A former junior employee at Swiggy embezzled ₹33 crore from the company, according to a report by Moneycontrol that referenced Swiggy’s 2023-24 annual report.
In response, Swiggy launched an investigation led by an external team and filed a legal complaint against the former employee responsible for the fraud.
The company’s annual report, released on September 4, stated, “The Group, during the current year, identified embezzlement of funds in one of the subsidiaries by a former junior employee amounting to ₹326.76 million over past periods.”
This development comes as Swiggy filed its draft papers on April 26 for an initial public offering (IPO), aiming to raise up to ₹3,750 crore through a fresh issue and up to ₹6,664 crore via an offer-for-sale component in its $1.25 billion IPO.
Swiggy’s Financial Performance
Swiggy’s revenue grew by 36%, reaching ₹11,247 crore, while its losses decreased by 44% to ₹2,350 crore. The improvement in profitability was attributed to its investment in Instamart.
The company’s expenses totaled ₹13,947 crore, an 8% decrease compared to the previous year, primarily due to a reduction in promotion and marketing costs, which dropped from ₹2,501 crore in the previous year to ₹1,851 crore in 2023-24.
Despite holding a 43% market share, Swiggy still trails behind its rival Zomato, which commands 57% of the market in terms of gross order value (GOV).
