Swiggy Capital Markets Day 2026

Hi everyone, good morning and welcome to the first ever capital markets day event for Swiggy since our IPO recently. It's very exciting for us to be able to talk about the overall story, the journey a little bit in recent times, our plans for the future. It's also an important milestone. We turned 12 as a company this week and every year end comes with some reflections again about how the journey has been and as we go into the next phase I couldn't be more excited about the overall base, the foundation we've built, the clarity that we have in exactly what needs to be done over the next 5 years and as we put together the numbers also the sheer size of the opportunity that we're going for. All of these are super super exciting and our hope is that by the end of the session and we'll go deeper into each of the business units, talk about a lot more plans threadbare, we hope that you'll get in the same zip code of excitement as we are and get even much stronger answers to these questions on why Swiggy and why Swiggy now at the end of the day.

I want to actually first start again like we start our shareholder communication as well every time with the mission statement. I think this is the big why of Swiggy. It's been constant for the longest time and on the surface of it people feel like we're delivering food, we're delivering groceries, we're helping maybe book a few tables here etc but I do think of our role in general in India as a larger one than just delivering things to you in a few minutes. Maybe it'll sound a little grand but I think in our own way we're doing a little bit of nation building. If the nation's builders can actually get a moment from the elements that are India, there is no dearth of offline inconvenience in the country and to be able to offer that small oasis online where you can get a moment, whether you choose to have a moment with your family or choose to use that moment to do some of your deepest work, that's up to you. But I think there is something to be said for how all of us need these moments and to be able to be a company operating in spaces that allow for these moments is an absolute privilege and something that gives me the biggest excitement on the job. There's always day-to-day ups downs, lots of things that can rankle you, annoy you, but I think the constant has just been really really being excited about what are we playing for, what is the mission statement, what is the canvas, all of that, right?

I want to take this chance to also talk about our leadership team who's in attendance today. You've not met all of them and seen them in person. Can I request the management team once to quickly come on stage please?

As I was going through, you know, meeting a few folks even ahead of the event and I was talking about what is top of mind, I guess one of the topics is also leadership transition and changes etc. One of the things, you know, while I'm very excited to invite Nandita to the management team as the newest management team member, I also wanted to use this chance to talk about how everyone else in the group is at least 5 years old inside the company. The average tenure must be seven eight at a management team level and in our 12 years of existence which is donkey's years in startup world we've had three changes at the management team level. So on the surface or with recency bias it may feel but I just want to bring the facts a little bit and we are all here for the long-term building the partnerships, you know, with great camaraderie between each other to build the mission that we have. We're all available through the day if you want to just come and pop by and ask any questions on the sidelines. We're all available. Thank you so much folks.

A little bit of, you know, the journey since our IPO itself right at a platform level. Some of these I'm sure a lot of you know very very well. The GOV has been quite up, it's up 56% while delivering, you know, adjusted AIDA margin improvement even in the Q1 FY27 numbers. We've seen some strong B2C GOV growth, the MTUs have been climbing and the adjusted AIDA has been improving. All of this on the back of the three core businesses, the pillars that drive the platform today. But what is our aspiration? And this we've not talked about in the past and we want to take this chance. This is one of the things I was alluding to in the beginning when I was talking about the sheer scale of the opportunity that we're going after. I think it can easily get lost in the daily humdrum that is our spaces mostly and we wanted to just take a step back and talk about the aspiration that we have at a platform level at a headline level. This is the goal that we're gunning for. This is what, you know, we will also show you in greater detail and how each of the business units add up to this number in the end. It's a nice round number but we'll talk about how all of this comes together through the rest of the day as well. So we want to get there to a 10,000 cr adjusted AIDA by FY31.

And we want to get there again on the back of strong MTU growth even from here, a strong 30% plus GOV CAGR, all of that culminating in this number that adds up. But I want to talk about how are we going to get there. One part of it as you can see in the image is also we have the core businesses that we do with the product market fit that they already do. Fortifying the core is table stakes. There's a certain base case in terms of growth and AIDA that we can get by just continuing to wake up every day and, you know, doing the billion basics even better. Serving partners better, serving consumers better and there's a certain flywheel that, you know, is going to happen just by virtue of that. But it is going to take even more than that if we want to be able to go after, you know, the size of the goals that we have talked about and we'll build on it in greater detail in just a little bit. So beyond fortifying the core I think the big thing that we're excited about and hopefully you'll see it thematically across everything we're doing in business units as a theme that keeps coming up in how are we now expanding incremental wallet share across a broader audience. This innovate and expand.

Before that, maybe we'll just spend a few minutes on the core part of the business itself. I want to start with the food delivery business. When we came, you know, for our IPO I think the story was still evolving. We demonstrated some early green shoots in our profitability. We started stabilizing the business and we kept talking about how, you know, the medium-term guidance, the steady state guidance is going to be four to 5% AIDA and how, you know, we're feeling good about overall growth and we're very happy to see overall how it has played out since then. We are stronger than ever in the food delivery business. You know, the growth has been really strong continuously in the guidance that we've been talking about in some quarters even going higher than that. And as you'll see later today, we want to now aim for an even higher growth clip than this. A lot of the, you know, some of the meetings that we've had with you also asked about food delivery is still an early category. You should be growing even faster than that. And each time hopefully you've heard me saying yes. I think we need to do more things to be able to drive even faster growth rate than the guidance that we've given in the short term. And we now want to talk about taking more serious aims at this. We do think it is possible and from everything we're learning from the experiments, from the consumer responses that we're seeing we can see how this can start crystallizing a lot more than we have in the past. While, you know, the stabilization on the growth, the overall AIDA has happened, I think even from a backbone standpoint just in terms of the overall consumer experience that we're offering, the partner experience, the delivery partner experience, small small things like gear compliance, you start seeing a bunch of places where you'll see the core is humming and how in this part of the business now we'll go to Instamart.

We became, you know, only the second player in quick commerce to demonstrate CM break even and you grew GOV by 40% over the last year in itself. It's probably okay but I think if you layer it with the context of the market that we've been in we like to be a little bit more excited than normal. I think it's been a tough year made with full of contra choices. It wasn't obvious at all. The obvious choice was to just okay, let's keep going with wherever the rest of the market is. But for us it was important to not just kicking the can down the road and seeing that ultimately if you want this to be an enduring, humming, profitable, solid business in four five six years then we need to start making the choices today in terms of how do we set that foundation and it is at that place that we find ourselves today and I'll come back again in the Instamart section to talk in greater detail about the foundation itself. I think this if you all also remember a lot of the conversations during the IPO were about the overall assortment and how we only had like 8K 9K 10k SKUs at max in a lot of the stores and this year apart from trying to move this contribution, apart from stabilizing we've also had to kind of fix the engine in flight a little bit where the network went from like the 10k assortment to the 40 50k at some point last year expanding from, you know, the top 10 15 cities to 130 cities. So it's hard to compress exactly what happened, what it took to get to this place despite all the news that were thrown at us. Some that we had to do because if we didn't expand the assortment, if we didn't expand to solve a lot more consumer need states than we were, we would have been in a lot more fragile position than we were in today. So I think in terms of just sealing some of the earlier gaps in terms of the assortment, in terms of just resetting the user base, in terms of overall starting the path forward to AIDA and AIDA break even thereafter with this base gives us a lot of excitement. I think that we still not, I can't say that we're already humming. I do think that we've made a lot of progress and we'll also talk about very short-term timelines in what like humming looks like for us in a way that we will be confidently saying that okay this is now happening in a way that has you can benchmark us on this metric, that metric at a category level and you'll find us benchmark not only just on the outcomes and what the metrics are looking like but also the processes, what is the text tag, what is the pension you have for the everyday stuff that shows up in the operations in a way that it hasn't and that's something that we'll be opening up for specifically in the Instamart section.

I think another one, you know, which we haven't given a lot of coverage in the past but we want now want to start talking about excitedly is the dine out business, the out of home business. We've had some high growth here and a full year of profitability and we have some big plans here as well. Roughly in like FY31 we expect this business to generate as much as food delivery generated last year. So that is just now within sight, we can see it happening. And that again is starting to show up just the power of compounding. It's a secular growth opportunity available over here and we feel really good about how all the inputs are humming. So this just the stage of the core today but I also spent some time earlier talking about what is this innovating to expand our proposition. I want to explain that a little bit more.

