Eternal share price jumped over 7% in early trade on Thursday after the company reported its Q3 results. Eternal shares rallied as much as 7.33% to ₹304.20 apiece on the BSE.
Eternal, which operates the food delivery platform Zomato and quick commerce arm Blinkit, reported a consolidated net profit growth of 73% year-on-year (YoY) to ₹102 crore in the quarter ended December 2025.
The company’s revenue from operations in Q3FY26 surged 201% YoY to ₹16,315 crore, led by growth in quick commerce business. Eternal said, the like-for-like revenue growth during the quarter was 64% YoY.
Consolidated EBITDA during the December quarter increased 28% YoY to ₹364 crore. On a sequential basis, EBITDA grew 63%.
Eternal’s food delivery business’ adjusted revenue rose 26% YoY to ₹2,413 crore. Net order value (NOV) reported a growth of 17% YoY. Gross order value (GOV) growth stood at 21% YoY.
The segment’s absolute adjusted EBITDA rose 26% YoY to ₹531 crore, and its adjusted EBITDA margin (as a percentage of NOV) touched an all-time high of 5.4%.
In the quick commerce segment, Blinkit’s NOV growth was at 121% YoY and like-for-like NOV growth stood at 130% YoY. Adjusted EBITDA margin (as a percentage of NOV) turned positive for the first time on a quarterly basis, with an adjusted EBITDA profit of ₹4 crore.
The company informed the exchanges that Deepinder Goyal has resigned as Managing Director and Chief Executive Officer, effective February 1. Goyal will take on a new role as Vice Chairman and Director on the Board.
Should you buy Eternal shares after Q3 results?
Eternal delivered better-than-expected Q3 results and multiple surprises, with Blinkit and Hyperpure achieving adjusted EBITDA breakeven much before estimates, according to Nuvama Institutional Equities.
The brokerage firm noted that Deepinder Goyal’s move to resign as CEO and becoming the Vice Chairman of Eternal is intended to avoid potential conflicts as he invests efforts on ventures outside the company while continuing to retain his existing responsibilities within Eternal.
“We now value the Food delivery business at 40x adjusted EBITDA and the quick commerce business at 50x adjusted EBITDA as we roll forward to FY28. We are changing FY26 and FY27E EPS by +41% and 2.3% due to higher-than-expected profitability,” Nuvama said.
Nuvama maintained a ‘Buy’ rating on Eternal shares and raised the SotP-based target price to ₹430 apiece, from ₹400 earlier.
Motilal Oswal Financial Services said that Eternal’s food delivery business is stable, and Blinkit offers a generational opportunity to participate in the disruption of industries such as retail, grocery, and ecommerce.
“We reduce our FY27/FY28 estimates by ~15%, factoring in intense competition, continued dark store expansion, and branding and marketing investments in QC. Eternal should report a PAT margin of 1.6%/2.0% in FY27/28E,” Motilal Oswal said.
The brokerage firm reiterated its ‘Buy’ call on the stock and reduced Eternal share price target to ₹360 apiece.
Eternal share price has remained flat in the past one month, while it has declined 16% in three months. Eternal shares have gained 32% in one year and have delivered multibagger returns of 453% over the past three years.
At 9:25 AM, Eternal share price was trading 2.45% higher at ₹290.35 apiece on the BSE.
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
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