Delhivery Slips Into Red In Q2, Posts INR 51 Cr Loss

Logistics major Delhivery slipped into red in Q2 FY26, reporting a net loss of INR 50.5 Cr compared to a profit of INR 10.2 Cr in the year-ago quarter, as the integration of Ecom Express impacted the bottom line. The company had reported a profit of INR 91.1 Cr in preceding Q1 FY26. 

Operating revenue grew 17% YoY and 12% QoQ to INR 2,559.3 Cr. 

Including other income of INR 92.2 Cr, the company’s total income for the quarter stood at INR 2,651.5 Cr. Total expenses zoomed 18% YoY to INR 2,708.1 Cr.

Delhivery said that it incurred a cost of INR 90 Cr pertaining to integration of Ecom Express. It completed the acquisition of Ecom Express on July 18 and expects to bear a total cost of INR 300 Cr for the integration within the remainder of FY26. 

“Volume manifestation at Ecom ceased during Q1 FY26 and exit of non-express businesses is underway, with the revenue transition largely completed in Q2 FY26,” it said. Delhivery has retained only seven of Ecom Express’ facilities for long-term use while few facilities remain unabsorbed for eventual exit. 

Excluding Ecom Express, Delhivery claimed that its profit for the quarter under review stood at INR 59 Cr, representing a multifold jump from INR 10 Cr in the year-ago period. Its operating revenue excluding Ecom Express increased 16% YoY to INR 2,546 Cr.

“PAT is lower QoQ by INR 32 Cr primarily due to finance income being lower by INR 48 Cr QoQ on account of lower cash balance during the quarter as Ecom Express acquisition proceeds of INR 1,369 Cr were paid out in July,” it said.

The company’s EBITDA for the quarter stood at INR 68 Cr, a sharp decline from INR 149 Cr EBITDA in the previous quarter. However, excluding Ecom Express integration costs, EBITDA stood at INR 150 Cr.

Along with its Q2 results, the company announced a number of new developments: 

— Delhivery CFO Amit Agarwal has tendered resignation. Agarwal will be succeeded by Vivek Prabhari, currently the head of corporate finance, investor relations and treasury, effective January 1. 

— The company announced the incorporation of two new subsidiaries in the UK and the UAE under its Singapore arm to extend its supply chain solutions and logistics services in the countries.

— Delhivery has incorporated a new fintech subsidiary, Delhivery Fintech Services Pvt Ltd, with an initial investment of INR 12 Cr. The company would extend credit options to its partners, that is truckers, fleet owners, riders, and MSMEs, via the subsidiary.

— Non-executive independent director and ex-telecom secretary Aruna Sundararajan has resigned, effective January 1, 2026, due to her recent appointment as a “government nominee on a regulatory body” and the increased responsibilities thereof. 

Now, let’s take a detailed look at segment-wise quarterly business performance:

Express Parcel: Revenue for this vertical, which encompasses Delhivery’s fast transit delivery service, stood at INR 1,611 Cr. This marked an uptick of 24% YoY and 15% QoQ. Shipment volume grew 32% YoY to 24.6 Cr. 

Partial Truck Load: Revenue of the partial truck load (PTL) segment grew 15% YoY to INR 546 Cr. PTL freight tonnage grew 12% YoY to 477K metric tonnes.

Supply Chain Services: Delhivery’s supply chain services, under which it provides warehouse management system, order management system and transport management system, witnessed degrowth for the second consecutive quarter. The segment’s revenue plunged 14% YoY to INR 170 Cr. 

Full Truckload: Its revenue declined 5% YoY to INR 150 Cr. Delhivery is looking to augment this revenue stream by adding value added services for truckers in the form of fuel discounts, working capital financing, asset financing and on-road assistance, along with automated load matching for spot demand.

The company’s emerging businesses, Delhivery Direct (B2C arm) and Delhivery Rapid (quick commerce), continued to witness modest growth. In its shareholder letter, the company said Delhivery Direct, its on-demand intra-city service, reached an annual revenue run-rate (ARR) of INR 28 Cr in the quarter.

“The app for inter-city and intra-city on-demand shipping is now on over 4 Mn phones and available on Play Store and App Store… we expect to launch across key metros by the end of FY26,” it said. 

Delhivery expects Delhivery Rapid to reach an ARR of INR 80-100 Cr from INR 12 Cr as of now. The company currently operates 20 dark stores in three cities but plans to expand this vertical across NCR in Q3 FY26. “Based on client demand, we also plan to expand the service to B2B clients in Q3 and Q4FY26,” it noted.