Delhivery Q1 Results: Net profit tumbles 65% YoY to Rs 32 crore, but revenue rises 28%

Logistics major Delhivery on Saturday reported a 65% year-on-year decline in net profit to Rs 31.9 crore in the first quarter of financial year 2027, compared with Rs 91.1 crore reported in the year-ago period.

The company’s revenue from operations, however, rose 28% year-on-year to Rs 2,930.7 crore from Rs 2,294 crore posted in the corresponding quarter of the previous financial year, Delhivery said in a regulatory statement.

EBITDA or earnings before interest, tax, depreciation and amortisation declined 4% to Rs 142.2 crore from Rs 148.8 crore, while the EBITDA margin stood at 4.9%, compared with 6.5% a year earlier.


The firm’s total expenses rose 29% year-on-year to Rs 3,011.6 crore in the quarter ended June, compared with Rs 2,326.6 crore a year ago and Rs 2,853.1 crore in the previous quarter.

Delhivery outlook

Delhivery said the operating environment was particularly challenging due to volatile labour availability amid elections and climate disruptions, geopolitical uncertainty and changes to labour codes. The company said it took additional measures, including deploying buffer staff and increasing network capacity, to maintain service quality. The resulting increase in costs is expected to be absorbed through revenue growth during the rest of FY27.

The company also said higher global crude prices during Q1 pushed up petrol and diesel prices as well as the cost of crude-related consumables. Delhivery said its customer contracts include fuel cost pass-through mechanisms, which have been activated. Some of these contractual revisions carry a one-month time lag and will be fully reflected in Q2FY27.

It added that revisions to statutory minimum wages across four key states, Haryana, Karnataka, Uttar Pradesh and Punjab, led to a meaningful increase in labour costs across its network and at key operating facilities in Tauru, Haryana and Hoskote, Karnataka.

The company has started revising pricing across client contracts to offset the higher input costs and expects the process to continue through Q2FY27.

Also read: Apollo Micro Systems Q1 Results: Firm reports record Q1 profit at Rs 25 crore; revenue surges 88% YoY

Despite these cost pressures, Service EBITDA remained broadly stable year-on-year at 13.1% in Q1FY27, compared with 13.0% in Q1FY26. Delhivery said it expects no change to its medium- and long-term margin expansion trajectory.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)