Deepinder Goyal Is Now A Billionaire As Zomato Skyrockets By Over 400% In Just Two Years

Zomato’s cofounder and CEO Deepinder Goyal has become a billionaire following the foodtech major’s shares touching INR 230 mark during the intraday trading on Monday (July 15).

As per Zomato’s filing on the BSE, Goyal held 36.95 Cr shares in the company in the quarter ended March 2024. If no shares are offloaded after that, Goyal’s shareholding in the company is expected to be worth over INR 8,400 Cr ($1 Bn) today. 

Shares of Zomato touched a fresh all-time high at INR 232 during the early trading hours on the BSE today. Later, the shares shed a few gains and were trading at INR 227.7 by 2 PM IST on the exchange.

The stock has witnessed a significant uptrend since the beginning of this year on the back of its improving fundamentals and turning profitable in Q1 FY24. Besides, a remarkable improvement in its quick commerce business Blinkit has also played a major role in turning the company’s fortune, whose shares tanked to around INR 40 at the end of July 2022 post the acquisition of quick commerce startup. 

Since its all-time low, the stock has gained over 5X.

In a recent research note, Kotak Institutional Equities said that it expects Zomato to report healthy Q1 FY25 results, driven by 23% YoY growth in food delivery GMV and 113% YoY growth in Blinkit GMV. 

“We expect both businesses to report sequential CM (contribution margin) improvement, driven by better take rate (higher platform fee in food delivery) and advertising income (in Blinkit),” the brokerage added.

In Q1 FY24, it posted INR 2 Cr in net profit on an operating revenue of INR 2,416 Cr. In the last reported quarter – Q4 FY24 – Zomato’s profit stood at INR 175 Cr on an operating revenue of INR 3,562 Cr. 

Brokerage JM Financial also expects Zomato to post sequentially “very strong quarter” in Q1 FY25 for food delivery as well as quick commerce businesses. It has a price target of INR 230 on the stock, which implies an upside of 3.4% to its last close on BSE on Friday.

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