Mahindra Logistics on Monday reported a net loss of Rs 8.30 crore during the fiscal first quarter of financial year 2023-24 as against a profit of Rs 13.64 crore during the same period last year. It posted revenue from operations at Rs 1,293.22 crore, up 7.8 per cent in comparison to Rs 1,199.90 crore during the first quarter of FY23.
The company posted total income of Rs 1,299.40 crore during the quarter in review, up 8 per cent from Rs 1,202.99 crore during the first quarter of FY23. However, Mahindra Logistics posted total expenses during the quarter at Rs 1,298.83 crore, up 9.7 per cent on-year as against Rs 1,184.02 crore during Q1FY23. The company EBITDA was up 1.4 per cent YoY at Rs 66.7 crore during the quarter.
Mahindra Logistics’ performance across business verticals
In terms of revenue generation across business verticals, Mahindra Logistics’ supply chain management posted revenue at Rs 1,213.76 crore, while its enterprise mobility service recorded a revenue of Rs 79.46 crore during the quarter.
During FY 2022-23, Mahindra Logistics’ 3PL Contract Logistics expanded its warehousing network and solutions, supported by strong recovery in auto and manufacturing. The cross border business vertical posted witnessed ocean freight prices down ~80 per cent YoY, volume growth on-year in air services, extended connectivity to 55 core trade lanes with the support to 200+ locations, and launched air charter services based in the UAE. The last mile delivery segment posted a strong organic growth of 16 per cent and expanded presence to over 200 locations across the country. The B2B Express expanded to 19,000+ pin codes across India, with 270 hubs and branches, and 400+ business associates. Meanwhile, its mobility business expanded with the acquisition of Meru, and is expecting demand to improve in FY24 with return to office being normalized.
“In Q1 FY24, we continued focusing on customer growth and expanding margins across integrated logistics & mobility solutions. Despite the slowdown in some end markets, the 3PL, Mobility and Last Mile businesses demonstrated positive traction on order intake and account expansion,” said Rampraveen Swaminathan, Managing Director and CEO, Mahindra Logistics. “We remain optimistic of positive demand uptick in coming quarters and remain focused on consolidating and leveraging our portfolio,” he added.