Raghav Khurana

FINANCIAL
MODELING REPORT
(A Comprehensive DCF and Comparable Comps Valuation)

ZOMATO LTD
(NSE: ZOMATO | BSE: 543320)
Raghav Khurana

TABLE OF
CONTENTS
01

02

03

04

05

06

07

08

09

10
 ZOMATO LTD - One Page Profile
Zomato is an Indian multinational restaurant aggregator and food delivery company. It was founded by Deepinder Goyal and Pankaj
Chaddah in 2008. Zomato provides information, menus and user-reviews of restaurants as well as food delivery options from
partner restaurants in more than 1,000 Indian cities and towns, as of 2022-23. It has established a strong footprint across 23
countries with 131,233 active food delivery restaurants, 161,637 active delivery partners & an average monthly food order of 10.7
million customers.
INR (Crs)
Key Financial Metrics Mar-20 Mar-21 Mar-22 Mar-23 Mar-24 Share Price - 5Y
Total Sales 2,605 1,994 4,192 7,079 12,114 300.00
Sales Growth (y-o-y) 98.44% -23.45% 110.27% 68.85% 71.13%
250.00
Gross Profit Margins (%) -16.06% 49.39% 44.07% 53.85% 57.79%
EBITDA Margins (%) -88.48% -23.43% -44.15% -17.11% 0.35% 200.00
EBIT Margins (%) -91.72% -30.33% -47.73% -23.28% -3.99%
150.00
Net Profit Margins (%) -92.20% -30.91% -48.07% -23.35% -4.09%
Earnings per Share (in Rs) -80,052.67 -15,405.00 -2.56 -1.93 -0.56 100.00

EPS Growth (y-o-y) -4.63% 80.76% 99.98% 24.51% 70.96% 50.00

Dividend per Share (in Rs) - - - - -
0.00
Dividend Growth (y-o-y) - - - - -
2021 2021 2022 2022 2023 2023 2024 2024

Key Financial Ratios Mar-20 Mar-21 Mar-22 Mar-23 Mar-24 Volume - 5Y

Price to Earnings 0.00x 0.00x -32.15x -26.39x -324.46x 800m

EV/EBITDA 0.01x 0.81x -34.19x -35.60x 3735.50x 600m

EV/Sales -0.01x -0.19x 15.09x 6.09x 13.26x 400m
Price to Book Value 0.00x 0.00x 3.93x 2.24x 7.87x
200m
Return on Equity (%) -525.07% -8.06% -12.21% -8.49% -2.42%
Return on Capital Employed (%) -305.12% -7.40% -12.07% -8.25% -2.28% 0m
2021 2021 2022 2022 2023 2023 2024 2024

Top 10 Shareholders N. Shares (in Crs) % Holding Market Value (in Crs) Shareholding Pattern
Info Edge (India) Limited 119 1353.00% 30,709
Antfin Singapore Holding Pte. Ltd. 37 424.00% 9,610 Others 1.45%
Deepinder Goyal 37 419.00% 9,497
Government Of Singapore 18 202.00% 4,583 Public 28.64%
Dunearn Investments (Mauritius) Pte Ltd 17 194.00% 4,404
Camas Investments Pte. Ltd. 17 190.00% 4,321
DIIs 15.79%
Kotak Flexicap Fund 13 151.00% 3,436
Foodie Bay Employees Esop Trust 13 145.00% 3,294
Canada Pension Plan Investment Board 12 133.00% 3,007 FIIs 54.11%
Motilal Oswal Midcap Fund 12 132.00% 2,987

Managerial Remuneration Designation Remuneration X of Median Salary Capital Structure

Deepinder Goyal Managing Director & CEO - NA Share Price as on Jun-24 257
Akshant Goyal Chief Financial Officer - NA Number of Share Outstanding 883
Sandhya Sethia CS & Compliance Officer 0.8 9.41x Market Capitalisation 2,26,988
Excludes the perquisite value of stock options granted in previous years but exercised during the financial year by the employees of Less: Cash & Equivalents (731)
the Company. Add: Total Debt 749
Deepinder Goyal has voluntarily waived his salary for a period of 36 months starting from April 1, 2021. Add: Minority Interest 7
Akshant Goyal has voluntarily waived his salary from January 1, 2022. Enterprise Value 2,27,013

Key Points
Food Delivery: The 23% YoY GOV growth was driven by a 16% YoY growth in order volumes and a 5% YoY growth in AOV; The 16% YoY order volume growth was driven by a
9% YoY growth in annual transacting customers (ATCs) and a 7% growth in annual ordering frequency; Adjusted Revenue grew 27% YoY to INR 7,792 crore in FY24.
Quick commerce: The 73% growth in average monthly transacting customers was largely on account of healthy new customer acquisition led by expansion of serviceable
locations within existing cities and new cities and expansion in product assortment to address multiple new use-cases beyond grocery and essentials.
Going-out: In FY24, Zomato combined their existing dining-out business and the nascent ticketing business into a new segment called ‘Going-out’. This is now the third B2C
business coming out of Zomato (after food delivery and quick commerce).
B2B supplies (Hyperpure): Hyperpure revenue grew 111% YoY to INR 3,172 crore in FY24 driven by growth in both the core restaurant supplies business and the newer quick
commerce opportunity that we started tapping into in FY23.
Zomato-Paytm Deal: Paytm To Sell Entertainment Ticketing Business To Zomato For ₹ 2,048 Crore; The acquisition bolsters Zomato's presence in India's vast online ticketing
market for movies and live events, currently dominated by Reliance-backed BookMyShow. Paytm built its movie ticketing business in-house & acquired Insider and
TicketNew for ₹ 268 billion between 2017 and 2018.
Other Income: Other income increased by INR 165 crore to INR 847 crore in FY24 primarily due to increase in treasury income. This growth was driven by increase in
investable cash balance and increase in overall yields as we indexed a higher share of our investments towards debentures and bonds as compared to bank deposits.
 ZOMATO LTD
NSE: ZOMATO | BSE: 543320

Historical Financial Statement

Historical Financial Statement - ZOMATO LTD
Years Mar-15 Mar-16 Mar-17 Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Mar-24 LTM

Income Statement
Sales - - - ₹ 466.02 ₹ 1,312.59 ₹ 2,604.74 ₹ 1,993.80 ₹ 4,192.40 ₹ 7,079.00 ₹ 12,114.00 ₹ 13,904.00
Sales Growth - - - - 181.66% 98.44% -23.45% 110.27% 68.85% 71.13% 14.78%