In the last decade most of, you know, I think there were two big insights that came out of the Swiggy kitchen. One was in 2014 we said okay food delivery but you need to do it yourself. And again another non-obvious then but obvious today was that in 2020 we said grocery we should do but we should deliver ourselves but also maybe dark store. It's like super obvious today saying this is the only way that it should have happened but rarely feels obvious in the moment when you make these decisions. But the underlying belief has always been that we're building for this top of the pyramid in India, the India 1 segment which is going to keep growing and growing and growing and all we need to do is to just keep playing and playing and playing and in 10 15 20 years more and more users keep coming to the part of the pyramid that we play in and that itself is a crazy compounding business and life just goes on super happily.

But I think that I mean that is for an even higher growth rate. The growth rates that we are now talking about but I also want to talk about journeys as the business has evolved itself, right? The food delivery business at some point used to be in I think just before the pandemic -6 -17% contribution and from there it's gone to 7 8 9 percentage kinds of zip code and in the process arguably like some of that has also come through tightening of consumer incentives and affordability and stuff like that. So, it's a carefully balanced marketplace so that you're able to serve the incremental user well enough, but maybe not like just the same way that you harvested the original users that came in. What happens then because of all of the adjustments that businesses make is there are a set of core users and I'm sure you've seen this power law expression saying a small percentage of users make up like for the largest percentage of orders and even larger percentage of AIDA etc in the food delivery business. What happens is if you look at the overall MTU numbers and our annual transacting user numbers, there's a base that keeps coming back every month. But there's a base which is the largest part of the base on a user base of 150 plus million users. If you look at the MTUs that we have, all it points to is that there are a whole lot of users who are still super low frequency and in some cases no frequency and then keep coming back. And we felt like and it also shows up right in the top core users are giving like a much higher wallet share, their wallet on the platform but these infrequent users aren't. Now traditional trope could have meant that okay these are low quality users but we're just readjusting the way that we think in life and are saying that could we potentially be a low quality platform for these users. What do we need to do to get even more engagement out of these users? Because it's not like as you go down the value spectrum or like if you go to slightly less affluent users frequency has to come down. That's not how it works. Meesho has pretty good frequency. They're not even in the 150 million 200 million users that we acquire. And so that is a challenge that we've been generally working on quite over time saying that something about this it just we just can't leave this as an axiom saying like the new user will be a low quality user. We're not settling here and are actually pushing ourselves to say how can we actually serve these audiences better to be able to get the same or similar engagement over a much wider base of users as opposed to just the power users. And I think there are massive unlocks that can happen if we figure out how to serve these audiences better than we have in the past. And again oversimplified version but for the core users just keep getting up every day and waking up and solve for the core convenience experience parts and keep gaining wallet share but for the infrequent users they in some cases users are also infrequent because they may have not have a need state. They may not need food delivery every month, but there's still a large percentage of users keep talking about affordability. And the job for us is to keep figuring out how to drive affordability in a sustainable way to actually drive this frequency and retention. And being able to do this is going to unlock a new growth arc for, you know, the businesses that we are in in general.

And some of these efforts led to, you know, the overall evolution of Toying even as we stand today. But this was also not linear. We started, you know, working on affordability 18 months back, 24 months back in a way that we weren't earlier. We started doing stuff like Pocket Hero. We started doing stuff like Crazy Deals. We started doing stuff 99 Store. We kept throwing stuff at it and some parts of each of it worked but it wasn't like the exact thing was a roaring hit. It got kept getting incremental growth and that helped us but we were like how do we now raise this even higher and one of these inspired moments led us to, you know, the journey for Toying. We launched it in September 25, it's now present in 50 cities and the promise here is same same but different. It's like food delivery, you will have the restaurants that you have in conventional food delivery apps but it's almost an attempt to say what if an app needed to exist to serve this bottom part. Can it look slightly different from what it looks like today? And if you built an app that is more tuned to the needs of these consumers, could that potentially get higher frequency and higher wallet share out of these users is the core thesis and all the success metrics that we look at are if it is generating that. Yes of course there will be some scale, there will be some CAC, all of that but the core insight on is it generating incremental growth is I think, you know, the exciting part and some of these also get validated in some of our interviews. Of course we have a long way to cover even on Toying but early interviews there are folks. There was a college kid for example who was ordering for 1,200 rupees worth of food delivery earlier on the Swiggy's paradigm but now they said, I mean and we would have thought that maybe they only have this much budget because they are on a tight budget whatever but this time they said on Toying they're spending like 2500. We like why would you do that? It's not an obvious insight. They will I feel better about my spend here. It's a very counterintuitive. We keep trying to simplify things always saying budget wallet share but consumers can expand their budget if they have a good aftertaste and how do you make that happen is I think something that we are in a full pursuit of. We're super clear on this insight that there must be a way to create meaningful engagement across a much larger user base than mass premium has done in India so far. Most mass premium companies have the same eventual story as you reset the AIDA that you'll have the core users and your marginal new users aren't getting like fertilized as much as your early marginal user. But I don't think it's an axiom saying this is how life is going to be. At least we are not going to concede that life is going to be that way.

And the next one from the kitchen has been Noise. Hopefully some of you got to try the Noise goodies outside. They'll still be available for a bit I think. This was, you know, a multi-year effort again in terms of it started again. I'll come back to the story like I don't know if you have Rohan here, the, you know, the leader leading Noise. I think again it began as an insight a long time back in terms of trying to offer something better for consumers in like a completely different platform and one thing led to another and then led to the launch of this based on the same insight that didn't work or didn't work as effectively 3 years back that there must be a way to give some consumers something much better than what they already get access to. And if you go back to my mission statement, each of these places is again coming back to elevating the quality of life, you know, through unparalleled convenience. In some cases it could be in the Toying example and people may ask saying but you're all about convenience. This is value. I don't think that if a college kid is sitting in his PG and ordering like for 200 rupees while watching Netflix what is it if it's not convenience. I think we need to think about what can we do to democratize convenience even more than we have today. It firmly remains convenience, it just happened to be democratized more than we were able to do earlier. And with Noise when we launched we launched with a narrowish set of SKUs and our experience overall here has been quite magical. It's unlike I mean maybe I've seen three things like these in the 12 years of running this company in terms of just how much love there is every time there's new selection launched it gets lapped up in a way that the team constantly can't forecast and good problems to have but even if you look at the overall product range and the salience and the frequency and all the love that they're bringing it's just quite amazing and again it is great products but also at accessible pricing. I think this again is speaking back to the theme saying it's convenience needn't be exclusionary and if you can figure out how not to make it exclusionary there is a super opportunity in front of us and that's what we're here for. That's the constant theme even if you look in the dine out section there's a section called Steal Deals which is again for a marginal new audience how can we get growth here so we're just constantly pushing saying the marginal user can give us a lot more than they do already today.

