Nykaa reaches 276 stores as Q3 revenue climbs 27%; Eternal adds 200+ stores
Nykaa added 11 stores to reach 276 across 94 cities in Q3 FY26, while revenue rose 27% year on year to Rs 2,873 crore. Eternal reported adding more than 200 net stores alongside rapid revenue growth, underscoring continued investment in India’s digital-to-physical retail ecosystem.
What happened
Eternal (formerly Zomato) · India’s retail-tech ecosystem is projected to benefit as the retail market reaches Rs 210–215 trillion by 2035. Eternal reported
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% YoY
- Eternal added over 200 net stores
- Eternal contribution margin expanded about 90 bps and EBITDA margin improved about 130 bps sequentially
- Eternal share price rose 13.5% in the past year
- 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 to reach 276 stores in 94 cities
- Nykaa B2B platform serves over 4.8 lakh retailers across 1,100 cities
- Nykaa share price gained 31.7% in the past year
- Delhivery Q3 FY26 services revenue about Rs 2,798 crore, up 18% YoY
Why this matters
Nykaa and Eternal’s accelerated store additions highlight potential partnership, acquisition and infrastructure opportunities in retail technology, last-mile fulfillment and digital-to-physical customer engagement.
What to watch
- Nykaa's same-store sales growth, retail EBITDA margin and inventory days in subsequent quarterly results.
- Share of online orders fulfilled from stores, click-and-collect adoption and store-led customer acquisition metrics.
- New Nykaa city entries versus additional stores within existing 94-city footprint.
- Eternal's store economics, delivery-time improvements and evidence that new locations raise contribution margins rather than only GMV.
- Escalation in beauty discounting, mall rents or beauty-advisor hiring costs.
- Premium beauty brand exclusives and offline launches shifting from department stores to Nykaa formats.
- Increase store density in high-LTV metros and tier-1/2 catchments rather than broadly expanding city count.
- Integrate store inventory with app fulfilment, returns and same-day delivery to improve stock turns.
- Expand exclusive brand launches, beauty services and loyalty benefits that make physical visits additive to online sales.
- Use smaller format stores or shop-in-shop partnerships to test lower-capex expansion in underserved cities.
- Eternal is likely to add more neighbourhood nodes and merchant/brand integrations to convert scale into faster delivery and higher order frequency.