AVG Logistics Limited has expanded its service portfolio by securing long-term logistics contracts with two companies in the liquor industry. The contracts, finalized under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, are for a period of five years. The company expects this new vertical to generate approximately Rs 25 crores in revenue during FY 2026-27, scaling up to approximately Rs 100 crore in the following financial year. This strategic entry aims to strengthen the company's diversified service portfolio and improve fleet utilization.

Strategic Entry Into Liquor Logistics

The liquor logistics segment is characterized by high entry barriers and the need for specialized handling, which the company noted offers attractive margins compared to regular logistics services. Services provided under this vertical include secure primary and secondary transportation, GPS-enabled fleet monitoring, dedicated vehicles, and customized logistics solutions for manufacturers, distributors, and retail networks. The company believes this expansion will contribute positively to revenue growth and operational efficiencies over the medium to long term.

Sanjay Gupta, Managing Director of AVG Logistics Limited, highlighted that the segment requires stringent regulatory compliance and operational expertise. He noted that entry into this business is expected to strengthen the company's service portfolio while contributing to overall financial performance through improved profitability.

Contract Details

The key terms and parameters of the contracts are outlined below:

The disclosure was made to the National Stock Exchange of India Limited and BSE Limited. The company confirmed that the contracts do not involve any interest from the promoter group and are not related party transactions.

AVG Logistics reported a 105% year-on-year increase in profit after tax (PAT) to ₹10.71 crore for the quarter ended March 31, 2026. This growth was driven by a 349 basis points expansion in EBITDA margin to 19.66% and improved asset utilization. Total income for Q4FY26 rose by 19.4% to ₹176.61 crore, compared to ₹147.91 crore in the same quarter of the previous year. The company’s strategic focus on operational excellence and technology-led efficiencies contributed to the profitability surge.

For the full financial year FY26, the company recorded a PAT of ₹26.17 crore, an increase of 22.71% from ₹21.33 crore in FY25. Total income for the year stood at ₹582.48 crore, up 5.07% year-on-year. EBITDA for FY26 grew by 14.27% to ₹112.45 crore, with the margin improving by 155 basis points to 19.31%. The Board of Directors approved the audited standalone and consolidated financial results at a meeting held on June 23, 2026.

Subsequently, the company addressed a technical discrepancy regarding the submission of these financial results. A mismatch was identified between the Consolidated EPS in the XBRL filing and the PDF version submitted to the Stock Exchange on June 23, 2026. The company clarified that this error occurred due to a technical issue in the XBRL Excel Utility, which inadvertently omitted certain figures during XML generation. AVG Logistics has since rectified the discrepancy and filed the revised XBRL with the National Stock Exchange of India Limited on June 25, 2026.

Strategic Growth Roadmap

The company outlined its AVG Vision 2.0, targeting a revenue of ₹1,250 crore by 2030. This growth is expected to be driven by diversification into high-margin supply chain solutions, capacity expansion, and green logistics initiatives. Key growth engines include Liquid Logistics, targeting ₹24 crore+ annual revenue starting FY26–27, and Industrial Logistics, scaling from ₹12 crore to ₹100 crore+ annually. The company plans a capex of ₹100 crore+ in FY25–26 and ₹50 crore per annum thereafter to support this expansion.

Operational Highlights

Sanjay Gupta, Managing Director & CEO of AVG Logistics, attributed the performance to operating leverage and disciplined execution. The company continued to strengthen its integrated logistics platform through network expansion and deeper customer engagement. Recent operational highlights include a foray into rail-based liquid logistics, land acquisition in Tahliwal, Himachal Pradesh for capacity expansion, and a strategic green partnership with Nestlé India and Ashok Leyland to deploy CNG-powered vehicles.

AVG Logistics operates a fleet of 3,000+ hired and owned vehicles and maintains 8,56,369 sq. ft. of warehousing space across India. The company serves clients such as Nestle, Ferrero, HUL, Maruti Suzuki, and ITC, providing customized solutions across transportation, warehousing, and supply chain management.