Recently-listed logistics and supply chain company Delhivery’s net loss for Q1FY23 widened to Rs 399.3 crore compared to a loss of Rs 129.6 crore during the corresponding period last year.
The company’s revenue from operations for the quarter-ended June grew 32.5% to Rs 1,745.7 crore versus Rs 1,317.7 crore year-on-year. Delhivery has also reported a tax rebate of Rs 5.8 crore for the quarter compared to nil tax expense y-o-y.
“We continue to be well-capitalized with cash and investments of over Rs 6,000 crore as of June 30, 2022. We will continue to invest in building infrastructure, technology and operational capacity to deliver high-quality service,” Sahil Baruah, managing director and chief executive officer of Delhivery said in a statement.
The SoftBank and Tiger Global-backed company’s adjusted earnings before interest, taxation, depreciation and amortization (Ebitda) also widened to Rs 217 crore versus Rs 58 crore y-o-y.
Shares of Delhivery ended Monday’s trading session with gains of 1.2% at Rs 642.80 apiece.
“Our Ebitda margin was temporarily affected through the integration phase with Spoton as a result of inherent seasonality in the PTL business slightly lower than planned phasing of customer restarts and retention of capacity to maintain service quality and in anticipation of H2 volumes,” said Abhik Mitra, chief customer experience officer, Delhiver and CEO of Spoton.
Notably, there was a significant increase in the company’s total expenses this quarter, at Rs 2,205 crore versus Rs 1,493.6 crore y-o-y, led by a rise in freight, handling and servicing costs.
Segmentally, the company reported a 14% drop in its cross-border services revenue to Rs 78 crore from Rs 90 crore y-o-y while supply chain services revenue more than doubled to Rs 236 crore in Q1FY23 from Rs 106 crore in Q1FY22.
Delhivery’s revenue from express parcel services grew 34% y-o-y to Rs 1,051 crore from Rs 785 crore. Express parcel volume grew 50% to 152 million shipments from 102 million shipments y-o-y. Truckload services' (TL) revenue grew more than doubled (1.2x) in Q1 y-o-y. The company has said it added over 1,000 new fleet partners to its Orion marketplace.
“We continue to see strong demand for our integrated supply chain solutions across industry verticals including auto, industrial goods, chemicals and consumer durables,” said Sandeep Barasia, chief business officer and executive director, Delhivery.
In a press release apart from its Q1 earnings review, the company has released details on utilization of IPO proceeds during the quarter, stating that there has been no deviation or variation in the utilization of these funds in Q1FY23.
Founded in June 2011, Delhivery is a fully-integrated logistics services company providing services like delivery of express parcels and heavy goods, warehousing, supply chain solutions, cross-border express freight services, among others.
The company launched its initial public offering earlier this year and raised Rs 5,235 crore via the IPO, a figure lower than the originally estimated Rs 7,500 crore. Its shares listed on 25 May with a 10% premium to issue price, at Rs 537 apiece.
