Deepinder Goyal, the founder and CEO of Zomato, has become a billionaire following a record rally in Zomato’s shares over the past year.
Shares of the online food delivery platform surged 4% today, hitting a fresh lifetime high of Rs 232 on the Bombay Stock Exchange (BSE).
It may be noted that the stock has increased by over 300% since its low in July 2023. The surge has pushed Zomato’s market cap past Rs 1.9 lakh crore and Goyal’s net worth beyond Rs 8,000 crore, making him India’s richest professional manager at 41 years old.
Goyal owns 36.95 crore shares, equivalent to a 4.24% stake in the company.
The rise in Zomato’s stock price is attributed to the strong performance of its quick commerce business, Blinkit.
Blinkit has been outperforming competitors like Swiggy Instamart and Zepto and is expected to turn profitable earlier than anticipated.
Zomato has indicated that Blinkit could achieve EBITDA break-even by the first quarter of fiscal 2025.
The profitability of Zomato’s food delivery business has also boosted investor confidence.
Analysts expect Zomato to increase investments in Blinkit after it reaches break-even, which could lead Blinkit’s gross order value (GOV) to surpass that of the food delivery business sooner than expected.
