Delhivery (DELHIVERY) Q1 24/25 earnings summary

Executive summary

• Achieved 13% year-over-year revenue growth and improved profitability across all core businesses, with a strong start to the fiscal year despite a seasonally challenging quarter and industry volatility.

• PTL and SCS segments delivered robust year-over-year growth, with PTL service EBITDA improving to 3.2% and SCS revenues up 26% YoY.

• Express Parcel volumes remained stable with growth in non-marketplace segments, and the customer base expanded to nearly 35,000.

• Board approved unaudited standalone and consolidated financial results for the quarter ended June 30, 2024, with auditor review confirming no material misstatements.

• Financials prepared per Ind AS 34 and SEBI regulations, reviewed by the Audit Committee and Board.

Financial highlights

• Revenue grew 12.6% year-over-year and 4.7% quarter-on-quarter, reaching INR 2,270 crore (₹21,723 million consolidated).

• Adjusted EBITDA improved to INR 37 crore (1.7% margin), up from -INR 25 crore last year; EBITDA was INR 97 crore (4.5% margin).

• PAT was INR 54 crore (2.4% margin), compared to a loss of INR 89 crore last year; consolidated net profit was ₹543.59 million.

• Standalone net profit was ₹719.77 million, up from a loss of ₹551.09 million in the prior year quarter.

• 183 million parcels handled in Express Parcel (0.6% YOY, 4.1% QOQ growth); Truckload business volume up 16% YOY.

Outlook and guidance

• Anticipates continued strong volume growth, especially during the upcoming peak period, with e-commerce market annual growth rates expected between 15%-20%.

• Confident in robust SCS pipeline and further margin improvements in PTL as network utilization increases.

• Express margins expected to remain in the 18%-20% range; PTL margins targeted to align with or exceed Express margins as scale benefits accrue.

• Management changed depreciation method to Straight-Line Method from April 1, 2024, reducing depreciation expense by ₹391.46 million (consolidated) and ₹414 million (standalone) for the quarter.

• Unutilized IPO proceeds of ₹9,316.8 million remain invested in fixed deposits for future growth initiatives.