Eternal Limited (formerly known as Zomato) has reported a significant revenue surge in the first quarter, with its quick commerce business outpacing food delivery for the first time. The company's consolidated revenue from operations jumped 67% year-over-year to Rs 7,167.00 crore for the quarter ended June 30.

Quick Commerce Takes the Lead

Eternal's quick commerce segment, which includes its Blinkit platform, emerged as the star performer. For the first time, quick commerce net order value (NOV) exceeded that of food delivery for a full quarter. The segment's revenue soared by 155% year-over-year to Rs 2,400.00 crore, marking a substantial 40% quarter-on-quarter growth.

Food Delivery Maintains Steady Growth

Despite being overtaken by quick commerce, the food delivery business continued to show resilience. The India food ordering and delivery segment posted revenue of Rs 2,261.00 crore, up 16% from the previous year. The company reported that its food delivery Adjusted EBITDA margin improved to 5.0% of NOV from 3.9% a year ago.

B2B Business and Going-Out Segment

Hyperpure, Eternal's B2B supplies business, saw significant growth with revenue increasing by 89% year-over-year to Rs 2,295.00 crore. However, the company warned of potential de-growth in this segment in upcoming quarters due to changes in its business model.

The Going-out segment, which includes dining-out and entertainment ticketing, generated revenue of Rs 207.00 crore. This relatively new addition to Eternal's portfolio is showing promise, with the company projecting it could scale to $3 billion in annual topline with $150 million of Adjusted EBITDA over the next five years.

Profitability and Future Outlook

Despite the strong revenue growth, Eternal's consolidated profit after tax remained modest at Rs 25.00 crore. The company attributed this to ongoing investments in its quick commerce and going-out segments.

Eternal's CEO, Deepinder Goyal, commented on the results: "We are excited about where we have gotten to in this business, and the journey that lies ahead. Our average revenue per order today is INR 160+, which is meaningfully higher than our food delivery and quick commerce businesses."

Strategic Shifts and Innovations

The company announced it is transitioning its quick commerce segment from a pure marketplace model to a combination of marketplace and inventory-led model. This shift is expected to provide more control over inventory and potentially lead to margin expansion.

Eternal also revealed plans to invest in scaling up new initiatives, including Bistro (a 10-minute food delivery service) and Greening India (a large-scale agroforestry initiative).

As Eternal continues to diversify its operations and invest in growth, investors will be watching closely to see how these strategic moves translate into long-term profitability and market leadership across its various segments.

Eternal Limited has released its financial results for the first quarter of 2025, revealing significant growth and announcing several strategic developments.

Financial Performance

In a board meeting held on July 21, 2025, Eternal Limited approved the unaudited financial results for the quarter ended June 30, 2025. The company reported:

This performance demonstrates Eternal's continued expansion and market penetration.

Strategic Developments

New Subsidiary Formation

Eternal has approved the incorporation of a wholly owned subsidiary named Blinkit Foods Limited. This new entity will focus on the food services business and has an initial paid-up capital of INR 10.00 lakh.

Annual General Meeting

The company has scheduled its 15th Annual General Meeting for August 19, 2025.

Auditor Appointments

Subject to shareholder approval, Eternal has made the following appointments:

• Re-appointment of Deloitte Haskins & Sells as statutory auditors for a second five-year term
• Appointment of Chandrasekaran Associates as secretarial auditors for five years

Ongoing Challenges

Eternal is currently facing GST disputes with authorities regarding delivery charges. These disputes amount to INR 441.00 crores across various periods. The company is contesting these claims through appeals.

Conclusion

Eternal Limited's Q1 2025 results showcase the company's growth and strategic initiatives. The formation of Blinkit Foods Limited signals Eternal's intent to strengthen its position in the food services sector. However, the ongoing GST disputes present a challenge that the company continues to address.

As Eternal continues to evolve its business model and expand its operations, investors and analysts will be watching closely to see how the company leverages these positive trends and new initiatives in the coming quarters.

Note: All financial figures are in Indian Rupees (INR) and are on a consolidated basis unless otherwise stated.