SWIGGY Q2: INSTAMART INVENTORY OWNERSHIP SHIFT COULD BOOST CONTRIBUTION MARGIN BY 80 BPS

• Regulatory Milestone: Swiggy secured necessary approvals to transition into an Indian-owned and controlled company (IOCC) • Domestic Ownership: Indian shareholding increased to over 58%, with foreign ownership capped at 49.5% on a fully diluted basis • Transition Timeline: Inventory ownership transition to begin in mid-Q3 FY27, with completion expected over the following 2–3 quarters • Margin Expansion: New inventory ownership model could improve Instamart's contribution margin by approximately 80 bps after full implementation • Operational Control: Greater flexibility over product assortment, pricing, inventory availability and daily operations • Working Capital: Management expects an 8–10 day improvement in the working capital cycle, with steady-state net working capital at approximately 15 days • Capital Requirement: No significant incremental working capital deployment expected despite inventory moving onto the balance sheet • Business Continuity: Management expects no disruption to customer experience or supplier relationships during the transition

SWIGGY LIMITED

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