Bad news for Deppinder Goyal’s Zomato, Eternal shares fell by…, after Rs 1110000000 decline in net profit…

‘We are also constantly fighting multiple headwinds including soft discretionary consumption in general in India,’ said Eternal Founder Deepinder Goyal.

Shares of food delivery and quick commerce firm Eternal, the parent company of Zomato and Blinkit, fell over 4 per cent on Friday, a day after the company’s second-quarter results failed to impress investors. The stock slipped 4.20 per cent to Rs 333.75 on the BSE and declined 4.05 per cent to Rs 347.85 on the NSE.

Eternal on Thursday reported a consolidated net profit of Rs 65 crore for the quarter ended September, driven largely by strong growth in its quick commerce segment.

The company, which rebranded itself as Eternal in March, had posted a net profit of Rs 176 crore in the corresponding quarter of the previous fiscal.

Eternal Net Profit Declines To Rs 65 Crore 

Food delivery and quick commerce firm Eternal, which owns the Zomato and Blinkit brands, on Thursday reported a consolidated net profit of Rs 65 crore for the second quarter ended September, with the quick commerce business contributing significantly to its revenue growth.

The company, which re-branded itself as Eternal in March, had reported a net profit of Rs 176 crore in the June-September quarter of the last fiscal.

In a regulatory filing, Eternal said the results are not comparable with the corresponding quarter last year on account of the acquisition of Orbgen Technologies Pvt Ltd and Wasteland Entertainment Pvt Ltd, holding the ‘movie ticketing’ and the ‘events’ businesses, respectively, from One 97 Communications Ltd (Paytm’s parent firm), which completed in August 2024.

In a letter to shareholders, Eternal said it expects “a slow uptick in growth rate in the near term” for the food delivery net order value (NOV) for Zomato, due to multiple headwinds including soft discretionary consumption, impact of quick commerce growth and increasingly volatile weather conditions.

Zomato’s food delivery NOV grew 14 per cent YoY, improving slightly from 13 per cent YoY NOV growth in the previous quarter.

(With Inputs From PTI)