Shiprocket posts Rs 60 lakh PAT as Q2 revenue rises 35%

Shiprocket Limited reported profit after tax (PAT) of Rs 60 lakh in the second quarter of financial year 2027 (Q2 FY27), reversing a Rs 20.3 crore loss a year earlier, while revenue from operations increased 35% year-on-year to Rs 673.6 crore. The September 30, 2026 quarter also produced adjusted EBITDA of Rs 14.2 crore.

How did Shiprocket return to profit in Q2 FY27?

Shiprocket returned to profit as revenue growth, higher contribution and lower finance costs moved PAT to Rs 60 lakh in Q2 FY27. PAT had been a Rs 20.3 crore loss in Q2 FY26 and a Rs 13.7 crore loss in Q1 FY27, making the year-on-year movement a Rs 20.9 crore swing. Shiprocket reported the consolidated result for the quarter ended September 30, 2026, in its November 5, 2026 release.

Adjusted EBITDA reached Rs 14.2 crore in the quarter, while contribution increased 43% year-on-year to Rs 130 crore, equal to 19.3% of revenue. Revenue from operations grew more slowly, at 35% to Rs 673.6 crore, indicating that contribution expanded faster than the top line. Chief Financial Officer Tanmay Kumar attributed positive PAT to Core scale, continued Emerging Business growth and a stronger balance sheet after the repayment of borrowings.

The balance-sheet change affected quarterly profitability because Shiprocket said initial public offering proceeds were used to repay all borrowings. Borrowings stood at Rs 242 crore on March 31, 2026, and were fully repaid during the half year ended September 30, 2026. Kumar said the repayment reduced finance costs and that surplus funds now earn interest income, though the release did not quantify either item for Q2 FY27.

Which Shiprocket segments drove revenue growth?

Shiprocket's Core Business remained the larger revenue contributor, generating Rs 461.5 crore in Q2 FY27 after 25% year-on-year growth. The Emerging Business generated Rs 212.2 crore, growing 61% year-on-year and reaching 31% of total revenue, compared with 26% a year earlier. The Emerging Business therefore added revenue faster than the Core Business and increased its share of group revenue.

The Core Business generated adjusted EBITDA of Rs 59.1 crore, up 29% year-on-year, with its margin rising to 12.8% from 12.4%. Core transactions grew 31% year-on-year in Q2 FY27, exceeding the segment's 25% revenue growth rate. Shiprocket also said it is serving hyperlocal requirements for Core merchants, although the release did not provide separate revenue or profitability figures for that activity.

Within the Emerging Business, marketing technology, now called Fastrr and comprising Ads, Checkout and Engage, grew 102%. Omnichannel revenue grew 79%, supported by brands using Shiprocket to replenish quick-commerce dark stores through appointment-based deliveries, booked delivery slots and purchase-order visibility from platforms including Blinkit and Zepto. Fastrr powered trailing 12-month gross merchandise value (GMV) of Rs 9,140 crore, while fewer than 10% of Shiprocket merchants used a Martech product.

What changed in Shiprocket's Emerging Business profitability?

Shiprocket's Emerging Business reduced its adjusted EBITDA margin loss to 21.2% in Q2 FY27 from 31.5% a year earlier. Its contribution margin rose to 15.4% from 10.1%, alongside 61% revenue growth to Rs 212.2 crore. The release describes this as narrowing losses in the segment, rather than reporting positive segment-level adjusted EBITDA.

The improved Emerging Business metrics coincided with a larger merchant base and greater product adoption. Merchants served through Emerging products rose 75% year-on-year to 62,025 on a trailing-12-month basis, while 9.3% of Core merchants used an Emerging product, up 140 basis points from a year earlier. A basis point is one-hundredth of a percentage point, so the reported increase equals 1.4 percentage points.

Shiprocket said 17,281 merchants joined through Emerging products during Q2 FY27, compared with 5,396 in the corresponding quarter a year earlier, or 3.2 times the prior number. Kumar said Emerging products are now bringing merchants onto the platform directly instead of relying only on cross-selling from the Core Business. Shiprocket did not provide revenue per merchant, retention data or separate profitability for Fastrr and Omnichannel.

What do Shiprocket's scale and cash-flow figures show?

Shiprocket processed 233 million unique transactions across trailing-12-month GMV of Rs 37,398.7 crore and served more than 236,100 active merchants. These scale figures cover the platform as a whole rather than Q2 FY27 alone. Shiprocket also reported more than 14 billion application programming interface (API) hits a month, reflecting use of its technology platform across merchant tools and services.

Operating cash generation increased in the first half (H1) of FY27. Net cash from operating activities was Rs 55.1 crore in H1 FY27, compared with Rs 23.8 crore in H1 FY26, an increase of Rs 31.3 crore. Management cited positive adjusted EBITDA and operating cash flow in its commentary, while the release separately reported the debt repayment that left Shiprocket debt-free at the half-year close.

Product development during Q2 FY27 included Aitlas, which tracks how brands appear in artificial-intelligence search, and AI-based hyper-personalised retargeting journeys created from a single prompt. Shiprocket also added payment-link sharing and discount nudges to Fastrr Checkout, alongside an AI-enabled shipping analytics dashboard intended to identify choked shipping lanes. The release did not assign revenue, merchant uptake or cost figures to these individual products.

Conclusion

Shiprocket's Q2 FY27 result combined a Rs 60 lakh PAT profit with 35% revenue growth, a 43% rise in contribution and Rs 14.2 crore of adjusted EBITDA. The segment comparison is material: the Core Business remained the larger profitable engine at Rs 461.5 crore of revenue and Rs 59.1 crore of adjusted EBITDA, while the faster-growing Emerging Business expanded to 31% of revenue and reduced its margin loss.

The next results will indicate whether the Emerging Business can continue improving from its 21.2% adjusted EBITDA margin loss as Fastrr and Omnichannel scale. Investors can also watch Core transaction growth, which was 31% in Q2 FY27, operating cash flow after Rs 55.1 crore in H1 FY27, and the effect of the debt-free balance sheet after the Rs 242 crore borrowing repayment.