The keenly awaited initial public offering (IPO) of food delivery service Zomato, which opens on July 14, is as much about the economics as it is about the dining habits of Indians
For a venture that started 11 years ago, the fact that Zomato is a loss-making company is a telling comment on the feasibility of online food ordering service in India.
While at the end of FY20, its losses stood at close to Rs 2,386 crore, in the nine months ended December 31, 2020, Zomato had incurred a loss of over Rs 682 crore — this could be attributed to the closure of restaurants due to the lockdown and restrictions on dining-in that continue.
While at the end of FY20, its losses stood at close to Rs 2,386 crore, in the nine months ended December 31, 2020, Zomato had incurred a loss of over Rs 682 crore — this could be attributed to the closure of restaurants due to the lockdown and restrictions on dining-in that continue.