Eternal stock gains ahead of Q1 results—what to expect
Eternal Ltd.—the parent company of Zomato and Blinkit—saw its stock jump 3.1% to ₹265.1 on Monday, capping off a strong year with a 25% gain so far.
This comes just before Q1 results, where profits are expected to fall but revenue is set for a big boost.
Revenue expected to soar, profits likely to plunge
Brokerages expect Eternal's revenue to soar 58% year-on-year, hitting ₹6,682 crore, thanks to booming food delivery and Blinkit's Gross Order Value more than doubling.
Still, profits aren't keeping up—analysts predict an 87% drop in net profit as the company spends heavily to grow.
Company prioritizing growth over profits for now
Eternal is pouring money into expanding Blinkit and holding onto market share in a crowded space, which means higher costs and thinner margins for now.
The focus seems clear: go big on growth today, even if that means waiting longer for bigger profits tomorrow.