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Swiggy Raises Ad Spend by 25% as Q2 Revenue Climbs 36%

Swiggy Raises Ad Spend by 25% as Q2 Revenue Climbs 36%

The food delivery and quick-commerce platform spent ₹1,298 crore on advertising and sales promotions in Q2 FY27, while consolidated revenue from operations reached ₹7,571 crore.

Swiggy increased its advertising and sales promotion expenditure by 24.9% year-on-year to ₹1,298 crore in the September quarter of FY27, reflecting continued investment in customer acquisition, retention and order growth across its businesses.

The expenditure was up from ₹1,039 crore in Q2 FY26 and rose 11.9% sequentially from ₹1,160 crore in the June quarter. For the first half of FY27, the company’s advertising and promotional spending increased 18.5% to ₹2,458 crore. Despite the rise, these expenses accounted for 17.1% of consolidated revenue, down from 18.7% a year earlier.

According to Swiggy’s shareholder letter, advertising-led monetisation helped push its food delivery take rate to a record 26.1%, up 23 basis points year-on-year. The food delivery business recorded a 17.7% increase in gross order value (GOV) to ₹10,054 crore, while adjusted EBITDA rose to ₹341 crore from ₹240 crore in the year-ago quarter.

Meanwhile, quick-commerce platform Instamart reported 31.4% growth in GOV to ₹9,230 crore. However, its adjusted EBITDA loss widened to ₹895 crore from ₹849 crore in Q2 FY26. Swiggy expects advertising, product mix and private-label offerings to support revenue per order as it works towards improving profitability.

At the consolidated level, revenue from operations grew 36.1% to ₹7,571 crore from ₹5,561 crore. Net loss narrowed to ₹922 crore from ₹1,092 crore a year earlier, although it widened from ₹791 crore in the previous quarter.

The results highlight advertising’s growing role in Swiggy’s strategy to drive growth while improving monetisation across its platforms.

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