Mahindra Logistics (MAHLOG) Q2 26/27 earnings summary

Executive summary

• Q2 FY27 consolidated revenue from operations was ₹2,095.43 crore; net profit was ₹28.87 crore versus a net loss of ₹8.36 crore in Q2 FY26.

• Priorities include profitable growth, execution, operational excellence and capital efficiency; H1 FY27 ROCE rose to 12.9% from 1.7%, and MESPL achieved EBITDA positivity in Q2 and H1.

Financial highlights

• Q2 revenue rose 24.3% YoY to ₹2,095.43 crore; H1 revenue increased 23.8% to ₹4,098.31 crore.

• Q2 reported EBITDA excluding other income was ₹124.0 crore, up 46% YoY; H1 EBITDA was ₹239.4 crore, up 48%.

• Q2 PAT after JV and NCI was ₹26.2 crore versus a ₹10.4 crore loss YoY; H1 PAT was ₹51.6 crore versus a ₹21.2 crore loss.

• Adjusted Q2 EBITDA was ₹60.5 crore, or 2.9% of revenue, versus ₹29.9 crore and 1.8% in Q2 FY26; H1 adjusted EBITDA was ₹117.4 crore.

• H1 operating cash flow was ₹233.30 crore versus an outflow of ₹35.6 crore in the prior-year period; free cash flow was ₹52 crore versus negative ₹210 crore.

Outlook and guidance

• Priorities include scaling Contract Logistics, improving Express profitability, operational excellence and technology-led differentiation, with focus on lane utilization, customer satisfaction and transport costs.

• Management targets 100 bps gross-margin improvement from the prior-year exit level over the medium term; no specific timeline was given, and progress may vary by quarter.

• FY27 CapEx is expected near INR 110 crore, mainly for Contract Logistics and the 2x2 joint venture; approvals are tied to return metrics and project reviews.

• MESPL’s next milestone is PAT positivity; management expects continued investment in technology, network reach, hubs and capacity as it pursues multi-year growth.

• Freight Forwarding is rebuilding in H2, with principal results expected in FY28; Last Mile Delivery is shifting from no-loss operations toward profitable growth.