Ladies and gentlemen, good day and welcome to the Allcargo Logistics Limited Q3 and nine-month FY 2026 earnings conference call. As a reminder, all participant lines will be in the listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing star then zero on your touchtone phone. Please note that this conference is being recorded. I hand the conference over to Suyash Samant from Stellar IR Advisors. Thank you and over to you, sir.
Thank you. Good afternoon, everyone, and thank you for joining us today. We have with us the senior management team of Allcargo Logistics Limited, Mr. Ketan Kulkarni, Managing Director and CEO, Mr. Deepak Pareek, Chief Financial Officer, and Mr. Sanjay Punjabi from the investor relations team. Management will be sharing operating and financial highlights for the quarter and nine months ended 31st December 2025, followed by a question and answer session. Please note this call may contain some of the forward-looking statements, which are completely based upon the company's beliefs, opinions, and expectations as of today. These statements are not a guarantee of the company's future performance and involve unforeseen risks and uncertainties. The company also undertakes no obligation to update any forward-looking statements to reflect developments that occur after the statement is made. I now hand over the conference to Mr. Ketan Kulkarni.
Thank you, and over to you, sir.
Thank you. Suyash, thank you very much. Good afternoon, everybody, and a warm welcome to our Q3 and nine-month FY 2026 earnings conference call. Thank you very much again for joining us and taking time out from your busy schedules. Our financial results and the earnings presentation for the quarter and the nine months ended December 2025 have been duly uploaded on the stock exchanges, and we trust you have had an opportunity to review them. Starting with the macroeconomic environment, India continues to remain among the fastest-growing major economies, with GDP growth projected at approximately 7.3%. This momentum is being supported by the mother of all deals with Europe and also the recent tariff announcements by the Indian and American governments. Strong domestic consumption, resilient urban and rural demand, and sustained infrastructure-led expansion will further be the tailwinds for Bharat's progress.
Even in the recent budget announcement, the government's FY 2027 CapEx outlay has been increased to INR 12.2 lakh crore. This is a step up in CapEx focus, essentially on accelerating infrastructure, creation of road, railways, ports, logistics park, multimodal connectivity, training centers, et cetera, which will all support manufacturing, export, MSME development, and robust GDP growth. This will also democratize production, manufacturing, and consuming centers in the country. The continued emphasis on large-scale infrastructure spending is hence expected to drive higher freight movement, improve the logistics efficiencies, and reduce overall supply chain costs. We've recently seen the announcement that the overall cost of logistics in the country has been reduced by few percentage points. All this augurs very well for the logistics industry, especially the organized industry in which we operate and business over the medium and long term is very optimistic too.
Key operating indicators further reinforce this. E-waybill generation under GST reached INR138.4 million in December 2025, representing a robust 23.6% growth. This reflects a strong momentum in consumption, movement of goods across the country, and essentially a very buoyant economic environment. GST collection for January 2026 stood at INR 1.93 lakh crore, up 6.2% year-over-year. Steady growth in both e-waybill volumes and GST collection points to a sustained strength in domestic trade. On the business front, the third quarter of financial year 2026 for us has been a transition quarter. Allcargo Logistics focused on quality and profitability. Our actions have led to visible improvements resulting in better yields and reduced costs. My colleague, Deepak Pareek, Chief Financial Officer, will further dwell into this.
Express business profitability improved in comparison to the same period last year. This came on the back of yield improvement and cost control measures. We also witnessed very strong and steady improvement in on-ground activity, leading to market share gain for us. The growth in the CL Contract logistics for us, consultative logistics was muted as certain e-commerce customers deferred their expansion plans. Our underlying client relationships across e-commerce, automotive, chemical remain very, very strong. As we focus on efficiency-led profitable growth and continue to strengthen our digital capabilities through cloud platforms, data analytics, control towers, upgraded WMS, et cetera, we will focus on unlocking new growth levers. Transportation and full truckload will be a focus area. With integration behind us, we expect EBITDA and PBT to grow faster than revenue in the coming quarters.
