Inside the Swiggy Business Model of Food, Instamart and Dineout
Where Swiggy's Rs 23,053 crore of FY26 revenue comes from, and where it goes
Key Takeaways
- FY26 revenue from operations: Rs 23,053 crore, up 51%
- FY26 net loss: Rs 4,154 crore, up 33%
- Supply chain was 47.4% of FY26 revenue
- Q2 FY27 food delivery adjusted EBITDA: Rs 341 crore
- Instamart: 1,240 dark stores, Rs 895 crore Q2 FY27 adjusted EBITDA loss
The Swiggy business model earns money by taking a commission, advertising fees and platform fees from restaurants and brands on its food delivery and Instamart quick commerce platforms, and through a supply chain segment that sells goods. In FY26 Swiggy reported revenue from operations of Rs 23,053 crore and a net loss of Rs 4,154 crore.
The latest quarter, Q2 FY27 (July to September 2026), brought revenue from operations of Rs 7,571 crore and a net loss of Rs 922 crore. The revenue, cost and loss figures below come from Swiggy's own results filings and shareholders' letters, cross-checked with published coverage.
Swiggy at a glance
| Detail | Swiggy |
|---|---|
| What it does | Food delivery, Instamart quick commerce, dining out (Dineout, Scenes) and supply chain services |
| Founded | 2014, as stated by the company |
| MD and Group CEO | Sriharsha Majety |
| FY26 revenue from operations | Rs 23,053 crore (FY25: Rs 15,227 crore) |
| FY26 net loss | Rs 4,154 crore (FY25: Rs 3,117 crore) |
| Q2 FY27 revenue from operations | Rs 7,571 crore |
| Q2 FY27 net loss | Rs 922 crore (Q2 FY26: Rs 1,092 crore) |
| Scale | 19.8 million average monthly food delivery users in Q2 FY27; 1,240 Instamart dark stores in 133 cities |
| Listing | Listed on NSE and BSE on 13 November 2024; raised Rs 10,000 crore through a QIP in December 2025 |
What Swiggy does
Swiggy is an on-demand convenience app. Users order meals from restaurant partners, buy groceries and other essentials from Instamart dark stores, and book tables or buy event tickets through Dineout and Scenes. Swiggy One is its membership programme across food, quick commerce and dining out, and Toing is a separate app for affordable meals.
How the Swiggy business model makes money
Swiggy reports revenue in five segments. Figures are FY26 revenue from operations, after inter-segment revenue.
- Supply chain and distribution: Rs 10,935 crore. Revenue from goods sold to wholesalers and retailers, plus supply chain services. This is the largest segment by revenue.
- Food delivery: Rs 7,832 crore. Swiggy earns pre-agreed commissions and advertising fees from restaurant partners, fees from users and delivery partners for using the platform, and fees for other services to restaurants.
- Quick commerce (Instamart): Rs 3,859 crore. Commissions from merchant partners, advertising from brand partners, and user and delivery partner fees.
- Out-of-home consumption: Rs 375 crore. Dineout and Scenes earn commissions, advertising, user fees and ticket sales.
- Platform innovations: Rs 52 crore. Newer offerings, such as the Toing app.
Supply chain and distribution is 47.4% of revenue, food delivery 34.0%, quick commerce 16.7%, out-of-home consumption 1.6% and platform innovations 0.2%.
Food delivery and Instamart in the latest quarter
In Q2 FY27, food delivery gross order value (GOV) was Rs 10,054 crore, up 17.7% year on year, and food delivery had 19.8 million average monthly transacting users. Food delivery adjusted EBITDA was Rs 341 crore, or 3.4% of GOV. Out-of-home consumption GOV grew 34.9% year on year to Rs 1,508 crore.
Instamart added a net 69 dark stores in the quarter and had 1,240 across 133 cities. Its adjusted EBITDA loss was Rs 895 crore. A dark store is a small warehouse that serves online orders only.
Adjusted EBITDA is Swiggy's own measure. For a segment, it is the segment result less rent on leases that fall under Ind AS 116. It is not the same as net profit or loss.
Swiggy's Business Model Canvas
Where Swiggy's money goes
| FY26 cost | Rs crore |
|---|---|
| Purchases of stock-in-trade | 10,044 |
| Delivery and related charges | 5,849 |
| Advertising and sales promotion | 4,207 |
| All other expenses (calculated) | 7,601 |
| Total expenses | 27,701 |
Total expenses were about Rs 120 for every Rs 100 of revenue from operations. This leaves out other income, so it is not the same as the net loss.
Revenue vs net loss
| Rs crore | FY25 | FY26 |
|---|---|---|
| Revenue from operations | 15,227 | 23,053 |
| Net loss | 3,117 | 4,154 |
Revenue grew 51% in FY26, while the net loss grew 33%.
Swiggy's journey so far
| When | What happened |
|---|---|
| 2014 | Swiggy launches its food delivery business |
| 2020 | Launches Instamart |
| 2022 | Acquires Dineout |
| 13 Nov 2024 | Lists on NSE and BSE after its IPO at Rs 390 per share |
| Dec 2025 | Raises Rs 10,000 crore through a QIP at Rs 375 per share |
| Sep 2026 | Agrees to sell its B2B distribution unit Lynks Logistics to Udaan's parent for about Rs 500 crore in shares; sale since completed |
| 22 Oct 2026 | Reports Q2 FY27: revenue from operations Rs 7,571 crore, net loss Rs 922 crore |
Who Swiggy competes with
Eternal, the parent of Zomato and Blinkit, competes with Swiggy in food delivery and quick commerce. Zepto also operates in quick commerce.
Challenges Swiggy faces
- Swiggy reported a net loss in FY26 and in Q2 FY27.
- Instamart reported an adjusted EBITDA loss of Rs 895 crore in Q2 FY27, while food delivery reported an adjusted EBITDA of Rs 341 crore.
- Eternal's Blinkit and Zepto also operate in quick commerce.
- In September 2026 Swiggy agreed to sell Lynks Logistics, its B2B authorised distribution business, to Trustroot Internet, the parent of Udaan, for about Rs 500 crore, paid in Udaan preference shares. The sale has since completed. Swiggy says Lynks stops being part of its reported results from Q3 FY27.
- Swiggy says it has obtained approvals to qualify as an Indian owned and controlled company, and the transition is under way.
Conclusion on the Swiggy business model
The Swiggy business model brings food delivery, Instamart quick commerce, dining out and supply chain services together under one company. It earns commissions and advertising fees from restaurants, merchants and brands, fees from users and delivery partners, and revenue from goods sold to wholesalers and retailers.
In FY26 Swiggy's revenue from operations was Rs 23,053 crore and its net loss was Rs 4,154 crore. In Q2 FY27 food delivery reported an adjusted EBITDA of Rs 341 crore and Instamart an adjusted EBITDA loss of Rs 895 crore, with 1,240 dark stores across 133 cities.
More from IncBusiness
Read our news report: Swiggy net loss narrows to Rs 922 crore in Q2 FY27.
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