Mahindra Logistics Shares in Focus: Released Q2 FY25 Results

Mahindra Logistics Ltd. (MLL), a leading provider of integrated logistics and mobility solutions in India, has released its unaudited consolidated financial results for the quarter and half-year ending September 30, 2024. The company reported a significant increase in revenue and improved financial metrics, reflecting positive growth trends across its various business segments.

In Q2 FY25, MLL achieved consolidated revenues of ₹1,521 crores, up from ₹1,365 crores in the same quarter last year, marking an 11.5% year-over-year growth. The EBITDA increased to ₹66 crores from ₹54 crores, while the loss before tax (PBT) improved to ₹(5.0) crores compared to ₹(8.2) crores in Q2 FY24. Additionally, the loss after tax (PAT) decreased to ₹10.7 crores from ₹15.9 crores, with diluted earnings per share (EPS) improving from ₹(2.21) to ₹(1.50).

1H FY25 Performance

For the first half of FY25, MLL reported revenues of ₹2,941 crores, compared to ₹2,658 crores in H1 FY24. The EBITDA rose to ₹133 crores from ₹120 crores, with PBT slightly improving to ₹(7.5) crores from ₹(7.6) crores. The PAT loss was reduced to ₹20.1 crores from ₹24.5 crores, and the diluted EPS improved from ₹(3.40) to ₹(2.79). The company is focused on expanding its capacity, particularly in the Eastern and North-Eastern regions, with investments aimed at enhancing warehouses, delivery stations, and express logistics. MLL anticipates that these initiatives will drive growth in the latter part of the year.

Commenting on the performance, Mr. Rampraveen Swaminathan, Managing Director and CEO of Mahindra Logistics Ltd. said, “During the quarter, we saw strong revenue performance with year-on-year growth of 11.5%. Our 3PL contract logistics, cross-border and last-mile delivery segments registered strong growth driven by account additions, new offerings and a stable cross-border pricing environment. During the quarter, we expanded our offerings for transportation & green logistics. “

He further added, “We continue to expand the overall network, with new infrastructure expansions in the east to support warehousing, last mile and express segments, which should help drive future growth. With the upcoming peak in Q3, we have expanded capacity and resources in contract logistics and last-mile delivery, having a seasonal impact on operating earnings in the quarter. A soft demand environment and operating conditions impacted the express business. We believe H2 will be stronger driven by the festive peak and impact of margin improvement programs across all the businesses.” 

On October 22, 2024, at 10:27 AM, Mahindra Logistics shares opened at ₹498.10 and touched the day low of ₹468.90, reflecting a fall of 4.30% from the previous close.

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