s one of 3 systemically important banks with a 15% market share in the banking sector’s advances and a 37% market share in the private sector banks’ advances as of FY24. It is also the second-largest bank in India. The Bank has a distribution network of 8,851 branches and 21,163 ATMs across 4,081 cities.

Industry Outlook

Indian banks are witnessing a resurgence in credit demand, driven by growth across retail, MSME (Micro, Small, and Medium Enterprises), and corporate segments. Credit growth is expected to be 10-12% in FY25, fuelled by increased consumption, infrastructure spending, and recovery in sectors like real estate and manufacturing. NPAs expected to decline to around 4% in FY25. Enhanced risk management practices, improved loan recovery rates, and a healthier economic environment are contributing to better asset quality, which is likely to support profitability. The Reserve Bank of India (RBI) is focused on strengthening the banking sector through regulations around capital adequacy, governance, and digital banking frameworks.

Segmental Information

  • Wholesale Banking: The Wholesale Banking Business of HDFC Bank serves a diverse clientele including Large Corporates, Multinational Corporations, Government, Public Sector Enterprises, Emerging Corporates and Business Banking/SMEs. Offering a wide array of financial products and services such as loans, deposits, payments, collections, tax solutions, trade finance, cash management solutions and corporate cards, etc. This business largely covers the rental discounting business as well as construction finance.
  • Retail Banking: HDFC Bank’s Retail Business caters to a varied client base which includes Individuals, salaried professionals, small businesses like kirana stores, and Non-Resident Indians (NRIs). Among the offerings are Savings and Current Accounts, various loan options for personal and business needs, Credit and Debit Cards, Digital Wallets, Insurance and Investment Products and Remittance Services.
  • Treasury: The Treasury department is responsible for managing the Bank’s liquidity requirements, as well as handling its investments in securities and other market instruments. It manages the balance sheet’s liquidity and interest rate risks and ensures compliance with statutory reserve requirements. It also manages the treasury needs of customers and earns a fee income generated from transactions customers undertake with your Bank, while managing their foreign exchange and interest rate risks.

Quarterly Highlights

  • Revenue for Q2 FY25 is Rs 74,017 compared to Rs 67,698 crore in Q2 FY24.
  • Financing profit of Rs 10523 crore in this quarter, with the margin of 14%.
  • Net Profit is Rs 16821 crore in Q2 up from Rs 15,976 crore in Q2 FY24.

Operational Highlights

  • Average Deposits in Q2 were Rs 23,540 bn up by 15.5% YoY, growth in Advances under management is 10.2% YoY to Rs 25,639 bn. The fee income is around Rs 8000 crore for Q2.
  • Retail/Wholesale deposits are 84% & 16% respectively for Q2 FY25. And the CASA deposits are Rs 2754 bn for Current Accounts, Rs 6081 bn for Savings Accounts and the CASA ratio is 35% for Q2 FY25.
  • Branch network in Q2 is of 9092 branches, of which Semi-Urban has highest branches accounting for 34%.
  • The Net revenue mix is 72% for Net Interest Income and 28% for Non-Interest Income, and this proportion has steady.
  • The Yield on Assets are 8.3% and cost of funds are 4.9%. Their difference shows us the earnings of bank through lending it to retail. Lower the cost, higher the profit margin in lending.

Financial Summary and Key Ratios

SWOT Analysis

Strengths:

  1. Strong asset quality
  2. Extensive branch network
  3. Market leadership position

Weaknesses:

  1. High reliance on retail loans
  2. Elevated valuations
  3. Regulatory pressures

Opportunities:

  1. Growth potential in SME and MSME lending
  2. Expansion of wealth management services
  3. Increasing financial inclusion

Threats:

  1. Intense competition
  2. Risk of economic slowdown
  3. Cybersecurity threats
Dixon Technologies
Dixon Technologies Drops 15% from Day’s High Amid Profit Booking After Q2 Earnings

Company Overview

Dixon Technologies (India) Ltd. is one of India’s leading electronics manufacturing services (EMS) companies, known for its end-to-end manufacturing capabilities across multiple consumer electronics and appliances segments. Founded in 1993 and headquartered in Noida, Uttar Pradesh, Dixon has grown rapidly to become a significant player in the Indian EMS space, benefiting from strong partnerships with major domestic and global brands like Samsung, Panasonic, Philips, Xiaomi and others. The company’s strategic expansion and competitive manufacturing capabilities make it a key player in the Indian EMS sector.

Industry Outlook

At present, the potential growth of the electronics market is expected to reach USD 3 trillion by 2047; including exports worth approximately USD 100 Billion presents a significant opportunity. The Electronics industry in India is now positioned at an inflexion point with the country planning an Rs 440 billion boost to become an electronics powerhouse. The industry manufacturing capacity will increase to fulfil excess demand.

Segmental Information

  • Consumer Electronics: This is one of Dixon’s largest segments, focused on manufacturing LED TVs for both domestic and international brands. Dixon has established partnerships with prominent brands and provides a wide range of screen sizes and display technologies.
  • Mobile & EMS: Dixon provides mobile phone assembly and electronics manufacturing services for both feature phones and smartphones. It is involved in end-to-end manufacturing, from component assembly to quality testing, serving major domestic and international smartphone brands.
  • Home Appliances: Dixon produces home appliances like washing machines, primarily focused on semi-automatic models. The company has established partnerships with well-known appliance brands and continues to expand its offerings in response to growing demand in the Indian market.
  • Lighting Products: Dixon manufactures LED bulbs, tube lights, down lighters, and other lighting products. It caters to leading brands in the lighting industry, benefiting from increasing demand for energy-efficient lighting solutions in both residential and commercial spaces.

