Anindita Nayak
Bhubaneswar, 24 June 2024
Food & grocery delivery platform, Swiggy’s revenue increased by 24% in 2023, while its gross order value (GOV) saw an increase of 26% over the past year, Dutch investment firm, Prosus Ventures said in its annual report.
The company’s user base reached 104 million by the end of December 2023, the report noted. Prosus held 32.6% stake in Swiggy at the end of 2023.
“Swiggy’s core food delivery business GOV grew by double digits on healthy order growth and higher average order value. Operating leverage improved as the business added revenue streams like restaurant advertising and introduced nominal platform fees which supported improved operational profitability,” said the Dutch-listed investment firm in its annual report.
The investment firm also said that unit economics of Swiggy is also improving with scaling up its grocery operations.
“The quick-commerce business, GOV, grew much ahead of the ecommerce industry, led by geographical penetration (now 487 active dark stores across 26 cities) and stock-keeping unit (SKU) expansion (over 9,500 unique items now listed on the platform). Unit economics continued to improve as a result of larger basket sizes, expanded user base and improved operational efficiency,” the report noted. It also noted that Swiggy has filed IPO for public listing in Indian bourses under which the company plans to raise $1.25 billion capital from the market.
Prosus said that it will continue to support the food delivery business of its portfolio companies. “We will continue to invest organically, while remaining focused
on profitability, to improve the core restaurant food-delivery offering and expand the total opportunity by building scaled capabilities in quick commerce and grocery, as well as additional adjacencies in the food-delivery ecosystem,” the annual report said.
