Zomato News: Akshat Goyal, Chief Financial Officer, Zomato wrote a letter to the shareholders of the company saying that, in the month of January, we have exited around 225 small cities.
Zomato Winding Up Business: Zomato , a company operating online food delivery in the country, has closed its business in about 225 small cities last month. This has been claimed in some media reports. According to the report, this has been revealed in the December-quarter earnings report of the company.
It is being told that Akshat Goyal, Chief Financial Officer of Zomato, wrote a letter to the shareholders of the company saying that, in the month of January, we have exited around 225 small cities. He agreed that the situation is critical but hoped that the situation would improve in the coming weeks.
Due to this the decision was taken
According to Goyal, the performance of the cities from which they had to retreat has been poor in the last few quarters. He says that closing the business in these cities will not affect the cost of the company much.
The company’s annual report states that in 2021-22 its business was running in more than 1,000 cities of the country.
The company’s loss increased 5 times to Rs 346 crore.
The company has released the report related to the October-December quarter (Q3FY23). It has contributed 0.3 per cent of the Gross Order Value (GOV). According to the company, its revenue has increased by 75 percent to Rs 1,948 crore in the October-December quarter. But the loss of the company has increased 5 times to Rs 346 crore.
Meanwhile, the company’s stock fell two percent on Friday. The company’s stock fell 2.02 percent to close at Rs 53.30 on the BSE. During the day’s trading, it had come down to Rs 50.35 with a loss of 7.4 per cent. The company’s stock declined by 1.65 per cent to Rs 53.50 on the National Stock Exchange.