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Foodtech giant Zomato on Tuesday reported 68.5% higher operating revenue in Q2FY25 at Rs 4,799 crore, driven by the strength of its quick commerce and food delivery business. 

The Deepinder Goyal-led company posted a profit of Rs 272 crore from a loss of Rs 1 crore in the corresponding quarter in 2023, according to an exchange filing.

The Board also approved its capital raise plans for up to Rs 8,500 crore through qualified institutional placements.

Its quick commerce arm, which turned adjusted EBITDA-positive in March this year, more than doubled its gross orders value to Rs 6,132 crore during the second quarter.

Its food delivery segment—which continues to be its largest vertical—witnessed a 21% rise in adjusted revenue to Rs 2,340 crore in Q2 FY25. During the same period, its B2B unit Hyperpure business nearly doubled itself to Rs 1,473 crore in revenue in the three months ended September 30, 2024. 

Zomato had earlier announced its plans to raise additional capital through Qualified Institutions Placement (QIP) today, as competition in the space heats up with its biggest rival Swiggy eyeing to list on the domestic bourses before the end of the year. 

This is particularly important as the company gears to close an all-cash Rs 2,048 crore acquisition for Paytm’s event ticketing business, Insider. It currently plans to fund the acquisition through cash on hand. 

The Gurugram-based company is looking to expand its stepping-out unit with the launch of District, which would offer customer booking options for movies, sports ticketing, live performances, shopping, and ‘staycations’. It would further tap on synergies with cross-integration from its quick commerce and food delivery segments, the company had said earlier. 

On Tuesday, Zomato shares were trading 3.44% lower at Rs 25.55 apiece. 

Its peer Swiggy has filed its IPO papers for a fresh issue of Rs 3,750 crore along with an offer for sale (OFS) of 18.52 crore shares from selling stockholders. 

Meanwhile, quick commerce unicorn Zepto is in talks to raise $100 million from Indian family offices and high-net-worth individuals, following the company’s $1 billion funding in the last six months.

(This is a developing story)