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Zomato-parent Eternal profit jumps as Blinkit turns profitable
Eternal, the Gurgaon-based parent of Zomato and Blinkit, said its operating revenue for the quarter ended March 2026 tripled year on year to 172.9 billion rupees (US$1.83 billion).
Net profit rose 4.5 times to 1.7 billion rupees (US$18.4 million), helped by better quick commerce margins and Blinkit’s shift to recording the full value of sales.
Blinkit’s net order value rose 95% from a year earlier.
The unit posted adjusted EBITDA of 370 million rupees (US$3.92 million), its second straight quarter of operating profit, compared with a loss of 1.8 billion rupees (US$18.9 million) a year earlier.
Quick commerce growth may moderate as competition increases, said CEO Albinder Singh Dhindsa, while Eternal’s consumer businesses have crossed US$10 billion in net order value, said founder Deepinder Goyal.
Zomato’s net order value rose 19% to 97.6 billion rupees (US$1.03 billion).
🔗 Source: The Economic Times
🧠 Food for thought
Implications, context, and why it matters.
Eternal’s profits rest on a costly growth push
- Results look strong, yet they fit a long-term push for US$1 billion in adjusted operating profit by FY29, or fiscal year 2029 1.
- To get there, Eternal expects Blinkit, its quick commerce unit for groceries and other items in minutes, to grow more than fourfold over the next three years 2.
- That build-out means opening hundreds of dark stores, small local warehouses used only for online orders. These sites often need 8 to 12 months to mature and can weigh on margins early 3.
- In food delivery, Eternal is cutting the minimum order needed for free delivery for Gold customers, members of its paid loyalty program. The move aims to increase order frequency among price-sensitive customers by lowering average order value 2.
Quick commerce growth changes urban work and retail in India
- Eternal depends on a large pool of delivery riders treated as independent partners. They often do not get fixed salaries, paid leave, or social security benefits 4.
- Delivery targets can push riders into long shifts. In one case, a rider worked 406 hours in a month to earn incentives 4.
- For many city residents, ordering even a single item on demand has become part of daily life, changing buying habits 4.
- This differs from Western markets, where many ultra-fast delivery startups cut back or shut down after the pandemic. In India, the model is becoming more rooted in urban commerce 4.
