Zomato Parent Eternal Reports 47% Drop in Q1 Net Profit to ₹92 Crore

Zomato Parent: Eternal Records Q1 Profit Down Despite Strong Growth

Eternal Limited, the parent company of food delivery and quick commerce major Zomato, reported a 47.1 per cent sequential decline in its net profit that settled at Rs 92 crore for the April-June period (Q1 FY27) compared to Rs 174 crore in the preceding quarter.

However, looking at the performance on a year-on-year basis, the company posted a huge multi-fold jump in its consolidated net profit, scaling up from the same period last year.

Scaling Revenue in Core Verticals

The financial report of the company has pointed to aggressive expansion across its key business pillars, most importantly led by the rapid scaling of its quick-commerce arm, Blinkit. Consolidated revenue from operations rose sharply on inventory-led growth models and growing consumer adoption in major urban markets.

Sequential profits were momentarily impacted by changes in tax calculations and increased operating costs, but core operating metrics in Zomato’s food delivery and quick commerce segments showed strong volume growth and improved operational efficiencies.

Market Outlook and Growth Strategy

Eternal is investing aggressively in dark store networks, supply chain infrastructure and assortment expansion. Market analysts are keeping a close eye on the company’s long-term profitability curve.

Management remains focused on compounding growth and efficiency together, and evidence shows that despite the short-term sequential decline in net earnings, the overall ecosystem remains a dominant player in India’s hyper-local digital commerce space.