Gati Ltd reports Rs 4,557 mn consolidated revenue from operations for Q1 FY19

Gati Kausar witnessed a revenue growth of 9% YoY due to headway in full truckload and SCM business sub-segments

Gati Ltd reports Rs 4,557 mn consolidated revenue from operations for Q1 FY19

August 14, 2018: Gati Ltd, a leader in express distribution and supply chain solutions posted its financial results for the first quarter ending June 30, 2018. In the first quarter of FY19, the company’s consolidated revenue from operations was Rs 4,557 million, up 6.8 percent over Q1 FY18. Consolidated PBT was Rs 83 million and consolidated PAT was Rs 56 million in Q1 FY19.

Gati standalone performance improved sequentially in Q1 FY19, with revenue from operations up 9.6 percent QoQ in Q1 FY19. Profitability has been restored with a slew of management actions including cost control and business mix improvement in the ECOM segment. The company maintains a positive outlook on the ECOM business, basis stronger operational performance and upcoming festival season.

The company’s flagship express distribution business, Gati-Kintetsu Express Private Limited (GKEPL) recorded revenue from operations of Rs 3,010 million, up 7.9 percent over corresponding quarter last year. EBITDA for the division slightly improved to Rs 162mn in Q1 FY19, in spite of certain provisions taken as per the IndAS.

The company’s cold chain division, Gati Kausar, clocked a revenue growth of 9 percent YoY due to headway in both, full truckload and SCM business sub-segments.

Commenting on the company’s quarterly performance, Mahendra Agarwal, Founder & CEO, Gati Ltd said, “While we are pleased with the positive results across the board in the first quarter of the fiscal year, we are mindful that the management needs to continue accelerating the key business levers with rigor to take advantage of the improved demand environment. Overall, we remain focused on executing on our long-term strategy and I feel convinced that our company is on the right track.”