Eternal Q2 Results October 21, 2026: Profit Nearly Doubles to ₹125 Crore but Misses Estimates

Eternal Q2 results came out on Wednesday, October 21, 2026, and the headline looks great until you read the line under it. The Zomato and Blinkit parent nearly doubled its consolidated net profit to ₹125 crore from ₹65 crore a year ago. But the Street was expecting a lot more, and the stock slipped on the day.

Eternal Q2 results: what the filing shows

According to the shareholders’ letter and results filed with NSE, revenue from operations for the September quarter rose 77.6% year on year to ₹24,138 crore, from ₹13,590 crore. Against the June quarter’s ₹20,211 crore, that is a 19.4% jump.

The catch is that costs grew almost as fast. Total expenses climbed 75% to ₹24,166 crore from ₹13,813 crore. Other income of ₹351 crore is what kept the company in the black, with profit before tax at ₹323 crore against ₹129 crore a year earlier. Net profit of ₹125 crore was up 92.3% from a year ago and about 36% from ₹92 crore in the June quarter.

A big part of the revenue jump is an accounting change, not just more orders. Eternal says Blinkit’s shift to owning inventory means quick commerce revenue now includes the full value of goods sold, rather than mostly a marketplace commission. Adjusted revenue rose 76% to ₹24,621 crore, but on a like-for-like basis the growth was 58%.

The miss, and why it happened

Business Standard, carrying a Reuters report, said analysts on average had expected a profit of about ₹271 crore, based on LSEG data. Reuters pointed to higher delivery, employee and depreciation costs.

The filing backs that up. Delivery and related charges rose to ₹3,581 crore from ₹2,213 crore, about 62% higher. Employee costs went up roughly 32% to ₹1,146 crore, and depreciation rose about 66% to ₹625 crore as the dark store network keeps growing.

Segment by segment

The businesses themselves had a decent quarter, going by the shareholders’ letter:

• Blinkit (quick commerce): net order value rose 79.3% to ₹20,940 crore, and adjusted EBITDA swung to a ₹184 crore profit from a ₹156 crore loss a year ago. 308 net new stores took the count to 2,751.
• Zomato (food delivery): net order value grew 21.5% to ₹11,445 crore, and adjusted EBITDA rose 25% to ₹627 crore, though the margin slipped slightly to 5.5% of order value.
• District (going-out): net order value rose 58% to ₹3,259 crore, with an adjusted EBITDA loss of ₹64 crore.

Consolidated adjusted EBITDA, the company’s own measure, rose 197% to ₹666 crore. Management also raised the Blinkit target. It now expects to cross 3,500 stores by March 2027, up from 3,000, and to reach about 5,000 by March 2028.

Restructuring and the Mygate deal

The board also approved two corporate moves, as set out in the board meeting outcome. The going-out India business will be moved into wholly owned subsidiary Zomato Entertainment through a slump sale. Separately, Eternal will swap its entire stake in ad-tech firm Adonmo for shares in Mygate ahead of a merger of the two. It expects to own about 4.4% of the merged entity, a stake it currently values at ₹156 crore. It had put ₹112 crore into Adonmo in January 2022.

How the stock reacted

Per ET Markets, Eternal shares ended Wednesday at ₹311.75 on the BSE, down 2.71% from the previous close of ₹320.45.

Our read: growth is not the problem here. Blinkit is profitable on an adjusted basis and still adding stores at pace. What the market wants to see is costs growing slower than revenue, and this quarter they didn’t. For another consumer business that reported the same day, see Vishal Mega Mart’s Q2 results. To read a filing like this yourself, try our guide on how to analyse quarterly results.

Disclaimer: This article is for information and education only and is not investment advice. Please do your own research or speak to a SEBI-registered adviser before making investment decisions.