Eternal shares fall 8% from record high as Q2 FY26 profit plunges 63%
Eternal's consolidated net profit fell 63.07 per cent year-on-year (YoY) to Rs 65 crore, down from Rs 176 crore in the same period last year.
- Oct 16, 2025,
- Updated Oct 16, 2025 3:37 PM IST
Shares of Eternal Ltd (formerly Zomato) touched an all-time high of Rs 368.40 earlier in the day but later dropped 8.18 per cent to a low of Rs 338.25 following a sharp decline in the company's July-September quarter (Q2 FY26) profit.
Eternal's consolidated net profit fell 63.07 per cent year-on-year (YoY) to Rs 65 crore, down from Rs 176 crore in the same period last year. The Deepinder Goyal-led firm's expenses soared 188.79 per cent to Rs 13,813 during the quarter under review as against Rs 4,783 crore in Q2 FY25.
However, revenue from operations surged 183.18 per cent to Rs 13,590 crore in Q2 FY26, up from Rs 4,799 crore a year ago.
Goyal noted, "Food delivery NOV grew 14 per cent YoY, slightly up from 13 per cent YoY in the previous quarter. The growth rate appears to have bottomed out in Q1 FY26 and is beginning to recover, albeit gradually. On the margin front, Adjusted EBITDA margin (as a percentage of NOV) reached a record high of 5.3 per cent, with the business delivering an absolute Adjusted EBITDA of over Rs 500 crore for the quarter (compared to Rs 451 crore in Q1 FY26)."
He added, "Quick commerce NOV growth accelerated to 137 per cent YoY (27 per cent QoQ), marking its highest in the last ten quarters. Network expansion continued with 272 net new stores added, taking the total store count to 1,816 stores by the end of the quarter."
"Adjusted EBITDA margin (as a percentage of NOV) improved sequentially to -1.3 per cent from -1.8 per cent in Q1 FY26. The pace of margin improvement was slower than initially anticipated due to additional investments aimed at market share growth. Going-out NOV grew 32 per cent YoY, while Adjusted EBITDA margin (as a percentage of NOV) declined to -3.1 per cent, resulting in an Adjusted EBITDA loss of Rs 63 crore for the quarter (vs Rs 54 crore in Q1 FY26), driven by continued investments in category creation," Goyal further explained.
Shares of Eternal Ltd (formerly Zomato) touched an all-time high of Rs 368.40 earlier in the day but later dropped 8.18 per cent to a low of Rs 338.25 following a sharp decline in the company's July-September quarter (Q2 FY26) profit.
Eternal's consolidated net profit fell 63.07 per cent year-on-year (YoY) to Rs 65 crore, down from Rs 176 crore in the same period last year. The Deepinder Goyal-led firm's expenses soared 188.79 per cent to Rs 13,813 during the quarter under review as against Rs 4,783 crore in Q2 FY25.
However, revenue from operations surged 183.18 per cent to Rs 13,590 crore in Q2 FY26, up from Rs 4,799 crore a year ago.
Goyal noted, "Food delivery NOV grew 14 per cent YoY, slightly up from 13 per cent YoY in the previous quarter. The growth rate appears to have bottomed out in Q1 FY26 and is beginning to recover, albeit gradually. On the margin front, Adjusted EBITDA margin (as a percentage of NOV) reached a record high of 5.3 per cent, with the business delivering an absolute Adjusted EBITDA of over Rs 500 crore for the quarter (compared to Rs 451 crore in Q1 FY26)."
He added, "Quick commerce NOV growth accelerated to 137 per cent YoY (27 per cent QoQ), marking its highest in the last ten quarters. Network expansion continued with 272 net new stores added, taking the total store count to 1,816 stores by the end of the quarter."
"Adjusted EBITDA margin (as a percentage of NOV) improved sequentially to -1.3 per cent from -1.8 per cent in Q1 FY26. The pace of margin improvement was slower than initially anticipated due to additional investments aimed at market share growth. Going-out NOV grew 32 per cent YoY, while Adjusted EBITDA margin (as a percentage of NOV) declined to -3.1 per cent, resulting in an Adjusted EBITDA loss of Rs 63 crore for the quarter (vs Rs 54 crore in Q1 FY26), driven by continued investments in category creation," Goyal further explained.