Eternal, Nykaa lead retail-tech pack as India's market races toward Rs 215 trillion
Q3 FY26 results show Eternal revenue up 201.9% YoY to Rs 16,315 crore with quick commerce hitting breakeven, while Nykaa lifted net profit 156% to Rs 68 crore on 45.2% gross margin. Shares rallied 13.5% and 31.7% respectively as India's retail market is projected to hit Rs 215 trillion by 2035.
What happened
Zomato (Eternal) · India's retail market projected to hit Rs 215 trillion by 2035. Retail-tech enablers Eternal (Zomato), Nykaa, Delhivery, IndiaMART reviewed
Key facts
- Rs 210-215 trillion retail market by 2035
- Rs 90-95 trillion in 2025
- Eternal revenue Rs 16,315 crore +201.9% YoY
- Eternal net profit Rs 102 crore +102.9% YoY
- 200+ net stores added
- Nykaa revenue Rs 2,873 crore +27% YoY
- Nykaa net profit Rs 68 crore +156%
- Nykaa gross margin 45.2%
- Nykaa EBITDA margin 8.0%
- 276 stores across 94 cities
- 4.8 lakh retailers across 1,100 cities
- Eternal share +13.5%
- Nykaa share +31.7%
Why this matters
The widening lead of Eternal and Nykaa amid a Rs 215 trillion market opportunity signals a consolidation window where smaller players become acquisition or partnership targets.
What to watch
- Blinkit take-rate and adjusted EBITDA trajectory in next quarter
- Swiggy Instamart / Flipkart Minutes burn and market-share disclosures
- Nykaa fashion segment losses and inventory days
- Broader consumption/discretionary demand indicators and festive-season carryover
- Any pullback in post-rally share prices signaling profit-taking
- Eternal reinvests breakeven gains into dark-store density and new categories rather than banking margin, keeping profitability optically thin
- Nykaa leans into private label and premium beauty to defend gross margin; scrutiny shifts to fashion segment burn
- Analysts revise up sector TAM narrative citing Rs 215T 2035 projection, lifting peer valuations (DMart, FirstCry, Swiggy)
- Competitors accelerate quick-commerce capex to avoid ceding share post-breakeven signal