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Delhivery Shares Tumble 10% After INR 69 Cr Loss In Q4

Delhivery Shares Tumble 10% After INR 69 Cr Loss In Q4
SUMMARY

The stock nosedived as much as 11.87% to hit an intra day low of INR 383.90 per share

The stock plummeted immediately after opening at INR 435.65 apiece, before settling into the current share price of INR 390.00 (13:30 IST)

The development comes after Delhivery slipped into losses in Q4 after a profitable previous quarter, dragged down by a decline in its express parcel and cross-border services

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Shares of Delhivery tumbled nearly 12% in the early hours of trading on Tuesday after the logistics unicorn posted a consolidated net loss of INR 69 Cr in Q4 FY24.

The stock nosedived as much as 11.87% to hit an intra day low of INR 383.90 per share.

However, it recovered slightly soon after and by 12:50 pm, the stock was trading 9.84% lower at INR 393 apiece. 

Delhivery had a weak opening on Tuesday morning, after stock markets were closed on Monday, May 20 due to the General Elections polling in Mumbai. 

The stock plummeted immediately after opening at INR 435.65 apiece, before settling into the current share price of INR 390.00 (13:30 IST), a loss of just under 10%. 

Overall, the stock is trading 19% lower than the 52-week high of INR 488.05 and 15% higher than the 52-week low of INR 341.05. Delhivery’s shares have shot up nearly 20% in the last one year.

The development comes after Delhivery slipped into losses in Q4 after a profitable previous quarter, dragged down by a decline in its express parcel and cross-border services.

Revenue from operations also fell sequentially to INR 2,076 Cr in Q4 as against INR 2,194.5 Cr in Q3 FY24. The logistics company reported a net loss of INR 69 Cr, as compared to INR 11.7 Cr profit In Q3.

Delhivery chief executive officer and managing director Sahil Barua attributed the decline in express delivery to a fall in volume as compared to its peak quarter, Q3 FY24.

Meanwhile, Barua blamed the cross-border services revenue decline on the Chinese New Year.

Delhivery’s EBITDA or operating income dipped on a quarter-on-quarter (QoQ) basis to INR 46 Cr in the quarter under review, as compared to INR 109 Cr in the previous quarter ended December 2023.

The fiscal 2024 marked Delhivery’s first full financial year of EBITDA profitability at INR 127 Cr. The logistics unicorn saw the exit of executive director and chief business officer Sandeep Kumar Barasia in the quarter, and announced a foray into drone manufacturing.

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