COGS - - - ₹ 342.71 ₹ 1,960.25 ₹ 3,023.00 ₹ 1,009.10 ₹ 2,345.00 ₹ 3,267.00 ₹ 5,113.00 ₹ 13,637.00

COGS % Sales - - - 73.54% 149.34% 116.06% 50.61% 55.93% 46.15% 42.21% 98.08%

Gross Profit - - - ₹ 123.31 -₹ 647.66 -₹ 418.26 ₹ 984.70 ₹ 1,847.40 ₹ 3,812.00 ₹ 7,001.00 ₹ 267.00
Gross Margins - - - 26.46% -49.34% -16.06% 49.39% 44.07% 53.85% 57.79% 1.92%

Selling & General Expense - - - ₹ 215.76 ₹ 1,595.82 ₹ 1,886.44 ₹ 1,451.80 ₹ 3,698.20 ₹ 5,023.00 ₹ 6,958.00 ₹ 0.00
S&G Exp % Sales - - - 46.30% 121.58% 72.42% 72.82% 88.21% 70.96% 57.44% 0.00%

EBITDA - - - -₹ 92.45 -₹ 2,243.48 -₹ 2,304.70 -₹ 467.10 -₹ 1,850.80 -₹ 1,211.00 ₹ 43.00 ₹ 267.00

EBITDA Margins - - - -19.84% -170.92% -88.48% -23.43% -44.15% -17.11% 0.35% 1.92%

Interest - - - ₹ 6.35 ₹ 8.69 ₹ 12.64 ₹ 10.10 ₹ 12.00 ₹ 49.00 ₹ 72.00 ₹ 79.00

Interest % Sales - - - 1.36% 0.66% 0.49% 0.51% 0.29% 0.69% 0.59% 0.57%

Depriciation - - - ₹ 29.15 ₹ 43.12 ₹ 84.24 ₹ 137.70 ₹ 150.30 ₹ 437.00 ₹ 526.00 ₹ 545.00

Depriciation % Sales - - - 6.26% 3.29% 3.23% 6.91% 3.59% 6.17% 4.34% 3.92%

Earning before Tax - - - ₹ (127.95) ₹ (2,295.29) ₹ (2,401.58) ₹ (614.90) ₹ (2,013.10) ₹ (1,697.00) ₹ (555.00) ₹ (357.00)
EBT % Sales - - - -27.46% -174.87% -92.20% -30.84% -48.02% -23.97% -4.58% -2.57%

Tax - - - - - - ₹ 1.30 ₹ 2.00 ₹ (44.00) ₹ (60.00) ₹ (57.00)

Effective Tax Rate - - - 0.00% 0.00% 0.00% -0.21% -0.10% 2.59% 10.81% 15.97%

Net Profit - - - ₹ (127.95) ₹ (2,295.29) ₹ (2,401.58) ₹ (616.20) ₹ (2,015.10) ₹ (1,653.00) ₹ (495.00) ₹ (300.00)
Net Margins - - - -27.46% -174.87% -92.20% -30.91% -48.07% -23.35% -4.09% -2.16%

No. of Equity Shares - - - 0.03 0.03 0.03 0.04 787.19 855.35 881.98 881.98

Earning per Share - - - ₹ (4,265.00) ₹ (76,509.67) ₹ (80,052.67) ₹ (15,405.00) ₹ (2.56) ₹ (1.93) ₹ (0.56) ₹ (0.34)
EPS Growth % - - 0.00% -1693.90% -4.63% 80.76% 99.98% 24.51% 70.96% 39.39%

Dividend per Share - - - - - - - - - - -

Dividend payout Ratio - - - 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%

Retained Earnings - - - 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%

Balance Sheet
Equity Share Capital - - - ₹ 0.03 ₹ 0.03 ₹ 0.03 - ₹ 764.30 ₹ 836.00 ₹ 868.00 -
Reserves - - - ₹ 1,036.06 ₹ 2,355.61 ₹ 457.35 ₹ 7,643.80 ₹ 15,741.20 ₹ 18,624.00 ₹ 19,545.00 -
Borrowings - - - ₹ 186.23 ₹ 347.94 ₹ 325.58 ₹ 527.40 ₹ 70.30 ₹ 507.00 ₹ 749.00 -
Other Liabilities - - - ₹ 152.17 ₹ 709.30 ₹ 2,117.43 ₹ 532.30 ₹ 751.20 ₹ 1,632.00 ₹ 2,194.00 -
Total Liablilities - - - ₹ 1,374.49 ₹ 3,412.88 ₹ 2,900.39 ₹ 8,703.50 ₹ 17,327.00 ₹ 21,599.00 ₹ 23,356.00 -

Fixed Assets Net Block - - - ₹ 189.80 ₹ 389.08 ₹ 1,590.55 ₹ 1,539.00 ₹ 1,404.30 ₹ 6,344.00 ₹ 6,448.00 -
Capital Work in Progress - - - ₹ 1.29 ₹ 0.74 ₹ 0.96 ₹ 0.10 ₹ 0.60 ₹ 7.00 ₹ 18.00 -
Investments - - - ₹ 829.23 ₹ 2,144.55 ₹ 323.92 ₹ 2,205.20 ₹ 4,717.70 ₹ 6,765.00 ₹ 11,645.00 -
Other Assets - - - ₹ 120.02 ₹ 567.35 ₹ 498.23 ₹ 3,910.90 ₹ 9,429.30 ₹ 6,926.00 ₹ 3,632.00 -
Total Non Current Assets - - - ₹ 1,140.34 ₹ 3,101.72 ₹ 2,413.66 ₹ 7,655.20 ₹ 15,551.90 ₹ 20,042.00 ₹ 21,743.00 -

Receivables - - - ₹ 26.08 ₹ 70.34 ₹ 123.12 ₹ 129.90 ₹ 159.90 ₹ 457.00 ₹ 794.00 -

Inventory - - - - ₹ 2.13 ₹ 3.73 ₹ 14.80 ₹ 39.70 ₹ 83.00 ₹ 88.00 -
Cash & Bank - - - ₹ 208.07 ₹ 238.69 ₹ 359.88 ₹ 903.60 ₹ 1,575.50 ₹ 1,017.00 ₹ 731.00 -
Total Current Assets - - - ₹ 234.15 ₹ 311.16 ₹ 486.73 ₹ 1,048.30 ₹ 1,775.10 ₹ 1,557.00 ₹ 1,613.00 -

Total Assets - - - ₹ 1,374.49 ₹ 3,412.88 ₹ 2,900.39 ₹ 8,703.50 ₹ 17,327.00 ₹ 21,599.00 ₹ 23,356.00 -

