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Eternal Q1 revenue jumps 182 per cent as Blinkit drives growth
Advertising spend rises to Rs 945 crore as company invests in expansion
MUMBAI: Growth rarely arrives on a budget, and Eternal opened its wallet to keep the momentum moving. The parent company of Zomato and Blinkit sharply increased spending on advertising and customer acquisition in the first quarter of FY27, as rapid business expansion fuelled a surge in revenue despite higher operating costs.
Advertising and sales promotion expenses rose to Rs 945 crore during the April-June quarter, while delivery-related charges climbed to Rs 3,150 crore, helping push the company’s total expenses up 173.2 per cent year-on-year to Rs 20,314 crore.
The increased investment came alongside robust topline growth. Revenue from operations soared 182 per cent year-on-year to Rs 20,211 crore, compared with Rs 7,167 crore in the corresponding quarter last year, reflecting continued momentum across the company’s food delivery and quick commerce businesses.
Blinkit remained the group’s biggest growth engine, contributing Rs 15,664 crore in revenue during the quarter and cementing its position as Eternal’s largest business by revenue. The Zomato food delivery platform generated Rs 3,100 crore, while the company’s District going-out business contributed Rs 318 crore.
On the earnings front, consolidated net profit rose 268 per cent year-on-year to Rs 92 crore, up from Rs 26 crore in the year-ago quarter. However, profitability moderated sequentially, with net profit declining 47 per cent from Rs 174 crore reported in the January-March quarter, as the company stepped up investments to support future growth.
The latest numbers underline Eternal’s strategy of prioritising scale over short-term margins. Higher spending on marketing, customer acquisition and delivery infrastructure weighed on sequential profits, but the investments helped strengthen its position in India’s increasingly competitive quick commerce market.
With Blinkit accounting for the lion’s share of revenue and Zomato continuing to provide a stable foundation, Eternal is doubling down on expansion even as competition intensifies. The quarter suggests the company is betting that today’s higher costs will translate into stronger market leadership and sustained growth in the years ahead.
