Forever Sneakers Woes Youth

Statistics of Success

• Food delivery major, Swiggy Limited revenue increased 35% in FY24, alongside a meaningful reduction in operating loss. The Bengaluru-based company raised its revenue from INR 5,800 crore in FY23 to INR 7,800 crore in FY24.
• With an aim to deliver the food within 30 minutes on-demand, Swiggy's business model is purely based upon hyperlocal on-demand food delivery business operation.
• A decade after launching, foodtech and quick commerce decacorn Swiggy is eyeing a public listing this year and is leaving no stone unturned to present a healthy financial picture..
• The company seems to be achieving a steady 25-30% year-on-year growth in the ongoing fiscal year (FY24).
• Some indicate that the company is exploring a secondary market deal as it wants to offer exits to its early as well as late-stage backers.
• Sources outline that Swiggy will be seeking its last primary valuation in the potential secondary transaction. The company closed INR 384 crore from Ramco Group in August at a valuation of INR 73,520 crore. Just months after this funding, US-based assets manager Baron Capital Group marked up the valuation of Swiggy to USD 12.1 billion.
• Swiggy has significantly improved its EBITDA margins which registered at -1.9% and -109.5% for the food delivery biz and Instamart, respectively during the nine-month period. These figures stood at -17.5% and - 259% in FY23.

The Gamechanger

• Sriharsha Majety, one of the original co-founders and the current CEO, is spearheading the robust road ahead.
• The IIM Alumnus started his career as a recruitment coordinator.
• In 2013, Sriharsha co-founded Bundl, which was a powerful solution that helped e-commerce merchants by aggregating multiple courier partners across India and providing a one-stop solution to them. Building Swiggy, he analyzed the market and realised the need for a delivery system and that is how Swiggy came into being.
• Interesting as it sounds, Sriharsha’s Linkedin profile states he bicycled from Portugal to Greece and this switch-off eventually aided him to gain that perspective.

Editor’s Note

The food and grocery delivery major plans to bring an IPO soon. However, the founders are clear that they are in no hurry to get listed. They also consider Artificial Intelligence as the fundamental building block ahead and they have undertaken pilot projects. ‘Swiggy Mini’ in Bengaluru was unique