Blinkit Takes the Lead as Eternal's Revenue Crosses ₹20,000 Crore in a Landmark Quarter

Eternal's Transformation Is Complete—It Is No Longer Just Zomato

Eternal Ltd., the company formerly known as Zomato, has delivered one of its strongest quarterly performances yet, reporting ₹20,211 crore in revenue from operations and a consolidated net profit of ₹92 crore for Q1 FY27. The results reflect how dramatically the company has evolved over the past few years—from a food delivery platform into a diversified consumer technology ecosystem powered by quick commerce, restaurant supplies and lifestyle services.

The standout performer this quarter was Blinkit, whose rapid expansion has fundamentally changed Eternal's revenue mix. What was once viewed as an experimental business has now become the group's largest growth engine.

Blinkit Is Now the Company's Biggest Business

The biggest takeaway from the quarterly results is the scale Blinkit has achieved.

Blinkit generated ₹15,664 crore in revenue, accounting for nearly 78% of Eternal's operating revenue during the quarter. Meanwhile, the core food delivery business contributed around ₹3,100 crore, while Hyperpure and District added smaller but strategically important contributions.

This marks a significant shift in Eternal's business model. Just a few years ago, investors primarily valued the company based on food delivery. Today, quick commerce has become the dominant business, illustrating how consumer demand for instant delivery is reshaping India's digital economy.

Revenue Growth Reflects More Than Just Expansion

At first glance, the sharp jump in revenue appears extraordinary. However, the numbers also reflect the changing composition of Eternal's business after integrating Blinkit and aggressively expanding its quick commerce operations. Beyond higher order volumes, growth has been driven by:

• Larger product assortment.

• Expansion into new cities.

• Higher order frequency.

• Better customer retention.

• Increased merchant participation.

• Improved logistics utilisation.

Unlike traditional e-commerce, quick commerce thrives on dense urban networks where operational efficiency improves as order volumes increase.

Profitability Is Improving Despite Heavy Investments

One of the most encouraging aspects of Eternal's results is that profitability continues to improve even as the company invests aggressively in growth. The company reported ₹92 crore in consolidated net profit, nearly four times higher than the corresponding quarter last year. EBITDA also improved as Blinkit achieved positive operating profitability, demonstrating that scale is beginning to offset high fulfilment costs.

While margins remain relatively thin, the trend suggests that Eternal is gradually proving that quick commerce can become a sustainable business when supported by operational efficiency.

Inside Eternal's Business Model: Four Engines, One Consumer Ecosystem

Unlike most internet companies that depend on a single revenue stream, Eternal has built a multi-business ecosystem where each vertical supports the others.

1. Blinkit – The Growth Engine

Blinkit has become the company's biggest business. It operates a network of dark stores across major cities and promises deliveries within minutes. Its revenue growth has been fuelled by:

• Expansion of dark stores.

• Higher average order values.

• Growth in non-grocery categories.

• Better customer retention.

• Improved logistics efficiency.

The business has now moved beyond groceries to include electronics, fashion accessories, medicines, home essentials, toys and premium products, significantly increasing its addressable market.

2. Zomato – The Cash Generator

Although Blinkit now contributes the majority of revenue, food delivery remains the foundation of Eternal's ecosystem.

The food delivery business generates predictable order volumes, high customer engagement and valuable user data. It also serves as a gateway through which customers discover other services such as Blinkit and District.

The mature nature of this business allows the company to generate cash while investing aggressively in newer verticals.

3. Hyperpure – Building India's Restaurant Supply Chain

Hyperpure supplies restaurants with Fresh vegetables, Fruits, Meat and seafood, Dairy products, Packaged food, Kitchen essentials and Cleaning products.

Instead of merely connecting restaurants with customers, Eternal is increasingly becoming a strategic partner for restaurant operations.

As India's organised food service industry expands, Hyperpure has the potential to become one of the country's largest B2B food supply platforms.

4. District – Expanding Beyond Food

District represents Eternal's ambitions beyond food and groceries. The platform focuses on experiences such as:

• Dining reservations.

• Movie tickets.

• Events.

• Entertainment.

• Lifestyle experiences.

Management is betting that consumers who order food regularly will also spend on experiences, creating another avenue for customer engagement and monetisation.

Blinkit Is Rewriting the Rules of Retail

Quick commerce is no longer competing only with supermarkets. It is increasingly competing with Kirana stores, Modern retail chains, Pharmacy outlets, Electronics retailers, Cosmetic stores, Stationery shops and Pet stores.

Consumers are gradually replacing planned shopping trips with multiple smaller instant purchases throughout the week. This behavioural change represents one of the biggest shifts in Indian retail over the past decade.

While revenue growth grabs headlines, profitability remains the biggest question in quick commerce. The business requires heavy investment in Warehousing, Inventory, Delivery fleet, Technology, Customer acquisition and Marketing.

Initially, these investments suppress margins.

However, once order density improves and delivery routes become more efficient, operating leverage begins to emerge.

The latest quarterly results indicate Eternal is beginning to cross that threshold.

Industry Outlook: India's Quick Commerce Race Is Far From Over

India's quick commerce market is expected to remain one of the fastest-growing segments of the country's digital economy. Several factors support this outlook:

• Rising urbanisation.

• Increasing smartphone penetration.

• Growing disposable incomes.

• Demand for convenience.

• Faster digital payments.

• AI-driven logistics.

• Better supply chain optimisation.

However, competition is also becoming increasingly intense. Companies continue to invest aggressively in dark stores, technology and customer acquisition.

The challenge will be balancing growth with profitability.

The Bottom Line

Eternal's Q1 FY27 results are more than just a strong earnings announcement—they mark another milestone in the company's transformation into a diversified digital commerce leader. Crossing ₹20,000 crore in quarterly revenue while remaining profitable demonstrates that scale and financial discipline can coexist, even in a highly competitive internet business.

The real story, however, is Blinkit's emergence as the company's primary growth engine. Just a few years ago, the acquisition was questioned by many investors. Today, it contributes the largest share of revenue and has fundamentally reshaped Eternal's business model. As India embraces convenience-driven commerce, the company's future will depend on sustaining Blinkit's momentum, strengthening its other verticals and delivering profitable growth in an increasingly competitive market.