Blue Dart Express shares witnessed a strong rally of up to 9% on Thursday, driven by two significant developments that boosted investor confidence. The logistics major announced a general price increase for its shipments while also receiving substantial relief in a major GST dispute that had been weighing on the company.

Price Hike Implementation Drives Revenue Optimism

The company announced a general price increase for its shipments, with average shipment prices set to rise in the range of 9-12% effective January 1, 2026. The exact increase will depend on product variability and individual customer shipping profiles, providing flexibility in implementation.

Blue Dart said customers who sign up between October 1 and December 31, 2025, will be exempt from the upcoming general price increase as part of efforts to support new customers and encourage business growth. The pricing adjustment is necessary to maintain speed, reliability, and customer-centric solutions while addressing inflationary pressures, rising airline costs, and the growing complexity of global supply chains.

Major GST Dispute Resolution Brings Relief

The positive momentum was further strengthened by the resolution of a significant GST dispute involving the company's subsidiary, Blue Dart Aviation Ltd. The adjudicating authority has revised the tax demand from ₹421.00 crore to just ₹64.98 lakh, representing a massive reduction of over 99%.

The company confirmed that the revised tax and interest amount has been voluntarily accepted and paid to avoid protracted litigation. This pragmatic approach demonstrates Blue Dart's commitment to resolving regulatory matters efficiently while minimizing operational disruptions.

Strategic Investment and Growth Focus

"The general price increase enables us to continue investing in advanced technology, greener logistics, and network expansion. We will exempt all customers onboarded between October and December 2025, reaffirming our commitment to support businesses as they scale, even amid global challenges," said Balfour Manuel, Managing Director, Blue Dart Express.

In line with its annual practice, Blue Dart undertakes a comprehensive review of its pricing structure to ensure continued service excellence while fostering a sustainable logistics ecosystem. The company emphasized that this pricing adjustment will support investments in technology advancement and network expansion while maintaining service quality standards.

Blue Dart Express subsidiary Blue Dart Aviation Ltd (BDAL) has received significant relief in a major goods and services tax (GST) matter, with authorities substantially dropping a large demand that was raised against the company.

GST Adjudication Order Details

The office of the Commissioner of GST & Central Excise passed an adjudication order on December 30, 2025, addressing a show-cause-cum-demand notice covering the period from April 2021 to March 2023. The company received the order via email on December 31, 2025.

Substantial Relief for Blue Dart Aviation

Following detailed submissions by BDAL, the adjudicating authority set aside the bulk of the proposed demand. Of the total amount raised, demands aggregating to ₹420.14 crores were dropped, largely linked to issues relating to the determination of place of supply and availment of input tax credit.

The authority confirmed only a smaller demand of ₹64.98 lakhs towards input tax credit on materials written off in the company's books of accounts, along with interest of ₹41.72 lakhs and a penalty of ₹6.49 lakhs.

Company's Response and Resolution

BDAL has voluntarily accepted and discharged the confirmed tax and interest amounts to bring closure to the matter and avoid prolonged litigation. The order also formally disposed of the show-cause notice issued by the Chennai South Commissionerate.

The company stated it does not expect the outcome of the adjudication to have any material impact on its financials, operations or other business activities. This resolution represents a favourable outcome for the logistics service provider, with the vast majority of the original demand being set aside by the tax authorities.

Market Performance

Shares of Blue Dart Express ended marginally lower on Wednesday, December 31, by 0.23% at ₹5,530.00 on the NSE, showing minimal market reaction to the positive GST resolution news.