Delhivery Ltd — Q4 FY26 earnings call
Summary generated by AI from the official transcript Delhivery Ltd filed with BSE on 22 May 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
Delhivery reported FY26 consolidated revenue of over Rs 10,400 crore and delivered more than a billion packages during the year, alongside PTL freight volumes of about 2 million metric tons. Management said the company turned free cash flow positive at about Rs 89 crore, a year ahead of its earlier guidance, while service EBITDA expanded across Express, PTL and Supply Chain Services. Executives also discussed the completed Ecom Express integration, reduced net working capital days, and planned investments in new initiatives such as Delhivery Direct and Rapid.
Numbers mentioned
Revenue: over 10,400 crores (FY26)
p. 1
“we closed the year with over 10,400 crores in revenue, delivered over a billion packages in the financial year.”
Sahil Barua, page 1 of the filed PDF · View the filing
Revenue from services: about 10,486 crores (FY26)
p. 2
“Our revenue from services stood at about 10,486 crores, generating an EBITDA of 7.3%, that's 764 crores.”
Vani Venkatesh, page 2 of the filed PDF · View the filing
PAT: 347 crores (FY26)
p. 2
“PAT came in at 347 crores.”
Vani Venkatesh, page 2 of the filed PDF · View the filing
Free cash flow: 89 crores (FY26)
p. 2
“this profitable growth helped us turn free cash flow positive this year at about 89 crores.”
Vani Venkatesh, page 2 of the filed PDF · View the filing
Quarter revenue: about 2,848 crores (Q4 FY26)
p. 2
“The quarter’s revenue again came in at about 2,848 crores.”
Vani Venkatesh, page 2 of the filed PDF · View the filing
Quarter PAT: 87 crores (Q4 FY26)
p. 2
“PAT at about 3%, that translates to 87 crores.”
Vani Venkatesh, page 2 of the filed PDF · View the filing
Core transport ROIC: 16% (FY26)
p. 2
“Core transport yielded 16% ROIC.”
Vani Venkatesh, page 2 of the filed PDF · View the filing
Cash and cash equivalents: over 4,500 crores (FY26)
p. 2
“our balance sheet continues to stay strong with over 4,500 crores of cash and cash equivalents.”
Vani Venkatesh, page 2 of the filed PDF · View the filing
Transport revenue: about 2,453 crores (Q4 FY26)
p. 2
“Transport revenue for the quarter was at about 2,453 crores and that comes in at a 7.9% adjusted EBITDA, giving us about 194 crores of adjusted EBITDA.”
Vani Venkatesh, page 2 of the filed PDF · View the filing
Express revenue growth: 46% YoY (Q4 FY26)
p. 2
“That's a massive 46% YoY revenue growth and that's a 72-73% volume growth.”
Vani Venkatesh, page 2 of the filed PDF · View the filing
Express volumes: 306 million (Q4 FY26)
p. 2
“Note that the volumes this quarter were 306 million, pretty encouraging.”
Vani Venkatesh, page 2 of the filed PDF · View the filing
PTL revenue: 622 crores (Q4 FY26)
p. 2
“Likewise, PTL clocked in 20% growth in both revenue and volume terms, came in at 549 metric tons and giving us 622 crores of revenue.”
Vani Venkatesh, page 2 of the filed PDF · View the filing
SCS service EBITDA margin: 10.9% (FY26)
p. 3
“The highlight is the turnaround in the service EBITDA from 2.2% last year, we've scaled it to 10.9% this year.”
Vani Venkatesh, page 3 of the filed PDF · View the filing
SCS service EBITDA: 79 crores (FY26)
p. 3
“So, the expanded service EBITDA gave us 79 crores of margin, which is four times last year.”
Vani Venkatesh, page 3 of the filed PDF · View the filing
CapEx as % of revenue: 4.7% (FY26)
p. 3
“We were at about 7.8% in FY23. That's come down all the way to 4.7% now.”
Vani Venkatesh, page 3 of the filed PDF · View the filing
ROIC: 16% (FY26)
p. 3
“So, we're at 16%. This is up from 5.2% earlier.”
