Indian multinational restaurant aggregator and food delivery company, Zomato has confirmed that the company is laying off under 3 percent of its staff across the organization. The company said that the layoffs are based on regular performance.
Earlier, Zomato Ltd confirmed on Friday that its co-founder, Mohit Gupta has resigned from the company. Mohit resigned after about five years at the food aggregator. His resignation follows that of the company’s deputy chief financial officer, Nitin Savara, who stepped down in August.
He also said that he stepped down to pursue “unknown adventures”. In his farewell note, he said, “I remain a long-only investor in Zomato.”
“Four and a half years ago I joined Deepi (Deepinder Goyal) & this band of crazies trying to build the best food tech company in the country, I dare say the world”, he said in a note.
The note added, “In this period, we brought our food delivery business back from the brink, survived the crazy competition, the pandemic, and became a large and profitable business (as unlikely as it seemed at the beginning).”
In May 2020, the company laid off 13 percent or 520 employees of its staff. The company earlier laid off the employees due to the downturn in business following the coronavirus pandemic.
Zomato last week reported a narrow second-quarter loss, as volumes and value of its online orders rose. The company’s total Adjusted EBITDA loss was reduced to INR 1.92 billion as compared to INR 3.10 billion in Q2FY22.
The company adjusted EBITDA loss (ex-quick commerce) was INR 0.60 billion for the quarter (compared to INR 1.50 billion in the previous quarter i.e. Q1FY23).