District Emerges as Eternal's Next Growth Engine After Blinkit
Eternal's District posted 54% revenue growth in Q1 FY27, emerging as the company's next growth engine after Blinkit.
SociapaHQ
After Blinkit, it is Eternal Ltd.'s District, a lifestyle and entertainment platform, that is emerging as the company's next big growth driver, posting robust revenue growth and increasing user engagement following the assimilation of Paytm's entertainment business.
As per Eternal’s Q1 FY27 earning, District’s revenue from operations increased 53.6% year-on-year to ₹318 crore as compared to ₹207 crore in the same quarter last year. Revenue jumped nearly 15% sequentially to ₹277 crore in the March quarter.
During April-June period, the platform's Net Order Value (NOV) grew 60% year-on-year and 18% quarter-on-quarter to ₹3,218 crore.
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Growth Momentum:
District also improved its profitability with adjusted EBITDA margin compressing to -2% of NOV vs -2.7% a year ago resulting in adjusted EBITDA loss of ₹65 crore.
“Dining-out and movie ticketing still remain District’s biggest businesses, with the newer categories starting to see traction,” said Eternal Chief Financial Officer Akshant Goyal on the company’s post-results investor call.
"Dining out and movies are the bigger categories. Amongst the newer ones, I think retail stores and events could be the more promising ones, but we're still early in that journey," Goyal said.
“The growth of the platform has been powered by its transformation into a one-stop destination for a range of lifestyle experiences,” said Deepinder Goyal, Founder and Chief Executive Officer.
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The company stated that the District now features more than 45,000 restaurants, 5,000 movie screens, 6,000 retail stores, 7,500 events including concerts, comedy shows and sporting events, and over 2,000 activity venues such as theme parks, sports facilities and children's play zones.
But Deepinder Goyal, who is based in India, said the going-out business is still susceptible to seasonal swings. Movies depend on the movies release calendar, events are seasonal and one quarter doesn't make a trend. “If we continue to perform well, if the market develops as we expect, there could be upside to the target but it’s too early to say,” he said.
District is merging Eternal’s restaurant reservations with its entertainment ticketing business. The platform received a big boost after the company acquired Paytm’s entertainment, movie ticketing and live events business for ₹2,048 crore in 2024 and merged those businesses with District app.