CHECK TRUE TRUE TRUE TRUE TRUE TRUE TRUE TRUE TRUE TRUE TRUE

Cash Flow Statements

Operating Activites
Profit from operations - - - - - ₹ (2,127.00) ₹ (280.00) ₹ (922.00) ₹ (637.00) ₹ 633.00 -
Receivables - - - - - ₹ (94.00) ₹ (20.00) ₹ (34.00) ₹ (203.00) ₹ (348.00) -
Inventory - - - - - ₹ (2.00) ₹ (11.00) ₹ (28.00) ₹ (43.00) ₹ (5.00) -
Payables - - - - - ₹ (103.00) ₹ 36.00 ₹ 140.00 ₹ (71.00) ₹ 211.00 -
Other WC items - - - - - ₹ 214.00 ₹ (762.00) ₹ 170.00 ₹ 141.00 ₹ 260.00 -
Working capital changes - - - - - ₹ 15.00 ₹ (757.00) ₹ 248.00 ₹ (176.00) ₹ 118.00 -
Direct taxes - - - - - ₹ (32.00) ₹ 19.00 ₹ (19.00) ₹ (31.00) ₹ (105.00) -
Cash from Operating Activities - - - - - ₹ (2,129.00) ₹ (1,775.00) ₹ (445.00) ₹ (1,020.00) ₹ 764.00 -

Investing Activities
Fixed assets purchased - - - - - ₹ (21.00) ₹ (10.00) ₹ (59.00) ₹ (103.00) ₹ (215.00) -
Fixed assets sold - - - - - - - ₹ 2.00 ₹ 2.00 ₹ 13.00 -
Investments purchased - - - - - ₹ (2,148.00) ₹ (8,341.00) ₹ (7,376.00) ₹ (15,058.00) ₹ (35,202.00) -
Investments sold - - - - - ₹ 4,046.00 ₹ 6,521.00 ₹ 5,308.00 ₹ 12,649.00 ₹ 30,445.00 -
Interest received - - - - - ₹ 25.00 ₹ 11.00 ₹ 113.00 ₹ 490.00 ₹ 618.00 -
Redemp n Canc of Shares - - - - - - - ₹ 1.00 - - -
Acquisition of companies - - - - - - ₹ (20.00) - - - -
Other investing items - - - - - ₹ (162.00) ₹ (3,405.00) ₹ (5,960.00) ₹ 2,817.00 ₹ 3,993.00 -
Cash from Investing Activities - - - - - ₹ 1,740.00 ₹ (5,244.00) ₹ (7,971.00) ₹ 797.00 ₹ (348.00) -

Financing Activities
Proceeds from shares - - - - - - ₹ 6,608.00 ₹ 9,008.00 ₹ 11.00 ₹ 32.00 -
Proceeds from borrowings - - - - - - ₹ 2.00 - - - -
Repayment of borrowings - - - - - - ₹ (4.00) ₹ (1.00) ₹ (23.00) ₹ (40.00) -
Interest paid fin - - - - - ₹ (11.00) ₹ (9.00) ₹ (10.00) ₹ (50.00) ₹ (69.00) -
Financial liabilities - - - - - ₹ (20.00) ₹ (14.00) ₹ (20.00) ₹ (65.00) ₹ (129.00) -
Other financing items - - - - - ₹ 390.00 ₹ (181.00) ₹ (226.00) - ₹ (1.00) -
Cash from FInancing Activities - - - - - ₹ 359.00 ₹ 6,402.00 ₹ 8,751.00 ₹ (127.00) ₹ (207.00) -

Net Cash Flow - - - - - ₹ (30.00) ₹ (617.00) ₹ 335.00 ₹ (350.00) ₹ 209.00 -

 ZOMATO LTD
NSE: ZOMATO | BSE: 543320

Ratio Analysis
Ratio Analysis - ZOMATO LTD
Years Mar-15 Mar-16 Mar-17 Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Mar-24 Trend Mean Median

Sales Growth - - - - 181.66% 98.44% -23.45% 110.27% 68.85% 71.13% 84.48% 84.78%
EBITDA Growth - - - - 2326.70% 2.73% -79.73% 296.23% -34.57% -103.55% 401.30% -15.92%
EBIT Growth - - - - 1693.90% 4.63% -74.40% 227.39% -15.70% -67.30% 294.75% -5.54%
Net Profit Growth - - - - 1693.90% 4.63% -74.34% 227.02% -17.97% -70.05% 293.86% -6.67%
Dividend Growth - - - - 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%

Gross Margin - - - 26.46% -49.34% -16.06% 49.39% 44.07% 53.85% 57.79% 23.74% 44.07%
EBITDA Margin - - - -19.84% -170.92% -88.48% -23.43% -44.15% -17.11% 0.35% -51.94% -23.43%
EBIT Margin - - - -26.09% -174.21% -91.72% -30.33% -47.73% -23.28% -3.99% -56.76% -30.33%
EBT Margin - - - -27.46% -174.87% -92.20% -30.84% -48.02% -23.97% -4.58% -57.42% -30.84%
Net Profit Margin - - - -27.46% -174.87% -92.20% -30.91% -48.07% -23.35% -4.09% -57.28% -30.91%

Sales Expenses % Sales - - - 46.30% 121.58% 72.42% 72.82% 88.21% 70.96% 57.44% 75.67% 72.42%
Depreciation % Sales - - - 6.26% 3.29% 3.23% 6.91% 3.59% 6.17% 4.34% 4.83% 4.34%
Operating Income % Sales - - - -26.09% -174.21% -91.72% -30.33% -47.73% -23.28% -3.99% -56.76% -30.33%

Return on Capital Employed - - - -9.95% -84.58% -305.12% -7.40% -12.07% -8.25% -2.28% -61.38% -9.95%
Retained Earnings % - - - 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%
Return on Equity % - - - -12.35% -97.44% -525.07% -8.06% -12.21% -8.49% -2.42% -95.15% -12.21%
Self Sustained Growth Rate - - - 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%
Interest Coverage Ratio - - - -19.15x -263.13x -189.00x -59.88x -166.76x -33.63x -6.71x -105.47x -59.88x

Debtor Turnover Ratio - - - 17.87x 18.66x 21.16x 15.35x 26.22x 15.49x 15.26x 18.57x 17.87x
Creditor Turnover Ratio - - - 3.06x 1.85x 1.23x 3.75x 5.58x 4.34x 5.52x 3.62x 3.75x
Inventory Turnover - - - 0.00x 616.24x 698.32x 134.72x 105.60x 85.29x 137.66x 253.98x 134.72x
Fixed Asset Turnover - - - 2.46x 3.37x 1.64x 1.30x 2.99x 1.12x 1.88x 2.11x 1.88x
Capital Turnover Ratio - - - 0.45x 0.56x 5.69x 0.26x 0.25x 0.36x 0.59x 1.17x 0.45x

(in days)
Debtor Days - - - 20 20 17 24 14 24 24 20 20
Payable Days - - - 119 197 297 97 65 84 66 132 97
Inventory Days - - - 0 1 1 3 3 4 3 2 3
Cash Conversion Cycle - - - -99 -177 -279 -71 -48 -56 -40 -110 -71