Quarterly Highlights

  • Revenue for Q2 FY25 is Rs 11,528 crores, a growth of 133% YoY from Rs 4944 crores.
  • EBITDA for this quarter is Rs 420 crores, up by 110% YoY from Rs 200 crores in Q2 FY24.
  • Net Profit of Rs 412 crores, a significant rise of 264% YoY, including a fair value gain of Rs 210 crores from a 6.5% stake in Aditya Infotech Ltd.

Business Highlights

  • Revenue from mobile segment is Rs 9444 crores and acquired Ismartu on August 13, 2024, contributing approx. Rs 1100 crores in revenue from selling 8 lakhs smartphones in Q2.
  • Consumer electronics revenue was Rs 1412 crores and refrigerators contributed Rs 188 crores to revenue with 90% capacity utilization.
  • Home Appliances has revenue of Rs 444 crores with monthly run rate of 30,000 units for automatic washing machines. A new R&D center established in Noida for display devices.
  • Management is expecting a seasonal impact on sales post-Diwali, but will recover by start of Q4 FY25. And LED TV segment is facing some pricing pressure, with noted decline in overall industry volumes.

SWOT Analysis

Strengths:

  1. Diverse product range
  2. Strong client relationships
  3. Robust manufacturing capabilities
  4. Advantageous government schemes

Weaknesses:

  1. Heavy reliance on imported products
  2. Lower operating margins

Opportunities:

  1. Expansion into new market segments
  2. Potential for global exports
  3. Increasing domestic demand for electronics

Threats:

  1. Intense competition
  2. Regulatory changes
  3. Supply chain vulnerabilities

Zomato Q2 Earnings Net Profit Jumps 389% YoY
Zomato Q2 Earnings: Net Profit Jumps 389% YoY, ₹8,500 Crore Fundraising via QIP Approved

Company Overview

Zomato ltd. is a leading Indian online food delivery and restaurant discovery platform with a market capitalization of Rs 200,000+ crore. Founded in 2008, Zomato has grown to become one of India’s most prominent food-tech companies, connecting millions of users with restaurants and delivery services across the country. It has over 17 million monthly active users all over world and 300,000+ delivery personnel. In 2022, Zomato acquired Blinkit as a subsidiary for approx. Rs 4440 crore. It specializes in quick commerce for fast delivering groceries, etc.

Industry Outlook

The Indian e-commerce food delivery industry is poised for strong growth in FY25, driven by increasing consumer demand, digital adoption, and expansion into Tier 2 and Tier 3 cities. Indian food delivery market is expected to grow at a CAGR of 18-20% over the next few years, reaching an estimated ₹1 trillion by FY25. This trend is expected to continue, with more people opting for the convenience of ordering in.

Segmental Information

  • Food Delivery: It is a food ordering and delivery platform where customers can search and discover local restaurants, order food, and have it delivered reliably and quickly and it is a core segment of this company.
  • Quick Commerce: It offers a quick delivery services to its customers for various categories of products like stationery, fruits, foods, merchandise, electronics item, etc. in delivery time of 15 minutes. And it has acquired a subsidiary called Blinkit, which handles this segment for Zomato.
  • Going Out: This segment is a combination of Dining out & ticketing platform where it offers customers to discover a restaurant and reserve it for them and customers can book tickets also for movies or any live shows, etc.
  • B2B Supply: The B2B business (Hyper pure) is that, supplying quality food ingredients and other products to restaurants and other B2B buyers.

Q2 FY25 Highlights

  • Bottom line (EBITDA) continued to improve steadily and Quick commerce business is now near a break-even point.
  • Zomato has proposed a fund raising via QIP.
  • Food delivery GOV grew 21% YoY (5% QoQ), Quick commerce GOV grew 122% YoY (25% QoQ) and Going-out GOV grew 171% YoY (46% QoQ); total GOV grew 139% YoY (29% QoQ).
  • The new District app for going-out business will be live soon in Q3.
  • Zomato had average monthly of 20.7 million customers, 292,000 restaurant partners and 500000 delivery partners.

Subsidiary- Blinkit

  • It had revenue of Rs 1156 crore compared to 942 crore in Q2FY24, a growth of 129% YoY.
  • EBITDA was at break-even level of Rs -8 crore in Q2 FY25 which was Rs -125 crore a year back. Shows a good sign.
  • GOV for quick commerce business was Rs 6132 crore and orders for Q2 FY25 were 92.9 million and its average order value is Rs 660, as it offer low price products for daily use and fast delivery.
  • The total stores for Blinkit till Q2 are 791 stores and 152 stores were added during this quarter only.
  • The GOV per day, per store comes around Rs 981,000 for this quarter.

SWOT Analysis of Zomato

Strengths:

  1. Diverse revenue streams that enhance financial stability.
  2. Robust financial backing from investors, enabling expansion.
  3. Extensive user base, driving consistent engagement.

Weaknesses:

  1. High operating expenses impacting profitability.
  2. Intense competitive pressure from other food delivery services.
  3. Limited international market presence hindering global growth.

Opportunities:

  1. Expansion potential in Tier 2 and Tier 3 cities.
  2. Opportunities for partnerships with cloud kitchens to diversify offerings.
  3. Growing potential for subscription model services to boost customer loyalty.

Threats:

  1. Increasing competition in the food delivery industry.
  2. Challenges in consumer retention amidst evolving market dynamics.
  3. Regulatory risks that could affect operational strategies.