Eternal, the food delivery firm previously operating under the name Zomato, announced on Thursday that its profit for the second quarter (July to September) dropped 63% to Rs 65 crore from Rs 176 crore in the same period last year.
The company’s net profit, however, jumped 2.5x from Rs 25 crore recorded in the first quarter (April to June).
For Q2 FY26, the company reported an operational revenue of Rs 13,590 crore, a whopping 183% increase compared to Rs 4,799 crore in the same quarter last year. However, revenue for the quarter was down 90% from Rs 7,167 crore recorded in Q1.
The company’s total expenses nearly tripled to Rs 13,813 crore in Q2 FY 2026 from Rs 4,783 crore in the corresponding quarter of the previous fiscal year.
The startup’s food delivery business has steadied and is starting to bounce back, with its net order value (NOV) increasing 14% year on year. The segment’s profitability improved QoQ to an all-time high of 5.3% of NOV, up from 5% in Q1 FY26, according to a company filing with the exchanges.
Deepinder Goyal, founder and CEO at Eternal, stated that the NOV of the food delivery business aligned with the company’s projections while adding that recovery in growth has been slower than expected.
“While we continue to work on inputs to the business (making restaurant food more accessible and affordable for customers), we are also constantly fighting multiple headwinds, including soft discretionary consumption in general in India, the impact of quick commerce growth and increasingly volatile weather (extreme heat, extended rains), which continue to weigh on near-term growth,” he said.
In the quick commerce segment, Eternal recorded a 137% year-on-year increase in NOV and 27% growth quarter-on-quarter, the strongest performance in the last 10 quarters. The business also continued to expand its footprint, adding 272 new stores and attracting a significant number of new customers.
Blinkit, acquired by Eternal (formerly Zomato) in 2022, reduced its quarterly losses to Rs 156 crore in Q2 FY26 from Rs 162 crore in the previous quarter, while its adjusted EBITDA margin improved slightly to -1.3% of NOV from -1.8% in Q1.
Eternal’s shares ended the day nearly 2% lower at Rs 348.40 on the BSE, after having reached a 52-week high of Rs 368.40 earlier during the day.
