TCI Express rose 11.66% to Rs 1203 after the company reported a 123.9% jump in net profit to Rs 42.57 crore on 17.6% rise in net sales to Rs 279.80 crore in Q4 FY21 over Q4 FY20.
Profit before tax (PBT) surged 114.6% to Rs 54.74 crore in Q4 FY21 as against Rs 25.51 crore in Q4 FY20.EBITDA zoomed 106.3% year on year to Rs 57 crore in Q4 FY21. EBITDA margin improved to 20.3% in Q4 FY21 from 11.6% in Q4 FY20.
The company posted 12.9% rise in net profit to Rs 101 crore while revenue from operations declined 18.2% to Rs 844 crore in the year ended March 2021 (FY21) over to year ended March 2020 (FY20).
Commenting on the performance, Chander Agarwal, MD said, "Q4 FY2021 was the one of the best quarter as the company delivered growth in revenues coupled with significant improvement in margins and profitability. During the quarter, we saw a recovery in Index of Industrial Production especially in the month of March, where our key servicing industries registered a robust growth on both sequential as well as y-o-y basis thereby driving volumes. We also saw a strong pickup in business activity with e-way bill collections increasing by 28% on YoY and 13% on QoQ basis. During the quarter, the company delivered revenue from operations of Rs 280 crore, growth of 17.6% YoY. EBITDA was Rs 57 crore, more than twice as compared to last year. EBITDA margins improved to 20.3% as compared to 11.6% in Q4 FY20 and 17.8% in Q3 FY21. Margin improvement was driven by improvement in both volumes and realizations. In addition, the company was able to pass select cost to the customers as we continue to see increase in fuel prices. Our asset light model has also allowed us to maintain high capacity utilization and various cost control measures adopted during the year has helped us delivered strong profitability."
He further added, "We have incurred a total capex of Rs 55 crore towards two sorting centre. Pune sorting centre construction is completed, and we are waiting for regulatory approval whereas construction of Gurgaon sorting centre is expected to be operational by Q3 FY2022. The company remain committed to drive technology advancement, automation at sorting centre to enhance operational efficiency and therefore we will be spending Rs 50 crore in automation at these centres. During the year, we have opened 25 new branches, which helps us penetrate deeper into the key geographies."
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Commenting on future outlook, Agarwal said, "The company has a clear vision to expand its service offering and create a niche for itself in the new segments. Therefore, I am excited to announce that we have launched two additional value-added service offering called Cold Chain Express and C2C Express. In the Cold Chain Express, we are looking to cater to the growing demand from Pharmaceuticals and Frozen Food packaging companies for Cold Chain logistics. Whereas in the C2C Express! service, we are the India's first company to launch customer to customer express service with multilocation pickup and delivery. We have also appointed separate teams to drive these new businesses offering and to ensure that it is synergistic with existing business. With clear strategic direction, TCI Express is well positioned to drive step up growth in the coming years and create wealth for all stakeholders.
The company's board recommended a final dividend of Rs 2 per equity share for the financial year ended 31 March 2021.
Shares of TCI Express hit a record high of Rs 1,249.20 in intraday today. The counter is up 130% from its 52-week low of Rs 523 hit on 22 May 2020.
TCI Express is an express distributor. The company has been expanding its distribution network locally, with its current 800 offices covering more than 40,000 locations. Its wide spectrum of services comprises surface, domestic and international air, e-commerce, priority, and reverse express services.
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