Porter turns profitable in FY25 with ₹4,339 crore revenue amid fresh fundraise
Bengaluru-based logistics aggregator Porter posted its first annual profit as revenues surged 56% in FY25. Backed by a $200 million fundraise, the unicorn faces rising competition, valuation pressures, and a looming GST hike.
NEW DELHI: Smartshift Logistics Solutions Pvt. Ltd, which operates under the brand name Porter, reported a 56% jump in revenue to ₹4,339 crore in FY25, up from ₹2,784 crore a year earlier. The Bengaluru-based on-demand logistics aggregator also turned profitable, posting a net profit of ₹131 crore compared with a loss of ₹46 crore in FY24.
Total expenses came in at ₹4,208 crore, while standalone operational expenses rose to ₹3,660.38 crore in FY25 from ₹2,368.96 crore in the previous year.
Porter is in the middle of one of the year’s largest fundraises, having already secured $200 million from investors such as Kedaara Capital and Wellington Management. The round values the company at about $1.2 billion and remains open, with the potential to expand to $300 million as additional backers come on board, Mint reported earlier this week.
Founded in 2014 by Uttam Digga, Pranav Goel and Vikas Choudhary, Porter built a multi-category intra-city logistics platform inspired by Uber’s ride-hailing model.
It sought to organize a fragmented market plagued by wafer-thin margins, high fuel costs, and entrenched informal operators. By aggregating mini-trucks and catering to small businesses, Porter created a predictable and scalable system out of what once looked chaotic.
Even so, competition is intensifying. Larger inter-city players such as Delhivery are increasingly encroaching on Porter’s turf. The broader logistics industry, too, has undergone a reset, with companies like Delhivery, Rapido, Shadowfax, and Shiprocket either turning profitable or sharply narrowing losses.
A fresh challenge looms in the form of a revised goods and services tax (GST) regime. Under GST 2.0, Porter’s services may be taxed at 18%, up from the current 5%—a steep increase that could pressure margins in an already competitive market.
India’s intra-city parcel delivery market was valued at $600-800 million in FY25, according to research firm Redseer. Porter holds the largest share in this segment, ahead of rivals such as Rapido, Borzo, Uber and Uncle Delivery, along with several smaller regional players.
The company’s commissions average 14-16% per transaction, supported by steady demand from small businesses and individual merchants.
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