Delhivery Limited — Q2 FY26
Delhivery reported a strong Q2 FY26 with revenue of ₹2,546 crore (+16% YoY) and EBITDA of ₹150 crore (+163% YoY), driven by 32% YoY growth in express parcel volumes to 246 milli...
bullish
high
✓ Verified against BSE filing
Claim Ledger
Did management answer the analysts?
Every material analyst question, graded on whether management actually answered it — with the verbatim exchange and quantitative claims checked against filed numbers.
80%Questions answered0Evaded / deflected10Questions auditedContradictedNumbers vs filing
Answered
High priority
Express parcel margin outlook and integration cost distribution
Asked by Sachin Salgaonkar, Bank of America
Management provided specific margin ranges, integration cost breakdown, and structural reasons for margin improvement.
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Question
First question, again wanted to understand a bit more on express parcel margins... How should we think about it? ... second question, wanted to better understand about the INR 300 crore kind of envelope in terms of integration cost... third supply chain margin... what has changed for margins to move so drastically up, let's say from 7.2% to 12.8%.
Sahil Barua, Managing Director and CEO
Let me begin with the first one in terms of margins, normative margins 16%-18% in the express business... There is no structural reason why margins gap out at the 18% mark... The INR 300 crore integration cost was our estimate... INR 90 crores of that integration cost has been incurred already... total integration costs will be materially lower than the INR 300 crores... The change indeed is structural... significantly improved engineering, operations, technology, and product capabilities leading to incremental margins.
Partial answer
Medium priority
Demand impact from GST cuts on e-commerce
Asked by Sachin Salgaonkar, Bank of America
Management acknowledged positive impact but did not quantify the demand increase.
no quantification of demand increase
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Question
Again, we saw your comments in terms of what you mentioned on shareholder letter. The question is more from a demand perspective, are we seeing any increase in demand or a pent-up demand where consumers are buying a bit more because of these GST cuts, particularly on the e-commerce side.
Sahil Barua, Managing Director and CEO
There has been some positive impact of the GST cut on the consumer side... There has been overall a net uptick. We see this even in our part truck business to some extent.
Answered
High priority
Normalized growth in express parcel industry and PTL volume growth
Asked by Gaurav Rateria, Morgan Stanley
Management gave specific growth ranges for the market and confirmed PTL growth target.
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Question
how should one think about the normalized growth in this industry? ... Second question is that when you look at the PTL, we were very confident about kind of a hitting 20% number on volume growth. First half is around 15%... do you still expect it to be around 20%?
Sahil Barua, Managing Director and CEO
On the first one... market grows at sort of, you know, 15%-18%, 20% kind of growth rates... in terms of PTL. Yeah, 15% is where we are for H1... I think we'll be very close. We'll probably get to the 20% growth rate overall.
Answered
Medium priority
Reconciliation of peak daily volume metric with quarterly volumes
Asked by Aditya Suresh, Macquarie
Management explained the discrepancy clearly with operational reasons.
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Question
In your press releases... you have kind of referred to this peak volume metric on a daily basis... Could you help square that in terms of like how should I think about what you report as a peak volume versus what you report on a quarterly basis?
Sahil Barua, Managing Director and CEO
No, not really, Aditya. For two reasons. One is there's a big gap between Mondays and Sundays... The average of, you know, sort of 91 million divided by... 100 million divided by whatever, 30 days which works out to some 3 million a day is not exactly correct...
Answered
High priority
Current market share in express parcel
Asked by Aditya Suresh, Macquarie
Management provided a clear range for market share.
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Question
If you had to frame what the market looks like today and kind of your market share, could you help us with what your current understanding is?
Sahil Barua, Managing Director and CEO
I think market share, very hard to put exact numbers to it... prior to the Ecom Express acquisition we were... close to about 20%. Post the Ecom Express acquisition, we are probably closer to somewhere between 27%-30% or so.
Answered
High priority
PTL margin decline despite higher volumes and yield
Asked by Aditya Suresh, Macquarie
Management provided specific reasons and amounts for the margin decline.
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Question
I was a bit confused that you saw better volumes both year on year and sequential. You saw better yield but margin was down. Why was that the case?
