Eternal, Swiggy shares fall up to 5% as LPG supply crunch weighs on restaurants
“Commercial LPG cylinder supplies have tightened in several cities, with restaurants reporting delays in deliveries owing to disruption in supply from the Strait of Hormuz,” MOFSL said.
- Mar 12, 2026,
- Updated Mar 12, 2026 11:23 AM IST
Shares of food delivery and quick commerce players Eternal Ltd and Swiggy Ltd declined in Thursday’s trade after concerns emerged that a shortage of commercial LPG cylinders could disrupt restaurant operations and weigh on order volumes.
On the BSE, Eternal shares slipped as much as 4.78% to hit day’s low of Rs 213.10, compared with its previous close of Rs 223.80. The stock was among the top laggards on the Sensex in early deals.
Meanwhile, Swiggy stock also came under selling pressure, declining 4.74% to touch a day’s low of Rs 271.20.
Motilal Oswal Financial Services (MOFSL) said that a tightening supply of commercial LPG cylinders in several cities may temporarily disrupt restaurant activity.
“Commercial LPG cylinder supplies have tightened in several cities, with restaurants reporting delays in deliveries owing to disruption in supply from the Strait of Hormuz,” MOFSL said.
The brokerage added that restaurants may respond by reducing menu offerings, limiting operating hours, or temporarily shutting kitchens if shortages persist.
According to the brokerage, such disruptions could translate into fewer orders being available on delivery platforms in the near term.
“Reduced menus, limited cooking hours, or temporarily shut kitchens at some restaurants may limit order availability on platforms, leading to temporary moderation in 4Q food delivery order volumes,” MOFSL said.
The brokerage noted that most restaurants operate with limited LPG inventories due to storage constraints, with many kitchens typically maintaining only two to six days of cylinder stock. As a result, any supply disruption can begin affecting operations within 48–72 hours, particularly for smaller outlets.
Despite this concern, MOFSL said platform-level gross order value (GOV) growth had been trending in the high teens for both Eternal and Swiggy before the latest supply disruption risk emerged.
Meanwhile, Swiggy reported that its food delivery business clocked GOV of Rs 8,959 crore in Q3 FY26, reflecting 20.5% year-on-year growth.
Similarly, Eternal’s shareholder letter for Q3 FY26 highlighted B2C net order value rose 55% year-on-year to Rs 25,732 crore in Q3 FY26, supported by growth in food delivery and quick commerce.
Shares of food delivery and quick commerce players Eternal Ltd and Swiggy Ltd declined in Thursday’s trade after concerns emerged that a shortage of commercial LPG cylinders could disrupt restaurant operations and weigh on order volumes.
On the BSE, Eternal shares slipped as much as 4.78% to hit day’s low of Rs 213.10, compared with its previous close of Rs 223.80. The stock was among the top laggards on the Sensex in early deals.
Meanwhile, Swiggy stock also came under selling pressure, declining 4.74% to touch a day’s low of Rs 271.20.
Motilal Oswal Financial Services (MOFSL) said that a tightening supply of commercial LPG cylinders in several cities may temporarily disrupt restaurant activity.
“Commercial LPG cylinder supplies have tightened in several cities, with restaurants reporting delays in deliveries owing to disruption in supply from the Strait of Hormuz,” MOFSL said.
The brokerage added that restaurants may respond by reducing menu offerings, limiting operating hours, or temporarily shutting kitchens if shortages persist.
According to the brokerage, such disruptions could translate into fewer orders being available on delivery platforms in the near term.
“Reduced menus, limited cooking hours, or temporarily shut kitchens at some restaurants may limit order availability on platforms, leading to temporary moderation in 4Q food delivery order volumes,” MOFSL said.
The brokerage noted that most restaurants operate with limited LPG inventories due to storage constraints, with many kitchens typically maintaining only two to six days of cylinder stock. As a result, any supply disruption can begin affecting operations within 48–72 hours, particularly for smaller outlets.
Despite this concern, MOFSL said platform-level gross order value (GOV) growth had been trending in the high teens for both Eternal and Swiggy before the latest supply disruption risk emerged.
Meanwhile, Swiggy reported that its food delivery business clocked GOV of Rs 8,959 crore in Q3 FY26, reflecting 20.5% year-on-year growth.
Similarly, Eternal’s shareholder letter for Q3 FY26 highlighted B2C net order value rose 55% year-on-year to Rs 25,732 crore in Q3 FY26, supported by growth in food delivery and quick commerce.