Delhivery Limited , a prominent logistics and supply chain services company, has announced a significant change in its leadership team. Vivek Kumar, who served as the Company Secretary & Compliance Officer, has tendered his resignation, marking the end of his tenure with the organization.

Resignation Details

Kumar's resignation will take effect on March 27, 2024, at the close of working hours. The company disclosed that Kumar submitted his formal resignation letter on March 4, 2024, citing his intention to pursue new professional challenges and opportunities as the primary reason for his departure.

Dual Role and Responsibilities

During his time at Delhivery Limited, Vivek Kumar held dual positions of responsibility. In addition to his role as Company Secretary & Compliance Officer, he also served as the Director of Corporate Affairs. This dual role underscores the significant contributions Kumar made to the company's corporate governance and strategic affairs.

Transition Period

With the effective date of resignation set for March 27, 2024, Delhivery Limited has a transition period of several weeks to ensure a smooth handover of responsibilities. This timeframe allows the company to initiate the process of finding a suitable replacement and facilitating knowledge transfer to maintain continuity in its corporate secretarial and compliance functions.

Acknowledgment and Future Prospects

Kumar expressed gratitude to the Delhivery team for their support throughout his tenure. The company will now focus on ensuring a seamless transition in its corporate affairs and compliance departments following this announcement. Delhivery Limited's ability to maintain strong corporate governance practices during this transition will be crucial for its continued success in the competitive logistics sector.

Delhivery , a leading logistics and supply chain services company in India, has set ambitious targets for improving its operational efficiency and profitability. The company has outlined several key objectives that could potentially boost its financial performance in the coming years.

E-Commerce Margin Expansion

Delhivery expects to significantly enhance its e-commerce margins, targeting a range of 35-40%. This projection indicates the company's confidence in its ability to optimize its operations and increase profitability in the rapidly growing e-commerce sector. The company also notes that there is potential for even higher margins as network usage increases, suggesting scalability benefits in its business model.

Asset Turnover Improvement

In a move to enhance operational efficiency, Delhivery is aiming to achieve a 3X asset turnover for its Express Parcel and Part Truck Load (PTL) businesses. This represents a substantial improvement from the current 2X level. A higher asset turnover ratio typically indicates more efficient use of assets in generating revenue, which could lead to improved overall financial performance.

Return on Capital Target

Delhivery has set an ambitious goal for its return on capital, targeting a rate of over 24%. This metric is crucial for investors as it represents the company's efficiency in using its capital to generate profits. A high return on capital could make Delhivery more attractive to investors looking for companies that can effectively deploy capital to drive growth and profitability.

These targets reflect Delhivery's strategic focus on improving its financial metrics across various aspects of its business. By aiming for higher e-commerce margins, better asset utilization, and improved return on capital, the company is positioning itself for potential growth and increased profitability in the competitive logistics sector.