Building on Noise and it wasn't, you know, while we started Noise as one part of the Instamart platform, I think the sheer size of consumer love and the response has actually cemented our belief in actually changing the soul of the retailer that is Instamart. It is not just like a feature anymore. It gave us enough conviction and a strong feeling in the bones to say okay I think this is also a question that, you know, you all have asked us before saying okay A is standing for this, B standing for this, what do you stand for and it wasn't obvious to us earlier but sometimes you have some epiphanies and moments that make you very very clear that this is exactly what we're going after, this is where our right to win, our hot steaming passion lies and if we can bring this together magic is going to happen. And that's the leaning forward that we've been doing all year. Since that early phase of conviction, we've only doubled down, tripled down with everything we're doing with Switch. If you open the Instamart app, you'll see the Switch campaign live. Every time you search for some SKU on the platform, you'll see a small nudge asking you to consider switching to a better alternative. And it could be from, you know, our own brands in some cases. In a lot of the cases actually could be brands that are working together to figure out how to make this happen for our consumers. This is the vehicle for, you know, the democratization of quality that we think can happen. So again this was again I'm showing you like a little bit of zigzags in terms of the innovation DNA of the company. I think it is one thing that we take a lot of pride in and we also keep getting questions saying okay do you need to do this much innovation? I actually think that maybe we couldn't have grown 21% last quarter if we didn't do innovation 9 months back in food delivery. If we didn't do some of these innovations earlier that led to Noise, I think we would have a bigger risk of being commoditized as a quick commerce player in the next few years. So unfortunately the cost of doing reasonable innovation means that you'll fail a lot more than you succeed. But failures don't mean that they don't bring learnings. And that is exactly the story that I also wanted to talk about a little bit. Even if you see Instamart, of course, we piloted it, innovated in 2020, but even that came out of a failure with Swiggy Stores for us that preceded Instamart. There was another platform called Insanely Good that itself originated from something else called Super Daily that led to the same team kept working on this insight for 3 years on a small budget just figuring out how to keep working on this insight and today we believe that the majority alpha for Instamart will come from this insight itself which is so strongly validated saying this is what we want to go after. This is the heart of the retailer that we want to be. And there are places where we have even carefully, you know, Swiggy Genie was one of the businesses that we had. It was growing. It was profitable. But at some point we looked at it and said in the context of the 10,000 cr AIDA that we want to make for FY31, how does this make sense? Which is again like a lot of iterations, we've not only just learned to innovate and wander, but I think we have really learned to wander with a lot more purpose than we have. The bar for how large an opportunity should be, the bar for the quality in the experience that we're offering which should propel us to pursue that opportunity further. The comfort to acknowledge that okay this business is probably not going to be like maybe a right to win business for us or that we are not going to be the best. As recently we even shut down Snacks. So we've gotten a lot more disciplined about this whole process of both innovating and also deciding when to pause some of these innovations. And the other thing I really want to talk about is innovation should not always be seen just as an opportunity only. I was talking to a few of you even in the morning today about Toying also. I think that at its worst Toying offers us insurance on like a 5,000 6,000 cr AIDA business 5 years later. At its worst. If you like take the cases of like mobility companies today if they chose to, you know, we actually succumb to investors dilemma, innovators dilemma and then you basically just keep holding and tackling, blocking and tackling and then you suddenly realize that you now have to pour a heck of a lot of money to now start regaining the position that you have. So I think that if we didn't do some of these innovations, the company would have been at even greater risk than it would have been. I think we have, it's fair to say that we have not missed the largest opportunities in the last decade. Neither have we comfortably sat in anyone else open up these opportunities for us and create huge flanks for us. So I think that we don't suffer from the innovator's dilemma. I think we are an innovative company by DNA and we take immense amount of pride in it and I do acknowledge that it's not going to be just this or that. I do think that both of them are important but for Swiggy and why Swiggy we believe that our greatness arc will come from both coming together. It's not going to be only one and that is just how we are going to be and we are going to keep finding non-obvious but suddenly obvious answers even in the next five years and you can be sure of that. We have a DNA, a culture, a team that deeply values and respects the value that innovation brings and we're not going to shy away from it. Again, as I mentioned, we're going to be continuously doing it with purpose and double down whenever we see the conviction that warrants doubling down. So in short like our moment is now. We have some three strong core businesses with the foundation that they do, a very strong voluminous user base that we now are raring to go and build a deeper engagement with and build on this execution plus innovation arc to get closer and closer to the aspiration we have and really do justice to the opportunity at hand. Thank you so much again for listening to me patiently today folks. I hope you enjoy the rest of the session. I now want to pass the mic on to Rohit Kapoor, our CEO of food delivery please for the food delivery section.

that the network generates profits every city in the network generates profit.

I think if we, and we've spoken about it in the past, saying we are expecting a baseline growth and our guidance has been 18 to 20% GOV growth for food delivery business. We believe that the market is coming to a point where what we have done so far will land us in that zip code. Right. Now the question we are asking is that good enough given that still such a small part of India uses food delivery, right? It's a 10-15% of population. What happens to the multi-digital opportunity it offers? And when you go to markets like China and others, you get inspired by, you know, how big these businesses can become. So some of the core attempt is to take this 20% higher.

The opportunity is affordability is the biggest barrier. 70% users transact less than once a month. Although it's a high frequency category on an average, right? And 30 to 40% additional unlock is available. And we kept trying. It's not like we've just suddenly one day woke up and saying we want to do Toying which is our big bet. We started with Pocket Hero which was affordability offering. Learned a few things along the way. And in the spirit of what Harsha are describing, saying everything we try sometimes fail but leaves a kernel out for us to do something more with it, right. We did crazy deals with Swiggy 6s flash sale. We built a Nine Store. Nine Store is a valid offering on its own which will stand standalone be there. We kept learning. We opened Snack. We realized the economics of that business wasn't to our liking. We shut it down. Right. And we've, you know, launched Toying sometimes about 10 months back but really started scaling it up last 3 to 4 months.

So next section I will speak largely on Toying because this is some the first time probably we are speaking in depth about it, right? We've given some idea on what we are doing but really not spoken about it that much. The core idea why to do it has been described by Harsha. I will not repeat it.

The tenets are low prices like with limited markups, transparency, very what you see is what you get. Simply simple, you don't need to really figure out much on as a consumer on what you are getting or not getting. Zero extra charges, cost effective, lower last miles with smart batching, new supply, which is the kind of supply which is getting crowded out on the main food delivery platforms. And we'll show you some data around that. And very very unapologetically with, you know, clear apologies to millennials and others in the room including myself, very Gen Z focused, right? We are not, we are building for Gen Z. If somebody else also likes it, you're welcome to buy there but we're not going to get distracted by building for everyone here.

So same menu, way lower prices. Just this is just a live comparison you can do it. I think 70 chances are, you know, on any particular day if you try this comparison, 60 to 80% of the time you will find Toying cheaper, right? And not just item prices, the attempt is the carts are cheaper so the bill value you are paying as a customer is actually cheaper, right? So on this cart for example it's 23% less on the entire cart and that's what the customer ultimately cares about saying how much did I end up paying.

Now the obvious question is if it was so easy why not just do it, right? It is not easy and hence it is, they're not discounted carts, they are engineered carts. So what's behind the engineering a little bit, and this is all work in progress so there's no claim of saying absolute success on any of these parameters but this is a design, some elements we've seen success. I'll talk about that. One is lowering the restaurant commissions with a clear incentive to them to keep prices for the consumers customers at a certain range. As simple as that. We charge them lower. They pass on that benefit to the consumer through prices. Second is simple fees. Now fees have a nature of building up over time and each fee is justified, right? There's a consumer who seeks convenience, seeks other things and pays for it. We are still one of the least complicated fee markets in the world. Try ordering in the US, right? So but even then I think for a certain segment it is important and we'll go for that proposition here. Ads monetization I think we will double down a lot more. So there's a trade-off. So for example, you're a convenience-seeking customer who's willing to pay a certain platform fee or other fee, you may not like to see an ad come in the middle of your purchase journey. But if I'm seeking a value where I'm 23% cheaper and that's my primary goal seek, I may be okay seeing an ad, right, as part of the journey. So those are some of the things we did not touch ever on the main app as tenets. We are absolutely open to doing it because the value has been here is different here.

So prices stay low is a clear tenet. Without that there is no play. And cost stay low which is how the margin will emerge. And how do the cost stay low? One is this business runs on a lower short mile. One of the biggest costs of this business is till we cost what we pay to our riders. And this business runs at an average of about 2 km which is roughly 70 to 80% lower average last mile than the core business.

We're also, this is not fully there yet but we're designing to cost to serve which is almost playing back and saying I can afford only this much cost to serve this consumer with this kind of price point. Now what all and then you make some hard choices on what the consumer really values and go after that versus trying to do everything for everybody, right? So purpose-built consumer experience. One uniform experience, refund and comp policy same for everyone which is not the same on delivery. It's very very nuanced. We have history, we have trust scores, we have all kinds of things to decide things. Here we are keeping it simple. And simplicity is also with a design to say that this fundamentally means lesser people, lower cost of technology and lower cost to serve and lower indirect cost.

I think we are uniquely positioned to build this on the lowest indirect cost, you know, chassis possible is because we just don't have to build everything from scratch. A lot of what we want just exists. So for example, we are not putting in hundreds of people to go and build restaurant relationships. Anybody who's coming into new to the market will have to do that, right? We're just adding maybe 2-5% extra manpower and we already have 50 cities live, right? So and that's by design again, it's a very thoughtful way to check saying how much indirect cost buildup this platform can afford and do only that much and re-engineer backwards to find ways to do it.

