Zomato shares hit another peak as firm rolls out ‘Group Ordering’ feature

Shares of Zomato jumped as much as 5.86% to hit an all-time high of ₹280 apiece on the BSE in the opening deals on Monday, August 19, after the food delivery company rolled out the “Group Ordering” feature on Saturday. 

On Saturday, the company’s CEO, Deepinder Goyal, said in his LinkedIn post, “You can now share a link with your friends, and everyone can add to the cart seamlessly, making ordering together faster and easier.

No more passing the phone around awkwardly to collect everyone’s order.

We’re gradually rolling it out to all customers as we speak. In case the feature is available to you, please use it for your house party tonight and tell us how it goes.”

In April, the company introduced India’s first large order fleet, designed to serve orders for a gathering of up to 50 people for group events like parties.

The company’s CEO, Deepinder Goyal, shared the announcement in a series of posts on microblogging site X, formerly Twitter, saying that an “all-electric fleet” will be used to deliver the large orders, which were earlier served by multiple regular fleet delivery partners, leading to a less than ideal customer experience.

Zomato Q1 FY25 Results

Earlier this month, Zomato reported a multifold jump in consolidated net profit to ₹253 crore for the April-June quarter of 2024-25 compared to ₹2 crore in the year-ago period. 

The company’s revenue from operations jumped more than 74% to ₹4,206 crore in the first quarter of this fiscal from ₹2,416 crore in the April-June period of last year, according to a regulatory filing by Zomato.

Its total expenses also rose to ₹4,203 crore during the quarter under review, from ₹2,612 crore a year ago.

The reporting segments for the group include the food ordering and delivery business, Hyperpure Supplies (B2B), its quick commerce offering Blinkit, the going out segment, and all other residual segments.

In a letter to shareholders, Zomato Chief Financial Officer Akshant Goyal shared that the gross order value (GOV) growth across its B2C businesses (food delivery, quick commerce, and going-out) accelerated to 53% YoY (14% QoQ) to ₹15,455 crore.

Blinkit co-founder and CEO Albinder Dhindsa said the quick commerce firm sees a line of sight of getting to about 2,000 stores for its current business.

“Most of these stores would be in the top 10 cities in India,” he said, adding that beyond the large cities, the size of the market is still undiscovered.

With PTI inputs