IPO NOTE

SWIGGY LIMITED IPO

Swiggy offer its users a convenience platform, accessible through a

Rating: unified app - to browse, select, order and pay for food, grocery and
May Subscribe household items, and have their orders delivered to their doorsteps.
(Only For High Risk Investors) www.swastika.co.in
OBJECTS OF THE ISSUE
Investment in the Material Subsidiary, Scootsy for debt payment and
ISSUE OFFER expansion.
Issue Opens on NOV 06, 2024 Investment in technology and cloud infrastructure.
Issue Close on NOV 08, 2024 Brand marketing and business promotion expenses.
Funding inorganic growth.
Total IPO size (cr) ₹11,327.43
FINANCIALS (RESTATED CONSOLIDATED)
Fresh issue (cr) ₹4,499.00
PARTICULARS (IN CRORE) FY 2024 FY 2023 FY 2022
Offer For Sale (cr) ₹6,828.43
Equity Share Capital 3.00 2.65 0.85
Price Band (INR) 371-390
Net Worth 7,791.46 9,056.61 12,266.91
Market Lot 38
Face Value (INR) ROCE % 20.18% 20.04% 17.30%
₹1
Listing At NSE, BSE Revenue 11,247.39 8,264.59 5,704.89
Market Capitalization (cr) 87298.6 Operating Profit Margin % 11.60% 10.70% 9.48%
Net Loss of the year (2,350.24) (4,179.30) (3,628.89)

FINANCIAL RATIOS OF FY24

ISSUE BREAK-UP (%)

QIB Portion 75% -11.07 1.0x

7.8x
NII Portion 15%
Retail Portion 10% EPS P/Sales Asset Turnover

OUTLOOK & VALUATION

INDICATIVE TIMETABLE
Leading player in the emerging e-commerce and food delivery
Basis of Allotment 11-11-2024
sector.
Refunds/Unblocking ASBA Fund 12-11-2024
Reports steady revenue growth but remains a loss-making
Credit of Share to Demat A/c 12-11-2024
company.
Listing Date 13-11-2024
IPO has a negative P/E; however, based on other metrics the
valuation appears reasonable.
Current market conditions could further impact subscription and
listing performance.
Recommended only for high-risk investors with a long-term
perspective.

For additional information & risk factors please refer to the Red Herring Prospectus
 www.swastika.co.in
COMPANY PROFILE

It has five business segments – (i) Food Delivery; Swiggy is unique, as it is the only unified app in

(ii) Out-of-home Consumption, covering dining India that fulfills through its platform all food and

out and events; (iii) Quick Commerce; (iv) Supply related missions of urban users of ordering-in,

Chain and Distribution, and (v) Platform eating-out and cooking-at-home, as of June 30,

Innovations covering its new initiatives and 2024.

offerings, such as Swiggy Genie, Swiggy Minis,

among others.

COMPETITIVE STRATEGIES

Retain and grow user base by expanding its Improve its contribution margin by scaling its

offerings and growing its partner network. operations, and expanding high margin offerings

Expand Dark Store footprint and basket-sizes and revenue streams.

for Quick Commerce. Invest in its technology backbone and optimise

Invest to enhance its brand recall. its last-mile network.

KEY CONCERNS KEY STRENGTHS

It has incurred net losses each year since Pioneers of high-frequency hyperlocal
incorporation and has negative cash flows from commerce categories.
operations. A consistently growing network of users.
Any failure to manage its dark stores in a cost- Rising user engagement on its platform.
effective manner may impact its business. “Swiggy” brand delivered through a
It faces intense competition across the markets it unified app with consistent user
serves. experience.
Systems failures and resulting interruptions may A preferred choice for partners.
affect its business. Platform has created synergetic network
It depends on many third-party providers in effect.
connection with its business operations. An experienced professional
management team.

For additional information & risk factors please refer to the Red Herring Prospectus
 COMPARISON WITH LISTED INDUSTRY PEERS

TOTAL INCOME (In

Name of the Company EPS (Basic) NAV P/E P/Sales
CR.)
Swiggy Limited (10.70) 35.48 NA 7.8 11,247.39
Peer Group
Zomato Limited 0.41 23.14 634.50 18.0 12,114

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For additional information & risk factors please refer to the Red Herring Prospectus