Zomato founder and CEO Deepinder Goyal has become a billionaire after a record rise in Zomato shares over the past year, with the stock up more than 300 percent since its July 2023 low.Zomato founder and CEO Deepinder Goyal has become a billionaire after a record rise in Zomato shares over the past year, with the stock up more than 300 percent since its July 2023 low. The food delivery giant’s shares hit a new high of Rs 230 on the BSE, rising as much as 2 percent during the day and taking its market capitalisation to over Rs 1.8 trillion. As a result, Goyal, 41, has become India’s richest professional manager, with a net worth of over Rs 8,300 crore. Goyal currently holds 36.95 crore shares, representing a 4.24 percent stake in the company. The stock price has risen sharply since the start of 2023, driven by expectations that its high-speed trading arm Blinkit will continue to outperform competitors and become profitable faster than expected. The company previously predicted that Blinkit could reach EBITDA breakeven in the first quarter of fiscal 2025. Moreover, the profitability of the food delivery segment has boosted investor confidence. According to a recent report by Goldman Sachs, Blinkit, Zomato’s high-speed trading business, now has a higher implied value than Zomato’s core business of food delivery. Blinkit’s valuation has risen from $2 billion in March 2023 to $13 billion, with a per share value of Rs 119 crore, surpassing the food delivery segment’s Rs 98 crore.
Zomato founder and CEO Deepinder Goyal has become a billionaire after a record rise in Zomato shares over the past year, with the stock up more than 300 percent since its July 2023 low.
The food delivery giant’s shares hit a new high of Rs 230 on the BSE, rising as much as 2 percent during the day and taking its market capitalisation to over Rs 1.8 trillion.
Also Read: Swiggy, Zomato Raise Platform Fees to Boost Revenue. How It Affects You
As a result, Goyal, 41, has become India’s richest professional manager, with a net worth of over Rs 8,300 crore. Goyal currently holds 36.95 crore shares, representing a 4.24 percent stake in the company.
The stock price has risen sharply since the start of 2023, driven by expectations that its high-speed trading arm Blinkit will continue to outperform competitors and become profitable faster than expected.
The company previously predicted that Blinkit could reach EBITDA breakeven in the first quarter of fiscal 2025. Moreover, the profitability of the food delivery segment has boosted investor confidence.
According to a recent report by Goldman Sachs, Blinkit, Zomato’s high-speed trading business, now has a higher implied value than Zomato’s core business of food delivery.
Blinkit’s valuation has risen from $2 billion in March 2023 to $13 billion, with a per share value of Rs 119 crore, surpassing the food delivery segment’s Rs 98 crore.
Zomato increases platform fees from Rs 5 to Rs 6
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Zomato has increased platform charges from Rs 5 to Rs 6 per order in Delhi, Mumbai and Bengaluru.
Rival Swiggy, which also raised platform fees in some cities on Sunday, is back to charging Rs 5 per order in Delhi, Mumbai and Bengaluru on Monday, as shown in the app.
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The two companies introduced platform fees last year, initially at Rs 2 per order and have been gradually increasing since then.
Platform fees are seen as a way for food delivery platforms to increase their profitability. There is a duopoly, as Zomato and Swiggy are the major players in the segment.
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The two companies introduced platform fees last year, initially at Rs 2 per order and have been gradually increasing since then.
Platform fees are seen as a way for food delivery platforms to increase their profitability. There is a duopoly, as Zomato and Swiggy are the major players in the segment.
Namit Singh Sengar
Namit writes about personal finance, economics and brands. Currently contributing to
first print: Jul 15, 2024, 5:42 PM IST
