Delhivery Q2FY23: Loss narrows to Rs 254 cr, revenue up 22 pc to Rs 1,796

Sequentially, also, Delhivery's Loss after Tax reduced to Rs 254 crore in Q2FY23 from  Rs 643 crore in Q2FY22 on a pro forma basis.

The logistics company said its revenue from services stood at Rs 1,796 crore in Q2FY23, up 22 percent YoY from Rs 1,474 crore on a reported basis and up 9 percent YoY from Rs 1,644 crore on a pro forma basis in Q2FY22.

Overall, the Company’s Adjusted EBITDA loss reduced to Rs 125 crore in Q2FY23 on a sequential basis from Rs217 crore in Q1FY23.

The Company had incurred an Adjusted EBITDA loss of Rs 58 crore on a reported basis and  Rs 26 crore on a pro forma basis in Q2FY22.
Revenue from Express Parcel services grew 17 percent YoY to  Rs 1,125 crore in Q2FY23 from  Rs 960 crore in Q2FY22.

Express volumes grew 19 percent YoY to 161 million shipments in Q2FY23 from 135 million shipments in Q2FY22 on the back of a steady quarter with an added surge in volumes towards the end of the quarter owing to the start of festive season sales.

Shipment volumes grew by 80 percent during the festive season period over average volumes in prior weeks.

The Part Truckload (PTL) services business continued its steady recovery post-integration of the Delhivery and Spoton networks, with the combined entity continuing to be one of the largest PTL players in India.

Revenue from PTL grew to Rs 293 crore in Q2FY23 vs.  Rs 259 crore in Q1FY23, with total network freight volume of 286K tonnes in Q2FY23 vs. 239K tonnes in Q1FY23.

Delhivery’s other service lines continued to demonstrate robust YoY growth in Q2FY23, with 91 percent revenue growth in Truckload services ( Rs 103 crore in Q2FY23 vs.  Rs 54 crore in Q2FY22).

Further, the Supply Chain services registered 62 percent revenue growth (Rs 180 crore in Q2FY23 vs  Rs 112 crore in Q2FY22) and its Cross Border services revenue grew 21 percent (Rs 96 crore in Q2FY23 vs  Rs 79 crore in Q2FY22).

The Supply Chain services business continued to win new mandates with active/won accounts doubling in this period from a year ago, the company said.

Cross Border services showed steady growth despite a challenging global business environment and a decline in yields for both air and ocean freight, the company added

Delhivery Managing Director and Chief Executive Officer Sahil Barua said, “With the integration of Spoton behind us, we remain optimistic about the future. Our structural cost and network advantages coupled with investments in technology, automation, and our extremely strong balance sheet position us to strengthen our market position across segments in the  Rs15 lakh crore Indian logistics industry."

Delhivery will host an earnings call to discuss its Q2FY23 results at 4:30 p.m. IST on Monday, November 14, 2022, the company said.

The registration link for the call has already been shared with the stock exchanges and the link to the audio replay will be made available on the Investor Relations page of the company’s website at https://www.delhivery.com/investor-relations/ following the earnings call.