Latest news with #Instamart
Mint
12 hours ago
- Business
- Mint
Swiggy shares surge 8% as Nirmal Bang initiates coverage with ‘Buy', sees over 26% upside potential
Shares of Swiggy jumped nearly 8 percent in intra-day trade on Tuesday, July 22, after Nirmal Bang Institutional Equities initiated coverage on the stock with a 'Buy' rating and a target price of ₹ 500, indicating an upside of over 26 percent. The brokerage also initiated coverage on Eternal Ltd—the parent of Zomato—with a 'Buy' call and a price target of ₹ 315, following the company's Q1FY26 earnings. Nirmal Bang's report highlights strong tailwinds in the Indian food delivery market, projecting it to grow at a CAGR of 17–22 percent between 2023 and 2028. The brokerage believes Swiggy and Eternal are well-positioned as market leaders to capture this expansion, supported by their large-scale operations, strategic investments, and consistent improvement in key financial metrics. The brokerage noted that Swiggy has significantly narrowed the food delivery margin gap with Eternal (Zomato). The gap, which stood at over 140 basis points in Q2FY24, reduced to around 81 basis points by Q4FY25. Swiggy's revenue is projected to reach ₹ 8,850 crore by FY27, driven by an 18 percent CAGR in Gross Order Value (GOV) between FY25 and FY27. In quick commerce, while Swiggy's Instamart is still catching up, the company is investing aggressively to close the gap. It added 412 new dark stores in Q3 and Q4FY25, a move expected to boost throughput and push contribution margins into the positive zone by FY27. However, due to intense competition and higher subsidies, Instamart is valued at a 50 percent discount compared to Eternal's Blinkit. Nirmal Bang has valued Swiggy's food delivery arm on par with Zomato, assigning it 42x EV/EBITDA on FY27 estimates, while Instamart is valued at 1x EV/GOV, compared to Blinkit's 2x EV/GOV. Despite the positives, the brokerage cautioned that rising competition and Swiggy's aggressive expansion could delay profitability. Still, it expects Swiggy's adjusted EBITDA as a percentage of GOV to exceed 1.5 percent by FY27, driven by growing ad revenues and operating leverage. While Swiggy is working to close the margin gap, Eternal maintains a clear lead. In FY25, its GOV stood at ₹ 38,646 crore, 34 percent higher than Swiggy's, supported by a robust three-year CAGR of 22 percent. Eternal reported an adjusted EBITDA of ₹ 1,505 crore, underscoring stronger monetization and cost controls. In quick commerce, Blinkit is significantly ahead of Instamart, with double the GOV in FY25 and a higher average order value ( ₹ 667 vs. ₹ 514). Nirmal Bang expects Blinkit's GOV to grow at a 72 percent CAGR over FY25–FY27, backed by volume expansion and deep market penetration. Additionally, Blinkit's scale and operational efficiency justify a valuation multiple twice that of Instamart, the brokerage said. Eternal's continued investments in Hyperpure and the going-out segment were also factored into its valuation model, with fair values derived using EV/Sales and EV/GOV metrics on FY27 projections. Swiggy's stock rose 7.8 percent to an intraday high of ₹ 426.35. It remains 31 percent below its 52-week high of ₹ 617, touched in December 2024, and above its 52-week low of ₹ 297, seen in May 2025. The stock has gained 2 percent so far in July, following a 20 percent rally in June and a 5 percent gain in May. Before that, it had been in the red for four straight months, falling 4 percent in April, 1.3 percent in March, 19.5 percent in February, and 23 percent in January. Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
Time of India
13 hours ago
- Business
- Time of India
Instamart CEO Amitesh Jha on quick commerce, hyperlocal bets and winning the Indian consumer one ad at a time
Bengaluru: 'If I like the campaign, maybe it's a problem,' says Amitesh Jha with a laugh. 'If I'm confused or scandalised, then the marketing team is doing something right.' In a landscape where 10-minute delivery is no longer the headline but the hygiene, India's most agile quick commerce player is doubling down on localised SKU curation , brand launches, and campaigns. At the ETRetail E-commerce & Digital Natives Summit in Bengaluru, Instamart CEO Amitesh Jha sat down for a candid fireside chat offering deep insight into what it takes to run and grow a quick commerce engine in India's most demanding consumer climate. The Indian consumer, decoded (again and again) 'The Indian consumer changes fast, sometimes even faster than we can model,' Jha observed. 