Ladies and gentlemen, good day and welcome to the Q2 FY2025 earnings conference call of Gateway Distriparks Ltd and Snowman Logistics Ltd. This conference call may contain forward-looking statements about the company, which are based on the beliefs, opinions, and expectations of the company as on date of this call. These statements are not the guarantees of future performance and involve risks and uncertainties that are difficult to predict. Should you need assistance during the conference call, please signal an operator by pressing star, then zero on your touch-tone phone. Please note that this conference is being recorded. Today on call, we have Mr. Prem Kishan Dass Gupta, Chairman and Managing Director, Mr. Ishan Gupta, Joint Managing Director, Mr. Samvid Gupta, Joint Managing Director, Mr. Kartik S. Iyer, CFO, GDL, Mr. Rajguru Behgal, President, Rail, GDL, Mr. Manoj Singh, President, CFS, GDL, Mr. Sunil Nair, CEO and Director, Snowman, Mr.
Padamdeep Singh Handa, Chief Commercial Officer, Snowman, and Mr. N. Balakrishnan, CFO, Snowman. We will now directly begin the question and answer session. Anyone who wishes to ask a question may press star and one on their touch-tone telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use handsets while speaking and avoid Bluetooth earphones or speakerphones. Participants are also requested to limit themselves to three questions at a time to give others in the queue a chance and can rejoin the queue thereafter. We will wait for a moment while the question queue assembles. The first question is from the line of Bhoomika Nair from DAM Capital. Please go ahead.
Yeah, good evening, sir. Thank you for the opportunity. Sir, if you can just start off by giving some color on the EBITDA per TEU for both Rail and CFS. And the second question is more about we've seen a good recovery in terms of the rail volume between the first quarter and the second quarter. How are things panning out here? And what is the outlook in terms of volume growth that we are seeing given this improvement? And if you can talk about how the rail infrastructure is improving, if you can just give some color on that, and then maybe I'll come back with more questions.
Yeah, on the EBITDA per TEU, so rail is at about 9,800. CFS, if you look at the pure operational one, it's about 1,200-1,300. There were some recurring one-offs over there. In terms of overall volume, Q2 was much better than Q1 that we've seen overall numbers. This is not because the macros are getting improved that much, but it's more us increasing our market share in certain markets, especially in the Ludhiana market. We've increased our market share from about 21% to 27-28% now last month. There has been pricing correction, which has led to this, but we've been able to consistently do over 6,000 TEUs over there. In terms of infrastructure, now the latest thing for us is that Faridabad is double-stacked. This just happened about 10 days ago.
So now we're running direct double-stacked services rather than pumping it at other locations, which improves our turnaround time, service levels to the customer, and a slight reduction in cost. Most of the cost advantage had come earlier because we were having it via RISE, but still there are some benefits. So we're looking to increase our market share in this region as well now going forward.
So what is our market share from the NCR region? Sorry, I missed that number. You gave some Ludhiana market, right? 21%-28%, if I'm not wrong?
Yeah, and NCR has gone to about some 17%-18%.
Okay. Okay. Now, clearly, there has been a decent improvement in the rail performance, both in terms of volumes as also in the EBITDA per TEU kind of bouncing back to that 9,800. You spoke about the Faridabad double-stacking just starting off right now. So what are the kind of volumes that we're doing there and the benefits of the double-stack? How can it kind of increase the EBITDA per TEU on a blended basis if you can throw some color? And also on the other terminals as well, how are you seeing the scale-up in terms of volumes?
So volume is still hard to say going forward what it will be like, but hopefully we can just keep up the Q2 kind of numbers for the rest of the year. It's still starting to move around in terms of the Red Sea crisis is continuing. The tonnage is still shipping via the longer route, and low-value commodity cargo is still not back to what it was last year. And then year on year, you're probably seeing a bigger dip because Q2 last year was a bad-timer performance. The second half of the year was weaker last year, so hopefully we can better that for the second half standalone. In terms of, like I said, the cost we were already getting the advantage because we were having it via RISE, so it's a more service-heavy improvement that we can do at Faridabad.
So this issue ramping up will help decongest Garhi Harsaru also. So there will be faster turnaround time at both places and some capacity increasing at Garhi Harsaru as well.
Faridabad, what are the current volumes on a monthly basis broadly?
About 2,500.
Okay. Got it. Just secondly, in terms of new ICDs, if you can talk about, I know Jaipur was stuck for some issues out there. What is the progress? Other terminals, we were looking at one more or two more terminals per se to drive much more growth in terms of the rail volumes. What is the status out there?
Yeah. Hi, Bhoomika.
Yes, sir.
Yeah, good evening. So, as far as Jaipur is concerned, there are a couple of parcels of land which are not available to us, as reported earlier. And we're trying to get some additional land, but again, the connectivity and the difficulty in getting additional land and the price at which it is available now, it is making it unviable. So for the time being, we'll wait for these two land parcels to be freed from the authorities. So right now, we cannot give you a date because we don't know how long it will take to get these land parcels back. So depending upon that, for the time being, there's a delay, and there's going to be a further delay knowing that without these land parcels, we cannot go ahead and invest in that facility.
Secondly, we are looking at some other places, and due to ongoing elections and something or the other is happening. And currently, the land prices have gone up. So we are looking at one location at least where we are close to not only identifying but still in the negotiation for the pricing. And if we are able to negotiate, that will be in our immediate reach. So for the time being, the expansion of the rail is this one, plus whether you can say a strategy, whether now it's double-stacked at Faridabad, we are going to get some additional volumes at our existing locations. So we will continue, but it all depends on the exim volumes because even today, we are on 99% exim and only 1% domestic. Although we have started looking for domestic movements also in particular routes. So that's what the situation is right now.
