India's Blue Dart Express posts Q2 profit fall on higher expenses

Blue Dart Express

11/11/2024 14:55

Nov 11 (Reuters) - Indian courier delivery platform Blue Dart Express  BLDT.NS  reported a drop in
second-quarter profit on Monday as a rise in expenses offset strong freight volumes.
    The company's consolidated net profit was 628.4 million rupees ($7.5 million) for the quarter ended
Sept. 30, down 14% from a year ago. 
    Its revenue from operations climbed 9.4% to 14.48 billion rupees, while total expenses jumped 11.4%.
    For further earnings highlights, (click here)
    
    KEY CONTEXT
    Logistics companies in India have been struggling with persistently high expenses and tough
competition, especially from the logistics arms of e-commerce platforms such as Amazon  AMZN.O . 
    However, these companies have signalled a recovery in freight volumes on the back of a pickup in
economic activity. 
    Moreover, analysts have said Blue Dart's volume growth has been boosted by the addition of new
freighters to its network. 
    
    PEER COMPARISON
    
                                              Estimates (next 12         Analysts' sentiment        
                                                   months)                                          
                   RIC        PE     EV/EBI  Revenue     Profit    Mean      # of     Stock to      Div
                                     TDA     growth (%)  growth    rating*   analyst  price         yield
                                                         (%)                 s        target**      (%)
 Blue Dart          BLDT.NS   41.55   18.85    14.25      35.60    Hold            5      0.99         0.31
 Express Ltd                                                                                        
 Delhivery Ltd      DELH.NS   84.79   32.76    17.07     1628.78   Buy            20      0.69           NA
 Container          CCRI.NS   31.94   19.29    14.12      14.47    Buy             7      0.88         1.38
 Corporation of                                                                                     
 India Ltd                                                                                          
 Mahindra           MALO.NS   44.93    8.60    14.86       NULL    Sell           11      0.94         0.60
 Logistics Ltd                                                                                      
 * Mean of analysts' ratings standardised to a scale of Strong Buy, Buy, Hold, Sell, and Strong Sell
 ** 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 TO SEPTEMBER STOCK PERFORMANCE
-- All data from LSEG
-- $1 = 84.3660 Indian rupees

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JULY TO SEPTEMBER STOCK PERFORMANCE    https://tmsnrt.rs/4fBISef
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 (Reporting by Kashish Tandon and Manvi Pant in Bengaluru; Editing by Mrigank Dhaniwala and Shreya Biswas)
 ((Kashish.Tandon@thomsonreuters.com; 8800437922;))