Mahindra Logistics , one of India's leading integrated logistics solutions providers, has reported a mixed set of financial results for the fourth quarter and fiscal year ended March 31, 2025, with significant growth in key segments and a substantial increase in standalone profit.

Financial Performance

Q4 FY2025

• Standalone Profit After Tax (PAT): ₹13.12 crore, up 67% year-over-year (YoY)
• Standalone revenue: ₹1,293.00 crore
• Consolidated net loss narrowed to ₹6.75 crore
• Consolidated revenue: ₹1,569.51 crore, up 8.00% YoY
• Contract logistics grew 9.00% YoY
• Cross-border logistics increased 20.00% YoY
• Last mile delivery expanded 10.00% YoY
• B2B express revenue declined 4.00% YoY, but volumes recovered quarter-on-quarter

Full Fiscal Year 2025

• Consolidated revenue grew 11.00% YoY

Segment Performance

Supply Chain Management

This segment, which includes Contract Logistics, Cross Border, and Last Mile Delivery services, showed strong growth:

Major expansions in warehousing are currently in progress.

Strategic Initiatives

The company highlighted several key initiatives during the year:

• Continued focus on expanding margins through:
  • Increased share of solutions
  • Cost management
  • Turnaround of the express business
• Ongoing major expansions in warehousing

Management Changes and Dividend

• Hemant Sikka appointed as new MD and CEO
• The board recommended a final dividend of ₹2.50 per share

Management Commentary

The company's management emphasized the positive trend of revenue growth, driven by growth in 3PL contract logistics and Express. They noted that for the full year, revenue grew by 11.00%, driven by:

• Account additions
• New offerings
• New launches

Mahindra Logistics continues to focus on leveraging its strengths in integrated logistics solutions and expanding margins to drive future growth, despite challenges in the B2B express business.

Financial Highlights

For the fiscal year 2025, Mahindra Logistics Limited (MLL) reported a robust 10.9% year-on-year increase in consolidated revenue, reaching ₹6,104.83 crore compared to ₹5,505.97 crore in FY24. The company's EBITDA saw a substantial improvement, rising to ₹284.00 crore from ₹229.00 crore in the previous year, marking a 24% increase.

Despite the revenue growth, MLL reported a consolidated net loss of ₹35.85 crore for FY25, which is an improvement from the ₹54.74 crore loss in FY24. The company's EBITDA margin expanded to 4.7% in FY25 from 4.2% in the previous year.

For Q4 FY25, MLL's revenue stood at ₹1,569.51 crore, up 8.2% from ₹1,450.76 crore in the same quarter last year. The quarter saw a significant turnaround in EBITDA, which rose to ₹77.70 crore from ₹56.60 crore in Q4 FY24, representing a 37.2% increase.

Segment Performance

The Supply Chain Management segment, which includes contract logistics, freight forwarding, and last-mile delivery, continued to be the primary revenue driver. This segment reported a revenue of ₹5,789.27 crore in FY25, up from ₹5,177.92 crore in FY24.

The Enterprise Mobility Services segment faced challenges, with revenue declining slightly to ₹320.53 crore in FY25 from ₹333.34 crore in the previous year.

Leadership Transition

In a significant development, MLL announced a change in its top leadership. Mr. Rampraveen Swaminathan will step down as Managing Director and CEO, effective May 4, 2025. The Board has appointed Mr. Hemant Sikka as the new Managing Director and CEO, who will take charge from May 5, 2025.

Mr. Sikka brings extensive experience from his role as President of the Farm Equipment Sector at Mahindra & Mahindra Ltd. During his tenure, he led significant growth in the tractor business and expanded into new areas such as precision farming and agri-advisory services.

Dividend Announcement

The Board of Directors has recommended a final dividend of ₹2.50 per equity share (25%) for FY25, subject to shareholders' approval at the upcoming Annual General Meeting.

Management Commentary

Commenting on the results, Mr. Rampraveen Swaminathan, outgoing Managing Director and CEO, said, "During the quarter, we saw positive trend of revenue growth, with YoY growth of 8% driven by growth in 3PL contract logistics and Express. For the full year, revenue grew by 11% driven by account additions, new offerings and new launches. The B2B express business demonstrated volume recovery in the quarter, combined with cost management."

He added, "We remain focused on expanding margins through share of solutions, cost management, and turnaround of the express business."

Future Outlook

With the appointment of Mr. Hemant Sikka as the new MD & CEO, MLL is poised for its next phase of growth. The company continues to focus on expanding its integrated logistics business, leveraging acquisitions to unlock growth, and building on technology and automation to become a critical differentiator in the market.

As MLL navigates the evolving logistics landscape, it aims to strengthen its position as a leading integrated logistics provider in India, with a clear focus on profitability and sustainable growth.