Allcargo Logistics declared its corporate earnings for the quarter ended 31 March 2024, with a sales growth of merely 0.10 per cent.
The logistics firm reported a 0.10 per cent negligible increase in sales to Rs 3398.33 crore, compared to Rs 3395.10 crore in the fourth quarter of last fiscal year.
While in the full fiscal year of 2023-24 sales fell 26.94 per cent to Rs 13187.83 crore Rs 18050.77 crore in the FY 2022-23.
Allcargo Logistics reported a net loss of Rs 5.65 crore for the fourth quarter FY 2023-24, compared to a net profit of Rs 61.56 crore for the same quarter of last fiscal year.
Furthermore, the firm’s net profit for the entire year decreased significantly by 76.22 per cent to Rs 149.70 crore in the quarter, against Rs 629.59 crore in the fiscal year that ended in March 2023.
Besides, Allcargo Logistics' less than container load (LCL) volume decreased by 2 per cent in April to 724,000 cubic metres from 737,000 cubic metres in the same month last year, the exchange filing showed.
The filing further highlighted that in comparison to the same period last year, the full container load (FCL) volume came in flat at 49,000 twenty-foot equivalent units.
Key Highlights of the results showed that the international supply chain business is showing early signs of growth expected to pick up in the second half of 2024.
While cost reductions were somewhat offset by severance costs, these costs will conclude by August. The resulting cost savings will support annual increments and help manage SG&A (Selling, General & Administrative) expenses, driving bottom-line growth.
The express business showed significant improvement due to cost reduction efforts, with consistent month-on-month improvements until March.
The company remains focused on technology projects, with GEMS 2.0 progressing on schedule at Gati, and various system rollouts also on track at ECU Worldwide, including a new financial ERP.
