VRL Logistics (VRLLOG) Q4 11/12 earnings summary

Executive summary

• FY12 revenue rose 27% to Rs 1,135.28 crore, while net profit fell to Rs 41.06 crore from Rs 50.98 crore as costs and passenger-route ramp-up pressured margins.

• Capacity expansion added goods vehicles, buses, car carriers and tankers; growth initiatives included new logistics hubs and a Rs 125 crore private-equity investment completed in April 2012.

Financial highlights

• Total revenue was Rs 1,135.28 crore vs Rs 892.92 crore; revenue from operations was Rs 1,121.12 crore vs Rs 881.96 crore.

• PBT was Rs 62.06 crore vs Rs 70.45 crore; net profit was Rs 41.06 crore vs Rs 50.98 crore.

• EBITDA was Rs 197.92 crore; FY12 financial highlights also listed total income of Rs 1,135.28 crore and net profit of Rs 41.06 crore.

• Finance costs increased to Rs 66.26 crore from Rs 48.75 crore; depreciation and amortisation rose to Rs 69.60 crore from Rs 50.93 crore.

Outlook and guidance

• Management expected passenger operations to benefit as new routes and added buses stabilized, supporting improved revenue and margins in FY13.

• Goods transport growth priorities included higher tonnage, freight opportunities, new transshipment hubs and continued expansion of the Express Cargo division.

• The three-year plan focused on improving the bottom line through business growth, cost reduction and operating-efficiency measures.