In order to increase revenue streams, Eternal-owned District, a distinct service that was first introduced for its dining and going out businesses, has subtly entered the fashion industry by introducing clothing, accessories and apparel on its app, said a report by IndianStartupNews (ISN).
Amazon Fashion, Walmart’s Flipkart and Myntra, Nykaa, its Fashion division and the massive Reliance Retail-owned Ajio will now also compete against Eternal. The District app verified the launch.
At first, the app, which was spun off as a distinct vertical before merging with Paytm Insider, only intended to sell movie and event tickets on its platform; it made no indications that it would fully embrace e-commerce.
This comes after Eternal reported a 70% increase in revenues to Rs. 7,167 crore (US $ 830 million) from Rs. 4,206 crore (US $ 487 million) in Q1 FY26, despite a 90% decline in earnings to Rs. 25 crore (US $ 2.89 million). This increase was mostly due to the company’s outstanding success in Blinkit and its B2B platform, Hyperpure.
Continued investments in Eternal’s rapidly expanding quick commerce segment and “going-out” businesses hurt the company’s profitability despite strong top-line growth. A 42% year-over-year decline in adjusted EBITDA to Rs. 172 crore (US $ 19.92 million) was attributed by CFO Akshant Goyal to these initiatives.
