Porter Restructures Operations, Lays Off Hundreds of Employees

On October 3, 2023, the Bengaluru-based logistics platform, Porter, announced a significant workforce reduction as part of a restructuring initiative aimed at optimizing its operations. While the company did not disclose the exact number of employees affected, reports from *The Economic Times* indicate that approximately 300 to 350 positions are being eliminated.

In an official statement, Porter described this move as a necessary step in its transition towards becoming a more agile and financially resilient organization. The statement emphasized the difficult nature of these decisions, stating, “We’ve had to make some difficult decisions that affect our people, choices that were not easy and were made after careful consideration.”

Business Consolidation and Funding Efforts

The layoffs reportedly span multiple teams within the company as Porter consolidates its business verticals and streamlines its operations. This restructuring comes at a time when the firm is also focused on securing additional funding. In September, media reports suggested that Porter was nearing a deal to raise between $100 million and $110 million from both existing and new investors. This would bring the total investment in the company to approximately $300 million to $310 million, as part of an ongoing funding round.

Earlier this year, Porter successfully raised $200 million in a funding round led by private equity firms, including Kedaara Capital and Wellington Management. This investment valued the company at $1.2 billion, marking a significant milestone in its growth trajectory.

Company Profile and Financial Performance

Founded in 2014 by entrepreneurs Pranav Goel, Uttam Digga, and Vikas Choudhary, Porter provides both business-to-consumer (B2C) and business-to-business (B2B) logistics solutions. Its services include goods transportation, packers and movers, as well as intercity courier and freight operations. Over the years, Porter has expanded its footprint significantly and attracted substantial investments.

In the financial year 2025 (FY25), the company reported a remarkable 57 percent increase in operating revenue, reaching Rs 4,306 crore. Notably, Porter turned profitable during this period, posting a net profit of Rs 55 crore, a significant turnaround from a net loss of Rs 96 crore in FY24.

As Porter navigates its restructuring and funding efforts, the impact on its workforce and operational efficiency will be closely monitored by industry observers and stakeholders. The company’s ability to adapt to these changes will be critical as it seeks to position itself for future growth in the competitive logistics market.