Swiggy shares fell more than 7% on Thursday, October 22, before the company released its September quarter (Q2 FY27) results later that day. The stock slid to a 52‑week low of ₹207.70 on the NSE, falling as much as 7.13% during the session. Investors are watching whether Swiggy can accelerate growth in its quick‑commerce arm, Instamart, without widening losses. The company’s performance will also be compared with rival Eternal, which operates Zomato and Blinkit, to gauge sector dynamics.

Eternal’s latest Q2 results provide a useful benchmark. Its food‑delivery net order value (NOV) rose 21.5% year‑on‑year, while Blinkit’s NOV surged 79.3%. Investors will compare Swiggy’s growth, margins and quick‑commerce execution with Eternal’s larger listed rival. The key monitorables include food‑delivery growth, adjusted EBITDA margin, and the pace of improvement in profitability across both core and ancillary businesses.

According to research reports quoted by financial services firms, Swiggy’s food‑delivery gross order value (GOV) is likely to rise around 19% year‑on‑year, with its adjusted EBITDA margin improving to 3.5% of GOV from the previous quarter. Investors will also track order growth, customer spending and whether the core business can generate enough cash to support expansion. In quick commerce, Instamart’s NOV is expected to grow about 37% year‑on‑year, but analysts anticipate its adjusted EBITDA loss to widen to ₹840 crore from ₹780 crore in Q1 FY27.

The pace of dark‑store additions, sales per store and progress towards sustained profitability will be crucial. Headwinds include intensifying quick‑commerce competition, which can force Swiggy to spend more on discounts, customer acquisition and store expansion, delaying profitability even as order volumes rise. Instamart’s losses and the cash required to scale the business remain concerns, though improving food‑delivery margins, rising order volumes and better utilisation of dark stores could support operating leverage over time.

In August 2026, Swiggy received shareholders’ approval to cap its aggregate foreign ownership at 49.5%, months after rejecting a similar proposal in May. This move paves the way for the company to qualify as an Indian‑owned and controlled company (IOCC). The IOCC status would allow Swiggy to directly own and sell inventory through Instamart, a move expected to improve margins and strengthen supply‑chain control, mirroring Blinkit’s inventory‑led model owned by Eternal.

Swiggy’s shareholders also approved an alteration to the Articles of Association to align with India’s FEMA regulations. Under current FEMA rules, a company can qualify as Indian‑owned and controlled only if both ownership and control rest with resident Indian citizens or eligible Indian entities, including through a board composition and nomination framework that supports domestic control over the board. Swiggy achieved near contribution‑margin breakeven in Instamart in Q1, at around -0.2%, although this does not mean the business as a whole is profitable.