Delhivery (DELHIVERY) Q3 25/26 earnings summary

Executive summary

• Achieved record volumes and profitability in Q3 FY2026, with revenue from services up 18% year-over-year to INR 2,798 crores and significant margin expansion.

• Express parcel shipments reached 295 million (43% YoY growth), and PTL freight tonnage crossed 507,000 metric tons (23% YoY growth), driven by festive season demand and share-of-wallet gains.

• Net profit for the quarter was ₹395.89 million, compared to a net loss of ₹504.93 million in the previous quarter and a profit of ₹249.88 million in the same quarter last year.

• Acquisition of Ecom Express Limited was completed, making it a wholly-owned subsidiary as of December 10, 2025, with integration costs significantly below initial guidance.

• Technology and product investments, including SaaS expansion, Freight Index One, and autonomous drone deliveries, contributed to operational efficiency.

Financial highlights

• Q3 revenue from services: INR 2,798 crores, up 18% YoY and 10% sequentially.

• Service EBITDA for Q3FY26 at ₹421 Cr (15.1% margin), up from ₹256 Cr (10.7%) in Q3FY25; PAT for Q3FY26 at ₹110 Cr (3.8% margin), up from ₹25 Cr in Q3FY25.

• Nine-month cumulative service EBITDA crossed INR 1,000 crores for the first time, with PAT at INR 260 crores and service revenue over INR 7,600 crores.

• Total income for the nine months ended December 31, 2025, was ₹79,575.38 million, up from ₹70,685.21 million year-over-year.

• Corporate overheads reduced to 9.1% of revenue, with a target to reach 6%-7% in the medium term.

Outlook and guidance

• Express and PTL businesses expected to maintain strong growth, with PTL targeting 16%-18% margin and 20% long-term volume growth.

• CapEx as a percentage of revenue expected to decline to 4%-4.4% over the next 7-10 quarters, with no significant increase anticipated.

• Integration of Ecom Express is expected to enhance scale and value proposition, with costs totaling INR 150-160 crores.

• Free cash flow breakeven expected at 6% adjusted EBITDA margin.

• The company continues to monitor the impact of new Labour Codes and will assess further financial implications once final rules are notified.