TVS SCS Q3 results: Company posts consolidated net profit of Rs 10 crore

TVS Supply Chain Solutions (TVS SCS), part of the Rs 15,000 crore TVS Mobility Group and one of the largest companies under the TVS fold, has posted a consolidated net profit of Rs 10 crore during the third quarter of the financial year 2023-24, compared to Rs 17.2 crore during the same period last financial year.

The company’s revenue from operations was also down by 6.4 per cent during the quarter under review to Rs 2,221.8 crore, compared to Rs 2,373.4 crore during the Q3 of FY23. On a consolidated basis, Q3 adjusted Earnings before Interest, Taxes, Depreciation, and Amortisation (Ebitda) margins expanded 70 basis points year-on-year with strong margin performance in the Integrated Supply Chain Solutions (ISCS) segment. Adjusted Ebitda for the quarter was Rs 173.6 crore.

“Our Q3 performance highlights the inherent strength of our business portfolio. We have been able to grow both revenues and margins in the ISCS Segment business consistently to help drive consolidated margins year-on-year. Our business development efforts continue to deliver results as expected and we see positive demand drivers across our geographies. We are confident in overcoming external challenges in global freight and growing our business profitably,” said Ravi Viswanathan, Managing Director, TVS Supply Chain Solutions.

“Our financial performance for the quarter, highlights our continued focus on operational efficiency which has been complemented with the full benefit of debt reduction. We have thus been able to demonstrate the business’ ability to achieve break-even despite challenging external factors in one of our segments,” said Ravi Prakash Bhagavathula, Global Chief Financial Officer of the company.

The Board of Directors at its meeting held on February 5, 2024, has accorded its approval to the draft Scheme of Amalgamation which provides for the merger of TVS SCS Global Freight Solutions, White Data Systems, SPC International (India) and FLEXOL Packaging (India) which are wholly-owned subsidiaries of the Company, and Mahogany Logistics Services (formerly known as ‘DRSR Logistics Services) with and into TVS Supply Chain Solutions.