Delhivery (DELHIVER IN) India
Industrials
At first glance, Delhivery’s FY25 results - its first net profit and positive EBITDA margins - suggest the company has finally scaled and matured. However, Iii argues the turnaround is more cosmetic than fundamental. Favourable revenue recognition policies (contract assets equal to ~30 days of sales vs. a 13-day transit cycle), depreciation changes and halved ESOP charges materially flattered reported profits. Capital allocation remains troubling, with Spoton Logistics revenues collapsing >70% since its INR 16bn acquisition, yet losses effectively buried via amalgamation. Rising impairments, questionable subsidiary accounting and elevated executive compensation add to concerns.
Edition: 221
- 03 October, 2025
2022 Asia IPO pipeline
Aequitas are currently tracking 100+ companies that have filed for IPOs across Asia-Pacific and are likely to list in 2022. Hong Kong continues to be the market with the greatest number of pipeline deals, including Wanda Commercial Management (US$4bn) and Imeik Tech HK (US$3bn). In India, notable filings include Delhivery (US$980m) and API Holdings (US$843m), while the filing for the US$5bn+ LIC IPO is awaited. Elsewhere, the performance of LG Energy’s mega IPO (US$11bn) will set the stage for other large Korean IPOs.
Aequitas aims to cover all IPOs and placements with a minimum deal size of US$100m across Asia-Pacific (ex A-shares), including China ADRs. They ended 2021 with an accuracy rate of 72.4% across 127 IPOs covered and 73.1% across 141 placements.
Edition: 127
- 21 January, 2022