Eternal triples ad spends in Q3 FY26 as profit rises nearly 73% on quick commerce surge

Eternal, the company formerly known as Zomato, significantly increased its advertising and promotional expenditure in the third quarter of FY26, signalling an aggressive growth strategy even as it reported a sharp improvement in profitability.

The company’s advertising spends rose to Rs 937 crore during the quarter, compared with Rs 521 crore in the same period last year, reflecting a year-on-year jump of nearly 80%. The higher marketing outlay coincided with a strong financial performance, with consolidated revenue from operations almost tripling to Rs 16,315 crore from Rs 5,405 crore in Q3 FY25.

Despite the steep rise in spending on brand-building and customer acquisition, Eternal posted a 72.88% increase in consolidated profit after tax to Rs 102 crore, up from Rs 59 crore a year earlier, highlighting improving operating leverage across its businesses.

Quick commerce and Hyperpure turn profitable

A key milestone during the quarter was the company’s quick commerce and Hyperpure verticals achieving Adjusted EBITDA profitability, segments that have traditionally required heavy investments.

Quick commerce continued to be a major growth engine, with net order value (NOV) surging 121% year-on-year. The company said growth during the quarter was affected by GST-related changes and seasonal factors; however, on a like-for-like basis, NOV growth remained robust at over 130% year-on-year.

Food delivery shows recovery

Eternal’s core food delivery business, which had slowed earlier in the fiscal year, also showed signs of recovery during the quarter.

Net order value in the segment grew 16.6% year-on-year in Q3 FY26, improving from 13.1% in the first quarter. The business also reported its highest-ever Adjusted EBITDA margin of 5.4%, driven by efficiency gains and scale benefits.

The company’s performance underscores its strategy of combining aggressive marketing investments with tighter cost controls, as it looks to strengthen its leadership across food delivery, quick commerce and B2B supplies while moving steadily towards sustained profitability.