Zomato’s share price plunged over 9% during Tuesday’s trading session following disappointing Q3 results. On Monday, the company reported a 57.2% drop in consolidated net profit for the December quarter, which fell to ₹59 crore, primarily due to margin pressures from rapid store expansion to support its quick-commerce service, Blinkit. In comparison, Zomato had posted a net profit of ₹138 crore during the same period last year.
The stock opened at ₹223.10 per share on the BSE today, reaching an intraday high of ₹227.05 and a low of ₹219. Osho Krishan, Senior Analyst of Technical & Derivatives at Angel One, noted that Zomato faced a sharp decline of nearly 8% following its Q3 earnings announcement.
“Our year-over-year guidance of 20%+ growth in GOV for the food delivery business reflects a long-term outlook. Growth rates may fluctuate, with periods of higher and lower momentum. At present, we are experiencing a broad-based slowdown in demand, which began in the second half of November. Despite this, we are optimistic about a recovery in the near future and remain confident in our long-term growth prospects.”
