Allcargo Logistics (ALLCARGO) Q1 24/25 earnings summary

Executive summary

• Sequential improvements across all business segments, with international supply chain showing strong volume growth and improved utilization, especially in LCL and FCL segments.

• Express business maintained operational efficiencies, leading to higher margins and EBITDA growth.

• Contract logistics business expanded with a diversified client base and strong pipeline of new contracts.

• Global demand and higher freight rates drove improved volumes, with positive macroeconomic environment and festive season expected to further boost volumes.

• Unaudited standalone and consolidated financial results for the quarter ended June 30, 2024, were approved by the Board and reviewed by statutory auditors with no qualifications.

Financial highlights

• Consolidated revenue for Q1 FY2025 was INR 3,813 crores (Rs 3,81,281 lakhs), up from INR 3,271 crores YoY and INR 3,398 crores sequentially.

• EBITDA stood at INR 133 crores, down 5% YoY but up 34% sequentially.

• Consolidated PAT was INR 4 crores (Rs 428 lakhs), reversing a loss of INR 12 crores in Q4 FY2024, but sharply down YoY.

• Gross profit for Q1FY25 was ₹794 Cr, up from ₹746 Cr in Q4FY24.

• Net debt at quarter-end was INR 434 crores.

Outlook and guidance

• Sustained recovery in trade volumes expected through year-end, with continued sequential improvements anticipated.

• No specific volume guidance, but management expects to outpace market growth in both LCL and FCL for FY2025.

• Margins in contract logistics expected to remain stable, with potential for absolute margin growth if transport revenues increase.

• Restructuring scheme is under approval, with expected conclusion between January–March 2025.