Market Performance
Eternal Ltd.’s stock saw strong upward momentum during early trade on Monday, July 21, 2025, as investors awaited its quarterly earnings report.
- Eternal share price rose 3.1% to ₹265.1 during the session
- On a year-to-date basis, the stock has climbed 25%
- The rally comes ahead of the company’s Q1 FY26 financial results announcement
Main News
Shares of Eternal Ltd., the parent company of Zomato Ltd. and Blinkit Ltd., touched the day’s high on Monday as market sentiment turned positive ahead of the quarterly numbers.
The upbeat investor mood reflects expectations around performance in both the food delivery and quick commerce segments.
Company Details
Eternal Ltd. operates through two major verticals:
- Zomato Ltd., a key player in the online food delivery market
- Blinkit Ltd., a growing quick commerce brand offering hyperlocal delivery
The company has been focused on market expansion, especially through Blinkit, and had earlier emphasized that short-term profitability will not hinder its long-term market share growth strategies.
Revenue
Eternal’s revenue for the first quarter is estimated at ₹6,682 crore, reflecting a 58% year-on-year growth.
EBITDA
Despite the revenue rise, EBITDA is expected to decline:
- Year-on-year EBITDA drop: 26.5%, down to ₹130.2 crore
- Sequential EBITDA decline: 7%
EBITDA Margins
Margins across segments are expected to remain broadly flat compared to the previous quarter, despite growth in Gross Order Value (GOV) for both businesses.
Net Profits
Net profit for the period is projected to dip significantly:
- Net profit estimated: ₹30.9 crore
- Year-on-year drop: 87%
Business Segment Performance
Food Delivery – Zomato
- Gross Order Value (GOV): Expected to grow 18% year-on-year
- Margins likely to stay stable compared to Q4
Quick Commerce – Blinkit
- Gross Order Value (GOV): May grow 124% from the previous year
- EBITDA loss may widen due to aggressive store expansion
Summary
Eternal share price surged over 3% on July 21, reflecting strong investor interest ahead of the company's Q1 results. While revenue growth appears robust at ₹6,682 crore, profitability may face headwinds with a sharp decline in EBITDA and net profit. Blinkit's fast-paced expansion continues to drive GOV growth, even as short-term earnings take a hit.
The overall market sentiment around Eternal Ltd. remains positive, supported by its consistent focus on scaling operations and capturing market share in the fast-evolving delivery ecosystem.
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