With that, I would now like to hand over the call to Deepak, our CFO, who will take you through the financial performance for the quarter and the nine-month period. Thank you once again for your continued support and your participation. It is a pleasure, as always, to be on the call with all of you all. Have a good afternoon. Over to you, Deepak.
Thank you, Ketan, for that detailed overview. Good afternoon, everyone, and a warm welcome to all of you on our Q3 and nine-m onths FY 2026 earnings call. I will go through the financial results for the quarter ended 31st December 2025. During Q3 FY 2026, Allcargo Logistics handled a total volume of 313,000 metric tons. The realizations per ton for Q3 FY 2026 came in at INR 11,610 per metric ton, which is 2% up year-on-year and 0.4% up from last quarter. The net cash stands at a healthy INR 88 crores. Moving to the consolidated financials. Revenue for the quarter stood at INR 516 crores versus INR 519 crores in the same period last year. It was INR 537 crores in the last quarter.
The gross profit for the quarter stood at INR 153 crores, which is in line with our year-on-year and quarter-on-quarter basis performance. The EBITDA for the quarter stood at INR 61 crores, which is also in line with year-on-year and quarter-on-quarter performance of the company. On nine-month basis, the revenue reached INR 1,544 crores, a 7% growth from same period last year. The EBITDA came in at INR 174 crores, representing 9% growth as compared to last year. Coming to the Express business financial highlights, which we have shared in the presentation also. The revenue for the quarter stood at INR 364 crores as compared to INR 372 crores during the same period last year. It was INR 377 crores in the last quarter.
The EBITDA from the business for the quarter stood at INR 18 crores, representing a 19% growth year-on-year basis and 6% sequentially. This growth in profitability has come on the back of our prudent decisions to improve service quality, strengthen profitability, managing costs, and all the measures which Ketan addressed in his detailed overview. On nine-month basis, the revenue reached at INR 1,081 crores vis-à-vis INR 1,073 crores in same period last year. The EBITDA came in at INR 44 crores in line with the same period last year. This was on the Express business. Moving on to our Consultative Logistics business financial highlights. The business has a warehouse space under management of 8.1 million sq ft as on the close of December 2025. The revenue from the business for Q3 FY 2026 stood at INR 153 crores, up 5% year-on-year.
The EBITDA from the business for Q3 FY 2026 stood at INR 46 crores, which is a 2% growth on year-on-year basis. On the nine-month performance, the revenue reached at INR 464 crores, a robust growth of 23% from same period last year.
The EBITDA came in at INR 135 crores, a strong 16% growth from last year too. With this, I would like to open the floor for question and answers. Here, I would like to end my discussion, and thank you for your participation in our earnings call. Over to you, Suez, to take on the question and answer.
Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on their touchtone telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question is from the line of Rehan Saiyyed from Trinetra Asset Managers. Please go ahead.
Good afternoon, everyone, and thanks for taking my question. I have a couple of questions. First, on your tech and AI implementation, I just want to understand how it is working. You have introduced Gen AI enablers and an integrated control tower into your ecosystem. From an operational standpoint, has the tech already resulted in measurable improvements in vehicle turnaround times or a reduction in spillage load during this steady quarter?
Hi. Sorry to tell you, but your question was, due to bad voice quality, not received very well here. I do not know if others on the call had a similar experience. If others have not had that experience, I would request somebody to sum up the question so we can take the answer.
Can I repeat the question again?
Your voice quality is the same.
Mr. Saiyyed, I would request you to please rejoin the queue and check your network connectivity, please.
Please hear me now. Hello.
Still you are cracking a bit.
Now? Hello.
Yeah. Please proceed.
Yeah. So my first question is around your tech and AI implementation. So you have introduced Gen AI enablers and an integrated control tower into your your ecosystem. So from an operational standpoint, has the tech already resulted in measurable improvements in vehicle turnaround times or a reduction in spillage load during this steady quarter? This is my first question.
