Name: Latest research reports of Mahindra Logistics Ltd. authored by ICICI Securities Limited and published by - Trendlyne research reports.
Item: Mahindra Logistics Ltd.
Rating: 4
Author: ICICI Securities Limited

Underwhelming performance; better prospects ahead

Accumulate: Mahindra Logistics Ltd.

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ICICI Securities Limited

Mahindra Logistics’ (MLL) Q2FY24 EBITDA was significantly below our and street’s expectations. Key points: 1) Express business was underwhelming with EBITDA-level loss widening QoQ to INR 244mn; 2) warehousing & solutions revenue was impacted by a churn; however, gross margin improved 25% YoY; 3) freight forwarding business was impacted by a significant decline in ocean freight rates and deferment of volumes from some telecom contracts.