Eternal, the parent company of Zomato, Blinkit and District, increased its advertising and promotional expenditure by 41% year-on-year to Rs 945 crore in the first quarter of FY27, reflecting its continued focus on customer acquisition and brand building across its businesses.
The higher marketing spend was primarily driven by Blinkit, which remained the company's largest contributor to advertising investments. Eternal said the spending was aimed at supporting Blinkit's rapid store expansion, acquiring new customers and strengthening its position in India's increasingly competitive quick commerce market.
The company's revenue from operations rose 20% year-on-year to Rs 8,927 crore during the quarter ended June 30, 2026. However, profit after tax fell 36% to Rs 127 crore as investments in Blinkit's network expansion, marketing and customer acquisition continued to weigh on earnings.
Blinkit added a net 243 stores during the quarter, taking its total store count to 1,544. The company reiterated that its immediate priority remains scaling the business and expanding its footprint before shifting focus towards profitability.
Eternal's management indicated that investments in marketing and infrastructure are expected to remain elevated in the coming quarters as it continues to strengthen its quick commerce presence while pursuing long-term sustainable growth.