Blinkit, under the ownership of Zomato, has reported a staggering 208% growth in revenue for the fiscal year 2022-23. According to recent filings accessed by Tofler, the quick commerce platform witnessed its revenue from operations surge to Rs 748 crore, a substantial leap from Rs 236 crore in the previous fiscal year.
Blinkit’s journey over the fiscal year was not without its challenges, as the company’s losses increased by 8.2%, reaching Rs 1,191 crore in FY23 compared to Rs 1,021 crore in FY22. Despite this, the significant growth in revenue signals the company’s successful adaptation to the competitive landscape of quick commerce.
A pivotal factor contributing to Blinkit’s impressive revenue growth is its strategic pivot to quick commerce and the subsequent acquisition by Zomato in a noteworthy all-stock deal amounting to $568 million. This shift marked a decisive move for the company, and the FY23 results are a testament to the positive impact of this strategic realignment.
Notably, Blinkit’s first full financial year under the quick commerce model and its first annual financials post-acquisition by Zomato reveal the company’s commitment to growth and innovation. The delivery-related expenses, a crucial component of Blinkit’s operational dynamics, experienced a substantial increase of 140%, rising from Rs 236 crore in FY22 to Rs 566 crore in FY23. This surge in expenses can be attributed to the platform’s aggressive expansion efforts and the scaling up of its delivery network.
Zomato’s acquisition of Blinkit has positioned the platform as a key player in the evolving quick commerce space. While Blinkit’s losses widened, the strategic move to prioritize revenue growth and operational expansion aligns with industry trends and the growing consumer demand for swift and efficient delivery services.
Looking ahead, Blinkit’s performance will undoubtedly be closely scrutinized, especially as Zomato prepares to reveal its Q2 FY24 results. In the first quarter of the current financial year, Zomato reported a net profit of Rs 2 crore, showcasing a year-over-year revenue increase of 70.9%, reaching Rs 2,416 crore.
As Blinkit navigates the dynamic landscape of quick commerce, its ability to balance revenue growth with expense management will play a crucial role in determining its long-term success in this competitive and rapidly evolving sector. The FY23 results, with their impressive revenue surge, provide a solid foundation for optimism and strategic planning in the quarters to come.