So if you, this is the slide which describes the engineering of this business, right? Who are we building for? Gen Z. About 37.7 crore people in that age bracket. Overall consumption spend in this category 75 billion, they are half of it roughly and it is showing up. I'll come to that slide. So more or less progress on this. We have, we actually if you see the period from October to February where it was launched in only one or two three cities actually it was Pune, Ahmedabad, Pune, Vadodara and Agra I think, right? It was we just experimenting, we just trying to figure out what is working what is not working. We didn't scale up. The scale up started sometime around Feb to more cities. Without giving the actual numbers out, I think they're obviously slightly very competition sensitive. You can see the scale up which is happening. Also two key metrics we're watching on whether how is the customer acquisition cost going and this curve describes the customer acquisition cost as you can see the column charts and the repeat user economics because the more or less the money we want to spend on this business largely is to acquire new customers who are new to category customers, right? And not so much on repeat users. So the repeat user economics and profitability is a very important metric. That is the curve that you see as a line going up there.

So what are the results? And this is an important slide because I just want to nuance it further than what is there inside. Two out of three users that we are seeing on the platform are new and dormant users. Right? Now in this business that we operate, dormant is almost as good as new. Anybody who's not transacted 90 days, 180 days almost starts behaving like a new customer from a acquisition cost standpoint, from a retention standpoint. So two out of three are new and dormant. Your question will be what happens to the other one? That's a natural question saying what happens to the one customer who is not new not dormant, is using largely both apps which is Swiggy and Toying and frequencies increasing.

Because cannibalization, and this is some question I think it's a very fair question saying how much is cannibalizing. I think there's one way to look at it saying oh are they starting to use this app also? If so my question is that are they repeating or together? Am I being able to offer a portfolio of apps with some consumers make sense that on certain times I'll order on this app and certain times I order on this app that we are seeing. So the one out of three frequency is increasing. And the other question is that if I don't offer this choice doesn't mean the consumer doesn't have the choice, right? The consumer is not so loyal, right? They say we will stay within the Swiggy family and not go and promise not to order outside. So I think those are some of the things that we are watching even for the one on three, right? Interestingly, what the other thing is who are they ordering from, right? And it's a function of two things. One is who they're ordering from prices as well as the visibility that some of the restaurants are getting who are getting slightly crowded out on the main app.

Right? So if you look at this, what is belly plus tail restaurant mix? Belly means so take out the top restaurants, belly is the fat middle and tail is a long tail where they generate sometimes five orders a month, 10 orders a month, 15 orders a month, that's what we call it. The proportion of restaurants getting business from Toying is much higher on Toying than on the Swiggy main app food app. So it's actually opening up online delivery in a deeper way for a set of restaurant partners who were getting crowded out on the main app for a variety of reasons.

We're just getting started. This is a starting point of Toying and not any conclusion for sure. The idea is how do we drive incremental growth? We accelerate unit economics which is function of two or three simple things. One is improve the repeat user economics. Keep lowering the cost of acquisition, build up the retention rates individually on Toying as well as on both apps together, doubling down on affordability and the perception of affordability. So we constantly thinking about how to make the consumer feel every time they come on the app that they have been responsible with the use of their money, right? Increase city level penetration. This is a vector we can control quite easily. I think our ability to dial up cities is quite fast. Lovely to give you a sense that if I decide to launch a city on time it's a decision to live 7 days, right? That's all right. So it's a vector we control quite easily. Given our network already is there and strengthen restaurant supply. I think we have a job to be done here in terms of deepening in the segments that we're not so active on the Swiggy app. Also I think we're building products specifically for Toying to provide clear communication to restaurants on what they're generating on Swiggy, what they're generating on Toying etc.

So net-net, what is our ambition? Our ambition is to take the growth rate from circa 18 to 20% zip code and just to refresh this was 14% 3 years back, became 17% about year and a half back in terms of growth rates, is trending at 18 to 20% right now. Add 5 to 10% growth on top of that, right? And in FY31 take the 1,000 crore AIDA that we registered last year, last full year to about 5,000 crores which is roughly half of the platform AIDA that we are shooting for.

I'll stop. Should I just keep rolling Q&A or the video? Yeah.

Okay, so we discussed, you know, food delivery and Toying and I got a lot of questions but I'll be around during lunchtime and through the day. So please feel free to catch me if you have more questions on this. So shifting gears to the out of home consumption piece, right? And diving straight in. So this is a category by the way just for everyone's memory we did not have a play till about 3-4 years back. We entered this category through an acquisition of the Dineout business from the Times Group, right? And it has been built from there to what it is now.

So this is for the financial year full year GOV of about 4,600 crores, 50.6% growth. 58% order growth, 52,000 monthly active restaurant partners on the app. Now this number has grown about 20-25,000 in the last couple of years. We operate in 75 cities and expanding more cities practically every quarter. 6% EBITDA margin, first full positive year. We did turn positive for a quarter before but this was the first full year of profitability in the business.

The aspiration here is to put it simply, deliver the AIDA that we delivered in food this year which is a 1,000 crore AIDA, right? And we see that possibility happening by in about 5 years time and a midpoint of that somewhere 2-3 years down the line, right? And we'll show you why we believe that is possible. In terms of overall GOV, this business can get to 20 to 25,000 crores of GOV up from rough run rate of about 6,000 crores that we are operating right now.

Now why we believe that is possible? It's a $30 billion TAM and if you look at any metric today on the left hand side, so if you look at organized food services, 98.7% is not touched by any aggregator today, right? 99% of cafes are untouched. 99.7% quick service format is untouched. If you look at the year-on-year growth expectations, organized food services expected to grow 13%, cafes at 19, quick service at 18 and our plan to FY31, we believe we can grow at about 40%. We only, right?

The core engine is three parts. Supply creation, consumer growth and tech platform. On supply creation we have added 18,000 restaurants and what is interesting is the mix of restaurants coming on board. If you go back 3-4 years there were largely two kinds of restaurants on Dineout which is pubs and bars and fine dining to a large extent that's what the association was. But you'll see a wide variety of restaurants showing up on the app including cafes including even local champions in different cities. When we acquired we were operating in 20 cities, we are up to 75 cities. Easily this number can keep expanding as the cities. Interestingly, you know, India is changing a lot on this dimension. I'll give you a simple example. I was in Amritsar two weeks back and what do you think you'll go to Amritsar for food for? Kulcha and what else? Okay, fair enough. It'll largely be like this kulcha, that kulcha, that this lassi, that lassi. Indian food in Amritsar is plateauing in consumption. There are 100 cafes which have opened up in the last one year, right? People are looking for protein milkshakes in the morning. Sweet shops are offering protein laddoo. Now this is a change happening in cities in India which our normal expectations don't adhere to like because the Gen Z there is again consuming less alcohol, right? So things are changing so suddenly when you go to and see that no the narrative is not just about kulcha anymore which for the tourist is still but for the local who's there is changing suddenly like any day which you saw an example which is Gurana is probably number one cafe today opened in Chandigarh last week and just to a roaring success. So things are changing quite a bit in the 75th town, 80th town, 90th town of India, right? And we'll be right there because we understand those categories. We understand what the consumer looks for. So this will play out into more cities.

Consumer app, what we inherited as part of the acquisition was a solid business but today the app looks completely different with offerings which are probably 20x than what existed 3-4 years back. So Swiggy app is on the surface, there's a Dineout engine operating below. So those of you not used Dash please use it. It's an offering where every time you transact you get a certain, irrespective of a bank offer or a restaurant offer, you get Dine Cash and you can use it next time, right? So that creates a flywheel and what we see is a positive flywheel is wherever there are restaurants with low offers, people tend to use Dash a lot there and go to the restaurants so the uplift happens in those restaurants as well. This business has grown almost whatever 4x with 82% lower marketing spend since 2022.

