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Eternal Ltd, formerly known as Zomato, reported a sharp drop in quarterly profit even as it posted robust revenue growth for the final quarter of fiscal year 2025, reflecting the company’s deepening investments in quick commerce and B2B expansion.
Net profit fell 77.7% year-on-year to Rs 39 crore in Q4FY25, compared to Rs 175 crore a year earlier. Sequentially, profit slipped nearly 34% from Rs 59 crore in Q3. Despite the decline, revenue from operations surged 63.7% year-on-year to Rs 5,833 crore for the quarter ended March, up from Rs 3,562 crore in the same period last year. On a sequential basis, revenue rose from Rs 5,405 crore.
For the full year, Eternal reported a consolidated operating revenue of Rs 20,243 crore, marking a 67% jump from Rs 12,114 crore in FY24. Annual profit after tax rose to Rs 527 crore, a 50% increase from Rs 351 crore in the previous fiscal.
Food delivery sees mixed signals
Eternal’s core food delivery segment posted muted growth. While revenue from the business rose 17% year-on-year to Rs 2,413 crore, it was marginally down—by 0.2%—from the previous quarter. The gross order value (GOV) fell slightly to Rs 9,778 crore from Rs 9,913 crore in Q3FY25, though it was up from Rs 8,439 crore in Q4FY24.
The company attributed the softness in food delivery to a combination of factors: a weak demand environment, shortage of delivery partners amid the growth of quick commerce, and increasing competition from snack-focused delivery models.
“Competition in food delivery has always been high,” CEO Deepinder Goyal said, adding that Eternal’s market share has remained stable, with ambitions to gain share in the coming quarters.
Average monthly transacting customers in the food delivery business increased slightly to 20.9 million, from 20.5 million in the prior quarter.
Blinkit powers quick commerce surge
The standout performer for the quarter was Eternal’s quick commerce arm, Blinkit. Revenue for Blinkit soared 122% year-on-year to Rs 1,709 crore. GOV rose to Rs 9,421 crore from Rs 7,798 crore in Q3FY25.
However, the average order value dipped to Rs 665 from Rs 707. Blinkit added 294 net new stores during the quarter—its highest-ever addition in a single quarter—and now operates 1,301 stores. The company aims to scale that number to 2,000 by December 2025.
Monthly transacting users jumped to 13.7 million in Q4FY25, from 10.6 million in the previous quarter. Despite the growth, Blinkit’s adjusted EBITDA losses widened from Rs 103 crore in Q3 to Rs 178 crore in Q4.'
"As mentioned in our last shareholders’ letter, the increase in losses was expected and in line with our plan to pull forward expansion of our store network," said Albinder Dhindsa, founder and CEO of Blinkit.
Winding down experiments
Eternal confirmed that it has shut down Zomato Quick and Zomato Everyday—its earlier attempts at ultra-fast food delivery. Goyal said the current kitchen and restaurant infrastructure in India isn’t suited for 10-minute food delivery at scale.
“We did not see any incrementality in demand while we ran Quick as an experiment,” he noted. For Zomato Everyday, which targeted office-goers with home-style meals, the company cited limited demand and low returns as reasons for winding down the initiative.
Notably, the company also delisted nearly 19,000 restaurants in Q4 over hygiene issues, brand impersonation, and duplicate listings—an aggressive cleanup aimed at improving platform integrity.
Going out and hyperpure businesses expand
Eternal’s “Going Out” vertical, which includes its events and dining-out business, posted revenue of Rs 229 crore—up 146% year-on-year. Gross order value in this segment more than doubled to Rs 2,184 crore. The company said its “District” app is gaining traction, now contributing to a third of the vertical’s GOV. Hyperpure, its B2B supplies division, also reported strong growth. Revenue for the quarter stood at Rs 1,840 crore, up 93% from Rs 951 crore a year earlier.
While revenue growth across segments has been strong, Eternal’s consolidated adjusted EBITDA fell 15% year-on-year to Rs 165 crore in Q4FY25. The decline was largely due to increased investment in Blinkit’s store network and warehouse capacity. Total expenses for the quarter rose to Rs 6,104 crore, a 68% jump from Q3FY25.