'But some fundamentals never change. They want affordability, trust, convenience and speed. These needs are timeless and they apply to Gen Z as much as to a boomer.' Quick commerce, he explains, is far more local than it appears. "It's a micromarket business. You can't win by applying national playbooks. What sells in Bucha is very different from what sells in MG Road or Palam Vihar.' At Instamart, assortment decisions are made not just city-wise, but pin code by pin code. 'You're constrained by time and space. We can't offer an infinite aisle like traditional ecommerce. So we go hyperlocal .' This, he says, is what makes the job challenging and fascinating. 'We sometimes find that two cities in the same state say, Hyderabad and Guntur, can have a 50% difference in their top-performing food SKUs.' A market of surprises, not assumptions What excites Jha is how unpredictable demand can be. 'Every six months, our mental models change. A tier 3 town with five lakh people suddenly starts clocking tier 1-like growth. We're constantly recalibrating.' He's clear on one thing: brands or platforms that get rigid about their assumptions are bound to lose. ' Consumer demand in India is fluid. If you're not evolving every quarter, you're already behind.' The art of going viral Instamart's mango drop campaign, where the colour of the fruit changed depending on the weather, was one such bold move. 'We couldn't run it in Bangalore because it was too cloudy,' Jha chuckled. 'But that's what made it interesting. We don't just want people to watch an ad. We want them to discuss it, debate it, share it.' But he is quick to clarify: good branding doesn't always show up in next-day dashboards. 'You have to be consistent, long-term, and sometimes uncomfortably bold. If the campaign is making too much sense to the senior leadership… it probably won't go viral.'
Time of India
4 days ago
- Entertainment
- Time of India
Instamart's new ad delivers anything a home needs—big or small
Instamart , India's pioneering quick-commerce platform, has launched a new ad that elevates its promise of convenience to an entirely new level. With over 35,000 products across, customers can find a diverse selection, ranging from vacuum cleaners, mixers, projectors, soundbars, and kitchen utensils, to trending Korean beauty products , popular personal care brands, and a comprehensive range of baby care products designed for both safety and developmental learning - all delivered in just ten minutes. Conceptualised by Moonshot Films and titled 'Big or Small, We Deliver It All', the ad begins with a man turning on his light, only to discover that his home is being robbed. In a comedic twist, the man asks the burglars to wait a day or two for his new items to arrive. What follows is a series of hilarious scenarios in which the burglars end up helping the family with daily chores using the very items they intended to steal—from holding lamps for the teenage son to study, to providing a projector, a mixer, and even plates for the family's meal. The ad then shifts to a voiceover, suggesting that the family needn't endure this absurd inconvenience. Rather than waiting days for deliveries, they can simply order from Instamart and have their items delivered to their doorstep within minutes. The film concludes with an Instamart delivery executive arriving with a package, while the burglars are humorously frozen in place, adding a quirky twist to the situation. This ad not only showcases Instamart's wide array of products—from smart projectors to vacuum cleaners—but also reinforces the brand's promise of delivering the broadest selection of items in minutes, not days. Mayur Hola, vice president, brand marketing at Swiggy, said, 'We set out to tell a story that's not just entertaining, but also highlights how Instamart delivers anything a home needs—big or small. The idea of burglars becoming helpers was a fun, unexpected way to show our range and speed, whether it's a smart projector or plates for dinner. It's convenient, with a twist of humour. While many platforms focus on brand partnerships, this campaign puts Instamart front and center—reinforcing our identity and showcasing what we truly offer, in a way that's both relatable and engaging.' Arjun Choudary, vice president, revenue and growth, Instamart, said,"This campaign is a playful and engaging way to celebrate a new milestone for Instamart—broadening the scope of what we deliver right to your doorstep. What started with groceries a few years ago has now grown to include the widest selection of products, from home essentials and electronics to personal care items and more. Whether you're