Swiggy Sinks 7% After Q4 Results Amid Rising Quick Commerce Competition

Shares of Swiggy plunged as much as 7% to hit a low of ₹261.2 during the intraday trading on the BSE today after the food delivery and quick commerce giant reported a net loss of ₹800 Cr for Q4 FY26.

The stock later pared some of the losses and was trading 4.59% lower at ₹267.90 at 10:52 IST. Its market capitalisation stood at ₹74,059.2 Cr (about $7.8 Bn) at the time.

The sharp decline came amid rising concerns over intensifying competition in the quick commerce segment, which overshadowed Swiggy’s improved quarterly performance.

On Friday, Swiggy reported 26% YoY and 24.9% QoQ decline in its Q4 loss on the back of growth in its food delivery and quick commerce businesses. Revenue from operations rose 44.7% YoY to ₹6,383 Cr, while its B2C gross order value (GOV), spanning food delivery, Instamart and DineOut, climbed 40.7% YoY to ₹18,131 Cr during the quarter.

However, investor sentiment remained cautious amid intensifying competition in quick commerce and slowing sequential growth in Instamart.

The company’s total expenses increased 32.8% to ₹7,448 Cr from ₹5,610 Cr in the year-ago period, while adjusted EBITDA loss improved nearly 11% YoY and 8.4% QoQ to ₹652 Cr.

For the full year FY26, Swiggy’s consolidated loss widened 33% to ₹4,154 Cr from ₹3,117 Cr in FY25, even as operating revenue jumped 50.8% to ₹23,053 Cr from ₹15,227 Cr.

The platform’s consolidated average monthly transacting users rose 27.2% YoY to 2.5 Cr, although platform frequency dipped nearly 5% to 4.01.

Swiggy said its food delivery business improved cost efficiency during the quarter through higher order density, which helped offset delivery fleet costs, while also shifting its strategy from discount-led offerings to utility-driven specialised services.

The decline in the stock also came amid a selloff in the broader market, with Sensex and Nifty falling over 1% each as crude oil prices surged following fading hopes of a US-Iran peace deal.

Investor sentiment was further impacted after Prime Minister Narendra Modi urged citizens to cut the use of petrol, diesel and other imported goods amid rising crude oil prices and concerns around the current account deficit.

Brokerages Stay Bullish On Long-Term Growth

Brokerages remained largely positive on Swiggy after its Q4 FY26 results, although most flagged rising competition in quick commerce as a key concern.

Nomura maintained a ‘Buy’ rating with a target price of ₹473, citing strong growth in Swiggy’s food delivery business and disciplined expansion in quick commerce.

Citigroup also retained a ‘Buy’ call with a target price of ₹415, saying Instamart’s margins are improving and could turn positive soon despite competitive pressure.

Morgan Stanley remained cautious with an ‘Equal Weight’ rating and a target price of ₹322, warning that quick commerce growth may slow in FY27.

Meanwhile, Kotak Mahindra Bank maintained a ‘Buy’ rating with a target price of ₹370, highlighting strong food delivery growth but cautioning that losses in Instamart could remain elevated.

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