Blue Dart Express Ltd. share price target

ICICI Securities Ltd | Retail Equity Research BlueDart's (BDE) revenues revived post underperformance over two consecutive quarters. Revenues grew 10.4% YoY (up 8.6% QoQ) to | 720 crore (I-direct estimates: | 665.4 crore). Contribution from B2C...

ICICI Securities Ltd | Retail Equity Research BlueDart's (BDE) results were lower than our expectation across all parameters. Revenue growth remained sluggish for a second consecutive quarter with growth of 1.6% YoY (up 6.7% QoQ) to | 663 crore (I-direct estimate: | 666 crore). Contribution from B2C sequentially grew 200 bps QoQ (down 400 bps YoY) to 22%. Growth in B2B business remains sluggish Addition of new aircraft continues to impact EBITDA margins, which...

ICICI Securities Ltd | Retail Equity Research We recently met the management of Blue Dart Express Ltd, a preferred logistics express service provider across industries on the Air, Ground and e-tailing segments. The company continues to command its market leadership in the organised air express market with ~46% market share. With addition of a freight aircraft in FY16, Blue Dart now operates a fleet of 6 Boeing 757-200 freighters and manages daily dedicated services of ~504 tonnes. This dedicated aviation and ground infrastructure enables...

ICICI Securities Ltd | Retail Equity Research BlueDart's (BDE) results were marginally below our expectations. Revenues for the quarter grew 1% YoY (down 1% QoQ) to | 621 crore. However, contribution from B2C segment declined to 20% vs. earlier 25%. However, the B2B business continues to remain subdued EBITDA for the quarter remained flattish (up 9% QoQ) at | 77 crore. EBITDA margins sequentially expanded 118 bps (down13 bps YoY) to...

ICICI Securities Ltd | Retail Equity Research BlueDart's (BDE) Q4FY16 revenues met our expectations with growth of 10% YoY (down 4% QoQ) to | 630 crore. Contribution from B2C...

Revival in the economy and robust growth in the E-tailing to drive futuregrowth of the company: In the next two years, the revenue of the company is expected to grow at an average rate of 22%. The company provides premium express services to the B2B customers through air and ground express services. Since 2012, India's express delivery service is growing at CAGR of 15% and the momentum is expected to improve further going forward. E-tailing would be the key driving factor for the further growth of the industry, growing at a CAGR of 35% to $20 Bn by 2020. The company is betting heavily on the E-commerce growth story by investing on setting up hubs and E- ulfillment centers both in the major cities, Tier II and Tier III cities. The E-commerce revenue contribution for the company has also grown significantly from just 9% in 2009 to 25% in 2015.