
Eternal Ltd (formerly known as Zomato) on Thursday reported a 77.71 per cent year-on-year (YoY) drop in its consolidated net profit for the January-March 2025 quarter, fuelled by a rise in expenses. During the three months under review, profit slipped to Rs 39 crore as against Rs 175 crore in the corresponding period last year.
The online food and delivery services platform's revenue from operations, however, jumped 63.75 per cent to Rs 5,833 crore in Q4 FY25 from Rs 3,562 crore in the year-ago period. Expenses increased by 67.88 per cent to Rs 6,104 crore in the March 2025 quarter in comparison with Rs 3,636 crore in Q4 FY24.
"On the profitability front, consolidated Adjusted EBITDA declined 15 per cent YoY to Rs 165 crore in Q4 FY25, largely on account of the accelerated investments in expanding our quick commerce store network, which was partly offset by the improvement in food delivery Adjusted EBITDA margin to 5.2 per cent from 3.8 per cent a year ago," said Eternal CFO Akshant Goyal.
Albinder Dhindsa, CEO of Blinkit, mentioned that the increase in losses was expected and in line with their plan to pull-forward expansion of our store network. "We added 294 net new stores in Q4 FY25, making it our highest-ever net store addition in a single quarter. As a result, around 40 per cent of our overall network of 1,301 stores are underutilised stores, opened in the last two quarters alone (216 in Q3 FY25 and 294 in Q4 FY25). We also added 1 million sq ft of new warehousing space to support the store expansion. Despite that, the Contribution margin (which includes all expansion costs except capex) increased from 3.8 per cent to 3.9 per cent of NOV (net order value)," Dhindsa also said.
Over the last few quarters, the company said share of non-grocery category products selling on the Blinkit platform has increased meaningfully. "The products in these categories typically have MRP (maximum retail price) which is significantly higher than the normal market selling price of these products. This is leading to a widening gap between GOV (which is reported on MRP) and what the customer actually pays on Blinkit. NOV corrects for this anomaly," it stated.
"Blinkit added (highest-ever) 294 net new stores and is on track to get to Rs 2,000 stores by December 2025," the company further said.
Meanwhile, Eternal shares settled 0.58 per cent higher at Rs 232.50 on Wednesday. Domestic benchmarks remained closed today due to 'Maharashtra Day'. Trading will resume at usual hours on Friday.