New Delhi, May 2: Blinkit, the quick-commerce platform under Eternal Ltd (formerly Zomato), reported a sharp increase in its adjusted EBITDA losses for the fourth quarter of fiscal year 2025 (Q4 FY25), with losses widening to Rs 178 crore, compared to Rs 103 crore in the previous quarter. The company’s expanding store network and infrastructure were key contributors to the losses, which were anticipated as part of its aggressive growth strategy.
The company added a record 294 net new stores during Q4 FY25, bringing the total number of operational stores to 1,301. However, nearly 40% of these stores are underutilized, having opened in the past two quarters. To support this rapid expansion, Blinkit also increased its warehousing capacity by 1 million square feet.
Despite the widening losses, Blinkit showed marginal improvement in its contribution margin, which rose from 3.8% to 3.9% of Net Order Value (NOV), a new metric introduced this quarter to better reflect actual customer spending, particularly in non-grocery categories. The company stated that this was a more accurate measure, as traditional Gross Order Value (GOV) tends to overstate transaction values due to steep discounts on non-grocery products.
Revenue for the quarter surged by 122% year-over-year, reaching Rs 1,709 crore, up from Rs 769 crore in the same quarter last year. Blinkit’s growth was driven by increased customer acquisition, with the average number of monthly transacting customers jumping to 13.7 million, up from 10.6 million in the previous quarter.
However, Blinkit’s management emphasized that profitability is not an immediate priority. The focus remains on scaling the company’s operations and building a robust network. “Profitability will follow as we continue to expand,” said CEO Albinder Dhindsa.
The company acknowledged challenges in terms of competitive intensity in the market, noting that while margin improvements were observed in mature store clusters, the overall growth was tempered by heightened competition. Blinkit also took a strategic decision to accelerate the opening of stores planned for FY26 in order to strengthen its market position and preempt competition.
Eternal Ltd, Blinkit’s parent company, also reported a sharp decline in net profit for the quarter, which fell 78% year-over-year to Rs 39 crore. This decrease in profitability was attributed to higher expenses, particularly investments in Blinkit’s expansion and increased infrastructure costs. Despite this, Eternal Ltd’s revenue grew by 64% year-over-year, reaching Rs 5,833 crore.
In addition, Zomato introduced NOV as a new performance metric across its B2C businesses, including food delivery and Blinkit. NOV excludes discounts from GOV, providing a more accurate reflection of customer spending, particularly for non-grocery products.
While Blinkit remains focused on expansion, the company continues to face the challenges of a competitive market. The strategic shift to NOV reporting highlights Zomato’s effort to provide greater transparency in its financial reporting as it continues to scale its businesses.
