Eternal’s Q3 revenue jump of 202% resurfaces as quick-commerce margins improve

Resurfacing a January 2026 report: Eternal, formerly Zomato, reported Q3 FY26 revenue of Rs 16,315 crore and net profit of Rs 102 crore. Quick-commerce contribution margin improved by about 90 basis points sequentially, while EBITDA margin rose roughly 130 basis points as the company added more than 200 net stores.

— FiledWed, 22 Jul, 2026, 05:32 IST·First seen Wed, 22 Jul, 2026, 05:31 IST·Source Financial Express · BrandWagon

What happened

Eternal (formerly Zomato) · India’s retail market could reach Rs 210-215 trillion by 2035. Retail-tech firms Eternal, Nykaa, Delhivery and IndiaMART are

Key facts

  • India retail market projected at Rs 210-215 trillion by 2035
  • India retail market estimated at Rs 90-95 trillion in 2025
  • Eternal Q3 FY26 revenue: Rs 16,315 crore, up 201.9% year on year
  • Eternal Q3 FY26 net profit: Rs 102 crore, up 102.9%
  • Quick-commerce contribution margin expanded about 90 basis points sequentially
  • Quick-commerce EBITDA margin improved about 130 basis points sequentially
  • More than 200 net stores added in Q3 FY26
  • Going-out business breakeven targeted in 4-6 quarters
  • Eternal share price up 13.5% over the past year

Why this matters

Eternal’s accelerating store footprint and improving quick-commerce economics make it a more formidable partner, competitor or consolidation target in India’s retail-tech ecosystem.

What to watch

  • Sequential quick-commerce contribution-margin and adjusted EBITDA-margin progression.
  • Net new dark stores, mature-store sales productivity and disclosed store payback periods.
  • Order growth, average order value, customer frequency and share of high-margin categories.
  • Promotional intensity and cash-burn commentary from Zepto, Swiggy Instamart, Flipkart Minutes, Amazon and offline retailers.
  • Changes in rider costs, real-estate rentals, inventory losses or regulatory rules affecting dark stores and delivery labor.
  • Whether food delivery cash generation continues to fund quick-commerce expansion without weakening consolidated profitability.
  • Prioritize dark-store additions in high-density catchments where order frequency can support faster payback.
  • Expand private-label, higher-margin grocery and impulse categories to lift gross margin and basket value.
  • Use membership, cross-platform customer data and targeted promotions to reduce acquisition costs rather than broad discounting.
  • Tighten store-level profitability thresholds and slow expansion in low-density or high-rent micro-markets.
  • Increase investment in supply-chain automation, forecasting and rider productivity to protect margins as delivery volumes rise.