Eternal Q1 results: Net profit slumps 90% to Rs 25 crore; revenue jumps 70% on Blinkit, food delivery surge

Eternal, the parent company of Zomato and Blinkit, on Monday reported a sharp 90% year-on-year decline in consolidated net profit for Q1FY26 at Rs 25 crore, down from Rs 253 crore in the same quarter last year.Revenue from operations, however, soared 70% to Rs 7,167 crore compared to Rs 4,206 crore in Q1FY25, according to an exchange filing. The earnings were released during market hours, following which Eternal shares surged over 7%, hitting a day’s high of Rs 274 on the NSE, according to an ET report.The steep drop in profits was attributed to elevated investments in the quick commerce and going-out segments. “On the profitability front, consolidated Adjusted EBITDA declined 42% YoY to Rs 172 crore in Q1FY26, largely on account of the continuing investments in quick commerce and going-out, which were partly offset by the improvement in food delivery Adjusted EBITDA margin (as a % of NOV) to 5.0% from 3.9% a year ago,” the company said, quoted ET.Total expenses rose 15% YoY to Rs 2,137 crore, with major outflows towards ‘Delivery and related charges’ and ‘Advertisement and sales promotion’. Expenses were Rs 1,936 crore in Q4FY25 and Rs 1,854 crore in Q1FY25.The net order value (NOV) of Eternal’s B2C businesses grew 55% YoY and 16% sequentially to Rs 20,183 crore. For the first time, quick commerce NOV exceeded food delivery NOV across a full quarter. “On an annualized basis, we are now at nearly $10 billion in NOV across our B2C businesses, with quick commerce becoming our largest segment—contributing almost half of the annualized NOV,” the company noted in a letter to shareholders.

Consolidated adjusted revenue rose 67% YoY and 22% quarter-on-quarter to Rs 7,563 crore, with the company reporting consistent 50%+ YoY growth in adjusted revenue for 11 straight quarters.Meanwhile, its B2B vertical, Hyperpure, registered an 89% YoY rise in revenue and 25% growth quarter-on-quarter. However, the company indicated that it expects a temporary de-growth in the B2B segment over the coming quarters.