India's Swiggy falls after wider-than-expected loss; analysts flag quick commerce EBITDA concerns
BUZZ-India's Swiggy falls after wider-than-expected loss; analysts flag quick commerce EBITDA concerns ** Shares of food delivery platform Swiggy SWIG.NS fall as much 4.5% to 282.62 rupees, their biggest pct fall in over two months
** Co reports Q1 net loss of 7.91 billion rupees ($83.01 million), while analysts expected a loss of 7.20 billion rupees -LSEG-compiled data
** While Instamart delivered contribution margin break-even, the bigger debate is on EBITDA, where losses are still high -Jefferies ("Buy", TP: 415 rupees)
** Emkay ("Buy", TP: 350 rupees) believes quick commerce growth challenges stem from focus on improving unit economics, hyper competitive intensity, leadership changes
** Twenty-one out of 28 analysts rate the stock "buy" or higher, median PT of 360 rupees
** YTD, stock down 25.08%
($1 = 95.2900 Indian rupees)
(Reporting by Saikeerthi in Bengaluru)
((Saikeerthi@thomsonreuters.com; (+91) 8296756080))
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