Zomato's parent Eternal's Q2 profit slumps 63 pc, revenue jumps

Mumbai, Oct 16 (IANS) Food delivery company Eternal, formerly known as Zomato, on Thursday reported a sharp 63 per cent drop in its net profit for the July–September quarter of the current financial year (Q2 FY26).

The company posted a profit of Rs 65 crore, compared to Rs 176 crore in the same period last fiscal (Q2 FY25). However, the profit was higher than the Rs 25 crore reported in the previous quarter (Q1 FY26).

Eternal’s revenue from operations jumped 183 per cent year-on-year (YoY) to Rs 13,590 crore, up from Rs 4,799 crore in the corresponding quarter of the previous financial year.

On a sequential basis, however, the topline rose 90 per cent compared to Rs 7,167 crore in the April–June quarter (Q1 FY26).

The company’s adjusted EBITDA dropped 32 per cent year-on-year to Rs 224 crore in Q2 FY26, according to its exchange filing.

Eternal’s quick commerce business showed strong performance in the July–September quarter, with its net order value (NOV) growing 137 per cent year-on-year and 27 per cent compared to the previous quarter -- the highest growth in the last 10 quarters.

The company continued to expand its network by adding 272 new stores during the quarter.

It also saw steady customer growth, adding around 39 lakh new monthly transacting customers (MTCs).

Blinkit, Eternal’s quick commerce arm, managed to reduce its quarterly losses to Rs 156 crore, down from Rs 162 crore in the April–June quarter.

Its adjusted EBITDA margin also improved slightly from -1.8 per cent to -1.3 per cent of NOV.

“Our customer base continues to expand rapidly which is giving us the confidence to continue investing in building District as the one-stop destination in India for discovering multiple going-out use-cases,” Deepinder Goyal, Founder & CEO, Eternal said.

Eternal’s stock came under pressure after hitting a 52-week high earlier in the day ahead of its earnings announcement. The shares closed the intra-day trading session at Rs 340.50, down Rs 13.85 or 3.91 per cent apiece on the NSE.

--IANS

pk