1. IPO Launch and Dates:
Launched on November 6, 2024, open until November 8, 2024 .
2. Issue Size and Price Band:
Target to raise approximately ₹11,327 crore.
Price band is set between ₹371 and ₹390 per share.
3. Subscription Status:
The IPO experienced a slow initial response, with only 11% subscription on Day 1.
Retail portion subscribed at 50%; low interest seen from qualified institutional buyers so far.
4. Allocation and Allotment Dates:
Shares will be allotted on November 11, 2024, and trading on BSE and NSE is expected to begin on November 13, 2024.
5. Investor Interest and Anchor Investment:
Collected ₹5,085 crore through anchor investment from institutional investors prior to the IPO opening.
6. Use of Proceeds:
Funds will be directed towards expanding dark stores for Instamart, technology upgrades, marketing, and debt repayment.
7. Market Position and Growth Prospects:
Swiggy’s diverse services—including food delivery, grocery (Instamart), and event bookings—position it strongly in India’s growing quick commerce and food delivery sectors.
8. Financial Snapshot:
Reported a **loss of ₹611 crore** for the June 2024 quarter but shows a 34% revenue growth compared to previous fiscal years.
9. Analyst Recommendations:
Considered a high-risk investment with long-term potential due to its market positioning and growth in quick commerce.
Here's a list-based SEO summary of Swiggy’s financial report for FY24:
1. Revenue Growth:
Swiggy's revenue increased by 36%, reaching ₹11,247 crore in FY24, attributed to growth in food delivery and Instamart.
2. Loss Reduction:
The company reduced its net loss by 44%, down to ₹2,350 crore, through cost-cutting and improved operational efficiency.
3. Food Delivery Segment:
Food delivery contributed ₹6,100 crore in revenue, growing by 17% compared to the previous year.
4. Instamart Performance:
Instamart, Swiggy's quick commerce division, generated ₹1,100 crore in gross revenue, doubling from the prior fiscal year.
5. Gross Order Value (GOV):
Swiggy’s GOV totaled ₹35,000 crore, with 70% from food delivery and 23% from Instamart.
6. Average Order Value (AOV):
Food delivery AOV was ₹428, while Instamart’s AOV was ₹460.
7. Cost Management:
Swiggy cut its promotional and marketing expenses by 26%, reducing them from ₹2,501 crore in FY23 to ₹1,851 crore in FY24.
8. Comparison with Competitors:
Despite improvements, Swiggy remains behind Zomato, which achieved profitability with a net profit of ₹351 crore on revenue of ₹12,114 crore.
9. IPO Preparation:
Swiggy filed for an IPO, aiming to raise ₹3,750 crore through fresh equity and ₹6,664 crore through an offer for sale.
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