Consolidated Quarterly Income up 23% to Rs 400 crore
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Hyderabad, August 07, 2014: GATI Ltd. (NSE: GATI, BSE: 532345) India’s leader in Express Distribution and Supply Chain Solutions, declared its financial results for the first quarter ended 30th June 2014.
In Q1FY’15, the Company’s consolidated net profit stood at Rs 15 crore as against Rs 7.2 crore in the corresponding quarter previous year. The company now delivers close to 6 million packages per month across 657 districts in India.
Segmental Highlights:
1. Gati Kintetsu Express Private Ltd – Express Distribution and Supply Chain Solutions
- For the quarter ended June 30th 2014, the total income for GATI-KWE rose to 17% at Rs 280 crore from Rs 240 crore in the corresponding quarter of last year
- EBIDTArose to Rs 32.4 crore in Q1FY’15 from Rs 23.7 crore in the corresponding quarter of last year, up by 37%
- EBIDTA margins stood at 11.6% in Q1FY’15 compared to 9.9% in the corresponding quarter of last year
- ICRA has upgraded company’s credit rating for long-term banking and short-term facilities from ‘A-’ to ‘A’ & ‘A2+’ to ‘A1’ due to improved performance
- Mr. Bala Aghoramurthy joins as the President and Director of GATI-KWE: He has over 17 years of experience in supply chain management, product development and business operations. He joins GATI-KWE from Unilever’s Food & Refreshment Business, South Asia. He held various leadership positions in supply chain operations, technology, quality assurance, and customer care. Mr. Aghoramurthy will drive the leadership for GATI-KWE to achieve its vision of becoming one-stop-shop for all logistics requirements and also for Gati’s subsidiaries.
2. Gati Kausar (Cold Chain Solutions)
- Gati Kausar registered a total income of Rs 12.3 crore.
- ‘Per drop more crop’ & ‘Farm-to-fork’ strategy: To develop state-of-the-art cold chain facilities with latest scientific technologies across the country to reduce food wastage, root out middlemen thereby empowering farmers to create wealth and face inflation.
3. Gati e-commerce (E-connect)
- For the quarter ended June 30th 2014, E-Connect’s revenues were up 179% at Rs 21.20 crore from Rs 7.59 crore in the corresponding quarter of last year. The business has witnessed a CAGR of 140% for the last 2 years.
- To strengthen the wide range of offerings several new services were launched like: Gati ePack (packaging solutions), Gati ePick (consolidation solution) and Gati Reverse Pick Up (managing the returns from customer to the vendors).
4. Gati Ship
- We have sold one more loss making ship and further divested our stake in Gati Ship, which is now reduced to 48%.
Commenting on the company’s quarterly performance, Mr. Mahendra Agarwal, Founder & CEO, “We at Gati are dedicated to provide value-added and quality services which once again have rewarded us with a good set of numbers. The boom in the E-commerce sector has brought a wave of transformation in the retail space. With a wide range of services offered by Gati’s E-connect, our aim is to reach every nook and corner of the country to enhance the experience of online shopping”.
“The new government’s proposed investment to boost the logistics & infrastructure sector and the re-location of Gati’s office to a new state-of-art space will act as a catalyst to uphold the quality of the processes and end results delivered by Gati”, he added.
About Gati Ltd:
Gati Limited (www.gati.com) is pioneer and leader in Express Distribution and Supply Chain Solutions in India delivers 5.75 million packages per month. Having started as a cargo management company in 1989, Gati has grown into an organization with more than 4,000 business partners and a network reach of 667 out of total 671 districts in India. Gati has over 4500 vehicles on the road excluding their fleet of refrigerated vehicles, container shipping vessels and world class warehousing facilities across India. Furthermore, Gati has a strong market presence in the Asia Pacific region and SAARC countries. Gati has offices in India, Singapore, Hong Kong, China, Nepal and Thailand.