India's Mahindra Logistics posts third straight quarterly loss as expenses rise

Mahindra Logistics

23/10/2023 13:40

BENGALURU, Oct 23 (Reuters) - Indian freight carrier
Mahindra Logistics  MALO.NS  on Monday reported a loss for a
third straight quarter, hurt by mounting expenses and muted
demand. 
    The logistics arm of the tech-to-tractors conglomerate
Mahindra group posted a consolidated loss after tax of 159.3
million rupees ($1.92 million) for the July-September quarter
compared with a profit of 121.9 million rupees a year earlier. 
    A decline in freight rates and increased competition have
hurt Mahindra Logistics' profitability in recent quarters.     
    The company, which competes with firms such as Delhivery
 DELH.NS , reported a marginal 2.9% on-year rise in revenue from
operations to 13.65 billion rupees, which was offset by a 5.1%
jump in its total expenses to 13.80 billion rupees. 
    The company's mainstay segment of supply chain management
incurred a loss of 90.9 million rupees compared with a profit of
765.7 million rupees in the year ago quarter. 
    Shares of Mahindra Logistics closed down 3.2% at 369 rupees
ahead of the results. They had gained 1.3% in the September
quarter. 


($1 = 83.1303 Indian rupees)

 (Reporting by Manvi Pant and Ashna Teresa Britto in Bengaluru;
Editing by Mrigank Dhaniwala)
 ((Manvi.Pant@thomsonreuters.com; +918447554364;))