CFO/Sales - - - 0.00% 0.00% -81.74% -89.03% -10.61% -14.41% 6.31% -27.07% -10.61%
CFO/Total Assets - - - 0.00% 0.00% -73.40% -20.39% -2.57% -4.72% 3.27% -13.97% -2.57%
CFO/Total Debt - - - 0.00% 0.00% -653.91% -336.56% -633.00% -201.18% 102.00% -246.09% -201.18%
 ZOMATO LTD
NSE: ZOMATO | BSE: 543320

Forecasting
ZOMATO LTD - Sales Forecasting ZOMATO LTD - EBITDA Forecasting ZOMATO LTD - Earning per Share Forecasting
Year Weight Year Sales Sales Growth Year Weight Year EBITDA EBITDA Growth Year Weight Year EPS EPS Growth
1 2018A 466.0 - 1 2018A -92.5 - 1 2018A -4,265.0 -
2 2019A 1,312.6 181.66% 2 2019A -2,243.5 2326.70% 2 2019A -76,509.7 1693.90%
3 2020A 2,604.7 98.44% 3 2020A -2,304.7 2.73% 3 2020A -80,052.7 4.63%
4 2021A 1,993.8 -23.45% 4 2021A -467.1 -79.73% 4 2021A -15,405.0 -80.76%
5 2022A 4,192.4 110.27% 5 2022A -1,850.8 296.23% 5 2022A -2.6 -99.98%
6 2023A 7,079.0 68.85% 6 2023A -1,211.0 -34.57% 6 2023A -1.9 -24.51%
7 2024A 12,114.0 71.13% 7 2024A 43.0 -103.55% 7 2024A -0.6 -70.96%
8 2025E 11,118.1 -8.22% 8 2025E -743.0 -1828.01% 8 2025E 9,945.9 -1772243.56%
9 2026E 12,834.7 15.44% 9 2026E -638.6 -14.06% 9 2026E 18,726.6 88.28%
10 2027E 14,551.3 13.37% 10 2027E -534.1 -16.36% 10 2027E 27,507.3 46.89%
11 2028E 16,267.9 11.80% 11 2028E -429.6 -19.56% 11 2028E 36,288.0 31.92%
12 2029E 17,984.5 10.55% 12 2029E -325.2 -24.32% 12 2029E 45,068.6 24.20%
 ZOMATO LTD
NSE: ZOMATO | BSE: 543320

Beta Drifting
Regression Beta - 2 Years Weekly

Tata Motors Weekly Returns Nifty Returns Beta Drifting

Date Closing Price Return Date Return Levered Raw Beta 1.14
29-08-2022 59.8 29-08-2022 Beta Weight 75.00%
05-09-2022 62.8 5.10% 05-09-2022 1.68%
12-09-2022 63.2 0.64% 12-09-2022 -1.70% Market Beta 1.00
19-09-2022 60.8 -3.80% 19-09-2022 -1.16% Market Beta Weight 25.00%
26-09-2022 62.3 2.55% 26-09-2022 -1.34%
03-10-2022 69.6 11.55% 03-10-2022 1.29% Adjusted Beta 1.10
10-10-2022 61.9 -11.00% 10-10-2022 -0.74%
17-10-2022 61.8 -0.16% 17-10-2022 2.27%
24-10-2022 62.6 1.29% 24-10-2022 1.20%
31-10-2022 63.0 0.64% 31-10-2022 1.86%
07-11-2022 72.8 15.56% 07-11-2022 1.28%
14-11-2022 67.2 -7.76% 14-11-2022 -0.23%
21-11-2022 64.0 -4.69% 21-11-2022 1.12%
28-11-2022 68.6 7.11% 28-11-2022 0.99%
05-12-2022 64.2 -6.42% 05-12-2022 -1.07%
12-12-2022 62.2 -3.12% 12-12-2022 -1.23%
19-12-2022 53.7 -13.68% 19-12-2022 -2.53%
26-12-2022 59.3 10.53% 26-12-2022 1.68%
02-01-2023 55.3 -6.83% 02-01-2023 -1.36%
09-01-2023 53.3 -3.62% 09-01-2023 0.54%
16-01-2023 51.5 -3.38% 16-01-2023 0.40%
23-01-2023 47.0 -8.75% 23-01-2023 -2.35%
30-01-2023 48.8 3.83% 30-01-2023 1.42%
06-02-2023 53.3 9.33% 06-02-2023 0.01%
13-02-2023 51.8 -2.81% 13-02-2023 0.49%
20-02-2023 54.5 5.12% 20-02-2023 -2.67%
27-02-2023 53.7 -1.47% 27-02-2023 0.74%
06-03-2023 53.8 0.37% 06-03-2023 -1.03%
13-03-2023 54.9 1.95% 13-03-2023 -1.80%
20-03-2023 50.7 -7.74% 20-03-2023 -0.91%
27-03-2023 51.0 0.69% 27-03-2023 2.45%
03-04-2023 52.2 2.25% 03-04-2023 1.38%
10-04-2023 53.8 3.26% 10-04-2023 1.30%
17-04-2023 56.0 4.09% 17-04-2023 -1.14%
24-04-2023 64.9 15.79% 24-04-2023 2.50%
01-05-2023 65.4 0.77% 01-05-2023 0.02%
08-05-2023 62.6 -4.28% 08-05-2023 1.36%
15-05-2023 64.5 3.04% 15-05-2023 -0.61%
22-05-2023 67.3 4.26% 22-05-2023 1.63%
 ZOMATO LTD
NSE: ZOMATO | BSE: 543320

Weighted Average Cost of Capital

All figures are in INR unless stated otherwise

Peer Comps
Debt / Debt / Levered Unlevered
1
Name of the Comp Country Total Debt Total Equity Tax Rate Equity Capital Beta 2 Beta 3

Zomato Ltd India 749.0 221353.4 30.00% 0.34% 0.34% 1.14 1.14
Info Edg.(India) India 246.4 99359.9 30.00% 0.25% 0.25% 1.45 1.45
One 97 India 176.6 39580.3 30.00% 0.45% 0.44% 0.68 0.68
Indiamart Inter. India 40.7 17991.7 30.00% 0.23% 0.23% 0.90 0.90
Just Dial India 85.3 10655.2 30.00% 0.80% 0.79% 1.05 1.04

Average 30.00% 0.41% 0.41% 1.04 1.04

Median 30.00% 0.34% 0.34% 1.05 1.04

Cost of Debt Cost of Equity

Pre-Tax Cost of Debt 9.61% Risk Free Rate 6.86%

Tax Rate 30.00% Equity Risk Premium 8.75%
Post-Tax Cost of Debt 6.73% Levered Beta 4 1.05
Cost of Equity 16.02%

Capital Structure Levered Beta

Current Target Comps Median Unlevered Beta 1.04

Total Debt 749.0 0.34% 0.41% Target Debt/ Equity 0.41%
Market Capitalisation 221353.4 99.66% 99.59% Tax Rate 30.00%
Total Capital 222102.4 100.00% 100.00% Levered Beta 1.05

