Following a stellar show by Zomato on Dalal Street, SoftBank founder Masayoshi Son said that its portfolio company Swiggy could also deliver ‘good returns’ if the food delivery app decides to go public. Speaking at a post-earnings presentation for SoftBank on Tuesday, Son said,”If they (Swiggy) go public, I believe that we will be able to see good returns from here too. That’s our expectation”. SoftBank recently led a $1.25 billion round in Swiggy, valuing it at over $5 billion.
In his presentation on Tuesday, Son said Swiggy was clocking 1.5 million orders a day, and that the platform has about 20 million monthly active users. It has 1.2 lakh restaurant partners and 2 lakh delivery partners. Son noted that Swiggy is also making delivery of goods other than food and that the “number of orders per day has increased by about 2.5 times in one year” and “revenue has increased by 2.8 times in one year”.
Last month, Zomato made a stellar debut in the stock market with its shares zooming nearly 53 per cent against the issue price of Rs 76, and its market valuation crossing the Rs 1-lakh-crore mark. While Zomato too was valued at around $5 billion in a private funding round early this year, it hit a market cap of over $13 billion when it was listed. Its shares have hovered around that mark since. Swiggy has not formally announced any IPO plans yet.
The Japanese technology conglomerate returned to profitability for the fiscal year that ended in March, boosted by the strong performance of its sprawling investments as stock prices surged. The Tokyo-based firm reported a 4.99 trillion yen (USD 36 billion) profit, a dramatic reversal from the 962 billion yen loss logged during the previous fiscal year. It did not break down quarterly results.