(Reuters) – Container Corporation of India (CONCOR) reported a 9% rise in second-quarter profit on Tuesday, helped by higher cargo volume.
The state-run logistics company’s consolidated profit before tax rose to 5.26 billion rupees ($62.6 million) for three months ending Sept. 30 from 4.82 billion rupees a year ago.
Revenue from operations rose 4.2% to 22.88 billion rupees, mainly on the back of a near-6% growth in cargo volume. The company incurred a one-time expense of 333.2 million rupees.
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KEY CONTEXT
Sustained growth in cargo volume on the back of steady commercial activity and consumption in the world’s fifth largest economy, has benefitted CONCOR – India’s largest container train operator.
Cargo volume at the company’s mainstay export/import (EXIM) segment increased 3.7% on-year in the reported quarter, while its domestic business reported a 14% growth.
Analysts expect domestic volume growth, helped by freight corridor connectivity, to fuel volume growth as CONCOR has been losing market share to private peers in the EXIM segment.
PEER COMPARISON
Valuation (next 12 Estimates (next 12 Analysts’ sentiment
months) months)
RIC PE EV/EBITDA Revenue Profit Mean No. of Stock to Div
growth growth rating* analyst price yield
s target** (%)
Container 29.67 18.62 15.58 15.78 Hold 7 0.80 1.47
Corporation of
India
VRL Logistics 28.47 10.89 13.57 52.09 Buy 9 0.82 0.94
Mahindra Logistics 44.90 9.03 14.83 NULL Sell 11 0.97 0.61
Aegis Logistics 35.14 22.08 12.43 16.13 Buy 4 0.96 0.71
* The mean of analyst ratings standardised to a scale of Strong Buy, Buy, Hold, Sell, and Strong Sell
** The 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-SEPTEMBER STOCK PERFORMANCE
— All data from LSEG IBES
— $1 = 84.0300 Indian rupees
(Reporting by Hritam Mukherjee and Manvi Pant in Bengaluru; Editing by Eileen Soreng)
Disclaimer: This report is auto generated from the Reuters news service. ThePrint holds no responsibilty for its content.