Zomato’s Q2 FY26 profit plunges 63% to Rs 65 crore, ad spends rise to Rs 806 crore

Eternal Limited (formerly Zomato Limited) has reported a sharp decline in profitability for the second quarter that ended September 30, 2025. According to the food and grocery delivery company’s stock exchange filing, consolidated net profit plunged 63% year-on-year, down from Rs 176 crore to Rs 65 crore, in the same period last year.​

Eternal posted a profit of Rs 90 crore, another sharp decline from the Rs 429 crore for the corresponding half last year.

Total income for the quarter shot up 177.7% to Rs 13,942 crore, compared to Rs 5,020 crore in Q2 FY25, as per the unaudited financial results reviewed by Deloitte Haskins & Sells. Revenue from operations totalled Rs 13,590 crore for Q2.

Blinkit, the quick commerce arm acquired last year, continued to be the company’s biggest revenue driver, clocking Rs 9,891 crore in Q2. The food delivery business contributed Rs 2,485 crore, while the Hyperpure, Zomato/Eternal’s B2B grocery supplies business, accounted for Rs 1,023 crore. The recently acquired ‘Going Out’ segment contributed a revenue of Rs 189 crores.

Eternal’s advertising and sales promotion expenses soared to Rs 806 crore in Q2 FY26, almost doubling the Rs 421 crore spent in the same quarter last year. For the first half of the fiscal year, ad spends stood at ₹1,477 crore.

Total expenses surged sharply from Rs 4,783 to Rs 13,813 crore for the quarter, reflecting higher marketing, delivery, and warehousing outlays. Eternal added 272 new dark stores during the quarter, taking its quick commerce store count to 1,816 as of September 30, 2025.