Gati Limited (GATI) one of India’s leading premier Express Distribution and Supply Chain Management company, has reported its unaudited financial results for the quarter ended December 31, 2022.
Financial Highlights for Express Business – Q3FY23 & 9MFY23
| Particulars (in ₹ Crs) | Q3FY23 | Q3FY22 | Y-o-Y | 9MFY23 | 9MFY22 | Y-o-Y |
| Revenue | 379 | 353 | 7.3% | 1,114 | 923 | 20.7% |
| EBITDA | 20 | 16 | 28.5% | 60 | 32 | 88.7% |
| Profit Before Tax (PBT) | 0.5 | 5 | -90.0% | 12 | -1 | LP |
LP: Loss to Profit
For Q3FY23, Fuel stations revenue grew by 7% Y-o-Y, for 9MFY23 the growth stood at 13% Y-o-Y
Commenting on the results Mr. Pirojshaw (Phil) Sarkari, Chief Executive Officer of Gati Limited said:
“The company has recorded highest ever quarterly revenue for Q3 FY23 which stands at ₹379 Crores. This performance reflects companies’ focus on customer delight and Operational efficiency. Express business revenues for 9MFY23 stood at ₹1,114 Crores registering a growth of 20.7% as compared to last year. The gross margin expansion remains on track. This growth is on the backdrop of infrastructure amplification, digitisation and sales acceleration initiatives upon which the company has embarked. In the next phase of infrastructure development, we’ll be setting up four surface transhipment hubs in Bengaluru, Hyderabad, Indore and Kolkata.”
Despite a tough economic scenario, the company has been able to maintain its performance. Logistics sector is poised for exciting times ahead given its pivotal role in sustaining GDP growth. The government also recognises this and has increased its focus capital expenditure for rail and road infrastructure development.
The push to multi-modal connectivity and supply chain development with increased focus on technology and digital enhancement will have multifaceted impacts on the industry. The Urban Investment Development Fund will enhance connectivity and provide faster transportation in tier-2 and tier-3 cities. Government incentives along with improved consumer sentiments will lead the nation on the path of sustainable growth.
Gati aims to enhance customer experience and operational excellence on front-end digitisation that include CRM system for managing customer relationships, sales acceleration with cluster-based approach, data science and digital payments.
Hub modernisation and enhanced automation will lead to better efficiency which will translate to higher volumes. Gati has launched strategically located state-of-the-art and tech-enabled surface transshipment centre (STC) in Nagpur recently, with this now we have four operational hubs in Mumbai, Farukhnagar and Guwahati. Keeping an eye on improving the cost, company has launched over 20 EV’s for first mile and last delivery.