Debt/ Equity 0.34% 0.41% Weighted Average Cost of Capital

Notes Cost of Equity 16.02%

1. Tax Rate considered as Marginal Tax rate for the country Equity Weight 99.59%
2. Levered beta is based on 5 year monthly data
3. Unlevered beta= Levered Beta/ 1+(1-Tax rate)*Debt by Equity Cost of Debt 6.73%
4. Levered beta= Unlevered Beta* 1+(1-Tax rate)*Debt by Equity Debt Weight 0.41%

WACC 15.98%
 ZOMATO LTD
NSE: ZOMATO | BSE: 543320

Common Size Statement

Common Size Income Statement - ZOMATO LTD

Particulars Mar-15 Mar-16 Mar-17 Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Mar-24

Sales - - - 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00%

Raw Material Cost - - - 0.00% 1.43% 4.24% 10.18% 13.18% 20.31% 23.83%
Change in Inventory - - - 0.00% 0.16% 0.06% 0.55% 0.66% 0.61% 0.04%
Power and Fuel - - - 0.52% 0.24% 0.24% 0.10% 0.10% 0.32% 0.42%
Other Mfr. Exp - - - 10.69% 102.07% 80.96% 3.74% 4.37% 5.42% 4.30%
Employee Cost - - - 62.33% 45.77% 30.67% 37.16% 38.95% 20.70% 13.69%
Selling and admin - - - 39.09% 115.37% 67.43% 71.97% 87.17% 70.08% 56.81%
Other Expenses - - - 7.21% 6.21% 4.99% 0.84% 1.04% 0.88% 0.63%
Other Income - - - 4.51% 97.90% 0.61% -10.04% 18.91% 9.63% 6.98%
Depreciation - - - 6.26% 3.29% 3.23% 6.91% 3.59% 6.17% 4.34%
Interest - - - 1.36% 0.66% 0.49% 0.51% 0.29% 0.69% 0.59%
Profit before tax - - - -22.94% -76.97% -91.59% -40.88% -29.11% -14.34% 2.40%
Tax - - - 0.00% 0.00% 0.00% 0.07% 0.05% -0.62% -0.50%
Net profit - - - -22.25% -73.51% -90.88% -40.77% -28.83% -13.72% 2.90%
Dividend Amount - - - 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%

Common Size Balance Sheet - ZOMATO LTD

Particulars Mar-15 Mar-16 Mar-17 Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Mar-24

Total Liabilities - - - 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00%

Equity Share Capital - - - 0.00% 0.00% 0.00% 0.00% 4.41% 3.87% 3.72%
Reserves - - - 75.38% 69.02% 15.77% 87.82% 90.85% 86.23% 83.68%
Borrowings - - - 13.55% 10.19% 11.23% 6.06% 0.41% 2.35% 3.21%
Other Liabilities - - - 11.07% 20.78% 73.01% 6.12% 4.34% 7.56% 9.39%

Total Assets - - - 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00%

Net Block - - - 13.81% 11.40% 54.84% 17.68% 8.10% 29.37% 27.61%
Capital Work in Progress - - - 0.09% 0.02% 0.03% 0.00% 0.00% 0.03% 0.08%
Investments - - - 60.33% 62.84% 11.17% 25.34% 27.23% 31.32% 49.86%
Other Assets - - - 8.73% 16.62% 17.18% 44.93% 54.42% 32.07% 15.55%
Receivables - - - 1.90% 2.06% 4.24% 1.49% 0.92% 2.12% 3.40%
Inventory - - - 0.00% 0.06% 0.13% 0.17% 0.23% 0.38% 0.38%
Cash & Bank - - - 15.14% 6.99% 12.41% 10.38% 9.09% 4.71% 3.13%
 ZOMATO LTD
NSE: ZOMATO | BSE: 543320

Intrinsic Growth
Calculation of ROIC Mar-20 Mar-21 Mar-22 Mar-23 Mar-24

Current Assets
Inventories 4.0 15.0 40.0 83.0 88.0
Trade receivables 123.0 130.0 160.0 457.0 794.0
Short term loans 2.0 - 375.0 1.0 1.0
Other asset items 497.0 3,911.0 9,054.0 6,925.0 3,631.0
Total Current Assets 626.0 4,056.0 9,629.0 7,466.0 4,514.0

Current Liabilities
Trade Payables 269.0 297.0 429.0 679.0 886.0
Advance from Customers 30.0 29.0 18.0 17.0 17.0
Other liability items 1,825.0 212.0 311.0 943.0 1,298.0
Total Current Liabilities 2,124.0 538.0 758.0 1,639.0 2,201.0

Net Working Capital (1,498.0) 3,518.0 8,871.0 5,827.0 2,313.0

Non Current Assets

Land - - - - -
Building 37.0 38.0 40.0 606.0 964.0
Plant Machinery 1.0 3.0 13.0 122.0 192.0
Equipments 13.0 13.0 4.0 3.0 4.0
Computers 46.0 47.0 71.0 95.0 120.0
Furniture n fittings 13.0 12.0 9.0 56.0 97.0
Vehicles 1.0 1.0 1.0 1.0 1.0
Intangible Assets 1,839.0 1,878.0 1,843.0 6,054.0 6,054.0
Other fixed assets 359.0 374.0 363.0 538.0 543.0
Gross Block 2,308.0 2,366.0 2,345.0 7,475.0 7,975.0
Accumulated Depreciation (263.0) (380.0) (482.0) (719.0) (1,115.0)
Net Non Current Assets 2,045.0 1,986.0 1,863.0 6,756.0 6,860.0

Invested Capital 547.0 5,504.0 10,734.0 12,583.0 9,173.0

EBIT (2,388.9) (604.8) (2,001.1) (1,648.0) (483.0)

ROIC -436.73% -10.99% -18.64% -13.10% -5.27%

Calculation of Reinvestment Rate Mar-20 Mar-21 Mar-22 Mar-23 Mar-24

Net Capex 21.0 10.0 57.0 101.0 202.0

Change in Working Capital 5,016.0 5,353.0 (3,044.0) (3,514.0)

EBIT (2,388.9) (604.8) (2,001.1) (1,648.0) (483.0)

Marginal Tax Rate 30.00% 30.00% 30.00% 30.00% 30.00%
EBIT(1-T) (1,672.3) (423.4) (1,400.8) (1,153.6) (338.1)

Reinvestment 5,026.0 5,410.0 (2,943.0) (3,312.0)

Reinvestment Rate -1187.17% -386.22% 255.11% 979.59%

4 Year Average -84.67%

4 Year Median -65.55%

Calculation of Growth Rate Mar-20 Mar-21 Mar-22 Mar-23 Mar-24

Reinvestment Rate -1187.17% -386.22% 255.11% 979.59%

ROIC -10.99% -18.64% -13.10% -5.27%
Intrinsic Growth 130.45% 72.00% -33.41% -51.58%

