Zomato Reports Rs. 253 Crore Profit In Q1 FY25, Up From Rs. 2 Crore A Year Ago

Zomato might’ve taken neatly 15 years to report its first profit, but with that landmark out of the way, the company is showing no signs of slowing down.

Zomato has reported a profit of Rs. 253 crore in the quarter ending June 2025. This is 100x more than the profit of Rs. 2 crore that the company had reported in the same quarter last year, which was the first time Zomato had reported a profit. Zomato’s quarterly revenue also rose 71 percent from Rs. 2,597 crore last year to Rs. 4,442 crore now.

Zomato saw all verticals grow considerably compared to the same quarter a year ago. Quick commerce saw the highest gross order value growth of 130 percent, while food delivery and going-out verticals grew 27 percent. Zomato’s going out vertical also saw its revenue rise 106 percent.

Much of the growth in Zomato’s revenue has come from its hyperlocal delivery play, Blinkit. Zomato says Blinkit aims to have 2,000 stores nationally by the end of 2026. “Our average GOV (gross order value) throughput per store has grown from about Rs 6 lakh per day per store when we were at 383 stores exactly a year ago to about Rs 10 lakh today when we are at 639 stores. For our top 50 stores today, this number is Rs 18 lakh per day per store, and growing,” Blinkit CEO Albinder Dhindsa said.

Blinkit said it aimed to triple its stores in the next 2.5 years. “Most of these stores would be in top 10 cities in India. Beyond the large cities, the size of the market is still undiscovered,” Dhindsa said. “If everything goes as planned, we plan to get to 2,000 stores, latest by the end of 2026 while remaining profitable,” he added.

Zomato’s path to profitability has been something to behold. In the same quarter in 2021, Zomato had reported a loss of Rs. 361 crore, which it had narrowed to Rs. 188 crore in 2022. This turned into a Rs. 2 crore profit in 2023, and has now become a profit of Rs. 253 crore. The company’s stock price has responded, rising from Rs. 50 in January 2023 to Rs. 237 per share now, a 374 percent rise in the last 18 months.

But it remains to be seen if this high growth — and high stock price — can sustain. Even with its latest results, Zomato has a PE ratio of 343, which would imply that Zomato would need to continue growing at the same frenetic pace in the coming years to justify its valuation. But Zomato has proven detractors wrong before, first by reporting profits, and then by growing them rapidly quarter-on-quarter. And given how the last few years have panned out, it might have the momentum to continue growing its business for several more years to come.