So the classic expectation will be that if the business has grown the marketing spend would have gone in line or grown faster. In a category as young as this we've actually reduced marketing spend by 80%. Right? And really built on the Swiggy consumer franchise to build a business on top of that and we still believe there's headroom to do that because the consumers who use food delivery or Instamart are way from getting exhausted on coming on to Dineout, right? So we believe this playbook can play out at least 3-4 years more before we have the need to aggressively go and spend back on marketing which we will if we need to at some point, right? I won't go into the tech platform but this was a discount only platform. There's now a pre-book digital menu, CRM, ads and analytics on one graph. There's a whole bunch of tech layer which has been added to the platform.

What are we doing? On top of that in terms of innovation we, how many of you, this is Bombay I can ask a question. How many of you know Mumbai Foodie as a channel on Instagram? Okay, I'm clearly in a millennial and Gen X audience like it's the India's largest food channel, right? We fully own it now. We acquired them about two years back quite silently. We have not spoken much about it because it's best left that way. We haven't even moved the team to Bangalore or to anywhere near our office. It's a very different team. We left it them there and grown them, right? We opened this in nine cities. We practically own India's largest food discovery channel on Instagram and Instagram is where food discovery happens largely, right? So that's an engine available and why it is valuable, for the consumers also it gives a great equity with restaurant partners. I always have a backlog or request from restaurant partners who want to be featured on Mumbai Foodie or served, right? And that is a great tool to have in the armory.

Scenes Switch, a business and this requires, I'll spend like 30 seconds to first describe what it is not and what it is. What it is not is a large format singular event kind of play. So if you're thinking you want to book tickets for let's say, you know, Shakira, won't be happening at Scenes, we're not doing that business, right? What it is very focused on is hyper local food forward, restaurant forward entertainment that people look for on a high frequency basis, right? So if you're looking, if you stay in Andheri and you're looking for the, you know, most happening Hindi music being played and a ticket to that it'll show a pop dates for you and something happening there, right? So this is that clearly juxtaposed with the Dineout platform and not operating outside the remit of it. We do quite fancy things so for example when Gaganand came to Mumbai, we, it was on Scenes, we built that property with him. It got sold out in 90 seconds. Ticket price is 35,000 rupees per head with a 2,100 rupee convenience charge, right? We opened it, we sold out in 90 seconds. So there's that kind of stuff also happening on Scenes which I was also surprised by. I was like asking the team who's going to buy these tickets, but it didn't last too long.

Orders Field. This is something I'll demonstrate to you what it is. And digital menu now and I'll show you the digital menu. I firmly believe having looked at digital menu and gotten frustrated with digital menus across the globe. We have a product which is really nice for the consumer and works for the restaurant partner. On the payment side, there's Dine Cash and there's restaurant SaaS which is table CRM booking billing stack. So this has moved from a discount discovery platform to a full stack play which allows the restaurant partners to do a bunch of things. I'll give a simple couple of examples to illustrate what the power the platform has. So restaurant partner wants more footfalls, breakfast slot on weekdays. They can just open offers for that slot and not disturb the other slots which they have walk-ins for, right? They want ability to say I will give a booking but I want to see where how my restaurant is operating and confirm in 15 minutes to say can I give you a table of 12 in the evening. We've given the power back to them because gaining the trust of restaurant partners here to allow their space up to do a bunch of things through tech requires them to feel they are in control as well of their own destiny and how they want to drive their business. So large part of what we built is very very feedback based from them.

This is Steel Deals. It's been operating for a while in Ahmedabad and Indore. The core idea is simple. It is not food delivery. It is not Dineout. It is a deal which you buy on the app and then you show up at the restaurant to claim that deal. It's very simple. You'll go to the app. It'll show for example this is I think one hoko or I don't let me play this video.

So we learned it the hard way. You know, we launched this 2-3 months back and we had to shut it down in 4 hours because the restaurant systems collapse with the traffic, right? And we actually didn't bargain for that. So the whole idea is how do you drive footfalls to a restaurants and we have done this now repeatedly. Some restaurants are experiencing 300x growth in daily transactions when this happens when they come on this and it is quite crazy like for example sometimes we get repeat rates of two in a day from the same consumer so they're buying two Steel Deals and visiting two different restaurants to claim the Steel Deal. The fun part is the bill value is not 19. The bill value in some of the cases was 19 rupees for a Steel Deal but the average is 500 because three friends went they've claimed one 19 rupee deal and also bought one more ice cream, one more coffee, one more big red. So the restaurants are clearly liking it. The whole this thing is being scaled up now. So it's a quite a unique realization we've had that people when they're assured of value before they go to a certain restaurant will actually walk in large numbers. Very Gen Z focused. This crowd is not the 30-40-50 years old. This is largely what we see is 20 to 25 year old that age group or 18 to 25 who are clearly excited by this.

Sorry. Yeah. Digital menu from the table to the seat. Now, we've all experienced digital menus and if I may say so, it's a bit frustrating. They're not the best UI/UX. You tend to always ask the restaurant saying can I get the physical menu please? Do you have one? And then they say no and you get disappointed. I think we went and attacked that problem first saying forget everything can we make a menu which is delightful, right? And I'll encourage you to use it or maybe we can demo it during the break. This takes the skin of the restaurant. So every restaurant this menu will feel it is their menu, right? We are not imposing our brand colors, brand standards onto this because restaurants are also very finicky about their menu, how the menu shows up, right? It has but the power it gives is not just the consumer experience. This is the first time the restaurant is able to digitally track through data everything happening in that flow, right? Seeing which dish is getting sold, the kind of data is generating for them and even we have actually gone and demonstrated to our early partners saying through this we can lift their AOVs up, right? Because how you surface a dish, how you surface offer for the day, your ability changes dramatically. The flexibility it offers them to do seasonal menus, daily menus changes. Just imagine doing that on a physical menu if you want to do saying Saturday special, what do you do? You go and print like 30 more menus and you want going to change it next week. What do you do here? You can do it from the back end in like 5 minutes, right? So, this is getting scaled up. It's gone beyond at least 500 head restaurants. These are like the most popular restaurants, breweries you'll go to in Bangalore, Bombay, other places. We believe it gives us a real hook into understanding restaurant data at the point of dining and then building on top of that for the restaurant partners and for us, right?

I'll end with this. This is the new thing we've gone live with is our first partnership is with Cinepolis. We have built an ability to order from the seat using the same Swiggy menu that you're used to. So instead of, you know, looking for a person to look call or go out during the break where classically if you go to a movie the biggest problem is during the break everybody goes same time and suddenly you have a crowd and a queue and many people don't transact because of that. So we are piloting this in about 460 cinemas of Cinepolis and we also expanding it to other cinema chains. My sense is this could go anywhere between 2,000 to 3,000 cinemas in India. The product is fully ready, is being rolled out. So net-net if I just trace back, leaving you with the headline numbers, we believe this entire act of eating out to put it simply can become a 20-25,000 crore business for us generating a 1,000 crore AIDA but it is not a discount-led business anymore. It is a business which has 7-10 core products each of which makes sense for the restaurant partner and for the consumer together, right? Thank you.

Okay I think I'll hand it over from here to our CTO Madhusan Rao, Madu as we call him more normally. Where is he? Okay, you can check your messages in the meantime which we've been doing also while I was speaking. So, it's okay.

than what it is. If I'm able to offer this differentiated assortment in some places, because most of these gains, because our differentiated assortment is a quarter old in at a full-blown campaign level. So some of this is just starting to get baked in. Even with noise, even with some of the things we're doing, only a small percentage of our users have actually tasted the proposition and even smaller have tasted it three times. Internally, we look at how many users have tasted it three times, this proposition, because after that we see a step function movement in their retention. So it is not just because we keep improving the basics, but it is a function of both deliberately acquiring the right kind of users for the proposition, serving them reliable experience every day, and adding the booster with the overall Switch proposition and the overall differentiated assortment proposition that we're talking about.

