Delhivery Local doubled its annualised revenue run rate to Rs 200 crore, prompting a higher FY27 target of Rs 280 crore
Delhivery reported a consolidated net profit of Rs 40.6 crore in Q2 FY27, compared with a net loss of Rs 50.5 crore in the corresponding quarter last year. The logistics company also recorded a 27.4 per cent sequential increase in net profit from Rs 31.9 crore in Q1 FY27.
Operating revenue grew 19.8 per cent year-on-year and 4.6 per cent quarter-on-quarter to Rs 3,066.4 crore during the September 2026 quarter. Including other income of Rs 66.6 crore, total income stood at Rs 3,133 crore, compared with Rs 2,651.5 crore in Q2 FY26.
Total expenses increased 14.2 per cent year-on-year to Rs 3,093 crore from Rs 2,708.1 crore. Freight, handling and servicing costs, the company’s largest expense head, rose 19.1 per cent to Rs 2,195.1 crore from Rs 1,842.9 crore.
Delhivery reported a pre-tax profit of Rs 39 crore against a pre-tax loss of Rs 53.2 crore in the year-ago quarter. A net tax credit of Rs 1.6 crore took its consolidated net profit to Rs 40.6 crore.
However, the year-on-year and sequential profit comparisons reflect the impact of the Ecom Express acquisition. As per a media report, Delhivery said its net profit in Q2 FY26 and Q1 FY27 would have been Rs 59 crore and Rs 62 crore, respectively, excluding the acquisition’s impact.
Delhivery handled 32.5 crore express parcel shipments in Q2 FY27, registering 32.1 per cent growth year-on-year. Part truckload (PTL) freight volumes increased 14.2 per cent to 5.45 lakh metric tonnes during the quarter.
The company attributed express parcel volume growth to market share gains and demand across its diversified customer base. It also said October volumes exceeded initial expectations, providing an encouraging start to the December quarter.
Express parcel revenue increased 21.7 per cent year-on-year to Rs 1,961 crore, while PTL revenue grew 23.1 per cent to Rs 672 crore.
The company also reported improved realisations, or revenue earned per shipment or unit of freight. Express and PTL realisations increased 4.1 per cent and 5.6 per cent quarter-on-quarter, respectively, primarily driven by fuel-linked price increases and revisions to cover minimum wage inflation.
PTL realisations also benefited from new customer additions, repricing of existing accounts and an improved customer and shipment mix.
Adjusted Ebitda increased 48 per cent year-on-year to Rs 123 crore, with the margin improving to 4 per cent from 3.3 per cent in Q2 FY26. Reported Ebitda more than tripled to Rs 205 crore from Rs 68 crore, while its margin expanded to 6.7 per cent from 2.7 per cent.
Delhivery incurred no Ecom Express integration costs during the quarter, compared with Rs 90 crore in Q2 FY26 and Rs 17 crore in Q1 FY27.
The company expects service Ebitda margins in both its express and PTL businesses to improve through the remainder of FY27, supported by pricing revisions and higher network utilisation. It expects express service Ebitda margins to reach 16-18 per cent by the end of FY27, while PTL margins are expected to exceed 15 per cent.
Alongside its core logistics operations, Delhivery is scaling newer businesses, including its intra-city logistics platform Delhivery Local, international operations and financial services.
Delhivery Local currently operates across eight cities, including Delhi NCR, Bengaluru, Mumbai, Hyderabad, Ahmedabad, Jaipur, Pune and Chennai. Its annualised revenue run rate doubled from around Rs 100 crore at the end of Q1 FY27 to approximately Rs 200 crore.
The company has raised its FY27 exit annualised revenue target for Delhivery Local to Rs 280 crore from its earlier guidance of Rs 250 crore. It also aims to scale the business to an annualised revenue run rate of Rs 800-1,000 crore over the next two years.
Meanwhile, its financial services business is developing distribution channels for financial products across its vendor ecosystem and building co-lending partnerships.
Delhivery’s board approved an equity investment of up to Rs 36 crore in its wholly owned subsidiary, Delhivery Fintech Distribution, in one or more tranches to support its operational and business requirements.
The company also highlighted its investments in artificial intelligence and automation to improve productivity and reduce operating costs. It said AI-led automation had reduced customer support and proof-of-delivery validation costs by more than 50 per cent without compromising output quality.
Delhivery has also started producing customised autonomous mobile robots through Delhivery Labs. It plans to deploy 100 self-developed autonomous pallet transportation vehicles by Q4 FY27.
