Eternal Ltd Shares Dip 3% After Q2 Profit Falls 63% YoY Despite 183% Rise in Revenue

Mumbai, October 17, 2025 – Eternal Limited (NSE: ETERNAL, ex-Zomato Ltd) shares declined by 3.15% to ₹336.90 in opening trade on Friday, after the company reported a sharp 63% year-on-year decrease in consolidated net profit for the September quarter. The stock had reached a 52-week high of ₹368.45 in the last session before declining in profit booking.

Stock Performance and Market Data

As of 10:25 AM IST on October 17, the stock is trading at ₹341.10, down ₹6.75 or 1.94%. The counter saw heavy trade, with 103.26 lakh shares traded and a total traded value of ₹350.99 crore. The share of the company had closed the last session at ₹347.85, while its day’s range was between ₹334.10 and ₹345.70. 52-week range of Eternal was between ₹194.80 and ₹368.45. The firm presently has a total market capitalisation of ₹3.25 lakh crore, and a free float market cap of ₹2.38 lakh crore.

Improved Revenue Growth Deterred by Decline in Profit

Eternal saw a phenomenal 183% quarter-on-quarter growth in revenue at ₹13,590 crore for the second quarter, notwithstanding the deterioration in stock price. The strong growth was driven largely by the performance of its Blinkit (Quick Commerce) segment, which continues to pick up steam amid surging demand for faster deliveries and better service efficiency.

But the revenue jump was subdued due to a drop in profitability. The net profit of the company declined sharply to ₹65 crore, down from ₹176 crore in the year-ago period, as higher delivery costs and advertisement expenses hit margins hard. Higher employee expenses and advertising expenditures also helped bring quarterly profits down.

New Subsidiary for Social Welfare Initiatives

Concurrent with its financial performance, Eternal’s Board of Directors also approved the establishment of a new wholly-owned subsidiary, Eternal General Service Foundation, dedicated to social welfare, environmental protection, and sustainability activities. The action reflects the company’s dedication to infusing social impact into its corporate strategy and aligns with its overall environmental, social, and governance (ESG) goals.

Outlook and Investor Sentiment

In spite of the temporary slump in earnings, Eternal’s stock is still among the best performers in the NSE in 2025. The share price of the company has increased by as much as 73% year-to-date, easily beating the Nifty 50 index. The steady momentum is attributed to investors being confident that Eternal’s quick commerce business will continue growing and its drive toward profitability improvement in the future quarters. With Blinkit’s ongoing expansion and fresh focus on operating efficiency, market players anticipate that the company will retain its leadership position in India’s rapidly evolving digital commerce environment.

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