The company’s net profit slumped to Rs 25 crore in Q1FY26 from Rs 253 crore in Q1FY25
Eternal, the parent company of the food delivery platform Zomato, has reported a sharp decline of 90.11 per cent in its net profit on a year-on-year (YoY) basis in the first quarter of the current financial year (Q1FY26). The company’s net profit slumped to Rs 25 crore in Q1FY26 from Rs 253 crore in Q1FY25.
The financial results of the company revealed that the revenue from operations grew to Rs 7,167 crore during the recently concluded quarter from Rs 4,206 crore in Q1FY25. However, the total expenses of the company surged to Rs 7,433 crore in Q1FY26 from Rs 4,203 crore in the corresponding period of the previous fiscal year.
The adjusted earnings before interest, taxes, depreciation and amortisation (EBITDA) dipped 42 per cent on a YoY basis to Rs 172 crore in Q1FY26. The company’s quick commerce growth continued with around 243 net new stores added during the quarter. Net order value (NOV) grew 127 per cent YoY to Rs 9,203 crore, surpassing food delivery quarterly NOV for the first time.
“On the profitability front, consolidated Adjusted EBITDA declined 42 per cent YoY to Rs 172 crore in Q1FY26, largely on account of the continuing investments in quick commerce and going-out, which were partly offset by the improvement in food delivery Adjusted EBITDA margin (as a per cent of NOV) to 5.0 per cent from 3.9 per cent a year ago,” stated Akshant Goyal, Chief Financial Officer (CFO), Eternal.
Food delivery NOV growth remained subdued at 13 per cent YoY, driven by continued softness in demand. Adjusted EBITDA margins improved to 5 per cent from 3.9 per cent a year ago while declining QoQ to 5 per cent of NOV.
