Zomato reported Q4 results: Reported profit against YoY Loss

Zomato has reported its Q4 FY 2023-24 earnings today, the food delivery platform has reported a profit of Rs.175 crore against a loss of Rs.188 crores in the Q4 FY 2022-23 but the stock closes in red as the earnings are reported below the expectations of the markets.

Q4 Performance of Zomato

Zomato, the food delivery giant has continued to expand its top line and bottom line business, during its fourth quarter has reported a net profit of Rs.175 crores against a net profit of Rs138 crores in Q3 FY 2023-24 up by 27%, The revenue for this quarter surged to Rs.3,562 crore, up from Rs.3,288 crores crore in the previous quarter, reflecting a robust growth of 8.33% on a quarter on quarter basis.

EBITDA for this quarter stands at Rs.86 crore against Rs.51 crore in Q3 FY 2023-24. The EBITDA margins were up at 2.4% against 1.6% in the previous quarter. Blinkit, The quick commerce division of Zomato also achieved adjusted EBITDA positivity in March.

Earnings missed expectations

The company has reported a net profit in this quarter against a loss in the same quarter the previous year but it has certainly missed the market expectations and with this reporting in the live market, the stock declined and made a day low of Rs.186.75 after that stock recovered and closed at Rs.196.65 a piece down by 2.31% from its previous day closing price. 

Conclusion: The company has reported robust growth in both top line and bottom line basis, both sequentially and year on year basis, The numbers achieved though have remained below the estimates of the market which led the Zomato stock to a decline of as much as 7% to  Rs.186.75 in the live market, The stock closed at Rs.196.65 a piece today.

Disclaimer: This blog has been written exclusively for educational purposes The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.