Mahindra Logistics (MAHLOG) Q1 25/26 earnings summary

Executive summary

• New MD & CEO Hemant Sikka emphasized execution, productivity, and long-term value creation after 75+ days in role.

• Consolidated revenue grew 14% year-over-year in Q1 FY26, driven by strong performance in 3PL, Last Mile Delivery, and Express segments, while Freight Forwarding remained stable and Mobility improved profitability.

• Express business crossed ₹100 crore in revenue, with new operational sites in Pune and Agartala enhancing network agility.

• Unaudited consolidated and standalone financial results for Q1 FY26 approved by the Board on 21 July 2025, with limited review by statutory auditors confirming no material misstatements.

Financial highlights

• Q1 FY26 consolidated revenue reached ₹1,625 crore, up 14% year-over-year; gross margin increased 13% year-over-year to ₹153 crore.

• EBITDA increased to ₹76.3 crore from ₹66.3 crore YoY; EBITDA margin stood at 4.7%.

• Consolidated net loss for Q1 FY26 was ₹9.44 crore, compared to a loss of ₹7.84 crore in Q1 FY25.

• Warehousing segment revenue grew 18% YoY to ₹306 crore; Contract Logistics revenue up 18% YoY to ₹1,289 crore.

• Express business revenue crossed ₹100 crore for the first time, but PAT loss was ₹23.9 crore.

Outlook and guidance

• Focus on improving yield in express business, not just volume growth, and on growing integrated logistics with margin expansion.

• Rights issue proceeds to reduce debt and support growth; expected annual interest savings of INR 40–45 crore.

• Rights issue of up to ₹749.27 crore approved, opening 31 July 2025 and closing 14 August 2025, to strengthen capital base.

• Continued investment in technology and automation to drive differentiation and future readiness.