That is also the reason, because technically some of the questions may also be that, okay, if you're going to go for profitability again, because you need to move a few more percentage points in contribution to get to EBITDA this time, what trade-offs will happen? I think that some of these things were very different the last time we went on this expedition of moving the contribution margin. We didn't have, let's say, the user base fully set. I think the user base is set, the everyday excellence in terms of the basics, in terms of the operations, are at a significantly better place. And the third reason is there is going to be meaningful organic drive, organic growth as a building block just because of this new proposition giving more stickiness that just didn't exist last time, which meant that the net growth that you saw was there were gross inflows and some outflows because we also talked about resetting the user base and what you saw was that equation of plus and minus. We have almost no minuses of that type this time and we feel a lot more enthusiastic about the pluses that we have, which honestly didn't exist at the time. And that is what gives us the confidence about this being the right time to push the pedal and also gives us the confidence. I mean, some of this we alluded to in the earnings calls also. Yes, there are going to be multiple players, everyone has large balance sheets, etc., but this time we feel like a sense of control over our own destiny in a way that we haven't felt before, just because of the things that we're able to touch and feel when we look at the business. Even today, the market continues to be super competitive. Nothing has changed in the last three, four months, but the way our users are forming habits is very different. And we're going to assume that competitive intensity will remain the same and we feel like this time will be different just because of that. This whole grasp on, okay, how are we graduating the users? How are we serving the users? What kind of users is just coming together.

Just a little bit more building on this reset, right? If you look at some of these metrics, the share of habituated users, this was at 20% in July '25 and that's already grown to 23%. And we call habituated users as users who place more than four orders a month. That's also starting to show from the lows of 2.77, it's already starting to climb up to 2.95. And our ambition over here is to actually take it another 1.2 to 1.4x higher over the time frame to FY31. A meaningful part of that is going to come from this climb that you're seeing in percentage of habituated users is going to keep increasing and all the signals that we see internally suggest that. And we are going to keep going for it. And the reasons again are differentiated assortment, basics, rinse, repeat is how we're going to be playing live from here on.

I think I've talked about, you know, the basics, I've talked about some of the foundations, I've talked about some of the resets. A lot of you are also curious to hear what the right to win will be. A lot of stuff that we covered here, mostly except for the bits and bobs of differentiated assortment, is right to play. And right to win is really like what do we offer customers and what do we uniquely stand for. Some of the things that we also got too much caught up in the early years of quick commerce is you keep talking quick commerce share, quick commerce share. We keep talking, all of us, but I think that in the end, quick commerce is just a pipe. Ultimately, you need a unique reason to go to your pipe. In 10 years, quick commerce will be seen like maybe just a big box retail store was seen on the roads five years back. Ultimately, there is a unique reason why people go to each big box store. That is what is going to be the defining factor. It almost seems obvious. And this learning has again, as a food delivery native, been like a bit more recent than I would have liked, saying ultimately quick commerce is not quick commerce, you're just a retailer. And what kind of retailer are you going to be is going to be the dictating part. And it becomes harder when there are three players roughly playing in the same space and only emergence, like deviations, have started happening over the last year. Someone took like a deep value route, now there are four more players coming in. And that just actually, all of this came together, like some of our own discoveries along the way with stuff like Noise and some of our realizations along the way. When you have seven players and seven retailers, you need an answer that just is super important. Otherwise, commoditization will happen pretty obviously. And to escape that is going to be very important. I don't think that there are going to be three, four quick commerce players five years later that look identical. Maybe a couple can, but I think it's just going to be hard. And wherever you see globally, there have been multiple ways that retailers have found significant scale by standing for something super sharply and super distinctively. And that is what has driven long-term durable growth positioning, the business model getting sharper and sharper. And that is what I would like to invite Nandita to come and build on top of this, is, you know, part of the thing that also got her excited about the overall journey. Over to you, Nandita.

from here on. So just a quick snapshot of how the last five to six years have gone. I didn't take FY21 because that was a COVID impacted year. So FY20, if you see over the last six years, we've grown at a CAGR of 32%. So from a 13,000 crore gross order value business across the three businesses where it was only food delivery, today food delivery is 50% and the other two 50% being by the auto firm and the quick commerce business. We have scaled to 68,000 crores, that's a 32% CAGR growth. If you look at our adjusted EBITDA margin from a negative 30% down to 4.2% and further down to negative 3.6% in the previous quarter that we have just reported the results.

Now at the heart of it is really these long-term consumer cohorts and the retention numbers there. So if you look at this chart, we had shared this in our IPO document. This is something that we continue to see. If you see from the year of acquisition and across the years, if you look at the numbers year five, year four, people are starting to transact 2x to 2.5x as they enter year three, four, five and continue to compound on that, which means the same set of users are retaining with us, are continuing to spend more and increase their frequency. And that is why we have the confidence to be able to also predict some of these outcomes of our business in terms of numericals and the financial numbers.

Now we talked about what does the platform business and what does turnaround mean. And this is a snapshot of what the food delivery business did over the same period of time. So if you look at the chart on the right, from a negative 3,000 crore business to actually delivered 1,000 crore in a period of six years. And even if you look at the period of last three years, a 2,000 crore delta movement, which demonstrates that platform businesses, the initial period of scale, the investment when it ultimately comes down to harvesting the traction, can be really, really fast. And that is something that we have demonstrated in this business and that is why the track record of having built pure play consumer technology business in the country. So that's what it looks like.

So this is the profit engine that we have. We've met and exceeded guidance since listing. So if you look at the quarter 1 FY25, this was the quarter that we took our numbers during our IPO. So since then the business has compounded and you heard us talk about 18 to 20% annual growth. So this business has actually met and exceeded that. So we've hit 39% growth over this quarter but more importantly also quadrupled our operating margin. So from 80 basis points to 3.1%, that's the kind of delta improvement in operating margin that we've done. So hitting the ball out of the park in terms of being able to meet and exceed our guidance in what we call the profit engine of this business.

Now what drives this? I think it's very important sometimes in the larger scheme of things we kind of take a step back and say why is this attractive, what is the investment case to be able to remain invested or vested in this business. So you've seen very high operating leverage in the business just over the last two years, 110 basis points. So all that improvement that you saw in EBITDA, this was us, this was not us trying to monetize more and more from consumers or restaurant partners. If you look at our consumer side of monetization, it has actually remained flat or slightly down over the last couple of years. So a lot of our business today comes through the back of the Swiggy One program or free deliveries, which means we've been able to grow not by just monetizing but by showing real operating leverage, which is 110 basis points in that business over the last couple of years.

Now the second one is negative working capital and I'll just talk to you about the scale of that. We've guided about us being able to hit 1 lakh crore plus GOV in this business. 2,000 crores is permanent negative working capital free cash flow that gets remained in the business which can continue to compound in terms of the treasury returns. Now very few probably businesses have a texture of near zero fixed capital and I say near zero because we do have some fixed capital like the laptops that we give to our employees and that's the only fixed investment in this business. So a near zero capex gives you an infinite ROCE. Negative working capital as I said, 2%, so even at the current scale 800 crores sits with us in terms of permanent negative working capital. And this is structural, this is us not delaying payments or holding back, this is just the nature of the collection and the payment cycle that exists in the industry. So I think this is something that probably does not get talked often and I thought it's important for all of us to kind of come on the same page in terms of the attractiveness of this business segment.

Moving on, what I call the growth driver of our business is the quick commerce one. 190% growth over the last two years and more importantly contribution margin breaking even. And we've seen this. Now let me take some time to explain this chart, very important again that all of you have seen the investment heavy nature of this business in terms of the initial investments that go in, but what is it going towards? I think let's kind of go through every line item here, what is the capex per store. And I've taken a couple of ranges here to kind of give you a sense of where we are headed. What are the ranges we are playing in in terms of each of this operational financial line.

So roughly 2.2 crore to 2.5 crore. Now this includes not only the dark store investment but also the warehousing investment that powers these dark stores from a replenishment basis. So that's the kind of range of capex per store we're talking of. In terms of working capital, we believe that 12 to 15 days is something that we can achieve in this business. Today we are on the higher side. So there is some bit of efficiency that you will see in the next coming few quarters on this line. But we do believe that 12 to 15 days is the range that we can operate this business easily with.

In terms of the net order value per store, again I know the steady state guidance here, by the way here steady state does not mean that the business itself has to get to steady state. Every store on its own can get to these metrics and some stores are already there, to give you the confidence because obviously this is a function of the utilization of the store. So any store which is hitting about say 2,000 orders or 2,500 orders a day are already hitting these numbers in terms of say the range of 42 to 48 crores. Asset turns, now ultimately this is the capital invested, this is 10 to 12 times and all of you in the room are well versed that what does high asset turns in a business like this does, it shoots up your ROCE. So even if I take the two ranges in terms of the capital investment choices, we can still comfortably look at 10.5 to 12 times asset turns in this business.

