Delhivery (DELHIVERY) Q3 24/25 earnings summary

Executive summary

• Q3 FY25 marked a strong quarter with continued profitability, benefiting from the festive season and maintaining leadership as India's largest integrated logistics platform.

• Two new independent directors joined the board, and a new Chief Business Officer will start in March, strengthening leadership.

• Consolidated revenue for the quarter ended December 31, 2024, was ₹23,782.98 million, up from ₹21,897.33 million in the previous quarter and ₹21,944.68 million in the same quarter last year.

• Net profit for the quarter was ₹249.88 million, compared to ₹102.04 million in the previous quarter and ₹117.06 million in the same quarter last year.

• For the nine months ended December 31, 2024, total income was ₹70,685.21 million, with a net profit of ₹895.53 million, a significant turnaround from a net loss of ₹1,807.15 million in the prior year period.

Financial highlights

• Revenue from services reached ₹2,378 Cr, up 8.6% QoQ and 8.4% YoY in Q3 FY25.

• EBITDA for Q3 FY25 was ₹102 Cr (4.3% margin), compared to ₹109 Cr (5.0%) in Q3 FY24 and ₹57 Cr (2.6%) in Q2 FY25.

• PAT for Q3 FY25 was ₹25 Cr (1.0% margin), up from ₹12 Cr (0.5%) YoY and ₹10 Cr (0.4%) QoQ.

• Cash and cash equivalents stood at ₹5,488 Cr as of September 30, 2024.

• Three consecutive quarters of positive PAT, compared to only one in the previous year.

Outlook and guidance

• Steady-state service EBITDA margins for express parcel business expected in the 17%-20% range; PTL margins anticipated to improve at a faster rate than express.

• PTL business targeted to grow at 25%-30% in the next financial year, outpacing industry growth.

• No significant CapEx planned for next year; capacity utilization expected to rise.

• Management changed the depreciation method from Written Down Value to Straight-Line Method effective April 1, 2024, resulting in a lower depreciation charge by ₹656.01 million for the quarter.

• The company continues to invest in organic and inorganic growth, with unutilized IPO proceeds of ₹9,316.80 million as of December 31, 2024, temporarily invested in fixed deposits.