Delhivery, a leading player in the logistics sector, witnessed a 6.8% surge in its shares, reaching INR 389.35 during intraday trading on Thursday, a day following the inauguration of its largest mega-gateway in Bhiwandi, one of India’s major trucking terminals. However, the shares experienced a slight dip and were trading at INR 388.15 on the BSE at 2:30 PM IST.
The logistics unicorn announced the launch of its Bhiwandi trucking terminal in an exchange filing on Wednesday. Spanning an expansive land area of 1,200,000 square feet, the facility integrates automated hub, sortation, returns, and freight operations, with the ability to handle Delhivery’s parcel and part truckload freight volume concurrently.
The terminal’s cutting-edge automation system, developed and implemented by Falcon Autotech, features 1.8 kilometers of integrated double-deck cross-belt sorters and over 5 kilometers of material conveyance systems. Delhivery stated that the facility is capable of processing more than 32,000 shipments and 17,000 freight units per hour.
Sahil Barua, Managing Director, and CEO of Delhivery, commented, “Our expanded Bhiwandi gateway will enable us to increase capacity for Mumbai and the West Zone’s large and SME freight shippers while maintaining world-class service reliability and efficiency.”
Delhivery boasts a nationwide network covering over 18,600 pin codes, providing diverse logistics services, including express parcel transportation, PTL freight, TL freight, cross-border, supply chain, and technology services.
In the Q2 FY24 financial report, the logistics startup posted a net loss of INR 102.9 Crores, marking a 59.5% year-on-year (YoY) decline. Adjusted EBITDA loss also saw a significant YoY reduction of 90%, reaching INR 13 Crores during the quarter.
A recent research report by ICICI Securities indicated that Delhivery is anticipated to witness a reversion to adjusted EBITDA profitability on a sustainable basis from Q3 FY24. This positive outlook is attributed to the upward trend in ecommerce shipment volumes after a year-long lull.
As of now, Delhivery’s shares have experienced a year-to-date increase of over 10%.