We could hear your first question clearly. Thank you for your patience and understanding in repeating it. It was on AI and control tower. I think clearly through our numbers, you will see the focus was on to improve service quality, strengthening profitability and managing costs. The tech integrations are also a part of that responsibility that they took upon themselves. So whether it is AI in generating docket shipment directly from reading a barcode and without manual intervention, whether it is AI in terms of classifying the thousands of emails that come and the service quality intervention that we need to do and where, whether it is the control tower that maps all our vehicles on the nation's roads 24/ 7, whether it is the app that tracks our Gati associates on the nation's street that deliver about six shipments every second.
All this, the platform of tech that we have enabled, and we will continue doing so. A huge credit goes to that tech piece.
Okay. It is very helpful. My second question is around, if you can give this understanding a bit around sector-specific strategy that you are doing. You are focusing on the auto and engineering and consumer fast-moving segments for cross-selling synergies. Are there any specific sub-sectors within food and pharma, which currently makes up 22% of your revenue mix, where you plan to deploy the new life science and healthcare temperature control solutions mentioned in your growth accelerators?
Okay. Let me again repeat your question so that I can answer it better. You want to know about the sectors. You also want to know about food and pharma and where.
Yeah.
life science and, sorry.
Healthcare temperature.
And temperature controlled areas. Would you like to know about this on the express side or the TL side?
On the TL side.
On the TL side. Wonderful. I will address your question on the TL side. On the life science and temperature control, that is already a subset of our food and pharma that you can see there. Within the pie, the contribution is much, much low. In our interaction with food and pharma companies and life science companies, we are seeing a huge white spot. We already do dipstick of temperature controlled in some of our facilities for pharma customers. That is an area that we would like to further focus on. The 3% contribution will definitely improve going ahead. Why we have a head start is because of our expertise in chemical, where we handle hazardous material, which is a degree of difficulty more than doing food, pharma, e-commerce, auto, engineering.
We are seen as the experts on the table, and Allcargo Logistics is the preferred service provider for chemical, and we will leverage that advantage as we move into the food and pharma lifelines and temperature control sector.
Okay. I look. And last one, just a quick question.
Sorry to interrupt, Mr. Saiyyed. Please rejoin the queue for more questions.
Oh, sure. Okay.
Yeah. Thank you. The next question is from the line of Adarsh from Meakin Capital. Please go ahead.
Hi, sir. Am I audible?
Yes, Adarsh.
Yes. Thank you for taking my question. I have two questions. My first question is, following the recent mass resignations of the MD, CFO, and the CS in November of 2025, could you please provide some clarity on the new leadership's immediate priorities?
The new leadership, the new MD, the CFO, and the CS are already in place.
We have our priorities or are they the same?
Sorry, please repeat your question.
My question, have our priorities changed with the changes in the management?
Have the priorities changed?
Yes.
I will have this question answered by Deepak Pareek, our CFO.
Thanks, Ketan. I would answer in two parts to your answer. We had the transition of management. We had the scheme of merger, which was effective on 1st October. That has resulted in management shift or a mandatory change in management. The Allcargo Logistics, which was undertaking various businesses, mainly ISC, the International Freight Management, that has moved out towards the bridge company. The management team of that company also have been domesticated into the other new company. Allcargo Gati, which is merged with Allcargo Logistics. The management team of Allcargo Gati have now been given the responsibility to manage this business under the name of Allcargo Logistics. Nothing changes on a broader horizon. Just that the team which was managing earlier Allcargo Gati is now managing Allcargo Logistics. Hope that answers your question.
The priority remains the same, focus on service quality, enhancing business further, and enhance shareholder value, profitability.
Okay, thank you. My second question is, regarding the 10.2% hike that has been effective this January.
Sorry to interrupt, Adarsh.
Yes.
There is a lot of background noise from your end.
Okay. Am I audible now?
Still, when you are speaking, we can hear some disturbance from your side.
How about now?
Can you please use your handset now?
Yes, I am using my handset. Am I audible?
