Delhivery Back In The Black, Posts INR 54.3 Cr Profit In Q1 FY25

Logistics unicorn Delhivery returned to the black in the first quarter of the financial year 2024-25 (FY25), posting a net profit of INR 54.3 Cr on the back of robust growth in its truckload and supply chain services segments.

The startup had posted a net loss of INR 89.4 Cr in the June quarter of FY24. It is pertinent to mention that after turning profitable in the third quarter of FY24, Delhivery posted a net loss of INR 69 Cr in Q4 FY24.

Revenue from services grew 13% to INR 2,172 Cr in Q1 FY25 from INR 1,930 Cr in Q1 FY24. On a quarter-on-quarter basis, it rose 5% from INR 2,076 Cr. 

Part truckload revenue grew 25% to INR 435 Cr during the quarter under review from INR 417 Cr in Q4 FY24 and INR 347 Cr in Q1 FY24 on the back of both volume increases and pricing efforts.

In Q1 FY25, the Delhi NCR-based startup’s EBITDA stood at INR 97 Cr against an EBITDA loss of INR 13 Cr in the corresponding quarter last year.

Meanwhile, revenue from express parcel shipments grew 5% to INR 1,276 Cr in Q1 FY25 from Rs 1,217 Cr in Q4 FY24 and 6% from INR 1,202 Cr in Q1 FY24. Volume in this segment grew 1% year-on-year (YoY) and 4% quarter-on-quarter (QoQ) to 183 Mn during the quarter under review.

In a post-earnings call, Delhivery CEO Sahil Barua said that the growth in this segment was driven by improvement across all non-large marketplaces segments and higher mix of heavy goods.

Express parcel service EBITDA jumped 18.2% QoQ in the reported quarter.

Where Did Delhivery Spend In Q1?

Delhivery managed to control its costs, with the startup’s total expenditure declining 1.5% QoQ and 4.4% YoY to INR 2,223 Cr. 

Freight, Handling and Servicing Cost: The company’s spending in this bucket declined 9.8% YoY to INR 1,438 Cr in Q1.

On a QoQ basis, this was a 4% decrease from INR 1,519 Cr in Q4 FY23.

Employee Cost: Delhivery’s employee benefit expenses also declined 6.8% QoQ to INR 333 Cr in the reported quarter from INR 357 Cr in Q4 FY24 due to reduced ESOP costs on account of employees that exited that firm in the previous quarter.

On a YoY basis, employee cost declined 5.8% during the quarter under review from INR 353 Cr in Q1 FY24.

During the earnings call, the startup said that it has expanded its customer base to 35,000.

The startup also said that it plans to launch a network of shared dark stores, which it will lease out to ecommerce firms on a multi-tenant basis, to offer rapid in-city delivery of goods.

Ahead of its earnings announcement, shares of Delhivery ended Friday’s trading session 2% higher at INR 416.10 on the BSE.