Latest News

India's Shiprocket suffers narrower loss between April and June

Shiprocket, an Indian logistics company backed by Temasek, reported a smaller first-quarter loss on Monday. This was boosted by its core shipping business.

The company's earnings are its first quarterly results since August, when it raised $170 million in an initial public offering.

Shiprocket is a logistics platform that offers shipping, fulfillment, payment and other services to online merchants. It competes with Delhivery, Blue Dart Express and others.

The company reported a consolidated profit of?137.1 millions rupees ($1.45million) for the three months ended June 30. This is down from a loss of 180.3 millions rupees one year ago.

The company reported a profit on a standalone basis, excluding subsidiaries, of 201.6 millions rupees. This compares to a loss of 89.9million rupees the previous year.

Shiprocket’s core business, which includes domestic shipping, software tools and marketing solutions, saw a 28% increase in pre-tax profit to 526,9 million rupees. Revenues from the company's emerging business, which includes cargo and fulfilment as well as cross-border shipping and marketing solutions, increased by 70%.

The company stated that it continues to invest into its emerging businesses which reported a pre-tax profit of 437.5 millions?rupees.

Shiprocket’s quarterly revenue increased by about 34%, to?5.92 billion rupees. However, expenses rose by nearly 31%.

Costs for freight handling and service have increased across the industry, as inflation and network expansion add to costs.

According to a Google and Deloitte study, India's ecommerce market will grow from $90 billion to $250 billion in 2030, as consumers spend more money online.

(source: Reuters)