Eternal share price will be on investors’ radar on July 22 as the company had released its Q1FY26 results. Eternal share price closed with a gain of 5.38% at ₹271.20 on July 21. Eternal, the parent company of food delivery giant Zomato showcased a strong revenue performance despite a steep drop in profits.
The company reported a 90% year-on-year decline in consolidated net profit, falling to ₹25 crore in the June quarter, compared to ₹253 crore in Q1 FY25. In contrast, revenue from operations surged 70.4% to ₹7,167 crore, up from ₹4,206 crore a year earlier, driven by robust growth in its key business segments.
Sequentially, Eternal’s profit after tax dropped 36%, down from ₹39 crore in Q4 FY25. However, revenue rose by 22.9% quarter-on-quarter, climbing from ₹5,833 crore to ₹7,160 crore. The company's consolidated adjusted EBITDA came in at ₹172 crore, marking a 42% year-on-year decline.
Zomato’s quick commerce vertical, Blinkit, continued its impressive growth trajectory. In Q1 FY26, Blinkit’s revenue surged 155% YoY to ₹2,400 crore, up from ₹942 crore in the same period last year. Compared to Q4 FY25, revenue grew from ₹1,709 crore, driven by expanding demand and scale.
Gross Order Value (GOV) saw a massive leap to ₹11,821 crore, up from ₹4,923 crore in Q1 FY25 and ₹9,421 crore in Q4 FY25. However, Blinkit’s aggressive dark store expansion strategy came at a cost. The segment posted an EBITDA loss of ₹162 crore, significantly wider than the ₹3 crore loss in Q1 FY25. Nevertheless, losses narrowed sequentially from ₹178 crore in Q4 FY25, indicating potential cost optimisation.
The Average Order Value (AOV) for Blinkit remained steady at ₹669, marginally up from ₹665 in the previous quarter and ₹625 in the year-ago quarter.
Eternal’s core food delivery segment continued to perform steadily despite broader market headwinds. In Q1 FY26, the segment reported 17.7% YoY growth in adjusted revenue, reaching ₹2,657 crore versus ₹2,256 crore in Q1 FY25. On a sequential basis, revenue increased 10% from ₹2,409 crore in Q4 FY25.
The Gross Order Value (GOV) for food delivery grew 10% quarter-on-quarter to ₹10,769 crore, up from ₹9,778 crore, and improved 16.2% YoY from ₹9,264 crore.
The platform also saw a steady rise in Monthly Transacting Customers (MTCs), which climbed to 22.9 million in Q1 FY26, compared to 20.9 million in the previous quarter and 20.3 million a year ago—highlighting strong customer engagement despite a tepid demand environment.
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During the quarter, 3% of Eternal’s Net Order Value came from owned inventory, particularly in the quick commerce segment. This strategy allowed Blinkit’s revenue to outpace Net Order Value growth, and this share is expected to increase in the coming quarters.
While a rise in owned inventory will put pressure on Net Working Capital (NWC) in quick commerce, it is anticipated to be offset by a decline in NWC within the Hyperpure vertical, Eternal’s B2B supplies unit.
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Published on: Jul 22, 2025, 8:32 AM IST
Sachin Gupta
Sachin Gupta is a Content Writer with 6+ years of experience in the stock market, including global markets like the US, Canada, and Australia. At Angel One, Sachin specialises in creating financial content that simplifies complex market trends. Sachin holds a Master's in Commerce, specialising in Economics.
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