Eternal shares slide nearly 4% as Q1 profit misses estimates despite Blinkit EBIT turnaround

Eternal reported Q1 FY2027 net profit of Rs 92 crore, up from Rs 25 crore a year earlier but below the Rs 300 crore Bloomberg estimate. Revenue rose 182% to Rs 20,211 crore, led by quick commerce, while Blinkit posted EBIT of Rs 365 crore versus a loss last year.

— Source publishedWed, 22 Jul, 2026, 15:18 IST·First seen Wed, 22 Jul, 2026, 15:56 IST·Source NDTV Profit

What happened

Eternal’s Q1 FY2027 profit rose 260% year-on-year to Rs 92 crore but missed estimates, sending shares down nearly 4%. Revenue grew 182%, led by quick commerce;

Key facts

  • Q1 FY2027 net profit Rs 92 crore, up from Rs 25 crore YoY; Bloomberg estimate Rs 300 crore
  • Revenue Rs 20,211 crore, up 182% from Rs 7,167 crore YoY; estimate Rs 20,058 crore
  • EBITDA Rs 594 crore versus Rs 115 crore YoY; estimate Rs 664 crore
  • EBITDA margin 2.9% versus 1.6% YoY; estimate 3.3%
  • Quick commerce revenue Rs 15,664 crore versus Rs 2,400 crore YoY
  • Food delivery revenue Rs 3,100 crore, up 37% YoY
  • Hyperpure revenue Rs 1,034 crore, down 55% YoY
  • Blinkit EBIT Rs 365 crore versus a Rs 42 crore loss YoY
  • Shares fell as much as 3.86% to Rs 275.55

Why this matters

Blinkit’s move to positive EBIT strengthens Eternal’s quick-commerce strategic position, though the earnings miss may sharpen scrutiny of capital allocation and the pace of expansion.

What to watch

  • Blinkit quarterly EBIT, adjusted EBITDA and contribution-margin progression
  • Growth in Blinkit orders, gross order value, average order value and monthly transacting customers
  • Dark-store additions versus mature-store sales productivity and payback periods
  • Cash burn, capital expenditure, working-capital needs and consolidated free-cash-flow trend
  • Management commentary on discounting, delivery costs, advertising monetization and competitive intensity
  • Revisions to FY2027 profit and EBITDA estimates following the Rs 92 crore net-profit miss
  • Market-share indicators for Blinkit versus Zepto, Swiggy Instamart and other quick-commerce operators
  • Management is likely to emphasize Blinkit's EBIT milestone, contribution-margin trajectory, dark-store maturity and unit economics rather than the consolidated profit miss.
  • Eternal may moderate non-core spending, tighten corporate costs and seek more advertising, platform-fee and private-label revenue to improve consolidated earnings conversion.
  • Investors will likely demand clearer guidance on whether quick-commerce EBIT is sustainable after accounting for expansion costs, stock-based compensation and competitive promotional intensity.
  • Competitors may increase city coverage, assortment breadth and promotional offers if Blinkit's profitability suggests the category can support larger investment.