Sahil Barua, Managing Director and CEO
Just two things... one is obviously, like I said, there's that INR 6.7 crore additional cost that we had to take during the month of September because volumes got pushed out... The second thing is by virtue of being an integrated network... a certain amount of that cost gets allocated to the PTL business as well.
Answered
Low priority
Nature of INR 13 crore incremental revenue from Ecom Express
Asked by Sachin Dixit, JM Financial
Management clarified the one-time nature of the revenue.
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Question
how do we read this INR 13 crore incremental revenue from Ecom Express... how much of your revenue would actually be coming from the acquisition benefit rather than just INR 13 crore?
Sahil Barua, Managing Director and CEO
It's just that INR 13 crore is just standalone revenue for some contracts which need to be exited... This is not an express parcel revenue... There's a lock-in in that contract. We are servicing it and it'll wash out.
Partial answer
Medium priority
Impact of 3 million extra shipments in October on margins
Asked by Sachin Dixit, JM Financial
Management said margins would be better but did not quantify the improvement.
no specific margin improvement number given
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Question
How sharp a jump can the 3 million drive through? Can you give some color what is happening?
Sahil Barua, Managing Director and CEO
It's very significant is what I can tell you... September plus October, when looked at together, we are well within the margin range that we would have forecasted internally... The October margins will be better than the September margins as a consequence.
Partial answer
Medium priority
Sustainability of increased employee expenses
Asked by Abhishek Banerjee, ICICI Securities Limited
Management linked expenses to volumes but did not confirm if they would revert to prior levels.
no clear answer on whether expenses will normalize
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Question
Was trying to understand the jump up in employee expenses. Is that going to stay or will it normalize? I mean, are there any one offs?
Sahil Barua, Managing Director and CEO
The jump in employee expenses is directly linked to the growth in volumes during the peak period... Manpower levels... are modulated to whatever is the overall volume that we expect to have at a unit economics level. There's actually an improvement.
Answered
Medium priority
Timeline for exiting locked-in facilities of Ecom Express
Asked by Abhishek Banerjee, ICICI Securities Limited
Management provided specific timeline for facility exits.
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Question
you mentioned that you are continuing to pay rent for some of the facilities which you have decided to shut down. I was trying to understand by when will that get sorted?
Vivek Pabari, SVP and Head of Corporate Finance
Different facilities will exit at different points in time. I think there are about three facilities which have a longer lock-in which will continue beyond FY 2026 as well. The rest of the facilities should largely exit by end of this financial year.
Answered
Low priority
Nature of INR 20 crore other services EBITDA line
Asked by Achal Lohade, Nuvama Wealth
Management clearly explained the one-time nature of the charge.
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Question
there is a line of INR 20 crore in the other services EBITDA. If you could clarify what that pertains to and how sustainable it is.
Sahil Barua, Managing Director and CEO
That is related to our cross border business. That is a commercial arrangement between us and FedEx... This is a one time charge. This INR 20 crore charge.
Partial answer
Medium priority
Impact of annual price resets on margins
Asked by Aditya Mongia, Kotak Securities
Management gave directional view but no specific margin impact.
deferred to future negotiations
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Question
could we expect that kind of that benefit starting to flow through into our margins?
Sahil Barua, Managing Director and CEO
Probably Aditya, it's too early because right now I think we don't know what the shape of those negotiations will be exactly... Broadly speaking... it is unlikely that we will see very significant reductions in pricing.
Quantitative claims vs filed numbers
| Claim | Management said | Filing | Verdict |
|---|---|---|---|
| Express parcel margins were 16% last quarter before Ecom Express acquisition | 16% | 3% | Overstated vs filing |
| Service EBITDA margins expected 16%-18% by end of 2026 | 17% | 3% | Overstated vs filing |
| Supply chain margin moved from 7.2% to 12.8% | 12.8% | 3% | Overstated vs filing |
| Volume growth 32% year-on-year in express business | 32% | 16% | Overstated vs filing |
| Express parcel service EBITDA 15.3% for the quarter | 15.3% | 3% | Overstated vs filing |
Filed figures sourced from Screener.in. Claims within a small tolerance of the filing are marked “matches filing”.