Logistics company Delhivery reported a consolidated net profit of ₹40.6 crore for the second quarter of the 2027 fiscal year, marking a significant turnaround from the ₹50.5 crore loss recorded in the same period last year. Following the announcement, the company’s shares increased by 9.7% to an intraday high of ₹423.35 on the BSE.
Key Financial and Operational Highlights
- Financial turnaround: The company achieved a consolidated net profit of ₹40.6 crore, compared to a loss of ₹50.5 crore in the year-ago quarter.
- Revenue growth: Consolidated operating revenue rose 19.8% year-over-year to ₹3,066.4 crore.
- Volume expansion: Express parcel volumes increased 32.1% to 325 million shipments, exceeding previous guidance of 20-30%.
- Brokerage outlook: Equirus Securities upgraded the stock to ‘Long’ with a target price of ₹505, citing potential for continued revenue and margin growth.
- Segment performance: Part Truckload (PTL) volumes grew 14.2%, with revenue in that segment increasing 23.2% due to higher volumes and yields.
Revenue and Expense Analysis
Delhivery’s total income for the quarter reached ₹3,133 crore, up from ₹2,651.5 crore in the second quarter of the previous fiscal year. Total expenses rose 14.2% to ₹3,093 crore, driven largely by freight, handling, and servicing costs, which increased 19.1% to ₹2,195.1 crore. The company reported a pre-tax profit of ₹39 crore, bolstered by a net tax credit of ₹1.6 crore.
The company noted that the acquisition of Ecom Express impacted year-over-year comparisons. When adjusting for this acquisition, Delhivery stated that net profits in previous quarters would have been higher.
Growth Projections and Expansion
Equirus Securities projects compound annual growth rates for revenue, EBITDA, and express parcel volumes of 21%, 39%, and 22%, respectively, through fiscal year 2029. The brokerage expects these gains to stem from increased market share and improved operating leverage.