Our EBITDA guidance in the range of 4 to 4.5%, the EBIT margin in the range of 3.3 to 3.8%, ultimately lands us at anywhere between 35 to 45%. Now this ROCE is probably already at 2x than say another offline player in the market in the retail business. So this is the attractiveness of this business.

I think the first biggest opportunity remains around the large TAM. We saw these large numbers, $1 trillion, quick commerce getting to only 65 to 70 billion in five years. It's only the first quarter of a four quarter match that has been played out. The rest three quarters are still up for grabs and we find ourselves at a very good place to be able to appropriate a lot of that share. So today commerce industry is roughly say give or take 15 billion and if it has the potential to get to 65 to 70, you can imagine how large of an opportunity there is for us and we are taking a shot at being able to get a large part of that growth.

We talked about the very high asset turns in the business, 2x of similar businesses existing out there. So that makes it a very good investment case. Initial high capital intensity, and you saw some of the food delivery business, by the way food delivery business a lot of that investment was just pure opex. So here there's a lot of capex that goes, there's a lot of unabsorbed capacity cost that gets invested in the business upstream. So there could have been a way of the world where we could have grown say 20, 30 or 40% as an industry and being able to outlay this cost over say three or four years which has now got fronted in the last six to eight quarters for us. So I think what gets lost is again a lot of these operating expenses sits in our P&L, we do not capitalize any of that and therefore from an overall initial investment it looks like a large intense one but again we have seen how the steady state metrics start to play out. A lot of the numbers that we talked about in terms of consumer choices, in terms of scale, the monetization once they start meaningfully playing out then we are sitting on a gold mine of an opportunity to be able to build from here.

Okay. I think a lot of my conversations in the breaks was also about Dineout saying we didn't know how large an opportunity that is. I think some of us are avid users of Dineout. Some of us absolutely don't even know whether Dineout exists. Today hopefully all of us know what Dineout is, are going to now start using every single one of us. We obviously have a lot of use cases around that. That's the quiet compounder, right? Over the last couple of years you have seen that business not only grow handsomely but also become profitable and we are putting our stake to be able to deliver the thousand crores that we talked about. Again in terms of the attractiveness, a high pass-through revenue. See one of the beauty of this business is there is hardly any fulfillment cost, right? So it goes through a digital pipe, the only variable cost that exists is payment gateway costs and thanks to UPI, we've obviously been able to get that to a very, very tiny number. So outside of that these are what I call digital pass-through revenues, which means whatever you earn can actually fall into your contribution margin and therefore the EBITDA margin. So very unique in terms of its revenue to pass-through EBITDA profile. Again similar to the food delivery business this has similar cycles. So negative working capital roughly again 2%. And infinite ROCE considering there is no fixed capital again. So these are the reasons why each of our businesses that we have invested in, we are looking at scale to be able to finally deliver this.

So this is our sum of parts of the entirety of the business. So we are looking at each one of them, food delivery from the current run rate of 35,000 crores getting to comfortably between 2.5 to 3.5x, so one lakh plus, getting to roughly say 5% in the core business that we've talked about. So that's kind of clearly insight that should meaningfully give us a 5,000 crore EBITDA in the timeline that we have spoken about. In the quick commerce business, again, huge opportunity. We talked about the 1.5 lakh crore, by this timeline we are still not assuming that we will get to steady state. So there is a certain amount of inflection that would still be required for us to be able to get to steady state. So therefore at the same time you can expect from the size of the opportunity that roughly 4,000 crores can be put as a goal for our FY31 goals. On out of home, we talked about the opportunity, all the digital menus, the offline opportunity, the Gen Z opportunity, clearly this will remain a compounder, hopefully not a silent one anymore. It should start appearing meaningfully in all the sum of parts exercises that we all do, which because meaningfully it can add to a thousand crores which is what today's food delivery run rate is. So yeah, so that's the kind of trajectory from a 3.7% negative in FY26 getting to a positive roughly 4%, zip code of 2.5 lakh crore value giving us 10,000 crores in terms of adjusted EBITDA.

Yeah. And yes, we all love this final number that we have, what's the final earnings per share? So from a negative 17 rupees, putting our stake to be able to meaningfully move it to the 30 to 33 rupees. So that's the specific guidance on our earnings per share as a result of the earnings that we just discussed.

Okay. Moving to something which is very close to my personal KPI which was really making us a domestic majority company. So as you know we have two large foreign shareholders who haven't sold a single share since listing. That made the job even tougher but I think thanks to a lot of domestic institutional support in a very quick time, we were able to change our overall nature of holding in the company. And as all of you know, our stated intent is to become an Indian owned and controlled company that unlocks the opportunity of being able to carry inventory on your balance sheet and gives you a lot more operational flexibility along with the monetization gains that you can get from that opportunity. So what has happened since our listing where say the domestic shareholding was roughly 21%, as of this is as of 2nd August we hit 50.5% mark which is the magic number that we're also looking to also cap our foreign shareholding to 49.5% which is the other side of the equation.

Now if you look at the texture of how this shareholding has changed and if you take the top five MFs, this was just pre QIP, so QIP we did it in December of 2025, the top five holding went up from 7% to close to 17%. Right. And that's really changed the nature of the shareholding in the business. So thanks to all the support that we've been continuously getting from our domestic base.

The path to IOCC status, again since we have shared this and again kind of recapping what are the timelines and what is the process and the steps to be able to get that. So as of 1st of July we were able to cross that domestic 50% and I just shared the latest numbers as of last week, we hit 50.49%. The board has approved the capping of foreign shareholding to 49.5%. So that happened in the 23rd of July board meeting. This is going to come up for a shareholding vote at the time of our AGM. So our AGM is on the 18th of August. So that is the time when the window opens for voting. So if we are able to get our shareholders vote in favor of this resolution we expect to transition to the inventory model in the next two to four quarters, right? So the transitionary period, so a lot of work, preparatory work we have done. You may have also seen that we have subsidiarized the Instamart business in a separate company so all of that was in preparation for us to be able to move the operating model to the inventory-led.

Just to recap in terms of the financial savings that we are expecting, roughly 70 to 80 basis points on EBITDA, that's roughly say five rupees an order, so that's something we can bank in. So a lot of those numbers that I showed you in the previous slides did not consider that because as you know it is still subject to shareholder approval. Now if you are able to get that, that adds to the journey itself in terms of our profitability but something that we can probably over the next two to three weeks be able to confidently talk about.

So in summary folks, delivering profitable growth is kind of everything that we live by, everything that we have talked about today. Growth at scale, we are a high growth company. You have seen the CAGR growth of 32%. We continue to be committed to be able to grow at that pace even over the next five years. Expanding profitability, 10,000 crores again want to leave that number with you. And more importantly a very strong and resilient balance sheet to take care of any opportunities that exists in the market whether it's our ability to conserve that just as defensive capital or be able to use that as offensive capital, those are the choices and very few probably companies have the ability to do that. So thanks to all of your support we've been able to build a very resilient, strong balance sheet, 14,500 crores in the bank, zero debt. So some of these businesses as they look, wherever there are fixed capex heavy, there's also the possibility for us to leverage balance sheet but we are choosing to not do that as of now considering the runway that we have in terms of getting to positive cash flows on those businesses.

So that's it from our side. What we will do next is just have a short coffee break. I'm sure we'll need that and we'll come back for a Q&A session. I request all of you to stay back. It's going to be engaging. I urge all of you to ask any doubts that you may have. We'll have the management team on the stage to be able to answer any of the questions that you may have. Thank you very much and let's have the coffee now.

