Eternal and Nykaa's Q3 FY26 growth resurfaces as India retail eyes Rs 215 trillion by 2035
Resurfacing Financial Express's review of Q3 FY26 performance across Eternal, Nykaa, Delhivery and IndiaMART as India's retail market is projected to grow from Rs 90-95 trillion in 2025 to Rs 210-215 trillion by 2035. Eternal reported 201.9% revenue growth, while Nykaa added 11 stores to reach 276 outlets.
What happened
Eternal (formerly Zomato) · India’s retail market could reach Rs 210-215 trillion by 2035. The article reviews Q3 FY26 performance of Eternal, Nykaa, Delhivery
Key facts
- India retail market projected at Rs 210-215 trillion by 2035, versus Rs 90-95 trillion in 2025
- Eternal Q3 FY26 revenue: Rs 16,315 crore, up 201.9% YoY
- Eternal Q3 FY26 net profit: Rs 102 crore, up 102.9%
- Eternal added more than 200 net stores
- Nykaa Q3 FY26 revenue: Rs 2,873 crore, up 27%
- Nykaa Q3 FY26 net profit: Rs 68 crore, up 156%
- Nykaa gross margin: 45.2%; EBITDA margin: 8.0%
- Nykaa added 11 stores, reaching 276 stores across 94 cities
- Nykaa B2B platform serves over 4.8 lakh retailers across 1,100 cities
Why this matters
India’s projected doubling of retail market size by 2035 strengthens the strategic case for partnerships, omnichannel assets and logistics capabilities, with Nykaa’s 94-city footprint illustrating the value of scaled physical reach.
What to watch
- Quarterly EBITDA and contribution-margin trends for Eternal, Nykaa and quick-commerce peers versus revenue growth.
- Nykaa same-store sales, store payback periods, city-level expansion pace and beauty versus fashion growth mix.
- Evidence that Eternal's reported growth is sustained by recurring demand rather than acquisition effects, accounting changes or low-margin pass-through businesses.
- Retail-discount intensity, customer acquisition costs and advertising/retail-media yields across beauty and marketplace categories.
- Logistics pricing, delivery-density metrics and fulfillment capacity additions by Delhivery and competing networks.
- Consumption demand in tier-2/tier-3 cities, discretionary spending trends and any slowdown in urban household demand.
- Nykaa is likely to prioritize store productivity, regional-city expansion, premium beauty partnerships and private-label penetration rather than simply maximize outlet additions.
- Eternal is likely to reinvest growth into customer retention, merchant/restaurant ecosystem density, logistics capacity and adjacent commerce services.
- Delhivery and other logistics providers may pursue deeper retailer integrations, faster regional fulfillment and contract-pricing strategies as omnichannel volumes increase.
- Brands will increase spending on retail media, creator-led discovery and first-party loyalty programs as marketplaces and omnichannel platforms monetize their customer traffic.
- Smaller offline retailers may accelerate franchise, marketplace and hyperlocal-delivery partnerships to defend footfall and digital visibility.