Allcargo Logistics has released its corporate earnings for the quarter ending March 31, 2024, reporting a marginal sales increase of 0.10 percent. The company’s sales rose slightly to Rs 3398.33 crore from Rs 3395.10 crore in the same quarter of the previous fiscal year. For the full fiscal year 2023-24, sales decreased by 26.94 percent to Rs 13187.83 crore from Rs 18050.77 crore in the fiscal year 2022-23. The logistics firm reported a net loss of Rs 5.65 crore for the fourth quarter of FY 2023-24, compared to a net profit of Rs 61.56 crore in the corresponding quarter of the previous year.
Additionally, the company’s net profit for the entire year dropped by 76.22 percent to Rs 149.70 crore, down from Rs 629.59 crore in the fiscal year ending March 2023. The firm’s less than container load (LCL) volume decreased by 2 percent in April, recording 724,000 cubic meters compared to 737,000 cubic meters in the same month last year. The full container load (FCL) volume remained stable at 49,000 twenty-foot equivalent units.
Key highlights from the results indicate that the international supply chain business is beginning to show signs of growth, which is expected to accelerate in the second half of 2024. While cost reductions were somewhat offset by severance costs, these costs are expected to conclude by August, leading to cost savings that will support annual increments and help manage Selling, General & Administrative (SG&A) expenses, contributing to bottom-line growth.
The express business has shown significant improvement due to cost reduction efforts, with consistent month-on-month improvements through March. The company remains focused on technology projects, with GEMS 2.0 progressing on schedule at Gati, and various system rollouts at ECU Worldwide, including a new financial ERP, also on track.
Stay informed on supply chain news at The Supply Chain Report. Free international trade tools are at ADAMftd.com.
#SupplyChain #ContainerShippingNews #GlobalTrade #LogisticsTechnologyNews #CostManagementNews