Yeah. Please proceed now.
Yeah. My second question was, with the 10.2% price hike effective this January, what is your strategy to prevent volume leakage to competitors like Delhivery? How much of this increase will directly flow into the EBITDA margin for the coming quarters?
I will take the first half of your question, and maybe Deepak can join me in the second half of the question. The price increase that we have announced becomes effective from 1st of January. You have seen that there is a yield improvement, which is essentially reflecting in the gross margin and the EBITDA margin improvement. We are very cognizant that the business operates on two important pillars. One is the yield pillar, and the second is the volume pillar. Going ahead, we will balance both of these. We have a data science team that constantly looks at swings that happen by product, by geography, by customer. Whatever interventions are needed, they are proactively taken. We are focused on both levers because we need to deliver growth. We are very, very clear on that front, and we need to deliver profitable growth.
We are very clear on the second aspect of the business. Over to you, Deepak.
Yeah. Thanks, Ketan. Pricing is very important for our business, and we use, as Ketan mentioned, the data science trying to price all our products in a very optimal manner which has market acceptability and all. If you see in our presentation on the express side, we have given the price realization number, which has gone up by 2%.
The growth will be slow, but definitely the focus is there on that number to grow. Whatever delta will straightaway have an impact flow through in our EBITDA. That is on express and also on contract logistics, it is engagement-driven business, where you would require a lot of contracting for a longer space, where a lot of value add needs to be provided in the service. We are doing that. Ketan, in the earlier question you covered on the AI bit on the service enhancement improvement levels, that will also result in the delta on that business front also in a similar manner. That is what we anticipate as we go to the next quarter.
Got it. That answers my question. Thank you.
Thank you.
Thank you. The next question is from the line of Vikram Kotak from Crest Capital and Investments. Please go ahead.
Hi. Thank you so much. Is that audible?
You are.
Yes.
Sure. Thank you. I have one question for Deepak on the very maintenance question about what is the current net worth as on December, and what is the net cash level for the company?
Net cash level we have mentioned in the presentation, which is INR 88 crores.
Exactly. Okay. And what is the net worth as on December 25?
Net worth would be INR 500 crores. INR 350 crores.
Okay.
And then.
My second question to Ketan on slide 17 about Vision 2030. Can you take us to what are the drivers for getting this growth till 2030? What are the synergy benefits you are seeing between the merger of AGL and Gati, both qualitative and quantitative? Are you taking any, what do you say, inorganic growth in this vision statement? Three questions on the vision side. Thank you.
Please repeat your third question. I got your first two.
Okay. Vision 2030, the targets which you set.
I got.
Is that any inorganic side also, it's only organic side? Thank you.
Okay. Oh, M&A and acquisition side.
Exactly. Yeah. Absolutely.
What we have projected here as of now is organic growth.
Okay.
We are very clearly going to drive a growth strategy that is based on our current platform and grow that organically. Drivers on the express side for that growth are going to be improvement in service quality based on tech. I kind of covered that earlier. What that does is allows us to go to customers, show value to them, and ask for the volume at the right yield, giving us a better flow through, which is invested back into the business through infrastructure, tech, et cetera. Profitable growth, as I have said, I think twice earlier, will be the key lever to drive this. We will always be an asset-light model. That continues to be a focus. If you see our numbers, you will see the cost reduction focus in general and admin expenses, in employee expenses.
All these levers essentially resulting into what you will see on the right-hand side of the sheet. In terms of synergy, we have already drawn up a team that will look at customers on the CL side of the business and the express side of the business. A lot of conversations have already begun with large customers on how we can play integrated role that is much more deeper in their supply chain ecosystem. And we are getting a lot of positive moves from the customer side. I cannot name a customer, but as recently as.
Sure.
The month of January itself, we signed a major multinational third party logistics player that operates for large automotive MNC, and now is consuming both services and was previously consuming only one aspect of our business.
Right.
Very focused on driving that part.
