Blinkit's revenue jumps 207% to Rs 724 cr in FY23, loss widens to Rs 1,190 cr

However, the net loss also expanded to Rs 1,190 crore. This accounts for the first complete fiscal year operating under its new quick commerce model.

In the preceding FY22, the company, previously known as Grofers, reported operating revenue of Rs 236 crore and a net loss of Rs 1,021 crore.

Notably, delivery-related expenses saw a significant rise, climbing 140 percent from Rs 236 crore in FY22 to Rs 566 crore in FY23.

This shift is characteristic of the quick commerce model, which relies on a larger fleet of delivery riders covering shorter distances per delivery.

Employee expenses experienced a 14 percent increase, reaching Rs 311 crore in FY23, while finance costs surged by 168 percent to Rs 110 crore.

Revenue from advertising by brands on the platform grew by 124 percent to Rs 159 crore in FY23, delivery services revenue increased by 127 percent to Rs 161 crore, and marketplace commissions saw a substantial uptick of 176 percent to Rs 405 crore.

In August, Zomato announced that Blinkit achieved its highest-ever sales and recorded a peak number of transacting customers in June and July. This rebound followed a period of business disruption triggered by a strike among delivery workers, particularly in its largest market, Delhi-NCR, in April.

“I can proudly say that Blinkit's GOV (gross order value) is very close to Zomato's GOV in some of the large cities where we have an overlapping presence. This is just the start, and I believe that 10 years from now, Blinkit will drive more value for our shareholders than Zomato," Zomato CEO Deepinder Goyal wrote in a letter to shareholders in August.

Blinkit has achieved a positive contribution margin, a key metric used by modern commerce companies to assess per-order profitability. The company anticipates achieving positive adjusted EBITDA in the coming four quarters.