Eternal’s Profit Myth, Centre Aims For Claude Mythos, and Cars24 Cofounder Steps Down

Eternal’s Q4 looks like a clean success story until you ask one simple question. Where did the profit really come from?

The company reported a 346% jump in profit to ₹174 crore and revenue of ₹17,292 crore. On the surface, it looks like Zomato’s parent has cracked the local commerce model. Food delivery is stable, Blinkit is exploding, District is building the “going out” layer, and the company now looks like India’s answer to Meituan.

But the real story is less clean.

Eternal earned ₹342 crore as “Other Income” in the quarter, mainly from treasury income on its large cash pile. That is almost double its reported profit. Strip that out, and the operating story looks far more fragile. The core business is still carrying the cost of expansion, especially Blinkit’s dark stores, inventory, delivery fleet, discounts, and marketing.

That does not mean Eternal is weak. It means its profit is protected by cash, not fully powered by operations yet.

Blinkit is the clearest example. Its revenue surged because of growth, but also because the business moved toward an inventory-led model, where the full value of goods sold appears as revenue. That makes the topline look much larger. The real test is margin. Blinkit’s adjusted EBITDA profit was only ₹37 crore, or 0.3% of net order value. In simple terms, the machine is huge, but the profit per order is still thin.

The pressure is obvious. Blinkit added 216 dark stores in one quarter and reached 2,243 stores. Each store needs rent, staff, stock, backend warehousing, delivery density and local demand. This is not a pure software business. It is a physical retail network wearing a tech multiple. Even with ad revenue from brands, listing fees and better density, the economics remain delicate. One wrong move on discounts, delivery costs or inventory can wipe out the margin.

Food delivery is the safer pillar, but even that is not unlimited. Zomato’s food business is now more mature. Growth is slowing, and the company is pushing affordable meals to bring in the next cohort. That expands the market, but also lowers order values. Platform fees help margins, but there is a ceiling. A ₹15 fee on a ₹150 order starts feeling expensive to the user.

District is even more uncertain. It has potential, but the “going out” business is lumpy. Movies, IPL, concerts and events do not behave like daily food orders. Eternal wants District to become a large profit pool by FY30, but for now it is still a bet, not a proven engine.

Then comes the biggest practical risk: regulation. If India’s gig-worker social security rules require platforms to contribute 1–2% of turnover, the impact could be serious. For a company with annual revenue above ₹54,000 crore, even 1% means more than ₹500 crore in annual cost. That is larger than the current annual profit base.

So Eternal is in a strange place.

It has the best local commerce assets in India. It has Zomato’s cash generation, Blinkit’s growth, District’s optionality, and nearly ₹18,000 crore of cash. But the current profit is still more of a bridge than a destination.

The market is not wrong to be excited. But it should not confuse treasury-backed profitability with operating maturity.

Let’s go through what else is happening in Indian startup world - Grab your simmering cup of StartupChai.in and unwind with our hand-brewed memes.

“Dekh Tere Sansar Ki Halat”: WhatsApp Bans 9,400 Accounts Over Digital Arrest Scams Post SC Crackdown

WhatsApp has banned 9,400 accounts linked to “digital arrest” scams following a crackdown prompted by the Supreme Court of India.

The platform is tightening safeguards with faster SIM blocking, biometric checks, and upcoming SIM binding in line with Department of Telecommunications rules. It’s also exploring added protections inspired by Skype while stepping up detection of malicious APKs and long scam calls.

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“My Fraand, India’s Fraand”: Centre In Talks With US, Anthropic For Access To Claude Mythos

The Centre is in talks with the United States and Anthropic to enable Indian firms to access its advanced model, Claude Mythos.

A recent review led by Nirmala Sitharaman and Ashwini Vaishnaw examined its implications for banking and digital infrastructure. Parallel discussions between Anthropic and Indian authorities suggest the groundwork for regulated access is quietly taking shape.

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“Aaiye Aapka Intezaar Tha”: Spinny Ropes In Investment Bankers For A Potential IPO Next Year

Spinny is gearing up for a potential IPO by early 2027 and has brought in bankers to set the stage. The Tiger Global-backed firm has reportedly tapped Kotak Mahindra Capital, Morgan Stanley, and Citigroup for the listing.

The issue is likely to combine fresh shares with an offer for sale, keeping both growth capital and investor exits in play.

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“Achha Toh Hum Chalte Hai”: Cars24 Cofounder Gajendra Jangid Steps Down Amid Top Level Exits

Cars24 cofounder Gajendra Jangid has stepped down from an executive role to an advisory position as senior exits stack up.

He launched the company in 2015 with Vikram Chopra, Mehul Agrawal, and Ruchit Agarwal to build a marketplace for pre-owned cars. The churn continues with India CEO Himanshu Ratnoo also set to exit.

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1. SportVot has raised ₹32.7 Cr led by IAN Alpha Fund to take its platform global. The startup will use the funds to expand internationally and sharpen its AI-driven production and analytics stack.

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2. Sahi, founded by Dale Vaz, has raised $33 Mn in a Series B led by Accel with backing from Elevation Capital. The Bengaluru startup plans to expand into wealthtech and scale users, riding on sharp growth in trade volumes and active traders.

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3. Wow! Momo is set to raise ₹110 Cr in debt from Anicut Capital, marking its first fundraise of 2026. The move follows a ₹75 Cr infusion from Singularity AMC and a ₹300 Cr haul last year across equity and debt.

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4. Prithu has raised ₹10 Cr in a seed round led by Transition VC to scale its carbon-focused platform. The Gurugram startup will use the funds to grow farmer networks, strengthen blockchain-based MRV systems, and secure global carbon credit offtakes.

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