Revenue from operations in Q3FY25 was Rs. 5,405 crore, compared to Rs. 3,288 crore was 64% higher than Rs.
On a sequential basis, the profit after tax (PAT) reported in Q2FY25 was Rs. 176 crore was less than 66%. Meanwhile, the July-September quarter reported Rs. 4,799 crore on a sequential basis, the topline was up 13%.
Zomato’s Gross Order Value or GOV of B2C business grew 57% YoY while QoQ grew 14% in Q3FY25 to Rs. 20,206 crore has been done.
Zomato, in its letter to shareholders, said it is currently going through a broad-based slowdown in demand that began in the second half of November.
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Should you buy, sell or hold Zomato stock? Here’s what analysts are saying:
UBS
UBS has maintained its ‘buy’ rating on Zomato, setting a price target of Rs 320.
Despite a surprise slowdown in food deliveries, the company reported decent results overall. However, this was offset by positive margin expansion. Additionally, Zomato has accelerated its dark store rollout, now targeting 2,000 stores by December 2025, a year earlier than the previously set target of December 2026.
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Nomura
Nomura maintained its ‘buy’ rating on Zomato, but raised the target price from the previous Rs. 320 revised to Rs. 290 done.
The report shows low near-term profitability in the quick commerce segment. Despite the slowdown in food delivery, the segment has shown surprising profitability. The quick commerce segment has also advanced its store opening target by a year. Nomura points out that strong execution and strong balance sheet are key positives for Zomato.
Macquarie
Macquarie maintained an ‘underperform’ rating on Zomato, with a target price of Rs. was 130.
The report notes that competitive intensity is affecting profitability and Blinkit is expected to experience negative margins for a prolonged period. Macquarie sees a limited margin of safety for the company. Additionally, with a 20% GOV CAGR estimated for FY26-28, food delivery is expected to suffer a mild loss.
Bofa
BofA reiterates ‘buy’ rating on Zomato, which is priced at Rs. 375 is.
Zomato’s Q3 numbers missed consensus estimates on EBITDA and EPS. Blinkit’s adjusted EBITDA loss was Rs. 103 crore, with management attributing the higher loss to rapid expansion. The company expects blinkit losses to continue for the next 1-2 quarters but expects over 100% GOV growth for FY25 and FY26. Additionally, the 17% growth in food income was below estimates.
(disclaimer: Recommendations, suggestions, opinions and views given by experts are their own. (These do not represent the views of The Economic Times)
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