Allcargo Gati shares extend losses for third day, drop over 4% after poor Q1 results

The supply chain management company, in its quarterly results filed with the stock exchanges on August 2, reported a 4% year-on-year drop in revenue at ₹410.89 crore in Q1FY25 compared to ₹428.37 crore in Q1FY24. Sequentially, the company’s revenue marginally declined from ₹409.55 crore in the March quarter of FY24.

Allcargo Gati’s consolidated net loss narrowed by 21% to ₹2.17 crore in the June quarter against a net loss of ₹2.75 crore in the year-ago period. Sequentially, the net loss narrowed down by 64.82% to ₹2.17 crore compared to ₹6.17 crore loss in Q4FY24.

Commenting on the results, Pirojshaw (Phil) Sarkari, Managing Director and Chief Executive Officer of GESCPL said, "Our express business performance this quarter has reported gross margins improving to 27%, reflecting streamlined operational cost. EBITDA grew significantly by 11% year-over-year and 33% quarter-over-quarter, reaching ₹20 crore. The volume growth is a testament to our efforts towards improving quality and customer experience despite a strong base.

The logistics firm informed the bourses that last week, on August 2, the company's board of directors approved the allotment of 2,393 fully paid-up equity shares, each with a nominal value of ₹2 each, to employees following the exercise of ESARs.

Allcargo Gati shares closed 2.98% lower at ₹95.1 apiece on the NSE.