in need of a last-minute gift, a kitchen gadget, or just your daily necessities, it's all available on Instamart. And the best part? It all arrives in just ten minutes, making everyday convenience faster and more accessible than ever before." Puneet Chadha, founding member, Moonshot, said, 'The brief was that all the items that used to take a couple of days to arrive are now on Instamart. So we thought, what's the most extreme situation where you would need these products instantly. If you're getting robbed and the new stuff takes two days to come, might as well ask the robbers to wait. The family just using the items while the robbers stand there awkwardly allowed us to show off the mega assortment in a very fun and visually unexpected way.' Watch the video here:
Time of India
15-07-2025
- Automotive
- Time of India
Tesla is desi and pricey; WeWork gets D-Street permit
Tesla is desi and pricey; WeWork gets D-Street permit Also in the letter: Tesla bets on luxury as it rolls into India What's the latest: Why it matters: EV penetration in India remains under 5%, and luxury vehicles account for just 1% of total car sales. That puts Tesla in the same lane as the German trio—BMW, Mercedes, and Audi—rather than local EV players like Tata or Mahindra. Tell me more: Between the lines: WeWork India IPO gets Sebi nod amid global parent's turmoil IPO details: The Rs 4,000-crore offering will be a pure offer for sale. Promoter Embassy Buildcon plans to offload 33.46 million shares. Investor 1 Ariel Way Tenant will sell 10.29 million shares. No fresh capital will be raised by the company. Backdrop: A proposed 27% stake sale to WeWork Global fell apart last year due to valuation disagreements. Embassy will remain the controlling shareholder after the IPO, while partially cashing out alongside its co-investor. The bottom line: Also Read: Instamart contribution breakeven hinges on AOV ramp-up: Elara Tell me more: If it gets there, the platform is expected to close FY26 with a contribution margin loss of 2%, down from 4% last year. Jargon buster: But: Elara expects Instamart's adjusted Ebitda loss—the measure of a business's core profitability—to shrink to 3% of gross merchandise value (GMV) by FY28, from 14% in FY25. Sector view: Nvidia revives China push without breaking US rules What's the matter: Also Read: Quote, unquote: Geopolitical tension: AI-generated resumes jam hiring funnel, raise screening burden Recruiters' dilemma The numbers: What they're saying: Also Read: Tesla (finally) entering India does not do much for the masses, and that's all according to plan. This and more in today's ETtech Top 5.■ Road ahead for Instamart■ Nvidia's China comeback■ AI's hiring woesNearly a decade after Tesla CEO Elon Musk teased the possibility of his cars rolling out in India, the company has finally opened its showroom in Mumbai . The store, located in the upscale Bandra Kurla Complex, will be followed by a second outlet in New Delhi before the end of will showcase its Model Y SUV , imported from China and priced at over $56,000 before taxes. That's a steep premium compared to what the car costs in the US, with India's steep import duties (70%) contributing to isn't about chasing volumes. At least, for the time being. Tesla is aiming squarely at India's luxury car buyers, using this rollout to test the waters, build brand equity, and generate has long pushed Tesla to manufacture locally, which would help it sidestep those punishing import tariffs. But for now, there's no gigafactory on the horizon . A broader US-India trade deal that includes lower duties on electric cars could change the sales slowing in the US, China, and Europe, Tesla could see India as a long-term bet rather than a short-term boost. The market is still small, but symbolic. For Musk, if policy support and local demand align, India could become a key growth lever. For now, however, it's all about presence, prestige, and Virwani, CEO, WeWork IndiaWeWork India has secured Sebi's approval to go public , even as its global parent, WeWork Inc. remains mired in financial marks the first significant public move by WeWork India since its US-based parent filed for Chapter 11 bankruptcy in 2023 . But the Indian unit has long operated independently and profitably, with exclusive rights to the brand since its crisis-hit global counterpart, WeWork India has stayed steady. It runs nearly 95,000 desks across 59 spaces in major cities, and has largely kept its distance from the chaos at listing offers a timely exit for Embassy and its investor, while drawing a clear line between the Indian brand's