Eternal Q2 results: Net profit likely to surge multifold driven by Blinkit business growth

Eternal Ltd, the parent company of Zomato and Blinkit, will announce its September quarter earnings on Wednesday, October 21, after market hours. The company is expected to report strong Q2 earnings, supported by better margins, higher order values, market share gains and Blinkit’s store expansion.

According to experts, Eternal’s revenue could rise 61% to 66% YoY and 8% to 12% QoQ to between ₹21,900 crore and ₹22,630 crore. The growth is likely to come from market share gains in both food delivery and quick commerce. The company reported revenue of ₹13,590 crore in Q2FY26 and ₹20,211 crore in the previous quarter.

Eternal’s net profit could rise sharply, by 390% to 490% YoY, to between ₹320 crore and ₹385 crore, mainly because of the low base last year. On a sequential basis, profit could rise 250% to 320%. Eternal reported a net profit of ₹65 crore in Q2FY26 and ₹92 crore in the previous quarter.

During the results announcement, Eternal investors will look for management commentary on the overall business outlook, rising competition and the profitability of the quick commerce business. Key metrics such as gross order value (GOV) of the food delivery business and net order value (NOV) of Blinkit will be tracked closely, along with new dark store additions for Blinkit.

Ahead of the Q2 results, Eternal shares are trading over 4% lower around ₹306.7 on Wednesday, October 21. The stock has gained over 15% so far this year, supported by strong growth in the Blinkit business.

Eternal: technical outlook ahead of Q2 results

Eternal goes into its Q2FY27 results after a strong run that has now paused. The stock rallied about 37%, from around ₹250 in June to a high near ₹344 in late September. Since mid-August, however, it has mostly traded in a range between ₹311 and ₹332.

A breakout attempt in late September failed. The stock briefly rose above ₹332, but it slipped back into the range within a week. The stock is just below the 20-day EMA and just above the 50-day EMA. The 20-day EMA is still above the 50-day EMA, so the medium-term uptrend that began in June is intact. But the two averages are now very close together, which shows the stock has lost momentum. Additionally, the ADX has fallen to 14.7, which means there is no clear trend in either direction.

Eternal options: expected move ahead of Q2 results

With Eternal futures at ₹320, the options market expects a move of about ±4.8% by the October 27 expiry. That puts the expected range at roughly ₹305 to ₹335. This range lines up almost exactly with the chart. The upper end, near ₹335, is just above the ₹332 resistance, and the lower end, near ₹305, is just below the ₹311 support.

The results come out on Wednesday evening, and the October contracts expire on Tuesday, October 27. That leaves only four trading sessions after the results. That makes the day-after history the key comparison. In the last five quarters, Eternal moved more than 4.8% on the day after its results only once, a 10.3% jump after the Q1FY26 results. In the other four quarters, the next-day move stayed between -2.6% and +2.3%.

Options strategy for Eternal Q2 results

If you expect the stock to stay in its range: A short straddle could be considered. With only four sessions left after the results, option premiums are likely to lose value quickly once volatility drops. The strategy makes profit if Eternal stays between roughly ₹305 and ₹335 until expiry. However, the stock jumped over 10% after one of its recent results, and the premium collected is small, so strict stop-losses are important.

If you expect a sharp move after the results: A long straddle strategy could be considered. At about ₹15, the cost is low. A move outside the ₹311 to ₹332 range right after the results could carry the stock beyond ₹305 or ₹335. With so little time left to expiry, the stock needs to move sharply on the first day after the results for this strategy to work.

If you want to trade a move in one direction: Traders can wait for the stock to break out of its range. If Eternal closes above ₹332, a bull put spread could be considered. If it closes below the ₹311 support, a bear call spread may be more suitable. Given the short time to expiry, traders may consider using November contracts for directional trades.