Eternal Ltd. (formerly Zomato) delivered robust top-line growth in the first quarter of FY27, with its consolidated revenue from operations surging 182% year-on-year to ₹20,211 crore, driven primarily by the rapid expansion of its inventory-led quick commerce business, Blinkit. The foodtech and quick commerce company also reported a 268% jump in consolidated net profit to ₹92 crore, compared with ₹25 crore in the same quarter last year, despite continued investments in store expansion, logistics, and technology.
The quarter marked another milestone in Eternal’s transformation into a diversified consumer technology platform. Blinkit emerged as the company’s largest revenue contributor, while the core food delivery business continued to post steady growth and profitability. However, higher material costs, delivery expenses, and advertising investments reflected the company’s continued focus on scaling its quick commerce operations.
Eternal Q1 FY27 Financial Highlights
Eternal reported strong growth across both revenue and profitability.
Consolidated Financial Performance
| Metric | Q1 FY27 | Q1 FY26 |
|---|---|---|
| Revenue from Operations | ₹20,211 crore | ₹7,167 crore |
| Net Profit | ₹92 crore | ₹25 crore |
| Revenue Growth | 182% YoY | — |
| Net Profit Growth | 268% YoY | — |
| Total Income | ₹20,586 crore | ₹7,521 crore |
The strong performance was supported by the continued expansion of Blinkit and healthy growth in the food delivery segment.
Blinkit Becomes Eternal’s Largest Business
Quick commerce continued to dominate Eternal’s revenue mix.
Segment Revenue Breakdown
| Business Segment | Revenue (Q1 FY27) | Share of Operating Revenue |
|---|---|---|
| Blinkit (Quick Commerce) | ₹15,664 crore | 77.5% |
| Zomato Food Delivery | ₹3,100 crore | 15.3% |
| Hyperpure | ₹1,034 crore | — |
| District | ₹318 crore | — |
Blinkit’s inventory-led business model remained the primary driver of revenue growth, while Zomato’s food delivery business recorded 37% year-on-year growth. Hyperpure witnessed a sequential decline, whereas District continued its expansion.
Profitability Improves Despite Higher Investments
Although Eternal continued investing aggressively in expansion, profitability improved due to strong revenue growth.
Key expense trends during the quarter included:
- Material costs of ₹12,031 crore, accounting for around 59% of total expenses.
- Delivery and related expenses increased 68.5% year-on-year to ₹3,150 crore.
- Employee benefit expenses rose 29% to ₹1,068 crore.
- Advertising and promotional expenses increased 41% to ₹945 crore.
Overall expenditure rose to ₹20,314 crore, reflecting the cost of scaling Blinkit’s operations and expanding the company’s consumer ecosystem.
Expense Overview
| Expense Category | Q1 FY27 |
|---|---|
| Material Costs | ₹12,031 crore |
| Delivery Expenses | ₹3,150 crore |
| Employee Benefits | ₹1,068 crore |
| Advertising | ₹945 crore |
| Total Expenses | ₹20,314 crore |
Business Segments Show Diverging Profitability
Eternal’s individual business units delivered mixed operational performance.
- Food Delivery reported an EBITDA of ₹621 crore, up more than 33% year-on-year.
- Blinkit achieved an EBITDA of ₹365 crore, compared with a loss of ₹42 crore a year earlier.
- District remained in investment mode, posting a negative EBITDA of ₹62 crore.
Blinkit’s return to positive EBITDA highlights improving operating leverage as order volumes and store productivity continue to increase.
EBITDA by Segment
| Segment | EBITDA |
|---|---|
| Food Delivery | ₹621 crore |
| Blinkit | ₹365 crore |
| District | ₹(62) crore |
Quick Commerce Continues to Drive Growth
Blinkit’s contribution underscores how Eternal’s business mix has shifted significantly over the past year.
The inventory-led model enables the company to recognize the full value of goods sold as revenue, resulting in a substantial increase in reported sales compared with its earlier marketplace-focused model. While this strategy boosts revenue growth, it also requires greater investments in inventory, warehousing, and logistics.
The company continues to expand its dark-store network and improve delivery efficiency as competition in India’s quick commerce market intensifies.
Looking Ahead
Eternal’s first-quarter results demonstrate the company’s successful transition into a diversified consumer technology platform led by quick commerce. With revenue crossing ₹20,000 crore for the first time and net profit rising to ₹92 crore, the company is benefiting from Blinkit’s rapid scale while maintaining steady growth in its food delivery business. The return of Blinkit to positive EBITDA also suggests improving operational efficiency despite continued investments in expansion.
Looking ahead, investors will closely monitor Blinkit’s profitability, expansion of the dark-store network, and the performance of newer businesses such as District and Hyperpure. As competition in quick commerce remains intense, Eternal’s ability to balance rapid growth with disciplined cost management will be crucial in sustaining long-term profitability and strengthening its leadership in India’s online food delivery and instant commerce markets.
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