Zomato has done what no Indian startup has made it possible before. It is now a part of the Bombay Stock Exchange (BSE) Sensex 30, which is of course a benchmark index of top companies in India. It has replaced JSW Steel Limited and the achievement is a big moment for the company.
The inclusion reflects impressive growth of Zomato over the past year and its stock has witnessed a good rise of 114% in 2023, which is 124% year-to-date and 38% in the past six months. However, it witnessed a slight dip of 3.15% after the announcement, but its market value remains powerful at ₹2.68 lakh crore (about $31.9 billion).
The financial performance of Zomato backs up the recognition and it delivered a 68.5% jump in operating revenue hitting ₹4,799 crore in the second quarter of this fiscal year. Its net profit also rose nearly five times to ₹176 crore. The numbers reveal that Zomato is not just growing but also doing so profitably.
Its main competitor is Swiggy and it reported ₹3,601 crore in revenue but faced a net loss of ₹625 crore during the same period.
The journey of Zomato has been anything but conventional. It acquired last month Blinkit to raise $1 billion from institutional investors and the company has shown a readiness to take bold steps.
Becoming part of the Sensex 30 is about prestige as well as about validation. It shows that risk-taking approach and long-term vision are paying off. The inclusion also opens up new opportunities such as attracting index investors and strengthening its position as a top-tier company.
The milestone raises an important question as to what is on card for Zomato next. Its entry into the Sensex 30 is a proud moment as of now for the company as well as for all Indian startups which are aiming for global recognition.
