Swiggy Q2 loss narrows to Rs 922 crore, but Instamart losses widen

Swiggy, the food delivery and quick-commerce company, reported a consolidated net loss of Rs 922 crore for July to September 2026, narrower by about 16% than the Rs 1,092 crore loss of the same quarter a year earlier, the company said on Thursday, October 22, 2026. Revenue rose 36% to Rs 7,571 crore. But the loss widened from Rs 791 crore in the April to June quarter, as Swiggy spent more on its quick-commerce service Instamart and on newer businesses.

Swiggy runs two very different businesses. Food delivery is now a profitable, maturing operation, and its earnings keep improving. Instamart, which delivers groceries and household goods within minutes from small neighbourhood warehouses often called dark stores, is still in a costly race for customers. The quarter's numbers show the pull between the two: the food business made more money, but Instamart's losses grew faster than its orders would suggest.

The comparison with the previous quarter matters. Swiggy's loss is smaller than a year ago, which shows progress over time, but it rose from April to June, which tells investors the path to profit is not a straight line. The company has chosen to spend on discounts and new stores to grow Instamart, betting that more customers and fuller stores will bring the business to break-even later.

The results also come against the backdrop of fierce competition in quick commerce. Rival Eternal, which owns Zomato and Blinkit, reported this week that its quarterly profit nearly doubled and that Blinkit has turned profitable, raising the bar for Swiggy. Investors will compare the two closely, since both are listed and both are spending heavily to win the same urban shoppers.

For consumers, the competition has meant fast delivery and frequent offers. For delivery workers and small shopkeepers, the rapid spread of dark stores shapes jobs and local trade. How long companies can keep spending on discounts will decide how much of this continues.

Short-term: Swiggy's shares are likely to react to the mix of better food-delivery profits and wider Instamart losses. Analysts will watch for guidance on when Instamart can reduce its losses.

Long-term: If new stores fill up and pricing steadies, Instamart's losses could narrow. If competition forces more discounts, Swiggy may need to keep spending, delaying overall profit.

Who is affected: Swiggy's shareholders and employees, restaurant partners, delivery workers, consumers in cities with quick-commerce services, and neighbourhood retailers competing with dark stores.

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