Yeah, that's a great answer. What will be a tech budget, annual tech budget for us? Technology budget.
Ketan mentioned, we are not a CapEx-led model.
Yeah.
We are more an OpEx model. So most of our tech initiatives are under that framework. So in terms of putting in any new architecture, we have an outlay of INR 12 crores for the next.
Okay.
Financial year or full financial year.
Okay. Super. Thank you. All the best to you. Thank you so much.
Thank you for your question.
Yeah.
Thank you. Before we take the next question, a reminder to all. If you wish to ask the question, please press star and one. The next question is from the line of Rushabh from RBSA Investment Managers LLP. Please go ahead.
Hello. Am I audible?
Yes, you are.
Please go ahead.
I just want to understand on the vision that you said that you are targeting 20% EBITDA CAGR from FY 2025 base. After looking at the nine-month numbers so far, we are only grown at 9%. What is giving that confidence that you will be able to grow? Hello?
Yeah. We got your question. This vision statement or strategy pack which was shared in our analyst meet covers three years. Primarily, we are looking at FY 2027, FY 2028, and eventually going to the five years. This year, if you see the numbers which we shared, we have a 7% growth as of December. The measures which we have taken in this quarter or the previous quarter which we also shared in the earlier earnings call, the focus on service quality improvement enhancement. On that regard, certain investment had to be done in terms of operating costing enhancement. That has started giving us a result now. If you see quarter-on-quarter, express business has shown a growth. This quarter coming in the next quarter also, it will continue.
Express business and even contract logistics business, the growth has to be in a steady manner, which actually now the current year, FY 2026, we are confident of achieving that. Next year, I think the strategy overall will play in a very faster manner. FY 2027, FY 2028 is the year which we are banking on very positively, and we are optimistic that the target set in both next year will be achieved.
I just want to understand the volume front and just the surface express side. We have been hovering around the INR 3 lakh tons mark since I think many years. What steps are we taking to increase volumes? Because ultimately that will only drive our cost down. I understand that there will be a little bit of mix change from your key accounts to your MSME accounts, which are not affecting volumes, and maybe that is reflected in the realization. Is that the strategy going forward?
What is the strategy? Please come again with your second half of the question, please. I heard your first half, which said volumes are a little stagnant at INR 3 lakh per quarter.
Yeah. So I'm just trying to get a sense.
Yeah, please.
Am I audible?
Yeah, very much. Please go ahead.
Yeah. So just on the strategy part, are the volumes stagnant because the MSME part of the business is increasing and so that it does not reflect in the tons per se, but it reflects in the higher realization? Is that the way the volumes are stagnant?
Volumes essentially are usually dependent on, number one, the pricing strategy that we are going to follow. Number two, the changes in the mix, as you rightly said. But we are very cognizant of, as I said earlier also in the call, that volume growth and yield growth, the mix will be the one that will drive us towards the goalpost of profitable growth. So that is very much a focus area. Secondly, a syndicated research that we obtained, and so do most of the other players that operate in the segment. In the month of December, we were the only ones, along with another, to grow the market share. We were one of the two. Three other large players lost market share. And in the July, August, September quarter, it was a similar instance where we were the ones to gain market share.
Only player to gain market share. The other player was very marginal in 0.0x percentages, and the three other players lost their market share. So within the organized sector, the top five that we constantly triangulate against, we are in a much stronger position since the month of July ending till December.
Whatever assumption that we have done for FY 2028 EBITDA for the numbers, what is the implied realization that you are targeting? Currently, it is hovering at INR 11,610 per metric ton that you shared in the PPT. So what is that number in FY 2028 as per your projections?
I think I would like the numbers to show that since it is giving a forward indication. But the percentage which you mentioned are the percentage which we are looking at to get to that. Because it is the up streaming of entire thing. If you look at any other 10%, that will be a combination of both yield and volume taken together.
Is it predominantly volume-led or value-led growth? Just give an indication.
It will be a mix of both. If we can say 50/50% can be attributed to both the delta.
