TVS Supply Chain Solutions (TVSSCS) Q3 25/26 earnings summary

Executive summary

• Q3 FY26 achieved double-digit revenue growth of 11.1% year-on-year, with Adjusted EBITDA up 31.2% and margin expansion to 7.3%, led by strong performance in India and Europe and robust new business wins.

• Profitability improved, with Q3 profit of INR 25 crore versus a loss of INR 15 crore in Q3 FY25, and consolidated net profit of ₹11.19 crore compared to a loss of ₹23.80 crore last year.

• The acquisition of Swamy & Sons 3PL in India for INR 88 crore, fully funded through internal accruals, strengthens FMCG supply chain capabilities and is expected to be EBITDA, PBT, and ROCE accretive.

• Project One and broader cost initiatives are delivering tangible savings and margin improvements, especially in Europe.

• Financials reviewed by independent auditors with no material misstatements identified.

Financial highlights

• Q3 FY26 consolidated revenue was INR 2,715.8 crore, up 11.1% year-on-year; nine-month revenue was INR 7,970.8 crore, up 6.3% year-on-year.

• Adjusted EBITDA for Q3 FY26 was INR 199.3 crore (up 31.2% year-on-year) with a margin of 7.3%.

• Adjusted PBT for Q3 was INR 24 crore (from a loss of INR 16 crore last year); reported PBT was INR 16 crore after an exceptional cost of INR 9.1 crore.

• Consolidated net profit for Q3 FY26 was ₹11.19 crore; nine-month net profit was ₹98.66 crore.

• Revenue from new business wins in 9M FY26 was INR 683 crore.

Outlook and guidance

• Leadership targets double-digit growth and a 4% PBT margin for FY27, with strong building blocks in place.

• GFS segment expected to benefit from macro tailwinds and trade deals in the next fiscal, while ISCS momentum continues.

• Project One annualized savings of INR 110-120 crore expected to flow into FY27.

• Ongoing monitoring of regulatory changes, especially labor law reforms, with financial impact to be updated as rules are finalized.

• Swamy & Sons 3PL acquisition expected to close in Q4 FY26 and be accretive to EBITDA, PBT, and ROCE.