Eternal Share Price: Why Are Zomato Parent's Strong Q1 FY26 Results Fuelling Rally In Swiggy & Info Edge Stocks?

Eternal Share Price: Zomato’s parent company, Eternal Ltd, surprised the market with a strong performance in the first quarter of FY26. Despite heavy investments, the company reported a net profit of Rs 25 crore, showing that its focus on quick commerce is starting to pay off.

This good news not only pushed Eternal’s own stock higher but also boosted the shares of Swiggy and Info Edge, which are closely linked to the same business space.

Zomato (Eternal) Delivers a Surprise Profit

Eternal’s total revenue from operations rose sharply to Rs 7,167 crore, up from Rs 4,206 crore a year ago—a 70% increase. For the first time ever, the net order value (NOV) of its quick commerce business Blinkit was higher than the food delivery NOV for the entire quarter.

The total NOV for its B2C businesses reached Rs 20,183 crore, growing 55% year-on-year and 16% quarter-on-quarter.

Blinkit is now Eternal’s biggest B2C business. In this quarter, it added 243 new stores, reaching a total of 1,544 stores. It also added 0.4 million square feet of warehouse space, taking the total to over 5.6 million square feet. Eternal expects to reach 2,000 stores by December 2025.

The company is also trying new ideas like Bistro, which delivers food in 10 minutes from small kitchens owned by Blinkit. There are already 38 such kitchens running in Delhi-NCR and Bangalore. These kitchens are showing early promise, especially for customers looking for affordable home-style food or snacks delivered quickly.

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Even though the company spent heavily on expanding Blinkit and Bistro, it still managed to stay profitable. Eternal’s adjusted EBITDA fell 42% to Rs 172 crore because of these investments. However, better margins in food delivery helped balance some of the losses.

Eternal is also preparing to change its model from being a platform to owning inventory directly, which means it will buy goods from brands and sell them on its own. This is expected to improve margins, though it may shrink its B2B business (Hyperpure) temporarily.

Swiggy Gets a Boost as Blinkit Shows Way

Following this strong performance, Eternal’s stock price rose sharply, and that rise lifted Swiggy’s stock by 3.84% to Rs 410.70, as investors saw growth potential in the entire quick commerce sector. Swiggy, which is Blinkit’s main competitor, is also benefiting from growing demand in this space.

Info Edge Sees Value Surge

Info Edge (India) Ltd., a key investor in Eternal, also saw its stock rise. Info Edge owns a 12.38% stake in Eternal, which is about 119.47 crore shares. After Eternal’s results, Info Edge’s share price rose by 3.36% to Rs 1,449.80. That stake now makes up more than one-third of Info Edge’s total market value, showing how important Eternal is to its business.

India’s Rs 64,000 Cr Q-Com Market

According to a CareEdge Ratings report, India’s quick commerce market reached Rs 64,000 crore in FY25, growing at a massive CAGR of 142% from FY22 to FY25. But the focus is now shifting from just fast growth to profitability and efficiency.

Companies are using new strategies like advertising, subscription plans, private labels, and technology like AI for inventory planning. One key trend is the rise of dark stores (small warehouses close to customers). Their number increased from 1,800 in FY24 to 3,072 in FY25, a 70.7% jump.

At the same time, revenue per store went up by 25.1%, showing better performance and smarter operations.