Okay. What is the current pricing trends in the KA? I think earlier there was some steep discounting happening. Have the prices stabilized or are we seeing some price hikes even this year? What is the trend in KA pricing?
Key accounts, strategic MSME and retail. We are committed to grow the yield across all the four levers. That is the guidance I can give you. Of course, to grow key account yield by the factor compared to strategic or MSME or retail is much more difficult due to the volumes that key accounts give us. But as I said earlier in the call, with improving service quality, with the tech platform supporting that improved quality, a very strong network with the control tower operating, we are seeing huge increments in the key service quality metrics that we have in our QBRs, quarterly business reviews that we have with KA customers that is being appreciated and there is a reciprocal effect. The management of yield will be driven across all the four verticals that we operate in.
Directionally, can we expect Q4 to be better than Q3 given that generally in the past it has been a seasonally a better quarter for us?
Yes, definitely.
Thank you.
Thank you. A reminder to all the participants that you may press star and one to ask a question. The next question is from the line of Vedant S, an Individual Investor. Please go ahead.
Hello, am I audible?
Yes, you are, Vedant.
Yes. Thank you, sir. Thanks for this opportunity. My first question is on consultative logistics business. As we can see, the nine- months of FY 2026 revenue EBITDA is showing strong growth. But as we come to Q3, there is a QoQ dip. Is this a seasonality factor or does it reflect a delay in some kind of customer ramp-up and how confident are we of sustaining these double-digit margins going forward?
I will take your second half of the question first, Vedant, and say we are very confident of improving the margin. In my opening remarks, I said that the consultative logistics business was a bit muted as certain e-commerce clients deferred their expansion plans. But our underlying client relationship across e-commerce, automotive, chemical is very strong and we are confident of a better quarter as I even expressed for the express side of the business earlier through another of you joining on the call.
Are we seeing a better Q4 in this segment?
Definitely.
Similar to that, can you talk a little bit more on the Air Express? How are things looking as of now? What is your strategy to scale this up?
Definitely. The Air Express business we have grown in terms of revenue in the nine-month period and also in the quarter-on-quarter. There is a nudging double-digit growth Qo Q. I would have personally liked it to be much higher. The strategy is definitely a strategy to focus on the business further going ahead into FY 2027, FY 2028. As we are exploring new opportunities, we are finding a lot of synergies with the ground express business. Now with consultative logistics being a part of the portfolio where we go to customers, we would like to be the single point of contact for a customer for all his express movement needs.
This is a focus area for us and you can see the green, in fact, on slide 11 of the presentation for Air Express and a little bit of red on the surface slide but definitely a focus area.
Thank you. I can clearly see the growth on slide 11. Next, can you express a bit on Q4 demand? How is the quarter four demand looking as of now? Can you put this into numbers of volumes? How is it looking? Any guidance for FY 2027?
As January has started and we enter February, we are very confident of how Q4 is going to shape up for us. As I said earlier, some of your other colleagues on the call also asked us about both the express and CL business, how Q4 is going to look, how it is going to be, is it going to be better? The answer was definitive definitely. I will stay with that answer. In terms of numbers, I will not be able to make a forward-looking statement at this time. I will definitely download a huge dollop of confidence on the table for Q4 numbers.
Okay. No guidance for FY 2027 as well?
Slide 17, if you look at.
Sure.
You will get a.
Indicative.
Indicative guidance on revenue margins EBITDA, if you refer to slide 17.
Sure. My last question would be, as we can see, we are practicing an asset-light strategy and there is a good net cash position. How are you prioritizing capital deployment between technology investments, network expansion, and potential deleveraging? How will our return ratios look going forward?
Yes. So you summed it right actually. The three blocks, which are de-leveraging, OU enhancement, and technology upgradation. These are the three blocks where we have to use the entire cash in a very judicious manner. Right now the allocation is done prudently across technology, and that's giving us the relevant ROI. On the AI and other front where the investment would require, I think that also is already factored in the budget, which I mentioned. OU modernization is some piece which we are looking, but we had deferred it for next year. That could be in the region of INR 10 crores-INR 15 crores for next financial year, not in this year. On the de-leveraging front, yes, we would look at pairing out some of the debt, but I think that is not much of a concern because that's within the tolerance level.
