Indian logistics firm Delhivery reported a 65% year-on-year fall in first-quarter revenue, regardless of a robust rise in income, as working prices elevated quicker than revenue.

The corporate posted a consolidated internet revenue of Rs 31.9 crore for the quarter ended 30 June 2026, in contrast with Rs 91 crore a 12 months earlier. Its income from operations rose 27.8% to Rs 2,930.7 crore from Rs 2,294 crore.

On a sequential foundation, income elevated 2.8% from Rs 2,850 crore within the March quarter, whereas revenue fell 55.9% from Rs 72.4 crore.

Different revenue declined to Rs 114.1 crore from Rs 129.9 crore a 12 months earlier, taking whole revenue to Rs 3,044.8 crore, up 25.6%. Complete bills elevated at a quicker tempo, rising 29.4% to Rs 3,011.6 crore from Rs 2,326.6 crore.

Freight, dealing with and servicing prices remained Delhivery’s greatest expense, accounting for about 71.5% of whole prices. They rose to Rs 2,152.2 crore from Rs 1,637.8 crore a 12 months earlier.

Worker profit bills elevated to Rs 429 crore from Rs 352.7 crore, whereas depreciation and amortisation prices rose to Rs 189.2 crore from Rs 147.5 crore. Finance prices have been broadly flat at Rs 33.8 crore, in contrast with Rs 34 crore, whereas different bills climbed to Rs 207.4 crore from Rs 154.7 crore.

Delhivery’s EBITDA bridge confirmed reported earnings earlier than curiosity, tax, depreciation and amortisation of about Rs 142 crore, in contrast with Rs 149 crore a 12 months earlier. The reported EBITDA margin was about 4.9%, down from 6.5%.

The corporate described the working setting throughout the quarter as “significantly difficult”, citing unstable labour availability due to elections and local weather disruptions, geopolitical uncertainty and statutory modifications to labour codes.

Delhivery mentioned it used buffer workers and extra community capability to keep up service high quality, which elevated prices. It expects the extra expenditure to be absorbed by means of income progress over the remainder of FY27.

The corporate additionally mentioned increased world crude oil costs throughout the quarter led to elevated petrol and diesel costs, in addition to increased prices for crude-related consumables.

Delhivery’s gasoline price pass-through mechanisms in its buyer contracts had been activated. The contractual changes are primarily based on month-to-month common gasoline costs and might take as much as one month to movement by means of to income, which means their full profit is anticipated to be mirrored within the second quarter.

Revisions to statutory minimal wages in Haryana, Karnataka, Uttar Pradesh and Punjab additionally led to increased labour prices throughout the community, together with at key working services in Tauru, Haryana, and Hoskote, Karnataka, based on the corporate.

It had begun revising costs throughout shopper contracts in response to the upper enter prices and anticipated the method to proceed by means of the second quarter.

Regardless of the associated fee pressures, Delhivery’s Service EBITDA margin stood at 13.1% within the quarter, in contrast with 13% a 12 months earlier.

The corporate mentioned it anticipated “no change” to its medium- and long-term margin growth trajectory.