Delhivery on Saturday recorded a net loss of Rs 102.94 crore during the second quarter of FY24, posting a decline of 59.5 per cent from Rs 254.11 crore during the same period last year. It posted revenue from operations at Rs 1941.75 crore, up 8.1 per cent in comparison to Rs 1796.10 crore during the second quarter of FY23. The company EBITDA loss was at Rs 15.5 crore versus EBITDA loss of Rs 137.8 crore during Q2FY23. While the total income recorded by the logistics services provider stood at Rs 2042.98 crore, it incurred a total expenditure of Rs 2148.19 crore during the quarter in review.
“We are pleased with H1 operating and financial performance, in particular the reduction in receivables by ~12 days, ahead of our Q1 guidance. Service quality remained robust throughout H1 and network utilization remained stable even as we expanded capacity in Q2, setting us up well for H2. H2 has begun as per our expectations, with October Express volumes of 70M+ and daily PTL volumes beginning to touch 4,700-5,000MT levels. Volume levels at our mega-facilities have also been consistently high and our Tauru gateway recorded throughput beyond our original design expectations, which bodes well for our newer automated gateways at Bhiwandi and Bangalore,” said Sahil Barua, MD & CEO, Delhivery.
Express Parcel shipment volumes grew 12 per cent YoY to 181 million in Q2FY24 from 161 million in Q2FY23, despite last year’s volume getting a boost from early part of the festive season sales falling in Q2. Correspondingly, Delhivery added, revenue from Express Parcel services grew 8 per cent YoY to Rs 1,210 crore in Q2FY24 from Rs 1,125 crore in Q2FY23.
Meanwhile, Part Truckload volumes grew 22 per cent YoY to 348K tons in Q2FY24 from 286K tons in Q2FY23. Correspondingly, revenue from Part Truckload services grew 28 per cent on-year to Rs 373 crore in Q2FY24 from Rs 293 crore in Q2FY23, implying significantly better realization/kg on both YoY and QoQ basis. Truckload business, the company added, saw a robust YoY and QoQ revenue growth of 46 per cent and 15 per cent, respectively.
Change in leadership team
Delhivery also announced that effective January 15, 2024, Suraj Saharan, co-founder of Delhivery, would take over as the Chief People Officer. Further, Varun Bakshi would take over as the Head of Business Development, Part Truckload Freight business effective January 09, 2024. Vivek Pabari, SVP of Corporate Finance, will take up additional responsibilities of Investor Relations & Treasury.
“These leadership appointments are aimed at creating experienced long-term leaders for key functions and business roles. As a co-founder of the company with a background in operations, Suraj’s experience will be key to driving our strategic HR priorities in areas like recruitment, engagement and training. In addition, Varun Bakshi’s decade-long experience in institutional and corporate sales, entrepreneurial training and deep understanding of the market and our network will boost growth and profitability momentum in our Part Truckload business,” said Sahil Barua.