Eternal, the parent company of Indian food-delivery platform Zomato and quick-commerce business Blinkit, is scheduled to announce its financial results for the September quarter on Wednesday, October 21, with domestic brokerage firms expecting improved margins, market share gains, and rapid store additions.
Domestic brokerage firm Motilal Oswal expects net order value (NOV) for Eternal’s food delivery (FD) and quick-commerce (QC) businesses to grow 21.7% and 80% year-on-year (YoY), respectively. It expects Zomato’s food delivery take rate to stand at 21.5% and Blinkit’s gross profit margin to reach 27%.
Blinkit’s NOV is likely to rise 22.7% quarter-on-quarter (QoQ) and 80% year-on-year (YoY). The brokerage expects the food delivery business’s adjusted EBITDA margin as a percentage of NOV to improve by 30 basis points (bps) QoQ to 5.9%. Blinkit is likely to report a contribution margin of 5.2% and an adjusted EBITDA margin of 1.1% of NOV in the second quarter.
Motilal Oswal also highlighted the outlook on competitive intensity, NOV growth across both businesses and margin trajectories as key factors to watch.
The brokerage expects Eternal to report sales growth of 66.1% YoY and 11.7% QoQ to ₹22,575.1 crore. EBITDA is expected to rise 254.3% YoY and 42.5% QoQ to ₹846.7 crore.