Delhivery’s Q4 Loss Jumps 32% YoY To INR 157 Cr But Declines On Sequential Basis

Gurugram-based logistics startup Delhivery’s net loss jumped 32% to INR 158.6 Cr in the quarter ended March 2023 from INR 119.8 Cr in the year-ago quarter. However, net loss declined 19% from INR 195.6 Cr in the preceding December quarter.

On an annual basis, the startup’s loss narrowed marginally to INR 1,007.7 Cr in FY23 from INR 1,011 Cr in FY22. 

Revenue from operations fell 10% to INR 1,859.6 Cr in Q4 FY23 from INR 2,071.7 Cr in the corresponding quarter of previous year. However, operating revenue saw a marginal increase from INR 1,823.8 Cr in the preceding December quarter of 2023.

For FY23, the startup’s operating revenue grew 5% to INR 7,225.3 Cr from INR 6,882.2 Cr in FY22.

Delhivery’s total income dropped by 9% to INR 1,934.2 Cr in the March quarter of FY23 from INR 2,127 Cr in Q3 FY23. 

The startup said it posted an adjusted EBITDA of INR 6 Cr in Q4 FY23 as against a loss of INR 167 Cr in the preceding quarter. Adjusted EBITDA margin expanded to 0.3% in Q4 FY23 from -3.7% in Q3 FY23 on the back of increase in gross margin from its core business – PTL (partial truckload) services.

The company said that the improvement in its adjusted EBITDA margin was also a result of improved network capacity utilisation and technology-driven cost optimization in fleet operations. 

The volume of express parcel business increased by 10 Mn shipments to 180 Mn in Q4 FY23 from 170 Mn shipments in Q3 FY23. 

Delhivery earned INR 1,177 Cr from express parcel business in Q4FY23 as compared to INR 1,200 Cr in Q3 of FY23. Revenue from PTL services increased 19% to INR 328 Cr from INR 277 Cr in Q3 of FY23. 

“Critical leading indicators like service precision, network speed and delivery quality parameters are at all time high levels and are driving greater customer confidence and share of wallet growth. The momentum built up in express and PTL in Q3 has carried into Q4 and FY24 as well,” Delhivery MD and CEO Sahil Barua said.

“We were confident of continued improvement in the core transportation business and overall profitability at the end of last quarter and are happy to report we have delivered both in this quarter as planned. We have aggressive infrastructure and capability expansion plans in place and are confident of the strong start in April and H1 of May continuing through the year,” he added.

On the expenses front, the startup’s total expenditure dropped 6.5% to INR 2,107.6 Cr in Q4 FY23 from INR 2,254.3 Cr in the year-ago quarter.

Annually, the startup saw its expenses jump 4% to INR 1,066.6 Cr in FY23 from INR 1,026.1 Cr in FY22.

Shares of Delhivery ended 1.12% lower at INR 361.40 on the BSE on Friday. The company released its financial results after market hours.