“We were growing at about 32% compounded annual growth rate (CAGR) earlier,” Bansal said. “This year we have seen growth of about 68% in the first half.”
He said around 55% of recent growth came from e-commerce deliveries, while over 80% growth in the hyperlocal segment was driven by quick commerce platforms. The company expects this trend to continue over the next four to five years.Also Read | NSE IPO may not be a 10x story from here, but a steady compounder, says Gurmeet Chadha
Bansal said the company’s largest customer is Meesho, one of India’s biggest e-commerce platforms by delivery volumes. The top five customers together account for about 74% of revenue, down from 88% a year ago, indicating diversification.
Shadowfax is also seeing rapid growth from direct-to-consumer (D2C) brands. These include online-first companies and offline brands selling directly through digital channels. D2C brands contributed about 25% of revenue last year and remain the fastest-growing customer segment.
The company turned profitable in the fiscal year 2024-25 (FY25) and has maintained profits since then. Vaibhav Khandelwal, Co-founder & Chief Technology Officer, Shadowfax Technologies said value-added services such as reverse logistics, open-box deliveries and same-day delivery are a key driver.
“A good 40% of our express business comes from these services,” he said.
Express parcel deliveries account for about 70–75% of total orders and close to 40–45% of overall revenue. These services, combined with scale, are the main levers for margin expansion.Bansal said operating leverage is critical in logistics, where companies must invest heavily in networks to reach customers. Shadowfax currently delivers to more than 2,500 cities.
“Our margins have expanded as we scaled,” he said. The company reported EBITDA margins of about 2% last year, rising to nearly 2.9% in the first half of the current year.
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Bansal said mature global logistics firms operate at margins in the “early teen” range over time, though he did not give a target for Shadowfax.
He also highlighted the company’s focus on capital efficiency in an industry where many startups have failed.
“We have delivered 10 back-to-back quarters of profitability,” he said, adding that the company raised about ₹1,200 crore and spent roughly ₹700–750 crore before breaking even.
Shadowfax has fixed the price band for its IPO at ₹118 to ₹124 per share, targeting a valuation of about ₹7,170 crore. The issue opens on January 20 and closes on January 22, 2026. Investors can apply for a minimum of 120 shares, or ₹14,880 per lot.
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