Eternal Q2 Review: Blinkit Leads Growth, But CEO Warns Of Slow Recovery In Food Delivery Growth

Eternal’s (formerly Zomato) shares closed 3.9% lower at ₹340.5 on Thursday after the food delivery and quick commerce giant posted a plunge in Q2 net profit. 

It was the top loser on the Nifty index at close after the company posted a sharp profit decline in Q2 despite record revenue growth from its quick commerce arm, Blinkit. 

Profit More Than Halves

Eternal reported a 63% year-on-year decline in net profit for the July–September quarter at ₹65 crore, compared to ₹176 crore last year. However, profits improved sequentially from ₹25 crore in the previous quarter.

Revenue from operations jumped 183% to ₹13,590 crore, up from ₹4,799 crore last year. Eternal attributed the strong yearly growth to robust performance in its quick commerce business, which recorded a 137% year-on-year and 27% quarter-on-quarter rise in net order value (NOV), the fastest pace in ten quarters.

Eternal’s food delivery business reported a 22% year-on-year rise in adjusted revenue to ₹2,863 crore in Q2FY26, up from ₹2,340 crore a year earlier, and higher than ₹2,657 crore in the previous quarter. The net order value (NOV) increased to ₹9,423 crore from ₹8,967 crore in Q1FY26, while monthly transacting customers (MTCs) rose to 24.1 million, up from 22.9 million in the previous quarter.

Meanwhile, its quick commerce arm Blinkit posted a massive 756% revenue surge to ₹9,891 crore, driven by its new inventory ownership model. NOV jumped 137% YoY to ₹11,679 crore, with dark store count doubling to 1,816. Blinkit’s EBITDA loss narrowed to ₹156 crore, compared to ₹162 crore last year.

CEO Deepinder Goyal said the food delivery NOV growth rate, which had been declining for five consecutive quarters, improved in Q2FY26 as expected, but the recovery has been slower than anticipated.

He added that while the company is working to make restaurant food more accessible and affordable, near-term growth remains constrained by soft discretionary spending, rapid quick commerce expansion, and volatile weather conditions.

Stock Is Trading In A Channel

Eternal’s stock is currently trading within a channel, and a decisive breakout on either side could trigger the next major move, said SEBI-registered Financial Sarthis.

Despite near-term challenges, Eternal’s long-term growth outlook remains promising as it strengthens its quick commerce footprint, they added.

What is the retail mood on Stocktwits?

While market chatter was ‘high’ on Stocktwits, retail sentiment remained ‘neutral’. It was ‘bullish’ three months back. It was the top trending stock on Stocktwits after market close.

Year-to-date, the stock has gained 22.5%.

For updates and corrections, email newsroom[at]stocktwits[dot]com.

Share

·

Add us on