Mumbai: Eternal Ltd, the parent company of food delivery platform Zomato and quick commerce business Blinkit, has received a Goods and Services Tax (GST) demand order from the Andhra Pradesh tax department.
The company informed stock exchanges that the order was issued by the Deputy Commissioner (ST), State Special Circle-I, Andhra Pradesh. The order was received on June 9, 2026.
According to the regulatory filing, the demand relates to the period between April 2023 and March 2024.
Tax, Interest And Penalty Included
The total demand raised by the tax authority amounts to more than Rs 9.63 crore.
This includes a GST demand of Rs 6.49 crore for an alleged short payment of output tax. In addition, the authority has levied interest of Rs 2.50 crore and imposed a penalty of Rs 64.87 lakh.
The company disclosed the development under Regulation 30 of the SEBI Listing Regulations, which requires listed entities to inform investors about material developments.
Company Plans To File Appeal
Eternal said it does not agree with the findings of the tax authority and intends to challenge the order.
The company stated that it believes it has a strong case on merits and will pursue legal remedies through the appropriate appellate authority.
Management indicated that it will file an appeal against the order and seek relief through the legal process available under GST laws.
The company has not highlighted any immediate operational impact from the demand and remains focused on pursuing its case.
Profit Growth Remains Strong
The tax notice comes shortly after Eternal reported strong financial performance for the fourth quarter of FY26.
The company posted a net profit of Rs 174 crore during the quarter, marking a 70.6% increase compared with the same period last year.
Other income stood at Rs 342 crore during the quarter, slightly lower than Rs 348 crore reported in the previous quarter.
Stock Ends Lower
Shares of Eternal closed at Rs 239.85 on the NSE on June 10, 2026, down 2.36 percent from the previous close. Investors are expected to monitor further developments regarding the GST dispute and the company's appeal process.
