Mahindra Logistics Q1FY2025 net loss increases to Rs 9.3 crore
Mahindra Logistics announced a joint venture with Seino Holdings during the first quarter
Mahindra Logistics (MLL), one of India’s integrated logistics & mobility solutions providers, reported a net loss of Rs 9.3 crore for the first quarter of financial year 2024-25 compared to a net loss of Rs 8.6 crore in Q1FY2024.
Revenue from operations increased 10 percent to Rs 1,420 crore from Rs 1,293 crore in the corresponding period last year.
Mahindra Logistics reported a moderate demand environment with contract logistics experiencing a nine percent YoY revenue growth in Q1FY25, says an official release.
"Other highlights:
*Freight forwarding business saw a 12 percent QoQ increase, driven by a growth in demand for inbound ocean cargo.
*The express business saw an improvement of two percent YoY in revenue and a 16 percent YoY reduction in PAT losses driven by continuous cost optimisation.
*Mobility and last mile delivery continued their improvement journey.
*Warehouse space under management in the 3PL business stood at over 20 million+ square feet. The company launched its state-of-the-art BTS warehouse at Guwahati during the quarter.”
Mahindra Logistics announced a joint venture with Seino Holdings during the first quarter, aiming to offer integrated logistics solutions to Japanese auto and auto-ancillary customers, the release added.
"Despite the muted demand environment, the quarter gone by saw healthy order booking in 3PL and cross border business," says Rampraveen Swaminathan, Managing Director and CEO, Mahindra Logistics. "The cross-border business saw good traction, driven by a growth in demand for inbound ocean cargo. The mobility, last mile delivery and auto outbound logistics business 2x2, continued their improvement journey and delivered a healthy performance. Earnings were impacted due to extended start-up costs, coupled with higher manpower and warehousing lease costs. The express business was impacted by lower volumes, which was offset by our cost optimisation initiatives. We expect to see strong improvement in the overall operating performance in the later part of the year."
Swaminathan has been reappointed as Managing Director and CEO of the company for five more years - from February 4, 2025 to 3 February 3, 2030.
