Quick Commerce · Earnings
Zepto Doubles Revenue in FY26, but Losses Widen to Rs 5,905 Crore
Zepto’s operating revenue crossed Rs 22,600 crore in FY26 on the back of explosive growth in product sales, advertising, and platform fees. But aggressive expansion across 1,139 dark stores pushed total expenses up 79%, widening losses from Rs 4,700 crore to Rs 5,905 crore.
Zepto delivers over 46,600 products across multiple categories within 10 minutes through its network of dark stores. As of March 2026, the company operated more than 1,139 dark stores across the country and processed more than 1.75 million orders per day.
For FY26, that scale translated into operating revenue of Rs 22,624 crore — up 103.6% from Rs 11,110 crore in FY25. But the cost of running that network climbed nearly as fast: total expenses rose 78.7% to Rs 29,027 crore from Rs 16,241 crore the year before. The result was a net loss of Rs 5,905 crore for FY26, up 25.6% from Rs 4,700 crore in FY25.
Where Zepto’s revenue actually comes from
Revenue from the sale of products remained Zepto’s largest revenue stream, contributing around 78% of its operating revenue. This segment grew 92% to Rs 17,588 crore in FY26 from Rs 9,145 crore in FY25.
The company also saw strong growth in ancillary income streams. Revenue from warehousing, packaging, and last-mile services more than doubled to Rs 2,780 crore during the year. Advertising revenue surged 2.5X to Rs 1,636 crore, while platform services contributed Rs 564 crore in FY26. Zepto also earned Rs 505 crore from non-operating sources such as interest on fixed deposits, taking its total income to Rs 23,128 crore in FY26.
| Revenue stream | FY26 | Growth vs FY25 |
|---|---|---|
| Sale of products | Rs 17,588 Cr | +92% |
| Warehousing, packaging & last-mile services | Rs 2,780 Cr | 2X+ |
| Advertising revenue | Rs 1,636 Cr | 2.5X |
| Platform services | Rs 564 Cr | — |
| Operating revenue (total) | Rs 22,624 Cr | +103.6% |
| Non-operating income (interest, etc.) | Rs 505 Cr | — |
| Total income | Rs 23,128 Cr | — |
Where the money went: a Rs 29,027 crore expense bill
For the Aadit Palicha-led firm, procurement of products remained the largest cost component, accounting for 63% of its total expenditure. In line with its rapid scale-up, this expense increased 90% to Rs 18,199 crore in FY26 from Rs 9,542 crore in the previous fiscal year.
Employee benefit expenses also rose 44% to Rs 1,785 crore in FY26. This included Rs 557 crore in ESOP-related charges, a non-cash expense. Of the total employee cost, Rs 192 crore was attributable to personnel employed at warehouses and dark stores.
The company’s delivery and handling expenses surged more than 90% to Rs 3,046 crore during the year. Costs related to its network of 1,139 dark stores stood at Rs 2,150 crore, while advertising and promotional expenses rose to Rs 1,389 crore as Zepto continued investing aggressively in growth and customer acquisition. Software-related expenses grew 31% year-on-year to Rs 300 crore. Combined with other overheads, including store and franchise expenses, power and fuel costs, and legal and professional fees, Zepto’s total expenditure climbed 79% to Rs 29,027 crore in FY26.
| Expense head | FY25 | FY26 |
|---|---|---|
| Cost of materials | Rs 9,542 Cr | Rs 18,199 Cr |
| Delivery and handling expenses | Rs 1,599 Cr | Rs 3,046 Cr |
| Warehousing expenses | Rs 1,382 Cr | Rs 2,150 Cr |
| Employee benefit expenses | Rs 1,241 Cr | Rs 1,785 Cr |
| Advertising and promotional expenses | Rs 1,187 Cr | Rs 1,389 Cr |
| Others expenses | Rs 1,061 Cr | Rs 2,158 Cr |
| Software expenses | Rs 229 Cr | Rs 300 Cr |
| Total expenses | Rs 16,241 Cr | Rs 29,027 Cr |
Losses widen even as efficiency improves
Despite doubling its revenue in FY26, Zepto’s losses widened to Rs 5,905 crore from Rs 4,700 crore in FY25, as the company continued to incur higher warehousing, delivery, and other operating expenses to support its rapid expansion.
