Delhivery To Foray Into Fintech With New Subsidiary

Alongside disclosing its financial performance for Q2 FY26, logistics major Delhivery announced its plans to foray into the fintech segment today. Its board has considered and approved the incorporation of a new wholly owned subsidiary (WOS) Delhivery Financial Services with an initial investment of INR 12 Cr.

The dedicated fintech vertical would enable Delhivery to provide access to credit, payment, FASTag aggregator, fuel cards and insurance solutions for its partners — truckers, fleet owners, riders, and MSMEs.

“It is intended to operate as a financial layer supporting Delhivery’s logistics network, leveraging the company’s data, reach, and partner ecosystem to enhance liquidity access, mitigate risk, and improve operational efficiency across the logistics value chain,” the company said in a separate filing today.

While the company is yet to incorporate the entity formally with the Registrar of Companies (RoC), CEO Sahil Barua said that the company plans on sharing a detailed business plan by Q4 FY26.

In its post earnings call, CEO Barua said that the financial services business will begin by offering working capital and vehicle financing to truckers operating within its express, PTL, FTL and supply chain networks.

It will initially act as an aggregator for lending partners rather than taking credit exposure on its own balance sheet. “The goal is to support fleet expansion among small operators while also offering add-ons like insurance and fuel benefits,” he noted.

Barua revealed that the proposed unit would be led by Delhivery’s head of financial services Mukul Sachan. Sachan was the cofounder and CEO of Lendingkart Finance for five years till 2019 before taking up the role of managing director at Affinidi Technologies in 2021. He joined Delhivery in July 2025.

On the financial front, Delhivery reported a net loss of INR 50.5 Cr in the quarter under review despite seeing its top line grow 17% YoY to INR 2,559.3 Cr. The company’s bottom line was dented by an INR 90 Cr expense it incurred pertaining to Ecom Express integration within its business.

Delhivery To Integrate Ecom Express Before Timeline

During the earnings call, Barua said the integration of Ecom Express has been faster and cheaper than expected. Of the INR 300 Cr initially projected for integration costs, about INR 90 Cr has already been incurred, with another INR 100 Cr– INR 110 Cr expected over the next two quarters.

“The total cost will be materially lower than its original forecast. The bulk of these costs, related to winding down facilities, employee separation, and tech decommissioning, will be absorbed in FY26,” he noted.

The INR 90 Cr cost incurred during the quarter included INR 15–20 Cr expense connected to shutting down Ecom’s facilities, INR 17 Cr to fulfilment centres previously run by Ecom Express, INR 21 Cr to employee severance, and the rest to shutting down infrastructure and cloud systems.

A small portion of these facilities, under longer lease lock-ins, will continue beyond FY26, while the rest are expected to close this year.

The company also recorded a one-time INR 20 Cr charge related to changes in its FedEx commercial agreement, as it prepares to launch its own economy cross-border service next year.

Delhivery’s New Business Verticals Q2 Performance

While the logistics major is yet to incorporate its fintech entity, it has been working on building two comparatively new segments over the past few months — its B2C hyperlocal service Delhivery Direct and quick commerce fulfillment vertical Rapid. Both verticals recorded modest growth in the quarter.

Rapid, a service that offers delivery in under two hours for ecommerce brands, retailers, and D2C businesses, currently operates 20 dark stores across Bengaluru, Hyderabad, Chennai and Delhi NCR. The company plans on piloting the service in Mumbai by Q4 FY26.

Delhivery Rapid is poised to reach an ARR of INR 80-100 Cr from INR 12 Cr as of now, the company said in its earnings release.

“Based on client demand, we also plan to expand the service to B2B clients in Q3 and Q4FY26,” it noted.

Delhivery’s management said during the earnings call that reducing per-order costs to below INR 50 could significantly widen its addressable market beyond the current INR 800-1,200 Cr niche. So far, the company has invested about INR 15 Cr in this new venture.

On the other hand, Delhivery Direct, under which the company offers local, on-demand pickups, is currently live in Delhi NCR, Bengaluru, and Ahmedabad. The company is planning to expand this service to five more cities by March 2026.

The business currently runs at an ARR of INR 25-30 Cr, with potential to scale to INR 1,000-1,500 Cr in the coming years if the economics improve.

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