Vani Venkatesh, page 3 of the filed PDF · View the filing
Net working capital days: 11 days (FY26)
p. 11
“What you're seeing today is 11 days and it looks very impressive.”
Sahil Barua, page 11 of the filed PDF · View the filing
PTL tonnage: 550,000 tons (Q4 FY26)
p. 22
“we've gone from about two and a half years back or two years back, maybe sub 300,000 tons of freight, something like 280,000-290,000 tons of freight to something like 550,000 tons of freight in this quarter.”
Sahil Barua, page 22 of the filed PDF · View the filing
PTL gross margin: 28% (Q4 FY26)
p. 22
“And our gross margins have gone from 14% to 28%.”
Sahil Barua, page 22 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
Transport adjusted EBITDA margin — at least 10%
stated as an aspiration by Vivek Pabari
p. 16
“The adjusted EBITDA, which is today at 6.3%, has a potential to go all the way up to at least 10%.”
Vivek Pabari, page 16 of the filed PDF · View the filing
Transport ROIC — 25% plus
stated as an aspiration by Vivek Pabari
p. 16
“The steady state ROICs, currently we are at 16%, but in a steady state, this number for our transport business can certainly go to 25% plus.”
Vivek Pabari, page 16 of the filed PDF · View the filing
CapEx as % of revenue — 4% target
stated firmly by Sahil Barua
p. 8
“We will get to our 4% target.”
Sahil Barua, page 8 of the filed PDF · View the filing
Investment in on-demand intracity logistics — 130 to 160 crores · fiscal 27
stated firmly by Sahil Barua
p. 19
“Our anticipation of the investment for fiscal 27 is broadly between about 130 and 160 crores that we've guided to in our shareholder letter as well.”
Sahil Barua, page 19 of the filed PDF · View the filing
On-demand intracity logistics run rate — north of about a 200-crore run rate
stated as an aspiration by Sahil Barua
p. 19
“I think this gets us to north of about a 200-crore run rate in terms of on-demand intracity logistics.”
Sahil Barua, page 19 of the filed PDF · View the filing
E-commerce industry growth rate — 15 to 20% · medium term
stated as an aspiration by Sahil Barua
p. 18
“But I think e-commerce as a whole growing at 15 to 20%, we've consistently maintained that we think that that in India is, is the likely growth rate into the medium term.”
Sahil Barua, page 18 of the filed PDF · View the filing
Corporate overheads as % of revenue — 7% of revenue
stated as an aspiration by Vivek Pabari
p. 16
“And the corporate overheads going down to, say, 7% of revenue, that takes the adjusted EBITDA to about 11% of revenue from the current 6%.”
Vivek Pabari, page 16 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
Management said price increases are passed through via diesel-linked contracts and DPH clauses, evaluated customer by customer, with no broad pricing increase planned.
Answered by Sahil Barua
Asked by Sachin Salgaonkar: What impact will rising fuel prices have on consumption and cost, and are prices being increased?
p. 7
“We have a natural pass-through process, where our prices are indexed to diesel prices at the pumps, especially in the PTL business.”
Sahil Barua, page 7 of the filed PDF · View the filing
Management downplayed the threat, arguing captive first-party networks are structurally more expensive and less able to prioritize third-party customers.
Answered by Sahil Barua
Asked by Sachin Salgaonkar: What impact could Amazon opening its 3PL network have on competitive intensity?
p. 8
“first party logistics is more expensive than third party logistics.”
Sahil Barua, page 8 of the filed PDF · View the filing
Management attributed it to billing efficiency, disciplined client selection, and improved collections processes across businesses.
Answered by Sahil Barua
Asked by Aditya Suresh: What has driven the reduction in net working capital and how sustainable is it?
p. 13
“Overall, net working capital improvements arise out of systemic investments in improving your billing, improving your collections processes, improving your relationships with your clients and your customers.”
Sahil Barua, page 13 of the filed PDF · View the filing
Management said every SCS project must meet an internal hurdle rate and the business will remain margin accretive.
