• Delhivery’s rapid commerce business, offering two-hour deliveries, is operational in Bengaluru, Hyderabad, and Chennai, with plans to onboard 15 more customers this quarter.
  • Delhivery reported a 114% YoY increase in consolidated net profit to INR 24.98 Cr in Q3 FY25, while operating revenue grew over 8% to INR 2,378.29 Cr.

Logistics giant Delhivery anticipates its rapid commerce segment to generate INR 80 Cr to INR 100 Cr in revenue for the financial year ending March 2025 (FY25).

Delhivery CEO Sahil Barua highlighted that the company’s rapid commerce service, which offers two-hour deliveries, is currently operational in Bengaluru, Hyderabad, and Chennai. The segment has gone live with two core customers, with an additional 15 expected to be onboarded in the current quarter.

“The initial performance of dark stores has been promising, with some locations already handling close to 500 orders per day within just 45 days of launch,” said Barua.

The breakeven point for these stores is approximately 700-800 orders per day, with several locations nearing that threshold.

This development follows Delhivery’s earlier announcement of launching multi-tenant dark stores for “rapid in-city delivery” for e-commerce companies. The rapid commerce segment is positioned as an add-on product targeting the top eight cities, focusing on specific SKUs and customer needs. Revenue from this segment is expected to align with the broader ‘express’ business margin structure, with Delhivery viewing it as a crucial capability for serving D2C brands.

Despite this growth, Delhivery’s express service EBITDA margin remained muted in Q2 and Q3 due to fixed investments, including a new facility in Bengaluru and higher fleet costs during peak demand periods in metro cities. These factors impacted revenue by INR 12-15 Cr. However, the company remains optimistic about achieving stable EBITDA margins in the 18-20% range.

Barua also commented on the logistics industry’s need for consolidation, noting that incremental capital flow into the sector is tightening. Delhivery reported a 114% YoY increase in consolidated net profit to INR 24.98 Cr in Q3 FY25, with operating revenue rising over 8% to INR 2,378.29 Cr. Meanwhile, DTDC has also entered the rapid commerce sector with its “DTDC Express” arm.

Edited by Harshajit Sarmah