Swiggy Q3 FY26: Advertising expenses surged by 47.5% to Rs 1,108 cr; Instamart clocks 83.8% YoY jump in revenue

Swiggy reported a sharp widening of losses in the December quarter, even as revenue surged significantly. The Bengaluru-based food and grocery delivery platform registered a consolidated loss of Rs 1,065 crore between October and December period for the fiscal year 2026-up 33.2% year-on-year from Rs 799 crore in the same period last year.

By contrast, the revenue from operations remained strong for the company, clocking 54% YoY growth to Rs 6,148 core, as against Rs 3,993 crore in Q3 FY25. Swiggy posted a total income of Rs 6,244 crore during Q3 FY26 compared with Rs 4,096 crore in the corresponding quarter last fiscal.

Swiggy's food delivery business posted a 24.6% jump in revenue to Rs 2,041 crore, while supply chain and distribution contributed Rs 2,981 crore in the same quarter. Notably, the quick commerce vertical, 'Instamart' outpaced all the other segments during Q3 earnings, with revenue climbing 76% YoY to Rs 1,016 crore. Swiggy added 34 darkstores to reach 1,136 stores across 131 cities as of 31 December 2025. The company increased average size of darkstores further to 4.8 million sq ft (up 95.5% YoY and up 4.3% QoQ).

On the operational metrics of food delivery and quick commerce business, the company saw an improvement. As per the stock exchange filing, Swiggy's food delivery gross order value rose by 20.5% year-on-year, while adjusted EBITDA grew 1.5 times to Rs 272 crore. Instamart’s gross order value more than doubled, supported by a 40% rise in average order value.

Swiggy’s average monthly transacting users rose 37% year-on-year to 24.3 million, with more than a third of users engaging with more than one service on the platform, pointing to deeper ecosystem adoption. Additionally, Swiggy's total expenses rose nearly 50% year-on-year to Rs 7,298 crore, driven by higher spending on customer acquisition and delivery infrastructure. Advertising and sales promotion expenses climbed to Rs 1,108 crore, up sharply from Rs 751 crore a year earlier-up 47.5% YoY, while delivery-related charges stood at Rs 1,533 crore.

By contrast, rival Eternal Ltd revenue from operations surged 201% YoY to Rs 16,315 crore in Q3 FY26, while profit stood at Rs 59 crore in the same period.

Commenting on the results, Sriharsha Majety, Swiggy’s managing director and group chief executive, said that Swiggy was continuing to gain share despite concerns over a slowdown in the food delivery sector. He added that Swiggy was still “only a quarter of the way through” the quick commerce opportunity and was focused on expanding assortment and wallet share.

Majety said the company’s recent qualified institutional placement had strengthened its balance sheet, enabling continued investment in growth and innovation, even as it works towards contribution margin breakeven.