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— Copy of Delhivery Q4 FY26 earnings presentation
“There are now three listed players in the Express logistics space—Delhivery, Blue Dart and Shadowfax. Each plays a slightly different role in the industry. I don’t think XpressBees has any structural advantages compared to the three listed companies, and I don’t see a reason for them to exist,” Sahil Barua, co-founder and CEO of Delhivery, told analysts during Q4 FY26 earnings call.
XpressBees is one of the few remaining players in India’s express business-to-consumer (B2C) logistics market and directly competes with Delhivery. It reported a net loss of Rs 370 crore in FY25 with operating revenue of Rs 2,874 crore.
Barua’s statement came in response to an analyst’s question about whether the logistics industry will see any further consolidation after Delhivery acquired Ecom Express, one of its biggest competitors, last year. However, he did not reveal whether the company also plans to acquire XpressBees.
“I think they (XpressBees and Ecom Express) voluntarily set their balance sheets on fire. I don’t think anybody is going to get into an operating burn environment again,” Barua said.
Delhivery’s fintech ambitions: According to a separate regulatory filing, Delhivery’s board has approved the company’s proposal to set up a new financial distribution and allied services arm.
Delhivery Fintech Distribution Private Limited, the proposed entity, will house the Insurance Corporate Agent business, the distribution of payment solutions such as FASTags and Fuel Cards, the distribution of Telematics devices for truckers, and sector-specific products tailored for vendors, truckers, last-mile delivery agents, and MSMEs.
The company forayed into the fintech sector last year by setting up Delhivery Financial Services, a wholly owned subsidiary.
“Delhivery Financial Services (DFS) is in the process of developing a suite of financial services including insurance and lending to fleet owners and MSME shippers, who remain largely underserved by traditional financial institutions. This will enable bringing them into the larger Delhivery network as direct service providers to us or to our clients,” the company said in its Q4 FY26 shareholder letter.
How is AI impacting Delhivery’s logistics business? According to Delhivery’s management, the company is increasingly deploying AI-based prediction systems across its operations.
Barua mentioned two specific areas where AI has generated tangible cost savings. The first is consignment documentation, a paperwork-heavy process, especially in the Part Truck Load (PTL) segment. Delhivery said most manual documentation work in this segment has been automated.
The second is claims handling. The company no longer requires every claim to be reviewed manually. AI has improved both accuracy and productivity, and the teams that previously handled these tasks have been downsized.
The company also unveiled its proprietary ‘Naksha LLM Suite,’ which combines seven fine-tuned Small Language Models (SLMs) for logistics workflows involving location intelligence, voice, vision and transaction data.
In parallel with software-level AI deployment, Delhivery has also been building autonomous mobile robots (AMRs) for warehouse operations and drones for delivering medicines.
The company has deployed robots to move heavy materials and to load and unload trucks at its mega gateways (large sortation centres) in Mumbai. It plans to expand these deployments to other mega gateways during FY27.
How are new businesses scaling up? Delhivery Local, its on-demand intra-city logistics services, is now operational in six cities. This business vertical clocked an annualised revenue run rate (ARR) of Rs 60 crore in FY26. The company expects to surpass Rs 200 crore in ARR from this vertical in FY27 by strengthening its footprint in existing markets and expanding to new cities.
Meanwhile, Delhivery International, its economy air parcel service launched in December 2025, is operational in four countries — the US, the UK, Canada, and Australia.
“While the Iran conflict has delayed our planned GCC expansion, our overall FY27 launch pipeline remains intact, with 10 destinations expected to be launched by Q2FY27,” the company said.
Including Delhivery Financial Services, the logistics firm invested a total of Rs 76 crore to set up and launch these new businesses in FY26. It has also earmarked an additional Rs 130-160 crore for FY27.
Delhivery’s Q4 financial snapshot
- Transport (Express + Part Truck Load) Revenue: Rose to Rs 2,453 crore, up 38.4% from Rs 1,773 crore in Q4 FY25.
- Express Parcel Revenue: Jumped 46% to Rs 1,832 crore in Q4 FY26, compared to Rs 1,256 crore in the corresponding quarter last year.
- Express Parcel Shipments: Grew 72.5% YoY to 306 million from 177 million in the year-ago quarter.
- Net Profit: Flat at Rs 72 crore on a YoY basis.
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