AVG Logistics Limited demonstrated resilient operational performance during Q3 FY26, maintaining stable financial metrics while advancing its strategic initiatives in green logistics and multi-modal transportation. The company's earnings call highlighted significant developments in sustainable transportation and infrastructure expansion.

Financial Performance Overview

The company delivered consistent financial results across key metrics for the quarter and nine-month period ended December 31, 2025.

CFO Rajesh Rohilla emphasized that these numbers reflect the resilience of the company's integrated logistics model and continued focus on execution excellence across transportation, warehousing, and cold chain segments.

Strategic Green Logistics Initiatives

AVG Logistics achieved several milestone developments in sustainable transportation during Q3 FY26. The company introduced and expanded its LNG-powered fleet, reinforcing its commitment toward green and cost-efficient logistics solutions.

A landmark achievement was becoming the first company in India to commercially deploy 55-ton electric trucks from Tata Motors at Tata Steel's premises for intra-plant and short-haul deliveries. This initiative advances the company's green logistics strategy while supporting Tata Steel's carbon reduction goals.

Infrastructure and Contract Wins

The company secured a significant 6-year lease contract for operating a Parcel Cargo Express Train (PCET) from Indian Railways (Northeast Frontier) connecting Agartala/Guwahati to Delhi/Ludhiana. This contract strengthens AVG Logistics' rail transportation capabilities and multi-modal service offerings.

Additionally, the company entered into a long-term contract with a renowned FMCG company for supply chain management services without any capex requirements, maintaining decent margins.

Fleet and Operational Capacity

Managing Director Sanjay Gupta outlined the company's current operational scale and expansion plans:

The company maintains high fleet utilization rates with only 2-3% of vehicles typically under maintenance or repair at any given time.

Business Segment Performance

AVG Logistics operates across multiple logistics segments with varying profitability profiles. The cold chain segment generated approximately INR80 crores in revenue during the nine-month period, representing a significant portion of overall operations.

The company's warehousing operations span both owned and leased models, with facilities located in Goa, Mysore, Agartala, Ghaziabad, and Panipat. Warehousing margins range between 25-30%, providing stable returns on invested capital.

Market Outlook and Growth Strategy

Management characterized FY26 as a consolidation year for the logistics industry, affected by various market factors. The company invested approximately INR65 crores in capex during the current financial year, expecting benefits to materialize in the subsequent year.

Sanjay Gupta highlighted the favorable policy environment, noting the Government of India's proposed capital expenditure outlay of approximately INR12.2 lakh crore in the Union Budget FY 2026-27. This infrastructure-led growth strategy is expected to improve transit times, enhance asset utilization, and reduce overall logistics costs.

The company targets 15-20% year-on-year growth through network expansion, technology integration, fleet modernization, and strategic partnerships while maintaining its asset-light approach and integrated service offerings.

AVG Logistics Limited has completed the mandatory newspaper publication of its unaudited financial results for the quarter ended December 31, 2025, in compliance with Regulation 47 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Regulatory Compliance

The company submitted copies of newspaper publications to both stock exchanges on February 16, 2026. The financial results were published in Business Line (English) and Haribhumi (Hindi) newspapers as required under SEBI regulations.

Conference Call Details

The company has scheduled a conference call with analysts and investors to discuss the Q3 FY26 financial results:

The conference call will be conducted by Mr. Sanjay Gupta, Managing Director & CEO, and Mr. Rajesh Rohilla, Chief Financial Officer.

Consolidated Financial Performance

The company's consolidated financial results for Q3 FY26 demonstrated steady performance across key metrics:

For the nine months ended December 31, 2025, consolidated revenue from operations stood at ₹40,587.87 lakhs compared to ₹40,380.06 lakhs in the corresponding period of the previous year.

Standalone Financial Results

On a standalone basis, AVG Logistics reported the following performance for Q3 FY26:

Corporate Developments

Several significant corporate changes occurred during the reporting period:

• Leadership Changes: Mr. Himanshu Sharma resigned from the position of Chief Financial Officer with effect from November 21, 2025. The Board of Directors appointed Mr. Rajesh Rohilla as the new Chief Financial Officer with effect from January 23, 2026.

• Subsidiary Changes: AVG Sunil Liquid Logistics Private Limited, a 57% subsidiary, ceased to exist after receiving strike-off approval during the period ended September 30, 2025. The holding company had filed the strike-off application in May 2025.

Business Structure

The company operates primarily in the logistics business, which constitutes a single business segment. The consolidated results include the following entities:

Regulatory Compliance

The financial results have been prepared in accordance with Indian Accounting Standards (Ind AS) prescribed under Section 133 of the Companies Act, 2013. The statutory auditors MSKA & Associates LLP have conducted a limited review and issued an unmodified report on these results. The company remains compliant with the new Labour Codes implemented by the Government of India, with no material impact expected on operations.