We would do it in a phased manner over the next two quarters. Actually, if you see quarter three, the debt profile could be. Sorry, Q1 of next year, the debt profile will be slightly lower, as compared to what we are now. Yeah. So we will use it under these three buckets on a systematic manner. That's what I would say.
Okay. Thank you. But what kind of investments are you looking in technological advancement every year or every quarter? Can you put it in the number?
On a year, we are looking at a INR 12 crore number. On a quarter, it will be around INR 2 crores-INR 3 crores, which would be spread across five to six key initiatives, which will have a direct impact on service level improvements and better customer experience. These are the two themes of those investments would be.
That's it. Thank you so much. That's it from my side. Thank you for your time and all the best moving forward.
Thank you.
Yeah.
Thank you. Ladies and gentlemen, a reminder to all the participants, to ask a question, please press star and one. The next question is from the line of Thomas, an Individual Investor. Please go ahead.
Hi. I just wanted to understand, when you say asset-light, can you explain what that means? Because you have your own trucks, right? Or is this leased? Okay.
We are on an asset-light model, Thomas. We don't own any of our trucks. That's the model actually, available on rent.
Okay. So you lease it from third parties, is that right?
Yeah, correct.
Okay.
Correct.
I just wanted to understand. Now, I think in the last call, you had mentioned that you will be taking price hikes. I'm just trying to understand. I thought I had read somewhere that some of the other players were cutting their prices. Did I misunderstand that, or is it a universal thing where everyone is increasing their prices when it comes to express delivery?
Thomas, I will only talk for ourselves, not the others.
Okay.
We are definitely looking at yield enhancement measures resulting in profitable growth. It is what we have given a clear indication on the call.
Okay. Even with these price hikes, which you took in January, right?
That is right.
Okay. So far, the discussions that you have had with customers, they are saying that will lead to increased volumes.
Yeah. The endeavor of the business is always to increase volume, as I said earlier on the call, on the basis of no compromise on the yield, resulting in profitable growth.
Yeah. Okay. Just one last question. Right now with all these free trade agreements and all that, do you also assist the customers from the port onwards, or is the contract after that?
Sorry. Please come again.
Do you assist the customers, like if it's through imports, from the port onwards, you assist the client, or is it from their warehouses or from their plants? Do you do services even from port, is what I wanted to know.
We have three service lines. One is the CL line, which has warehousing as a core component and also has full truckload as a core component. Our express business is essentially part truckload, where a truck is filled with multi-client shipments. The business operates in a manner that wherever a customer or client wants us to pick up a shipment or deliver a shipment in either a full truckload or express moment, we are willing to do that. If there is storage needed at any time during the movement of the shipment, that is also offered in our warehousing site, which is the CL site. Various value-added services are also embedded on the warehousing site where we could destuff, stuff, enhance the shipment by labeling, et cetera. That's how we will operate, Thomas. Also, the group has four companies.
Allcargo Global in the merger/de-merger, the company that's been formed will look at FCL and LCL, which is the full container load and less than container load, the loads that move on ships coming in and out of ports internationally. That's the company that's focused on that.
Okay. We will take it. Okay. I just want to understand that.
Yeah.
Okay. Thanks.
Thank you.
Thank you. As there are no further questions from the participants, I now hand the conference over to Mr. Ketan Kulkarni for closing comments.
Thank you. It was a very insightful, knowledgeable conference for all of us. The questions were really of a very high order, and Deepak and I are grateful once again for all of you to join on the call, and wishing you all a very good evening. Thank you very much.
Thank you, everyone. Thank you.
Thank you. On behalf of Allcargo Logistics Limited, that concludes this conference. Thank you all for joining us today, and you may now disconnect your lines.
Thank you.