*Mahindra Logistics 2QFY22 Result First-cut (Consol)*
*Inline numbers, Non-auto portfolio continues to gain traction*
========================
*Concall* – 28th Oct (Tomorrow) at 04:00PM
Dial in: +91 22 6280 1309/ 7115 8210
Regn. Link: https://bit.ly/3vLRtVU
========================
*Headline Numbers*
# Sales at Rs. 10,191mn, up 22% yoy, up 17% qoq, 11% above EE.
Strong growth in revenue was driven by growth from new wins in E-commerce, Consumer & Freight Forwarding. Warehousing and solutions revenue grew by 26% yoy
# EBITDA at Rs. 500mn, vs EE of Rs.463mn, up 34% yoy, up 11% qoq,
# EBITDA margin 4.9% vs 5.0% EE; EBITDAM expanded 43bps yoy but declined 24 bps qoq.
# Recurring PAT at Rs. 98mn, inline EE of Rs. 99mn, down 35% yoy, up 5% qoq
========================
*Segmental details*
# SCM sales grew 22% yoy / 16% qoq;
Mahindra SCM grew 16% yoy/10% qoq while Non-Mahindra SCM grew28% yoy/24% qoq
Auto (SCM) grew 16% yoy while Non-Auto grew 30%yoy
# EM sales grew 42% yoy / 22% qoq
# SCM gross margins came in at 9.9% (vs 10.7% in 1QFY22, 10.1% in 2QFY21), *Higher fuel costs impacted margins in 2Q (Pass through is generally with a lag)*
# EM gross margins at 8.2% (vs 7.9% in 1QFY22, 5.5% in 2QFY21)
========================
*Others*
# *Freight forwarding continued to grow strongly (+65% yoy) and its margins also recovered sharply in 2Q*
# Net cash stood at Rs. 1.9bn as on the end of 1HFY22 vs Rs. 2.24bn as on the end of FY21.
# CFO stood at Rs. 891mn for 1HFY22 vs Rs. 2,938mn in FY21
# Demand from the auto industry remained stressed due to shortage of semi-conductors
# During the quarter, MLL added 1.3 mn sq ft of grade 'A' warehouse capacity but overall warehouse space reduced to 17.2mn sqft (as it let go of some stockyards). *Overall revenue per sqft per month improved to Rs 41 (all time high, Rs 29 in 1QFY22)*
Regards,
Depesh Kashyap