Exceptional demand results in Delhivery to invest up to Rs.300 crores

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Delhivery is an Indian supply chain service provider, founded at Gurugram. Apart from India, the company delivers its services to China and the United States. The Company provides last-mile delivery, payment collection and processing, warehousing, reverse logistics and processing, third-party and transit warehousing, technology integration, vendor-to-customer shipping and customized logistics solutions

To meet the increased demand for more prepared players in the sector in the wake of COVID-19 pandemic, Logistics firm Delhivery is planning to invest up to Rs 300 crore in 18-24 months on expansion, including increasing fleet size and setting up of trucking hubs according to a top company official

The organization is planning to increase around 150 trucks to its fleet apart from launching trucking terminals in Delhi, Mumbai, and Bengaluru as it lays eyes on clocking revenue close to Rs 7,000 crore in the subsequent 24 months, up from Rs 2,800 crore last year.

Delhivery Chief Executive Officer & Co-Founder Sahil Barua told PTI that their total capital investment over the next 18-24 months is going to be in the range of Rs 250-300 crore. The company is planning to launch three of the largest trucking terminals in the country in Delhi, Bangalore, and Mumbai

Sahil Barua also mentioned that their fleet all put together is 300 vehicles. The company is planning to expand to about 400-450 vehicles over the next 18 months

Barua says that from the company’s position, the COVID-19 impact does exist. The reality is that there has been a rising shift of companies who want to work now with more organized players in logistics. Earlier the industry was more unorganized. Delhivery’s business has been able to grow recently due to huge demand in the logistics sector

At present, the company is making about 1.5 million orders a day in their express business. It also handles close to about 3,000 tonnes of cargo a day. That’s around 50 percent higher than what it was the previous year. The company’s revenue progress expects to grow at least 35-40 percent this year

Sahil Barua concluded by saying that Delhivery is an extremely well-capitalized company to meet its investment requirements considering the backing of its investors, which include the Canadian Pension Plan and Soft Bank, among others.

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