Blinkit vs Zomato
In a major development within India’s rapidly evolving online delivery ecosystem, Blinkit—the instant grocery delivery arm of Eternal Ltd.—has overtaken Zomato’s food delivery segment in revenue for the April–June quarter (Q1FY26). This historic milestone signals a major strategic change for the parent company, marking quick commerce as its new growth engine.
🔍 Key Highlights from Eternal Ltd.’s Q1FY26 Financial Report
Blinkit revenue (Q1FY26): ₹2,400 crore
Zomato food delivery revenue (Q1FY26): ₹2,261 crore
Eternal’s total revenue: ₹7,167 crore (up 70% YoY)
Net profit fell 90% YoY to ₹25 crore
EBITDA dropped 35% to ₹115 crore
Let’s explore what this means for the future of Eternal Ltd., Zomato, and the broader quick commerce sector.
🚀 Blinkit’s Meteoric Rise: A Revenue Powerhouse
In a surprising but powerful shift, Blinkit has posted ₹2,400 crore in revenue, surpassing Zomato’s ₹2,261 crore in the same quarter. This is more than double Blinkit’s revenue from Q1FY25, when it stood at ₹942 crore. The rapid growth reflects increasing consumer demand for fast delivery of groceries and essentials, positioning Blinkit as a clear market leader in the quick commerce space.
On the other hand, Zomato’s growth remains steady but comparatively moderate. Revenue rose from ₹1,942 crore in Q1FY25 to ₹2,261 crore in Q1FY26—a sign that traditional food delivery is growing, but at a slower pace compared to quick commerce.
📊 Eternal Ltd.’s Consolidated Performance: Strong Revenue, Weak Margins
Despite posting a robust 70% year-on-year growth in consolidated revenue (₹7,167 crore), Eternal Ltd. faced a significant dip in profitability:
Net profit dropped 90%, falling to ₹25 crore from ₹253 crore YoY.
EBITDA also declined 35%, landing at ₹115 crore, lower than the market estimate of ₹130.2 crore.
This contrast between soaring revenues and falling profits reflects the intense competition and high operating costs in the online delivery and quick commerce sectors.
🛒Future Of Online Delivery
The success of Blinkit suggests a paradigm shift in consumer behavior. As more users opt for instant grocery and essentials delivery, quick commerce is outpacing food delivery in both growth and relevance. This is evident from the 2.5x jump in Blinkit’s revenue within just a year.
With this performance, Blinkit is no longer just a supporting player—it has now become a central revenue driver for Eternal Ltd., reshaping the company’s business model and market positioning.
📈 Strategic Goal: Growth Over Short-Term Profit
Eternal Ltd. had earlier revealed its focus on expanding market share rather than chasing immediate profits. The company anticipated tougher competition in the quick commerce arena and invested aggressively in scaling Blinkit’s operations.
This long-term strategy seems to be paying off. Although profit margins have been impacted, Blinkit’s growth now justifies the investments, positioning Eternal Ltd. for future dominance in the sector.
🍽️ Blinkit Foods: A New Chapter
In a move that further solidifies its commitment to quick commerce, Eternal has launched a new subsidiary—Blinkit Foods. This wholly-owned arm could help diversify Blinkit’s offerings and enter ready-to-eat meals, fresh foods, or instant kitchen solutions, further blurring the line between food delivery and grocery logistics.
This expansion could turn Blinkit into a multi-category delivery platform, extending its reach beyond just groceries.
💹 Investor Reaction: Confidence Remains High
Despite the steep drop in net profit, the market responded positively to Blinkit’s success. Eternal Ltd.’s shares closed 7% higher at ₹275.20 on Monday, July 21, reflecting growing investor confidence in the company’s long-term vision.
Year-to-date, Eternal’s stock has surged 30%, driven by:
Blinkit’s extraordinary growth
Strong revenue performance
Strategic investments in the right segments
Investors seem willing to tolerate short-term margin pressures in favor of market leadership and sustainable growth.
What This Means for the Coming Future?
The rise of Blinkit marks a top point in India’s digital commerce. With grocery and essentials now being delivered faster than ever, customer expectations are changing. As Blinkit continues to scale, Zomato may need to adapt its model or integrate more closely with Blinkit to stay relevant.
Meanwhile, Eternal Ltd. emerges as a leader in the quick commerce revolution—backed by strong brand equity, diversified revenue streams, and a forward-looking strategy.
📌 Conclusion
Blinkit’s performance in Q1FY26 is more than a quarterly win—it is a signal of where the market is heading. As consumer demand shifts towards faster, more efficient deliveries, quick commerce is becoming the next big growth engine for the Indian tech ecosystem. Eternal Ltd.’s strategic bet on Blinkit is paying off, and all eyes are now on how it scales Blinkit Foods and balances profitability with aggressive expansion.
