PREVIEW: India's Blue Dart's margins in focus as expenses climb

Blue Dart Express

27/10/2022 06:23

** Shares in Indian courier services provider Blue Dart
Express  BLDT.NS  fall marginally to 8,239 rupees in morning
trading
    ** Blue Dart is expected to report earnings for the second
quarter after markets close on Friday, with investors likely
looking out for its gross margins performance
    ** To protect its margins from soaring expenses, Blue Dart
last month said average shipment price from next year would be
nearly 10% higher from 2022 levels
    ** ICICI Securities analyst Abhijit Mitra had noted after
its earnings for the first quarter that gross margin per
kilogram, as well as per parcel, had moderated for three
successive quarters
    ** Analysts still said Blue Dart's net income quadrupled for
the first quarter, as the easing of COVID-19 restrictions led to
an increase in demand for its courier services and pandemic-led
online sales boom sustained
    ** The average rating of 7 analysts is "hold," while median
price target is 8,380 rupees, according to Refinitiv
    ** Blue Dart shares have gained nearly 30% this year
 (Reporting by Praveen Paramasivam)
 ((Praveen.Paramasivam@thomsonreuters.com;))