Online food and grocery delivery platform Swiggy is expecting a boost in consumer spending following the tax cut announced in the recent union budget.
Rohit Kapoor, CEO of Food Marketplace-Swiggy Ltd said, “The present budget, which has on the tax cuts, we do believe gives an impetus to a large section of the tax-paying segment below Rs 12 lakhs and that does constitute — many of them will be consumers of our services”.
In the Union Budget Speech 2025, Finance Minister Nirmala Sitharaman announced that there will be no income tax payable up to an income of Rs 12 lakh under the new regime.
Swiggy posted a loss of Rs 799 crore in the third quarter of fiscal year 2025, compared to Rs 524 crore in the corresponding period last year.
Swiggy’s ad spend jumps 65% in Q3, losses swell to Rs 799 crore
Swiggy’s earnings before interest, taxes, depreciation, and amortization (EBITDA) loss in the December quarter rose to Rs 725 crore, compared to Rs 525 crore.
The new-age food delivery marketplace is robustly expanding into new markets, to acquire new customers.
According to CFO Rahul Bothra, Swiggy has invested in performance and brand marketing to get a higher number of customers into the platform.
Swiggy Ltd increased its consolidated advertisement and promotion expenses by 65.3 percent in Q3 FY25. The ad expenses of the Bengaluru-based company jumped from Rs 454.5 crore in Q3 FY24 to Rs 751.4 crore in Q3 FY 25.