Borzo eyes group-level profitability by FY26, says CEO Alina Kisina

Borzo CEO Alina Kisina said the firm aims for group-level profitability across five markets by March 2026 after turning profitable in India, its largest market, in 2024

Logistics platform Borzo is eyeing consolidated profit across five key global markets by March 2026, nearly two years after turning bottom-line positive in its largest market, India. 

 

The Mumbai-based company, which provides on-demand delivery services to small and medium businesses (SMBs), turned profitable in India in 2024. 

 

“The next step is to bring the whole company to a profitable level by March 2026... In our situation, where we aren’t deeply pocketed, we have to be creative in our solutions and not subsidise our riders or clients. We will never go into a (price) war with our peers,” Alina Kisina, chief executive officer (CEO), Borzo, told Business Standard. 

 

Borzo’s target of consolidated profitability during the current financial year comes on the back of turning profitable in its largest market, India. 

 

With India accounting for over 90 per cent of its 375,000 global clients, profitability at a global level is seen as a natural step. 

It is present in other geographies such as Turkey, Brazil, Mexico and Indonesia. 

 

New models 

 

Kisina said the company was ‘experimenting’ with new business models in India across select cities. One such initiative is testing out a subscription-based model for its riders delivering couriers for clients. 

 

“We are running an experiment with subscriptions where riders don’t have to pay a commission but a one-time subscription fee. It makes them stay on the platform as they will end up earning more,” she said.  

 

The company is introducing these tweaks to its model in a market where gig workers have the option to work with multiple logistics platforms, food delivery aggregators and quick commerce and e-commerce companies.

 

However, testing out subscription-based models may impact India-level profitability in the short term, Kisina said. 

 

“This is an experiment that might impact our profitability because we are not taking a commission. What we want to get in return is a rider’s loyalty and retention that will ensure their stickiness to our platform,” she added. 

 

In India, Borzo is clocking ₹50 crore quarterly gross merchandise value (GMV) with a 10 per cent profitability margin for the past three quarters, according to the company. 

 

India contributes around 60–65 per cent of its total GMV and accounts for 78 per cent of all deliveries. 

 

Focus on riders

 

Currently, the company has 40,000 active riders in India. 

 

Kisina said Borzo had carved a market for itself as, despite gig workers operating across multiple platforms, it enabled higher daily earnings through its focus on long-distance deliveries. 

 

“Most companies in the hyperlocal delivery space do not offer long distance, more than eight kilometres, deliveries where (gig workers) can earn more. There is a certain income tied to it. Riders know that they can earn more in long distance deliveries with us,” she said. 

 

A gig worker’s income is estimated to touch about ₹1,000 to ₹1,500 per day, she added.