Picture this: It’s late. You’re hungry. The fridge is empty.

But fear not, your hero doesn’t wear a cape. It buzzes from your phone.

Enter: Zomato, Swiggy, and their lightning-fast sidekicks Blinkit, Zepto, and Instamart.

These aren’t just apps anymore. They’re your go-to rescue squad for food, groceries, and last-minute essentials.

From midnight cravings to missed meals, they’ve got your back, faster than you can say “extra cheese.”

And now, the spotlight is back on their leader: Zomato.

Fresh off a blockbuster Q1, the stock has surged over 20% in just two sessions.

Zomato Share Price

But the big question remains – is this a flash-in-the-pan rally? Or are we looking at a full-course comeback?

Let’s dig in.

Eternal Q1FY26 Results: Quick Commerce Takes the Lead

Following Eternal’s Q1FY26 results, the stock surged over 13% intraday today, hitting a fresh all-time high.

The primary driver of this rally? Stellar growth in the company’s quick commerce segment, which for the first time surpassed food delivery in order value.

Adding fuel to the rally, management stated that margins have bottomed out in both food delivery and quick commerce segments, and are expected to improve from here on — a statement that significantly boosted investor sentiment.

About Eternal

Eternal is a leading name in India’s internet economy with four core business verticals:

• Food Delivery: Run under the Zomato brand, enabling customers to order food from restaurants online.

• Quick Commerce: Operated via Blinkit, offering ultra-fast delivery of groceries and daily essentials.

• Going-Out: Powered by the District app, helping users discover restaurants and book event tickets.

• Hyperpure: Eternal’s B2B vertical supplying fresh ingredients to restaurants.

As of Q1FY26, Food Delivery and Blinkit together contribute the largest share to Eternal’s B2C Net Order Value (NOV).

Eternal Q1FY26 Performance Highlights

Eternal posted a strong Q1FY26, largely led by Blinkit’s robust performance.

Operating profits improved quarter-on-quarter, with the company reiterating that profit margins have bottomed out at the segment level.

Q1FY26 marked a major turning point for Eternal as quick commerce outpaced food delivery in Net Order Value for the first time.

Adjusted revenue from quick commerce jumped nearly 155% YoY, driven by growth in MTUs and order values.

Despite adding 243 new dark stores and facing intense competition, adjusted EBITDA losses narrowed, and margins improved.

Management believes margins have bottomed out and expects further improvement as newer stores mature — assuming competitive pressures remain manageable.

Food Delivery Stable Despite Seasonal Headwinds

Food delivery saw ~18% YoY adjusted revenue growth, led by a steady rise in monthly transacting users (MTUs).

Operating profits improved sequentially, though margins declined slightly — impacted by seasonal challenges affecting delivery partner availability.

Management remains confident that demand will pick up going forward.

Outlook for Eternal

Eternal’s Q1FY26 results make one thing clear — Blinkit has emerged as the company’s primary growth engine.

The management has ambitious plans to scale Blinkit to 2,000 stores by December 2025, taking the total store count to over 3,500. This expansion is expected to significantly boost both reach and operational scale.

In the coming quarters, the company plans to transition Blinkit from a marketplace to an inventory-led model, which is likely to improve margins by approximately 1%, while also offering better control over inventory.

Importantly, Blinkit is already profitable in several cities. Over the long term, the company is aiming to achieve 5–6% adjusted EBITDA margins in the segment.

Meanwhile, in the food delivery business, the demand slowdown appears to have bottomed out. Management highlighted early signs of recovery — a trend that could support both growth and margin revival in the quarters ahead.

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