4 Year Average 29.36%

4 Year Median 19.29%
 ZOMATO LTD
NSE: ZOMATO | BSE: 543320

FCFF
Calculation of PV of FCFF Mar-24A Mar-25F Mar-26F Mar-27F Mar-28F Mar-29F

EBIT 363.0 433.0 516.6 616.3 735.2 877.0

Tax Rate 30.00% 30.00% 30.00% 30.00% 30.00% 30.00%
EBIT(1-T) 254.1 303.1 361.6 431.4 514.6 613.9
Less: Reinvestment Rate -65.55% -26.77% 12.02% 50.80% 89.59% 89.59%
Free Cash Flow to Firm (FCFF) 420.7 384.3 318.1 212.2 53.6 63.9
Mid Year Convention 0.5 1.5 2.5 3.5 4.5
Discounting Factor 0.929 0.801 0.690 0.595 0.513
PV of FCFF 356.8 254.7 146.5 31.9 32.8

Expected Growth 19.29%

Terminal Growth 6.50%
WACC 15.98%

Calculation of Terminal Value Sensitivity Analysis

1235.2 12.00% 15.98% 16.00% 18.00%
FCFF (n+1) 76.2 4.00% 1,311.6 1,149.2 1,148.7 1,102.1
WACC 15.98% 5.00% 1,381.5 1,178.9 1,178.3 1,123.6
Terminal Growth Rate 6.50% 6.50% 1,533.9 1,235.3 1,234.4 1,162.8
7.00% 1,605.0 1,258.3 1,257.3 1,178.3
Terminal Value 803.9 8.00% 1,800.6 1,312.9 1,311.6 1,213.9

Calculation of Equity Value per Share Sensitivity Analysis

2.2 12.00% 15.98% 16.00% 18.00%
PV of FCFF 822.664036 4.00% 2.3 2.1 2.1 2.1
PV of Terminal Value 412.5 5.00% 2.4 2.2 2.2 2.1
Value of Operating Assets 1235.2 6.50% 2.6 2.2 2.2 2.1
7.00% 2.6 2.3 2.3 2.2
Add: Cash 731.0 8.00% 2.9 2.3 2.3 2.2
Less: Debt 0.0
Value of Equity 1966.2
No. of Shares 883.05
Equity Value per Share 2.2

Share Price 257.05

Discount/Premium 114.45x
 ZOMATO LTD
NSE: ZOMATO | BSE: 543320

Comps Valuation
Amount in Crores
Comparable Companies Valuation
Market Data Financials Valuation
Share Shares Equity Enterprise
Company Ticker Price Outstanding Value Net Debt Value Revenue EBITDA Net Income EV/Revenue EV/EBITDA P/E
Zomato Ltd ZOMATO 251 883.05 2,21,231 18 2,21,249 13,904 1,168 602 15.9x 189.4x 367.5x
Info Edg.(India) NAUKRI 7,679 12.94 99,364 -947 98,417 2,587 1,229 706 38.0x 80.1x 139.4x
One 97 PAYTM 622 63.64 39,578 -5,070 34,508 9,138 -1,092 -1,904 3.8x -31.6x -18.1x
Indiamart Inter. INDIAMART 3,000 6.00 18,000 -61 17,940 1,246 540 365 14.4x 33.3x 49.2x
Just Dial JUSTDIAL 1,252 8.50 10,642 68 10,710 1,077 284 421 9.9x 37.7x 25.5x
High 38.0x 189.4x 367.5x
75th Percentile 15.9x 80.1x 139.4x
Average 16.4x 61.8x 112.7x
Median 14.4x 37.7x 49.2x
25th Percentile 9.9x 33.3x 25.5x
Low 3.8x -31.6x -18.1x

Zomato Ltd. Comparable Valuation EV/Revenue EV/EBITDA P/E

Implied Enterprise Value 2,00,188 44,000 29,614
Net Debt 18 18 18
Implied Market Value 2,00,170 43,982 29,596
Shares Outstanding 883.05 883.05 883.05
Implied Value per Share 226.7 49.8 33.5
Source: The Valuation School, Screener.in Overvalued Overvalued Overvalued
 ZOMATO LTD
NSE: ZOMATO | BSE: 543320

Football Field Analysis

Football Field Analysis - Data

OpenLow Low OpenHigh High

Comps 33.5 33.5 226.7 226.7
DCF Bear 2.1 2.1 2.2 2.2
DCF Base 2.1 2.1 2.3 2.3
DCF Bull 2.3 2.3 2.9 2.9
52W H/L 96.5 96.5 281.0 281.0

Football Field Analysis - Valuation Summary (Rs)

300.0 ₹ 281.00

250.0 ₹ 226.68

200.0

150.0

100.0
₹ 96.50
50.0
₹ 2.20 ₹ 2.31 ₹ 2.87
₹ 33.52
0.0
Comps DCF Bear DCF Base DCF Bull 52W H/L
 ZOMATO LTD
NSE: ZOMATO | BSE: 543320

