New Delhi: Delhivery, an Indian logistic company based in Gurugram, is going to invest in Vinculum, a global software company which allows Omnichannel retailing for brands, brand distributors, and quick commerce companies. This is a 2 stage deal which will allow Delhivery to expand its shareholding in the firm after six months. However, the company did not reveal the value of the transaction.
“Vinculum has built a world-class product that enables omnichannel retailing for brands, and retailers while also powering fulfilment capabilities of 3PLs (third-party logistics) and online marketplaces,” said Rajaganesh S, head of supply chain solutions at Delhivery. “A strategic partnership with Vinculum strengthens Delhivery’s fulfilment solution to brands.”
Adding Venkat Nott, founder, and chief executive officer of Vinculum Group said, “This (investment) lays the foundation for deep tech integration between both companies, tremendous collaboration opportunities, and immense business value for our customers.”
Delhivery Financials
On Friday, Delhivery recorded a consolidated net loss of Rs 159 crore for the fourth quarter in comparison to Rs 120 crore a year back.
The firm’s consolidated total income from operation dropped down by 9 per cent to Rs 1,934 crores for the March quarter as compared to Rs 2,127 crores in the year-ago period.
What do the company have to say?
In its regulatory filing, the firm said, “Adjusted EBITDA margin improved to 0.3 per cent in Q4FY23, against -3.7 per cent in Q3FY23 and incremental gross margin in the core express parcel and PTL (partial truckload) businesses continued to be above 50 per cent.”
The company’s corresponding revenue was at Rs1,777 crore in Q4 for the financial year 2023 as compared to Rs 1,200 crore in Q3FY23. Profits from its PTL services hiked by 19 per cent QoQ to Rs 328 crore in Q4FY23 from Rs 277 crore in Q3FY23 because of increased volumes, which rose through consistently high service quality. PTL volumes rose by 23 per cent QoQ to 318k tonnes in Q4FY23 from 258k tonnes in Q3FY23.
“We were confident of continued improvement in the core Transportation business and overall profitability at the end of last quarter and are happy to report we have delivered both in this quarter as planned,” Sahil Barua, managing director and chief executive officer, Delhivery. “We have aggressive infrastructure and capability expansion plans in place and are confident of the strong start in April and H1 of May continuing through the year.”
