(Reuters) -Container Corporation of India reported a higher quarterly profit on Tuesday, lifted by strong cargo volume growth at its export-import and domestic businesses.
Consolidated net profit for the state-run rail logistics carrier rose to 3.79 billion Indian rupees ($43.12 million) during the July-September period, compared with 3.65 billion rupees a year ago.
Revenue from operations rose about 3% to 23.55 billion rupees, buoyed by a 10.5% jump in cargo volumes.
For further earnings highlights, (click here).
KEY CONTEXT
The September-quarter usually precedes India’s festive period — which ran from late-September to end-October this year — when higher consumer spending on items such as apparel and electronics fuel demand for logistics services.
That bump in consumption, coupled with steady commercial activity, sustained cargo volumes growth for the company.
Volumes at its export-import business, which forms 67% of the topline, rose 9%, while domestic cargo volumes jumped about 17%.
PEER COMPARISON
Valuation (next Estimates (next 12 Analysts’ sentiment
12 months) months)
RIC PE EV/EBITDA Revenue Profit Mean No.
of Stock to Div
growth (%) growth (%) rating* analyst price yield
s target** (%)
Container 25.67 16.32 11.16 12.55 Hold 14 0.90 1.76
Corporation of
India
Mahindra Logistics 41.82 7.42 14.33 648.20 Hold 9 0.96 0.67
Blue Dart Express 37.97 13.95 10.00 27.36 Buy 4 0.90 0.41
Delhivery 67.43 32.52 15.44 118.91 Buy 22 0.85 NULL
* The mean of analyst ratings standardised to a scale of Strong Buy, Buy, Hold, Sell, and Strong Sell
** The ratio of the stock’s last close to analysts’ mean price target; a ratio above 1 means the stock is trading above the PT
JULY-SEPTEMBER STOCK PERFORMANCE
— All data from LSEG
— $1 = 87.8950 Indian rupees
(Reporting by Hritam Mukherjee in Bengaluru; Editing by Sahal Muhammed)