Sure. Yeah. So I think overall if you kind of look at what does the steady state capacity can be of a dark store, you saw the range of 42 to 48 crores, right? Now that's what we call an optimal stage. Obviously some stores can do more than that but on average what you would want to do is take a midpoint of that, say roughly 45 crores per store. So if you do the math at one lakh you would need a little more than 2,200 dark stores but you also will operate at 70 to 75% capacity because you also have to manage the upcoming growth before you can plant in more stores. So from an overall store guidance perspective, I think it's really a fallacy to say hey just number of stores will get you more growth. I think over the last year hopefully we have demonstrated that we've added probably very few stores, less than 100 over the last four-five quarters, still being able to grow anywhere between that 40 to 60% that you saw. So really store addition is going to be a factor of growth and densification at the hyper local zip code and not necessarily just by adding more cities or coverage. Currently we are at 130 cities. Right now we don't, at least in the short term, we're not adding cities. At the same time five year is a long period. We are also seeing how some of the newer cities which say competition may have entered between cities number 130 to 200, 300, how are they performing and possibly we will add a few of them. So we are not averse to adding more cities but right now the focus is to be able to grow at the back of the existing network. You have seen some of our numbers that we talk about, roughly 40% is our capacity utilization right now. So if you look at the overall square footage and the speed of the network which is already benchmarked to where some of the best competition is out there. So we feel comfortable about our ability to manage the incoming growth and store addition will therefore come at the back of some hyperlocal growth and stores maxing out on capacity.

Absolutely right, there is an implied guidance. We are not boxing ourselves by giving you a quarter because you can also give us some probably long rope on that considering all the competition is out there, the flavor nature is still very intense. Now there could be tailwinds which mean that we can fast track our growth and therefore we'll get there faster but in terms of the milestone itself that's very clear because there is a certain amount of fixed cost which includes the marketing spending that we do and you've seen the last TAM that exists so I don't think we are kind of aiming to reduce that spending. So at or around the similar fixed cost spending maybe slightly higher and being able to get to that 55 to 60,000 crore net order value which in effect means that we should be anywhere between 25 to 30 crore orders per quarter from roughly 11.5 that we are now and at 30 rupees an order. So that gets you comfortably at the EBITDA trajectory. Now whether it happens in 6, 8, 10 quarters is really in terms of the growth rate that we can see. Some of it, there could be tailwinds. I think any headwind is already accounted for. So we have done the hard yards. We talked about it the last two to three quarters, we have culled the users who were unprofitable. We've culled the orders that were unprofitable. We've got to a portfolio overall at a zero or getting to comfortably at a zero CM and from here on our stance would be to accelerate growth. And some of it we shared the data points that in the month of July for instance we've added more orders than the previous six months because we were in the transition journey of being able to get to a place of safety on the overall profile of these users. So yeah, so the idea would be to accelerate, we'll take tailwinds along the way. At the same time, we are not assuming that the market will become a little more rational etc. If the rationality comes, we can accelerate that journey to that 55 to 60,000 crore, otherwise there will be the natural kind of gravity at which we would like to take that.

I can take some of.

All right. Thank you. I think the engine that you build as you do this is very difficult to replicate. So it's not just one example but it's the engine which is built out of that passion and the culture that you built around it.

And just to add on that question, what does Nourish really do to us as a platform. I think and that's a conversation Harsha has with the business head for instance that this is not about the size of the business that you can build but how much more retention and frequency delta that you give to the platform users because we would be doing a disservice if you end up building just a large FMCG brand and not really make the turbo change in the retention and frequency of the platform users. So that's the real job to be done of a brand like Nourish or say Nectar. So for us it's not about the size. Of course the size is very attractive. The margin is attractive but more importantly what does it give back to the platform. That is the real alpha that we are really holding the business teams accountable for.

No I think see we have done the hard yards in terms of, see there was a starting point delta I think we can all acknowledge in terms of and we've talked about our journey from the days of building a 7-Eleven to where we are. I think it's been a very steep learning curve for us. I think there's been a competition starting point which has been different and they have executed the back of that. So for us I think really it's looking inwards and saying hey have we built the muscle to be able to now start getting the customer love and frequency delta in terms of the speed of the network, in terms of the selection. I think more importantly what do we stand for as a platform, why should consumers come to us when there are seven other platforms. I think that part has been made very clear like we have made some choices in terms of what our strategy is and therefore you should expect that the convergence in terms of growth rates etc should start happening. And some of it you saw some sneak preview of what does for example this quarter look like, in the month of July we've added more orders than the six months cumulative up to July. So these are some reasons why we feel very excited about the growth opportunity from here on and obviously scale in this business delivers a lot more operating leverage as you have seen and something that we have guided for. So yes it's just a matter of time. I think the question of if, when and not if is what probably where the change of the narration will happen.

Your question on managing inventory etc. Right. I think that's really part of the business that we are running already right now. There's a starting point in terms of our ability to manage it better. How do you build replication models not only on the private brand but also working with your brand partners and continue to chip away at efficiencies. So as I had mentioned today we do find ourselves at a higher inventory number of days than probably what we should be having but that also has a little bit of learning curve in terms of how large the assortment went, how quickly, working on models with the brand partners. There are models like sale or return, there are models where on approval etc. So those are the transition that's starting to happen. So we see a lot of efficiency that we can unlock and even as we move to the IOCC and if you were to own inventory on our books we see being able to demonstrate a lot of that efficiency. So it's really about building your supply chain network on a replenishment model whether it is your private brand or working with the brands.

Yeah, that's the way I can take that. See we have talked about 5% being like a steady state number but at the same time all of us will acknowledge that there is also margin beyond that because the business as it continues to grow as the 18-20 zip code will continue to have operating leverage. So for the last two years you saw 110 basis points maybe that gets down to maybe 40 bips or maybe 35 bips but that's the additional margin even beyond the 5%. Now it's a combination of our affordability initiatives whether it is 99 store or whether it is Toppy, you should think of that being the driver for that incremental growth. Like we've talked about 18 to 20 being on the core food marketplace and the additive is going to come from some of these affordable initiatives. And at the same time if you look at the margin structures, those affordable initiatives will have a lower EBITDA profile. Now if I were to take an educated guess as we are building the overall model maybe that would be more like 2.5, 3%. Because a lot of that contribution again will fall into EBITDA unlike where we have the core overheads that sits below in the food delivery business today. So because we are building on an existing chassis where a lot of that fixed manpower, a lot of that technology cost etc are already being leveraged by the existing business, for us that becomes like a delta on top and a lot of the CM can flow into EBITDA. So there could be some bit of margin dilution but the size of the profit pool is very attractive.

I've read they're launching next week, right? That's all we know. Yeah.

Yeah, I'll talk about the 4% and I think Nandita is the expert in the room in terms of how to get ad dollars. So I'll leave that second question to her. But in terms of where we are in the journey, I think we are roughly in that zip code of say 4% today in ads and at least industry standards suggest that 7-8% is absolutely table stakes in this business and we hope to get there and Nandita will help us tell how we'll get there.

I think just from the basic principles of how do we increase the take rate that we have in terms of our CPMs etc. How do we dynamically price it? How do we do personalization in terms of ad monetization? I think using technology to be able to do that. I think building differentiated assortment is actually also the aim of a lot of companies that are there and how do we build monetization as we are building differentiated assortment with them. So I think how do we do more personalization and dynamic monetization through better CPMs etc. How do we do better monetization as we build differentiated assortment of products? And I think as we grow the pie where we work very closely with different brands for their, you know, there could be different penetration challenges that brands have, there could be different consumption challenges that brands have. I think parts of the world are to really work deeply with some of these brands to be able to build their agenda and therefore build higher monetization on top of that. So I would say these are the three things that would help in monetization as we go ahead.

The denominator is the size of QC you mean? Yeah actually I think it expands because if everyone is following the same path, I would maybe like it's not a great example but I'll try even in the case of toying right it is essentially food delivery but by thinking about the configuration slightly differently you're able to expand a market while still being in the narrow category of food delivery so I think when I think if there are three four kinds of platforms that are able to speak to and each of them will build their own strong franchise of core consumer and build frequency for them. I do think the market only gets larger overall. If think about like in the US there was only Walmart and like three Walmart look alikes versus let's say there's a Walmart, there's a Costco, there's an Aldi, the market definitely expands because on the Walmart model it is probably hard to serve X segment and if you're going only on the Costco maybe there's a lower income strata that is not going to be able to go you know build their habit enough. So I think the answers aren't going to be very different here. There will be fresh takes, new takes that keep expanding the market. So more variance actually means the market actually growing on quick commerce because you're able to find openings that wouldn't have been addressed easily through the existing paradigms.