financial path and its troubled origin story. It's also a rare show of public-market confidence in India's flexible workspace needs to lift its average order value (AOV) to break even on contribution margin within a year, according to a note by Elara Capital. Still, Swiggy's quick commerce arm isn't expected to turn profitable any time soon, the brokerage hit breakeven target by Q1 FY27, Instamart must grow its AOV to Rs 637, up from Rs 527 as of March 2025, Elara analyst Karan Taurani margin is the revenue that remains after covering variable costs like labour and raw said, profitability will remain out of reach for now. Fixed costs are high and hard to shed, partly because Instamart has fewer franchise stores than Blinkit. Add to that the heavy spending on branding and marketing, and the road to profit gets Instamart and Blinkit are estimated to have grabbed market share from Zepto in the June quarter, according to industry analysts. However, quick commerce players have been experimenting with new ways to charge users to cut is gearing up to resume sales of its H20 AI chips in China , after securing a green light from Washington on export H20, a watered-down version of Nvidia's flagship AI chips, was built specifically to comply with US export control restrictions, but shipments had been held up since April due to licensing delays. China remains one of Nvidia's biggest markets for data centre GPUs, even as the US tightens controls on advanced chip Jensen Huang confirmed the restart while speaking to Chinese media ahead of his appearance at the China International Supply Chain Expo this week. It's already his third trip to China this is treading a fine line — keeping Beijing onside without falling foul of US national security mandates. The company still faces stiff competition from Huawei and rising local challengers. But re-entering the market with the H20 could help Nvidia protect its turf, at least for now, as China doubles down on semiconductor are swamped with AI-written CVs as jobseekers lean heavily on generative tools to polish resumes and prep for interviews.: AI may help candidates beat automated filters, but it's making life harder down the line. Companies are rolling out tougher assessments, live proctoring tools, and behavioural analytics to weed out inflated claims and overly rehearsed checks and deeper human interactions still matter, especially for senior or specialist roles. For large-scale hiring, recruiters are leaning on stricter technical and psychometric tests even before the first Digital estimates 25–30% of resumes are now AI-generated, a sharp rise from just 8% a year ago. Xpheno reckons half of all applicants use ChatGPT to tailor CVs to job descriptions.'There's a 25% jump in applications across roles,' said Kamal Karanth of Xpheno. 'But only human screening ensures final fit.' For senior hires, most filtering still happens via referrals, not machines.
Business Recorder
11-07-2025
- Business
- Business Recorder
Indian supermarket chain DMart's Q1 profit falls as competition, higher costs bite
India's Avenue Supermarts, which operates the DMart chain of supermarkets, reported a small decline in first-quarter profit as higher operating costs and rising competition from quick commerce players ate into margins. Consolidated net profit dropped to 7.73 billion rupees ($90.12 million) in the three months to June-end from 7.74 billion a year earlier. Sales grew 16% in the quarter. Analysts have flagged weakness in DMart's first-quarter sales growth, provided in a business update before results, cautioning about sustained margin pressure ahead as rivals, including online shopping platforms, gain ground. Quick-commerce platforms such as Zepto, Eternal's BlinkIt and Swiggy's Instamart, which deliver items in as little as ten minutes, are increasingly attracting tech-savvy customers by subsidizing delivery and offering discounts. DMart's profit after tax margin stood at 4.7% in the first quarter of fiscal 2026, compared to 5.5% last year. The company attributed the decline in gross margins to 'continued competitive intensity' in the consumer products space. Operational costs rose due to capacity building efforts and wage inflation, DMart said. The retailer, founded by billionaire investor Radhakishan Damani, also competes with brick-and-mortar supermarkets owned by Mukesh Ambani's Reliance Industries and Vishal Mega Mart. It utilizes a low-cost, low price strategy where it procures goods at competitive prices and sells them at heavily discounted rates, making it especially lucrative for budget-conscious and bulk buyers.
