Whalesbook
Robust Financial Performance in Q3 FY26
Eternal Ltd (formerly Zomato Ltd) has reported a substantial increase in its financial performance for the third quarter of fiscal year 2026 (ending December 31, 2025). The company announced a consolidated net profit of ₹102 crore, marking a 72.88% year-on-year (YoY) increase from ₹59 crore in the same quarter of the previous fiscal year. This profit growth was accompanied by a significant surge in revenue from operations, which climbed by 201.85% YoY to ₹16,315 crore, up from ₹5,405 crore in the prior-year period. The company's adjusted EBITDA also showed positive movement, reaching ₹364 crore, a 28% YoY increase, reflecting an adjusted EBITDA margin of approximately 2.2%.
Blinkit and Hyperpure Achieve Profitability Milestones
A key driver for the positive results was the improved performance across Eternal's business segments. The quick commerce arm, Blinkit, achieved adjusted EBITDA profitability for the first time, reporting ₹4 crore in adjusted EBITDA profit for the quarter. This marks a considerable turnaround from a loss of ₹156 crore in the preceding quarter. Similarly, Hyperpure, the B2B restaurant supply unit, also turned adjusted EBITDA positive, contributing ₹1 crore in profit and demonstrating 33% YoY revenue growth. These achievements underscore a strategic focus on operational efficiency and sustainable growth across the group's diverse ventures.
Market Reaction and Leadership Transition
The positive financial disclosures were met with investor enthusiasm, leading to an increase in Eternal Ltd's stock price. On Thursday, January 22, 2026, shares were trading around ₹301.65, extending gains from the previous session [cite: Original News]. The company's market capitalization stood at approximately ₹2.74 lakh crore as of January 20, 2026.
In parallel with the financial results, Eternal Ltd announced a significant leadership change. Deepinder Goyal, the founder and Group CEO, will step down from his executive role effective February 1, 2026, transitioning to the position of Vice Chairman on the Board, subject to shareholder approval. Albinder Singh Dhindsa, the current CEO of Blinkit, is slated to take over as the new Group CEO.
Sector Context: India's Rapidly Evolving Quick Commerce Landscape
The performance of Blinkit occurs within the context of India's booming quick commerce sector. This segment has experienced exponential growth, driven by changing consumer expectations for instant delivery and widespread smartphone penetration. Companies like Blinkit, Swiggy Instamart, and Zepto are actively expanding their operations, though the sector faces ongoing challenges related to profitability and intense competition. Eternal's strategic integration of Blinkit and Hyperpure aims to leverage synergies and build a comprehensive consumer-focused platform. The company's core food delivery business also continues to demonstrate stable performance and margin improvement, with adjusted EBITDA margin reaching an all-time high of 5.4% of net order value.
Valuation Metrics
Eternal Ltd's market capitalization of around ₹2.74 lakh crore reflects investor confidence in its growth trajectory. However, the company's Price-to-Earnings (P/E) ratio remains high, with figures reported around 1,400x as of January 2026. This elevated P/E ratio is often characteristic of growth-oriented companies in rapidly expanding markets, indicating that investors are willing to pay a premium for anticipated future earnings.