Zepto’s return on capital employed (ROCE) and EBITDA margin stood at negative 74.8% and negative 23.18%, respectively, in FY26 — compared with negative 47.8% and negative 41.31% in FY25. The widening ROCE figure reflects how much capital the company continues to burn relative to its asset base, even as headline losses narrow as a share of revenue. However, the company improved its cost efficiency, with its expense-to-earning ratio declining to Rs 1.28 from Rs 1.46 the previous year — meaning Zepto now spends Rs 1.28 to earn every Re 1 of operating revenue, down from Rs 1.46.
“Despite doubling its revenue in FY26, Zepto’s losses widened… as the company continued to incur higher warehousing, delivery, and other operating expenses to support its rapid expansion.”
Balance sheet: cash up, current assets down
By the end of FY26, Zepto’s current assets stood at Rs 9,638 crore, down from Rs 10,125 crore in FY25, including cash and bank balances of Rs 973 crore — up sharply from Rs 566 crore a year earlier.
How Zepto compares with Blinkit and Swiggy Instamart
Zepto’s key rivals, Blinkit and Swiggy Instamart, also reported robust growth in FY26. Blinkit posted revenue of Rs 37,779 crore and achieved a positive EBITDA of Rs 430 crore during the year — making it the only major quick-commerce platform to turn EBITDA-positive so far. In contrast, Swiggy Instamart recorded revenue of Rs 3,859 crore but reported an EBITDA loss of Rs 3,063 crore.
| Company | FY26 Revenue | FY26 EBITDA |
|---|---|---|
| Zepto | Rs 22,624 Cr | Negative (-23.18% margin) |
| Blinkit | Rs 37,779 Cr | +Rs 430 Cr |
| Swiggy Instamart | Rs 3,859 Cr | -Rs 3,063 Cr |
What was Zepto’s revenue in FY26?
Zepto’s operating revenue grew 103.6% to Rs 22,624 crore in FY26, up from Rs 11,110 crore in FY25. Including non-operating income of Rs 505 crore, its total income reached Rs 23,128 crore.
How much loss did Zepto report in FY26?
Zepto reported a net loss of Rs 5,905 crore in FY26, up 25.6% from a loss of Rs 4,700 crore in FY25, as expenses grew 78.7% to Rs 29,027 crore against revenue growth of 103.6%.
What is Zepto’s biggest expense?
Procurement of products (cost of materials) is Zepto’s largest expense, accounting for 63% of total expenditure. It rose 90% to Rs 18,199 crore in FY26 from Rs 9,542 crore in FY25.
How many dark stores does Zepto operate?
As of March 2026, Zepto operated more than 1,139 dark stores across India, delivering over 46,600 products and processing more than 1.75 million orders per day.
How does Zepto compare with Blinkit and Swiggy Instamart in FY26?
Blinkit posted FY26 revenue of Rs 37,779 crore with a positive EBITDA of Rs 430 crore. Swiggy Instamart recorded revenue of Rs 3,859 crore with an EBITDA loss of Rs 3,063 crore. Zepto’s revenue was Rs 22,624 crore with a negative EBITDA margin of 23.18%.
What is Zepto’s EBITDA margin and ROCE in FY26?
Zepto’s EBITDA margin improved to negative 23.18% in FY26 from negative 41.31% in FY25. However, its return on capital employed (ROCE) worsened to negative 74.8% from negative 47.8% over the same period.
Financial figures and charts referenced in this article are based on Zepto’s FY26 financial statements as reported, with data visualisation powered by Razorpay. This piece is for informational purposes and is not investment advice.
Disclaimer: Bareback Media has recently raised funding from a group of investors. Some of the investors may directly or indirectly be involved in a competing business or might be associated with other companies we might write about. This shall, however, not influence our reporting or coverage in any manner whatsoever.
