Mahindra Logistics Q3 Review - Profit Margins Fail To Recover: ICICI Securities

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..ICICI Securities Report.Mahindra Logistics Ltd. continued to disappoint in Q3 FY22 with lower-than expected Ebitda and profit after tax. Profit after tax margin at 0.5% led to 33% earnings downgrade for FY22E. Warehousing space was flat QoQ, and there was a significant improvement in warehousing yield. Non-Mahindra supply chain management revenues continued to show healthy growth (~18% in Q3 FY22, with warehousing revenues growing ~37% YoY). However, Mahindra SCM revenues declined ~5% YoY on the back of weak auto volumes. Substantial tilt toward warehousing in non-Mahindra business failed to improve margins with a 96 basis points QoQ gross margin drop in the SCM segment in what is construed to be a seasonally strong quarter for Mahindra Logistics: ~ 1 million square feet of flex warehousing solutions were introduced during the current quarter..Click on the attachment to read the full report:.DISCLAIMERThis report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BloombergQuint..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Mahindra Logistics Q3 Review - Profit Margins Fail To Recover: ICICI Securities

Mahindra Logistics Q3 Review - Profit Margins Fail To Recover: ICICI Securities

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