Logistics start-up Porter lays off 300-350 employees amid restructuring
What's the story
Bengaluru-based logistics start-up, Porter, has laid off around 300-350 employees—about 18% of its team—in a major restructuring move. The decision comes as the company looks to combine its truck and two-wheeler delivery units, eliminating redundancies. The affected employees will be provided with severance pay, extended health coverage, and career transition assistance.
Financial recovery
Financial recovery and funding boost
Porter has made a remarkable financial recovery, turning last year's loss into a profit of ₹55 crore. Porter's revenue grew by an impressive 57% in FY25 to ₹4,306 crore. The company had raised $200 million in May at a valuation of $1.2 billion. It is also in the process of closing another $100-110 million funding round, which will take its total investment to between $300-310 million.
Expansion strategy
Ambitious growth plans
Since its inception in 2014, Porter has onboarded over 300,000 driver partners and caters to two million small and medium-sized enterprises (SMEs). The company provides intra-city logistics and courier services such as on-demand trucking, packing/moving, and enterprise logistics. By 2030, it aims to expand its network to an ambitious 1.2 million drivers and over 10 million SMEs on its platform.
Organizational resilience
Preparing for potential public listing
In a statement regarding the layoffs, Porter said, "We're in the midst of a transition that required a one-time restructuring, aimed at building a stronger, more agile, and financially resilient organization for the road ahead." The company added that these decisions were not easy and were made after careful consideration. This restructuring is part of Porter's larger strategy to strengthen its market position as it prepares for potential public listing.