Gateway Distriparks (GATEWAY) Q1 25/26 earnings summary

Executive summary

• Strong year-on-year improvement in performance, attributed to stable volumes, increased market share, and the absence of Red Sea disruption.

• Leading multimodal logistics provider with a network of 10 container terminals, 5 CFSs, and significant warehousing capacity, serving major industrial and manufacturing zones in India.

• Board approved unaudited standalone and consolidated financial results for the quarter ended June 30, 2025, and declared a first interim dividend of Rs. 1.25 per share for FY 2025-26.

• Snowman Logistics, now a subsidiary, is the largest integrated temperature-controlled logistics provider in India.

• Geopolitical and geoeconomic conditions remain but are expected to stabilize; India’s trade deals with the UK, USA, and EU are anticipated to boost long-term EXIM volumes.

Financial highlights

• Q1 FY26 consolidated total income at ₹554.1 crore, up 56% year-over-year; EBITDA at ₹123 crore, up 38% year-over-year; PAT at ₹62.2 crore, margin 11.2%.

• Consolidated revenue from operations for Q1 FY26 was Rs. 55,042.96 lakhs, up from Rs. 35,310.80 lakhs in Q1 FY25.

• Rail business EBITDA per TEU was INR 9,100, slightly down due to higher empty running and lower double stacking.

• CFS business EBITDA per TEU improved to around INR 1,500.

• Snowman Logistics saw a 54% quarter-on-quarter increase in trading and distribution segment revenue, driven by new and existing customers.

Outlook and guidance

• Double-digit volume growth targeted for the year, with Q1 performance seen as a solid base.

• Rail EBITDA per TEU expected to recover to INR 9,500 in coming quarters as double stacking and export volumes improve.

• Long-term strategy focuses on organic and inorganic growth in rail business, leveraging the Dedicated Freight Corridor for improved transit times and capacity utilization.

• CapEx guidance: INR 30 crore per year for maintenance, INR 150 crore per new terminal, and INR 300 crore earmarked for two new terminals.

• Management believes MAT credit entitlement of Rs. 20,862.79 lakhs is fully recoverable based on board-approved projections.