The 11 reports from 4 analysts offering long term price targets
for Mahindra Logistics Ltd. have an average target of 585.00. The consensus estimate
represents an upside of 1.32%
from the last price of 577.40.
Mahindra Logistics (MLL) continued to report its normalised performance at pre-Covid levels in its auto segment (28% YoY growth due to weak base and QoQ largely flat). However, the non-auto segment declined QoQ (down 16% QoQ, up 29% YoY due to weak base), which the management has clarified was affected by seasonality (non-festive season), indicating the growing importance of e-commerce and flex-warehousing solutions in its revenue mix. Enterprise mobility solutions continued to face headwinds due to lower utilisation of buses by companies, as most employees continued to work...
In its Q4FY21 earnings call, Mahindra Logistics' (MLL) management spoke about its vision to triple revenue by FY26, driven by formalisation, auto recovery, service expansion and integrated solutions to customers.
Mahindra Logistics' (MLL) Q4FY21 net income increased 58% YoY on 28% revenue growth in the SCM segment, even as the enterprise mobility business remained weak.
Strong Auto recovery and benefits out of FY20 orders Mahindra Logistics' (MAHLOG) Q3FY21 consolidated revenue grew by a strong 15% YoY to `10,467mn led by SCM (+24%YoY) while the mobility segment lagged (60% YoY). The revenue were driven by recovery in auto, mainly tractor demand , benefit of new contract wins contribution of top-20 clients now below 60%, support of festive demand and further sustained growth in non-M&M; side despite some impact of supply-chain disruption in the cross-border consumer...
During Q3, the company saw peak volumes in processing and fulfilment solutions, higher transportation volumes and also, focused on customers with a pan-India presence, servicing them with flex solutions. It also developed and expanded presence in grocery and essentials. On the auto front, MLL saw higher ton-mile coverage and strong growth due to festive season, good Kharif output. Also, e-commerce, consumer pharma, FMCG and apparels continued to show double digit gains during the quarter. However, during the quarter, the company also saw some of its gains getting...
Higher SCM revenues as ramp up seen in E-commerce and Consumer segment Mahindra Logistics (MLL) reported strong sequential numbers on the back of higher SCM revenues and income-tax refunds. Supply Chain Management (SCM) segment reported a revenue growth of 6% YoY in Q2FY21 as ramp-up in E-commerce and Consumer segment (constituting 50% of Non-M&M; SCM revenues) drove 17% YoY growth in Non-M&M; non-automotive segment. Expect recovery in automotive demand from 2HFY21 and scale up of new contracts won...
MLL posted better-than-expected performance for Q2FY2021 led by rebound in its SCM business revenue growth at almost pre-COVID level. E-commerce and consumer drive non-M&M; segment revenues. The company added 0.8msf warehousing space and introduced Flexi Warehousing...
Buoyed by traction in key client segments e-commerce, consumer, pharma, tractors Mahindra Logistics' (MLL) topline decline eased to 2% YoY, ahead of our estimate of a 14% drop.
Social distancing norms have made it challenging for companies to maintain turnaround times & also led to higher logistics costs. Specialised 3PL companies in such environments can provide reduced logistics costs, better turnaround time to each client on greater efficiency, lower capex, better utilisation level vs. each company's internal logistics operations. MLL ended with ~400 clients in FY20 and expects 30-40 client additions each year. SCM segment sees normalised performance A strong QoQ pullback was seen across segments (PTS is still a laggard)...
New business landscape looks promising for 3PL companies With introduction of newer norms (social distancing) and regulations shoved into the sector, it is becoming challenging to maintain turnaround times for customer for various companies, with increased labour costs. A 3PL company in such an environment can provide reduced logistics costs, better turnaround and also reverse logistics to each client company due to greater efficiency, lower capex and running the operations at better utilisation levels compared to each company internal logistics operations. MLL ended with...
MLL is one of the major players in the rapidly growing Indian 3PL industry (~ US$6 billion in FY17), which has been growing at a CAGR of 18-20% over the last few years. The growth is driven by higher gamut of logistics operations being outsourced by manufacturers to 3PL players. MLL possesses key success enablers like bouquet of end-to-end logistic services, asset light model and presence in high growth industries along with support...
Scaleable asset light model amid huge market opportunity MLL is one of the major players in the nascent but rapidly growing Indian 3PL industry (~US$6 billion in FY17), which has been growing at a CAGR of 18-20% over last few years. The growth is driven by a higher gamut of logistics operations being outsourced by manufacturers to 3PL players. MLL possesses key success enablers like bouquet of end-to-end logistic services, asset light model and presence in high growth industries along with support of anchor client (M&M;) enabling it to grow in line with industry growth....
Increased revenue share from the non-Mahindra business (especially FMCG, e-commerce) would enable higher warehousing revenues, providing better gross margins and translating into enhanced profitability for the company. Rising importance of services like inbound, outbound and in-factory logistics would enable 3PL players to get a higher wallet share of the clients business with increased client dependency. We maintain our BUY rating with a...
We recently met Mahindra Logistics (MLL) CFO, Yogesh Patel, to get a sense of the rising importance of the third party logistics (3PL) business and MLL, in particular, in the GST era. MLL is one of the largest 3PL players in the country, with over 350 clients. The company is primarily into providing customised logistics solution to clients, while at the same time staying asset light, as assets required for the operations such as vehicles and warehouses are owned by ~1500 business partners (~1000 business partners in SCM and ~500 in PTS business). On the business front, MLL...