VAR & Monte Carlo Simulation

Date Adj Close Return Sorted Returns Replication Simulated Returns Calculation of Value at Risk - Tata Motors Ltd. (Simulation)
02-08-2022 55.55 -0.218156275 0.199784022 1 0.033039715
30-05-2022 71.05 0.093918495 0.145044386 2 0.010055812 Historical Approach
24-05-2022 64.95 -0.107829748 0.138474989 3 -0.007139521 Mean 0.14%
11-11-2022 72.80 -0.722497507 0.138389396 4 -0.013701908 Std Deviation 3.28%
02-08-2024 262.34 0.865197349 0.120680082 5 -0.069803546 Min -19.62%
26-07-2021 140.65 0.474318564 0.116269794 6 0.000728874 Max 19.98%
04-08-2023 95.40 0.756906147 0.102253018 7 0.005025694 CMP 257.05
08-02-2023 54.30 -0.459432547 0.100303976 8 -0.004476422
25-01-2022 100.45 0.766930528 0.099616849 9 0.054699878 Monte Carlo Simulation
13-05-2022 56.85 -0.620367292 0.094321403 10 -0.044826373 Mean 0.21%
03-09-2021 149.75 0.760728921 0.088299371 11 0.008219588 Std Deviation 3.29%
30-03-2022 85.05 -0.444117627 0.087595988 12 -0.006335005 Min -12.99%
12-11-2021 153.00 1.631126307 0.085876554 13 -0.020913947 Max 12.72%
26-12-2022 58.15 -0.571323225 0.083876977 14 -0.072215791 CMP 257.05
11-08-2021 135.65 0.164377631 0.083466432 15 0.036243493
03-11-2023 116.50 -0.176969286 0.083217078 16 0.023405226 Percentile Confidence VAR % Stock Price VAR (INR)
29-07-2021 141.55 1.266613302 0.078887243 17 0.026296176 5.0% 95.0% -5.24% 270.5 -13.5
01-09-2022 62.45 -0.532384878 0.077653148 18 -0.028907003 1.0% 99.0% -7.52% 276.4 -19.3
30-08-2021 133.55 1.057781185 0.070970379 19 0.026728541 0.5% 99.5% -8.44% 278.7 -21.7
28-04-2023 64.90 -0.646898798 0.069192767 20 0.025537271 10% 90.0% -3.98% 267.3 -10.2
05-06-2024 183.80 0.275945846 0.068604669 21 -0.054707571
18-10-2021 144.05 -0.45778599 0.067037059 22 -0.035223163
07-08-2024 265.67 3.302348389 0.06660515 23 0.054396879
12-08-2022 61.75 -0.236239932 0.066493918 24 0.008655509
17-03-2022 80.85 0.162472962 0.064516145 25 -0.029961149
07-10-2022 69.55 -0.153892877 0.061022118 26 0.016302963
13-07-2023 82.20 -0.333333374 0.060645123 27 0.019714697
06-11-2023 123.30 0.465240643 0.058369124 28 0.013355609
23-02-2022 84.15 -0.429878058 0.055834444 29 -0.009883218
08-12-2021 147.60 2.358361835 0.055794012 30 -0.058603966
27-07-2022 43.95 -0.28186274 0.055222062 31 0.032500965
29-09-2022 61.20 0.12087918 0.054263601 32 -0.00627785
20-02-2023 54.60 -0.452905848 0.054054036 33 -0.008150968
30-08-2023 99.80 -0.280201895 0.053854342 34 -0.067100283
22-12-2021 138.65 -0.301476193 0.053571335 35 -0.008782262
19-06-2024 198.49 2.364237373 0.052383246 36 0.016979099
12-07-2022 59.00 -0.589422399 0.051693442 37 0.011192386
27-09-2021 143.70 0.924983163 0.051591682 38 -0.006133793
31-05-2022 74.65 0.500502553 0.050668527 39 -0.075969055
31-01-2023 49.75 -0.638576083 0.049578015 40 -0.0189944
09-11-2021 137.65 0.544026819 0.049561573 41 -0.021406624
17-02-2022 89.15 -0.523262021 0.049440908 42 0.033944922
04-04-2024 187.00 2.221360951 0.048794149 43 0.007740022
20-05-2022 58.05 -0.64945654 0.048780508 44 0.012051432
20-03-2024 165.60 -0.093099668 0.048433106 45 -0.013799356
26-03-2024 182.60 0.140893487 0.048220489 46 -0.021323943
15-03-2024 160.05 -0.001559576 0.047790527 47 -0.001610728
15-11-2021 160.30 1.252986627 0.047712438 48 0.022686324
02-06-2023 71.15 -0.477606435 0.047093527 49 0.035464378
24-01-2024 136.20 -0.025053687 0.046886939 50 -0.023545696
02-08-2021 139.70 1.134453834 0.046441925 51 -0.013254063
13-09-2022 65.45 0.114042502 0.046362878 52 -0.01476237
18-05-2022 58.75 -0.442599631 0.046304504 53 0.028384915
05-10-2023 105.40 0.065722951 0.046153866 54 0.048742317
02-02-2022 98.90 0.046007391 0.046007391 55 -0.012916707
01-02-2022 94.55 -0.391961395 0.04590709 56 0.031985592
24-11-2021 155.50 1.931197039 0.045729678 57 0.034392919
16-03-2023 53.05 -0.211738534 0.045320177 58 -0.034595174
25-05-2023 67.30 0.163353593 0.044220421 59 -0.032533208
04-08-2022 57.85 -0.571640158 0.043282181 60 0.007168321
19-01-2024 135.05 1.224876454 0.043259993 61 0.04952433
27-04-2023 60.70 0.081032927 0.042955326 62 -0.066787567
01-07-2022 56.15 -0.126070008 0.042711311 63 0.014212656
16-08-2022 64.25 -0.500194489 0.04048583 64 -0.002105941
18-12-2023 128.55 -0.023176314 0.040048585 65 -0.029044933
21-12-2021 131.60 1.879649959 0.039905199 66 -0.008120931
28-07-2022 45.70 -0.290923148 0.039817974 67 0.071502645
23-08-2022 64.45 -0.530589981 0.039516081 68 0.020736527
 ZOMATO LTD
(ZOMATO | BSE Code: 543320)
INR 257.05
52 Week (High - INR 281 & Low - INR 96)

About the Company

Incorporated in 2010, Zomato Limited is one of the leading online Food Service platforms in terms of the value of food sold. Its
offerings include food delivery, dining-out services, Loyalty programs, and others.
As of December 31, 2020, Zomato has established a strong footprint across 23 countries with 131,233 active food delivery
restaurants, 161,637 active delivery partners, and an average monthly food order of 10.7 million customers.
Brands: Zomato, Hyperpure, blinkit, Feeding India

Financial Summary
Revenues (INR Crs.) Net Profit (INR Crs.) Total Assets (INR Crs.)

12,114
22,478
351
19,463

7,079 13,015
2021 2022 2023 2024
4,192
5,802
1,994

-813
-971
2021 2022 2023 2024 2021 2022 2023 2024
-1,209

Return on Equity (%) Return on Asset (%) Financial Leverage

1.43x
1.76% 1.56%
1.08x 1.08x 1.13x

2021 2022 2023 2024 2021 2022 2023 2024

-5.40%
-4.99%
-10.01%

-9.29%
2021 2022 2023 2024

-20.07%
-14.01%

Recent Updates
• As of Q2FY24, 18.4 million average Monthly transacting Users vs 16.4 mn in Q4FY23.
• As of March 31, 2021, Zomato had 389,932 Active Restaurant Listings.
• Zomato has officially pulled out of all international markets; In Q2FY24, the company liquidated its subsidiary
located in Chile & Slovak.
• In India, 248 cities are at contribution break even and as of FY22, Zomato is active in 1000+ cities with 500+ cities
added in FY22.
• With Paytm deal, Zomato spices up growth menu: Zomato is focusing on its stepping-out segment as it looks to
diversify beyond its food delivery & quick commerce platform and has laid the foundation for its third vertical of
growth by agreeing to acquire Paytm’s entertainment and ticketing business.
• Zomato captains India Inc’s dream Team XI with over 1,000% profit growth.
• Zomato Q1 results: Profit jumps multifold to Rs 253 cr; revenue soars 74%
• Zomato posts Rs 175 Cr PAT in Q4 FY24, revenue grows 8.3%
Dupont Analysis - Return on Equity & Return on Asset
Return on Equity (ROE)
Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Mar-24
Net Profit -103.7 -965.0 -2,367.2 -812.8 -1,208.7 -971.0 351.0
Average Shareholder Equity 518.0 1,695.9 1,406.5 4,050.6 12,074.7 17,982.8 19,936.5
Return on Equity -20.01% -56.90% -168.30% -20.07% -10.01% -5.40% 1.76%

