Allcargo Logistics (ALLCARGO) Q4 2010 earnings summary

Executive summary

• FY10 consolidated revenue rose 38% YoY to ₹28,899.35m and net profit after minority interest rose 28% to ₹1,659.21m, supported by recovering trade, higher volumes and improved operating efficiency.

• Expanded global reach and integrated logistics offerings; ranked No. 2 in India’s logistics industry and No. 290 overall in the Fortune 500 list.

Financial highlights

• Consolidated total income ₹28,899.35m vs ₹20,895.15m YoY; EBITDA ₹2,983.46m, up 21%; profit after minority interest ₹1,659.21m vs ₹1,299.49m, up 28%.

• Standalone revenue ₹7,303.91m, up 37%; EBITDA ₹1,984.33m, up 25%; PAT ₹1,211.26m, up 24%.

• Consolidated basic EPS after exceptional items ₹12.89 vs ₹11.33; standalone basic EPS ₹9.41 vs ₹8.54.

• Consolidated operating cash flow ₹2,667.77m vs ₹1,874.37m; investing outflow ₹4,448.07m, including ₹4,955.31m of fixed-asset purchases.

Outlook and guidance

• Management anticipated sustained growth in Indian CFS/ICD with rising EXIM trade and containerization, and growth across businesses tied to infrastructure investment.

• Project & Engineering Solutions was expected to benefit from infrastructure expansion; management cited India infrastructure investment reaching 10% of GDP in the 12th Five Year Plan.

• FY11 global recovery outlook remained uncertain; management intended to use downward freight-rate trends in some regions to improve shareholder returns.

• Indian GDP growth was forecast at 9% for FY12; global recovery was expected to continue slowly, with Europe and the UK facing slowdown risks.