Eternal’s Q3 revenue triples as quick-commerce margins improve

Eternal, formerly Zomato, reported Q3 FY26 revenue of ₹16,315 crore, up 201.9% year on year, and net profit of ₹102 crore, up 102.9%. Its quick-commerce business added more than 200 net stores while contribution and EBITDA margins improved sequentially.

— FiledTue, 21 Jul, 2026, 05:32 IST·First seen Tue, 21 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. Eternal reported strong Q3 FY26 growth, with quick commerce reaching

Key facts

  • India retail market projected at Rs 210–215 trillion by 2035, versus Rs 90–95 trillion in 2025
  • Eternal Q3 FY26 revenue rose 201.9% YoY to Rs 16,315 crore
  • Eternal Q3 FY26 net profit rose 102.9% to Rs 102 crore
  • 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
  • Going-out business breakeven targeted in 4–6 quarters
  • Eternal share price rose 13.5% over the past year

Why this matters

Eternal’s rapid store expansion and improving quick-commerce economics raise the strategic bar for partnerships, acquisitions, and market-entry moves in India’s last-mile retail sector.

What to watch

  • Sequential quick-commerce contribution-margin and EBITDA-margin progression.
  • Net store additions versus same-store order growth and order density.
  • Average order value, customer frequency and delivery-cost trends.
  • Competitive pricing and expansion activity from other quick-commerce platforms.
  • Consolidated profit conversion, operating cash flow and capital required for new stores.
  • Management commentary on dark-store breakeven timing and expansion pace.
  • Continue targeted dark-store additions in high-density micro-markets while slowing lower-return expansion.
  • Increase private-label, advertising and higher-margin assortment penetration to lift basket economics.
  • Use improved margins to reduce dependence on broad discounts and focus promotions on retention and frequency.
  • Provide clearer disclosure on mature-versus-new-store contribution margins, cash burn and payback periods to support valuation confidence.