ROE - Dupont Equation

Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Mar-24
Net Profit -103.7 -965.0 -2,367.2 -812.8 -1,208.7 -971.0 351.0
Revenue 466.0 1,312.6 2,604.7 1,993.8 4,192.4 7,079.0 12,114.0
Net Profit Margin (A) -22.25% -73.51% -90.88% -40.77% -28.83% -13.72% 2.90%

Revenue 466.0 1,312.6 2,604.7 1,993.8 4,192.4 7,079.0 12,114.0

Average Total Asset 687.2 2,393.7 3,156.6 5,801.9 13,015.3 19,463.0 22,477.5
Asset Turnover Ratio (B) 0.7x 0.5x 0.8x 0.3x 0.3x 0.4x 0.5x

Average Total Asset 687.2 2,393.7 3,156.6 5,801.9 13,015.3 19,463.0 22,477.5
Average Shareholder Equity 518.0 1,695.9 1,406.5 4,050.6 12,074.7 17,982.8 19,936.5
Equity Multiplier (C) 1.33x 1.41x 2.24x 1.43x 1.08x 1.08x 1.13x

Return on Equity (A*B*C) -20.01% -56.90% -168.30% -20.07% -10.01% -5.40% 1.76%

Return on Asset
Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Mar-24
Net Profit -103.7 -965.0 -2,367.2 -812.8 -1,208.7 -971.0 351.0
Average Total Asset 687.2 2,393.7 3,156.6 5,801.9 13,015.3 19,463.0 22,477.5
Return on Asset -15.09% -40.31% -74.99% -14.01% -9.29% -4.99% 1.56%

ROA - Dupont Equation

Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Mar-24
Net Profit -103.7 -965.0 -2,367.2 -812.8 -1,208.7 -971.0 351.0
Revenue 466.0 1,312.6 2,604.7 1,993.8 4,192.4 7,079.0 12,114.0
Net Profit Margin (A) -22.25% -73.51% -90.88% -40.77% -28.83% -13.72% 2.90%

Revenue 466.0 1,312.6 2,604.7 1,993.8 4,192.4 7,079.0 12,114.0

Average Total Asset 687.2 2,393.7 3,156.6 5,801.9 13,015.3 19,463.0 22,477.5
Asset Turnover Ratio (B) 0.7x 0.5x 0.8x 0.3x 0.3x 0.4x 0.5x

Return on Asset (A*B) -15.09% -40.31% -74.99% -14.01% -9.29% -4.99% 1.56%

Dupont Summary
• ROE of Zomato has been negative since 2018 and throughout the COVID pandemic centering around -168%, but
have improved gradually over the next three years. Currently giving a positive outlook of 1.76% as of March 2024.
• The company faced a significant decrease in net margins but was able to increase the same gradually post the
COVID pandemic from -90.88% in FY20 to 2.90% in FY24. Asset efficiency of the company has shown some spikes
throughout the period.
• Zomato had a negative ROA of -74.99% in FY20 which has been increased gradually to 1.56% as of FY24. While
the asset efficiency of the company has enhanced over time, the reason for increase in ROA is due to the
improving net margin of the company.

Disclaimer: This report is made as part of educational assignment and is meant for educational purpose only. The author of the report is not liable for any
losses due to actions taken basis this report. It is advisable to consult SEBI registered reasearch analyst before making any investments
 ZOMATO LTD
(ZOMATO | BSE Code: 543320)
INR 257.05
52 Week (High - INR 281 & Low - INR 96)

Altman's Z Score Analysis

Financial Summary
Working Capital / Total Assets Retained Earnings / Total Assets EBIT / Total Assets

60.33%

50.86% 2021 2022 2023 2024

-2.07%

31.72%

-6.95%
13.06% -7.63%

0.00% 0.00% 0.00% 0.00%

2021 2022 2023 2024 2021 2022 2023 2024 -11.55%

Market Cap / Long Term Liabilities Sales / Total Asset Altman's Z Score
89475.68
%
51.87% Strong, 537.44

32.77%

30305.48 22.91% 24.20%

% Strong, 182.44

8413.47
% Distressed,
Strong, 50.94
0.00% 0.61

2021 2022 2023 2024 2021 2022 2023 2024 2021 2022 2023 2024

Altman's Z Score Analysis Calculation

Working Capital / Total Assets
Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Mar-24
Working Capital 202.0 169.2 -1,132.5 4,426.9 10,453.2 6,851.0 3,051.0
Total Assets 1,374.5 3,412.9 2,900.4 8,703.5 17,327.0 21,599.0 23,356.0
Working Capital / Total Assets (A) 14.70% 4.96% -39.05% 50.86% 60.33% 31.72% 13.06%

Retained Earnings / Total Assets

Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Mar-24
Retained Earnings - - - - - - -
Total Assets 1,374.5 3,412.9 2,900.4 8,703.5 17,327.0 21,599.0 23,356.0
Retained Earnings / Total Assets (B) - - - - - - -

EBIT / Total Assets

Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Mar-24
EBIT -121.6 -2,286.6 -2,388.9 -604.8 -2,001.1 -1,648.0 -483.0
Total Assets 1,374.5 3,412.9 2,900.4 8,703.5 17,327.0 21,599.0 23,356.0
EBIT / Total Assets (C) -8.85% -67.00% -82.37% -6.95% -11.55% -7.63% -2.07%

Market Cap / Long Term Liabilities

Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Mar-24
Market Cap - - - - 62,901.4 42,656.3 2,26,988.0
Long Term Liabilities 186.2 347.9 325.6 527.4 70.3 507.0 749.0
Market Cap / Long Term Liabilities (D) 0.00% 0.00% 0.00% 0.00% 89475.68% 8413.47% 30305.48%

Sales / Total Asset

Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Mar-24
Total Sales 466.0 1,312.6 2,604.7 1,993.8 4,192.4 7,079.0 12,114.0
Total Assets 1,374.5 3,412.9 2,900.4 8,703.5 17,327.0 21,599.0 23,356.0
Return on Asset (E) 33.90% 38.46% 89.81% 22.91% 24.20% 32.77% 51.87%

Altman's Z Score
Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Mar-24
Final Score 0.22 -1.77 -2.29 0.61 537.44 50.94 182.44
Financial Stability Distressed Distressed Distressed Distressed Strong Strong Strong

Disclaimer: This report is made as part of educational assignment and is meant for educational purpose only. The author of the report is not liable for any losses due to
actions taken basis this report. It is advisable to consult SEBI registered reasearch analyst before making any investments