Mahindra Logistics Ltd. (MLL), one of India’s integrated logistics & mobility solutions providers, today announced its unaudited consolidated financial results for the quarter and half year ended 30th September, 2024.
Mahindra Logistics registers revenue of Rs. 1,521 crores in Q2 FY25 as compared to Rs. 1,365 crores, its EBITDA is Rs.66 crores as compared to Rs 54 crores in Q2 FY24, and its PAT loss is Rs. 10.7 crores compared to Rs. 15.9 crores in Q2 FY24.
Overall Revenues during Q2 FY25 demonstrated a strong growth of 11.5% on YOY across businesses. Continued the focus on expanding capacity and making investments in the Eastern and North Eastern region, focussing on warehouses, delivery stations and express logistics. We expect these investments to be accretive to our growth across businesses in the later part of the year. The revenues for Freight forwarding the business grew by 65% on YoY basis on the back of improved pricing in Ocean freight. The ongoing geopolitical conflicts continue to impact the cross-border market and remain a key monitorable.
The losses for the Express business were reduced by 32% on YoY basis, driven by continuous cost optimization. The EBITDA losses were also reduced by 10% on QoQ basis. Growth in volumes continues to be a key priority for the business as it progresses towards an EBITDA breakeven. 3PL business proactively geared up and built capacity to meet the increased demand during the festive peak in Q3 FY25. Warehouse space under management in the 3PL business stood at over 21.6 Mn. Square feet.
Commenting on the performance, 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. 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 believeH2 will be stronger driven by the festive peak and impact of margin improvement programs across all the businesses.”
