Zepto’s revenue grew sharply in the year ending March 2025, reaching around ₹11,110 crore—more than double the ₹4,454 crore it earned in FY24. That’s nearly a 150% jump, driven by faster deliveries, smarter business strategies, and better profit margins. The startup also reduced its losses and improved how much it spends to earn every rupee of revenue.
Speed and Scale Driving Success
Zepto had almost reached a $4 billion annualized gross order value, up from $3 billion earlier in the year. The company cut its cash burn by nearly half and improved its EBITDA margin by about 20 percentage points between January and May 2025. It is now close to reaching EBITDA break-even, with enough cash in hand to operate for several years without raising more funds.
Funding, Valuation, and IPO Plans
Zepto is in advanced talks to raise $450–500 million in fresh funding at a valuation of around $7 billion—up from $5 billion in 2024. A small investment of ₹7.5 crore by an existing shareholder recently valued the company at around $5.9 billion. With strong financial progress, Zepto has now planned to go public in 2026 and list on Indian stock exchanges.
Tough Competition in the Market
Zepto competes with major players like Blinkit (owned by Zomato) and Swiggy’s Instamart. Blinkit holds the largest market share at 40%, followed by Zepto at 29%, and Instamart at 26%. Big companies like Amazon and Flipkart are also entering the fast-delivery space, increasing competition. Still, Zepto’s growth rate is faster than its main rivals.
Facing Challenges and Rules
Zepto and other quick-commerce companies are facing possible investigation from the Competition Commission of India. This is because of complaints about deep discounts and pricing that may hurt small shops. If the investigation moves forward, it could take months and might affect Zepto’s business in the short term. Moreover, Zepto is also facing customers heat for doing several dark practices.
Zepto’s strong revenue growth and reduced losses show it’s heading toward profitability. It is also expanding dark-store operations in more cities and improving delivery success rates. With IPO plans and a $7 billion valuation on the way, Zepto is becoming a major player in India’s quick-commerce industry.
Zepto has doubled its income in one year, is spending more wisely, and is set to raise more funds at a higher value. Even with tough competition, Zepto is growing fast and preparing to launch its IPO. However, it still needs to handle regulations and rising market pressure to stay ahead.
