India · Delayed Price · Currency is INR Gateway Distriparks Earnings Call Transcripts
Fiscal Year 2026
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Volumes remain subdued due to the West Asia conflict, impacting both imports and exports. Gross margins are stable despite muted growth, while CapEx and expansion plans continue, with a focus on long-term asset creation and a 15% growth target for key segments.
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Management highlighted transparency in governance, ongoing tax dispute resolution, and robust expansion plans in warehousing and rail logistics. Warehousing margins declined due to business mix, but revenue and capacity are growing, with strong cash flows and prudent capital allocation.
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Rail and CFS EBITDA per TEU were INR 9,300 and INR 1,000, respectively, with double-digit volume growth expected. Snowman is realigning its transportation business and targeting improved margins, while warehousing margins dipped due to lower utilization and higher costs but are expected to recover.
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Year-on-year performance improved due to stable volumes and absence of Red Sea disruption, with rail and CFS EBITDA per TEU at INR 9,100 and INR 1,500, respectively. Snowman’s trading/distribution segment grew 54% QoQ, and warehousing capacity expanded. Land acquisition and container imbalances remain key risks.
Fiscal Year 2025
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Q4 results were impacted by one-off accounting items, including a goodwill impairment and stamp duty provision. Warehousing and 5PL margins declined due to business mix changes, while rail and warehousing volumes remained flat. Expansion continues with new facilities and CapEx funded mainly by debt.
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Market share improved in key regions despite overall market contraction, with stable rail EBITDA and Snowman Logistics targeting ₹800–900 crore revenue by FY26. Expansion plans focus on new ICDs and distribution, while risks include global shipping disruptions and legal delays.
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Rail and cold chain segments saw improved volumes and new client additions, while CFS margins and revenue were pressured by competition, legal costs, and accounting changes. Double-stacking at Faridabad and new facilities are expected to drive growth in H2.