India's Blue Dart posts fourth straight drop in quarterly profit

VRL Logistics

27/10/2023 14:24

Oct 27 (Reuters) - Indian courier services provider Blue Dart Express  BLDT.NS  on Friday posted a drop in profit
for the fourth quarter in a row, hurt by increased expenses and muted demand.
    The company, controlled by Deutsche Post  DHLn.DE , said consolidated net profit fell nearly 22% to 730.6 million
rupees ($8.78 million) in the second quarter.
    For further results highlights, click [click here]
    
    WHY IT MATTERS
    Logistic companies have been buffeted by a decline in freight rates, increased competition and higher prices of jet
fuel, which accounts for a large part of their costs. Earlier this week, Mahindra Logistics  MALO.NS  posted its third
straight quarterly loss.
    Blue Dart added two Boeing 737 aircraft in fiscal 2023 to cater to tier-II and tier-III cities, a move, analysts
said, would improve its margins. 
    
 PEERS COMPARISON
        
                                Valuation (next  Estimates (next 12      Analysts' sentiment                     
                                12 months)       months)                                                         
                                                                                                                 
                        RIC     PE      EV/EBIT  Revenue      Profit     Mean      # of analysts  Stock to       Div
                                        DA       growth       growth     rating*                  price          yield
                                                                                                  target**       (%)
 Blue Dart Express                                                                                            
 Mahindra Logistics                                                                                           
 VRL Logistics                                                        Buy                                     
 Container Corp of                                                                                            
    
 * 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-SEPT STOCK PERFORMANCE
 
    -- All data from LSEG
    -- $1 = 83.2062 rupees


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Bluedart Stock Performance JULY-SEPT    https://tmsnrt.rs/3Qu2lng
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 (Reporting by Anuran Sadhu in Bengaluru; Editing by Savio D'Souza)
 ((Anuran.Sadhu@thomsonreuters.com; +91 8697274436;))