Answered by Sahil Barua
Asked by Vijit Jain: Is the SCS pipeline going forward margin accretive, and how much will new initiatives cost?
p. 14
“There is an internal hurdle rate that every SCS project needs to pass. We do not pick up projects which do not meet that hurdle rate.”
Sahil Barua, page 14 of the filed PDF · View the filing
Management said the company would only be concerned if a single customer exceeded roughly 35% of revenue, and current levels are well below that.
Answered by Sahil Barua
Asked by Aditya Mongia: What is an acceptable customer concentration threshold, and could the largest client's share be a risk?
p. 15
“if any single customer were to cross 35% of revenues, and I don't really have a very scientific basis for that, to be honest, Aditya, but I think, let me put it this way, at the moment, while it's higher than the 16% that we were at last year, we are absolutely nowhere close to even my made up 35% threshold at this point in time.”
Sahil Barua, page 15 of the filed PDF · View the filing
The CFO explained that capital intensity and profitability improvements would drive ROIC from 16% toward a steady state above 25%.
Answered by Vivek Pabari
Asked by Aditya Mongia: Can ROIC move beyond 20%, and what are the components driving it?
p. 16
“The steady state ROICs, currently we are at 16%, but in a steady state, this number for our transport business can certainly go to 25% plus.”
Vivek Pabari, page 16 of the filed PDF · View the filing
Management said capital intensity is not expected to rise materially and does not anticipate irrational pricing recurring.
Answered by Sahil Barua
Asked by Abhisek Banerjee: Could rising industry growth trigger renewed aggressive CapEx spending as seen previously?
p. 20
“if your question is, are we going to see irrational pricing the way we saw three years ago or four years ago? I think the short answer to that is no, because everybody's seen that movie and knows how it ends.”
Sahil Barua, page 20 of the filed PDF · View the filing
The CFO clarified that Ecom Express integration costs actually reduced OCF, so underlying free cash flow would have been higher without them.
Answered by Vivek Pabari
Asked by Atul Borse: Would the company still be FCF positive excluding the impact of the Ecom Express acquisition?
p. 23
“Ecom Express related cost we have incurred, the integration cost, the OCF has actually been brought down by those costs.”
Vivek Pabari, page 23 of the filed PDF · View the filing
Management explained the reported fleet decline reflects a shift in mix toward variablized per-kilo fleet, not a reduction in tractor-trailers.
Answered by Vivek Pabari
Asked by Atul Borse: Has fleet size reduction reflected efficiency gains or right-sizing after integration?
p. 23
“the only reason you see this fleet is going down is because the share of that per kilo fleet has actually gone up. It has nothing to do with our tractor trailers.”
Vivek Pabari, page 23 of the filed PDF · View the filing
Management said road remains the dominant focus given India's distances, while air will likely continue via commercial passenger belly rather than a captive fleet.
Answered by Sahil Barua
Asked by Dhruv Jain: Does Delhivery see opportunity in modes of transport beyond road, such as rail or air?
p. 23
“I think road still offers a very large and untapped opportunity for Delhivery.”
Sahil Barua, page 23 of the filed PDF · View the filing
Risks flagged
Rising fuel prices could create headwinds on consumption
p. 6
“There's been a 3 rupee increase in prices of the pumps. Obviously, there will be some headwinds on consumption.”
Sahil Barua, page 6 of the filed PDF · View the filing
Tightening labor availability and rising labor costs in India
p. 9
“I think, you know, the labor situation in India continues to tighten. And our anticipation is that this will tighten further in the future.”
Sahil Barua, page 9 of the filed PDF · View the filing
Regulatory changes such as minimum wage increases and gig worker laws affecting cost structures
p. 11
“You are seeing minimum wages going up. You are seeing gig worker laws coming into effect.”
Sahil Barua, page 11 of the filed PDF · View the filing
Volatile start to the new fiscal year
p. 25
“I know it's been a volatile start.”
Sahil Barua, page 25 of the filed PDF · View the filing
Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.