Okay, so right now, it will be more about consolidation of the existing terminals and driving efficiencies there, and perhaps some new terminal is still some time away, per se, if I understood that correct.
Right.
Okay, so just in terms of the CFS business, I know we were looking to monetize some of the land parcels. Profitability is clearly dipped out there, but if you can just comment on where are we in the whole process, any progress out there from a monetization aspect?
We are going through the process. And because it's holidays and now the quarterly results, we will now get back to the process. And these things take time. I mean, it doesn't happen overnight. So we will follow that due process. But I cannot give you on the timing right now, but yes, we have value for the land and the business, and we really are looking at some options. Basically, the whole of CFS business, but maybe if we get partial exit also, we'll look at that depending on the valuation.
Sure. Sure. I'll come back in the question queue, sir. Wish you all the best. Thank you.
Okay. Thank you.
Thank you. Ladies and gentlemen, you may press star and one to ask a question. The next question is from the line of Krupashankar from Avendus Spark. Please go ahead.
Sir, good afternoon, and thank you for the opportunity. My first question is on one of the notes which was given under the results talking about LLF fee for the facility and about INR 48 crores of demand from the Northern Railway. Can you speak a little bit more about that, sir?
Sorry, your voice is not clear.
Sorry, is it better now?
Slightly better, yeah.
Is this better?
Mr. Gupta, I request you to please use your handset.
Yeah, I'm on handset now.
Yes, please go ahead.
Okay. Okay. So I just wanted to check on the commentary in the results about the demand for Garhi Harsaru facility from Northern Railway regarding land license fee to the tune of about INR 48 crores. Can you just highlight a little bit on that front, sir? What is exactly the issue over there? Yeah.
Yes. The issue has been going on for the last 12, 13 years, but we've just waited and noted it to the grounds now. We've already been taking the provision for the difference in amount that Railways is giving. That one land parcel in Garhi Harsaru basically where there's a differing opinion between us and Railways on what the start date was and what the amount we charge for it is. So we are paying according to our calculations, but this is a routine ongoing matter. Don't have any idea when it will get resolved by as such, but we're not too worried about it.
Okay. So we don't have to provision for additional INR 25 crores, sorry, INR 28 crores sort of a number going in the coming quarters. We don't have to do that.
No, we don't have.
Okay. Got it. So second question was on the NCR market per se. Just wanted to get a sense that is there, with respect to the EXIM balance, are you seeing that improving at the moment? And is there also the competitive pressures in the NCR market? Is there any substantial advantage coming in because of double-stacking from the Faridabad facility given that it's connected to the DFC? So something you can talk about on those lines, sir?
Yeah, of course. Yeah, so we are anticipating a definite advantage after this Faridabad has got double-stacked because earlier, there was too much pressure on a single hub. And the per TEU profitability in NCR market because all the double-stacking used to be happening only at the one terminal, which is Garhi Harsaru. With coming up of Faridabad, so we have this dual advantage in NCR that we will be able to pump in more trains towards NCR, which will help in not only the utilization of our asset in a better way, but we are also targeting some other business, which is in and around Faridabad because now we have a first-mover advantage. So there is no ICD which is giving this double-stacked facility in Faridabad area, and we have a good pipeline.
And very soon, we are anticipating to increase not only the volumes at Faridabad, but that will also help in increasing the volume at Garhi Harsaru as well because of the new investment which is coming around Garhi Harsaru. One of the big plants of major auto companies are coming up. Plus, we are also exploring to target some other territory because of the new road infrastructure which has also developed around Faridabad. So we are expecting to increase the market further.
Okay. And with respect to the market, just wanted to check on EXIM imbalance. How do you see that evolving at the moment? And going ahead, are you seeing the export picking up and the imbalance correcting in the second half?
We are not seeing a major problem as far as the imbalance is concerned because it is still in the ratio of like 55-45%. 55 is on both sides, and 45 is the export side. With the increase in volume that Faridabad as well as Garhi Harsaru and other locations, we are expecting that we will be maintaining the same kind of imbalance, which is okay. It doesn't have major impact. Plus, we will be also getting into some other business other than EXIM. We have some good pipelines wherein we will be shifting some empty containers and domestic and EXIM kind of business we are exploring. That will help in further reducing the imbalance.
Understood. Thank you for answering my question.
Thank you. The next question is from the line of Ravi Singh from Cosmic Horizons. Please go ahead.
Hi, thank you for the opportunity. Sir, if I heard it correctly, you said the Jaipur and the other ICD that we were planning, that has been put on hold?
No, it has not been put on hold. Jaipur has been delayed because some land parcels have not been made available to us because of the Jaipur provisional attachment of those pieces of land. And on the other locations, we are actively looking, and one of them I said we see coming in the near future. So none of the expansion plans we have announced earlier are on hold. We are actively looking for many locations, but it is a question of when we will materialize and when we get possession of land.
Right. Sir, and also on the domestic business, you said you're planning to get into that now. So just wanted to understand the difference in the rates between EXIM and domestic. How are the freight rates different?
Sir, it's on the similar lines only because we're not doing third-party location domestic. We're doing domestic within our own locations. So for us, we'll be running mixed trains, but instead of filling up empty containers, we can do some domestic cargo in return.
Right. Makes sense. Sir, and also on the CNBC interview way back in August, you guys had mentioned that you'll sell the CFS business for approximately INR 1,000 crores within two quarters' time. Then subsequently, on the Q1 call, you kind of kept the timelines open-ended. So just trying to understand where is the bottleneck really that we are facing? Is it the price, or is it the buyers don't want to buy the whole asset together? Some light on this, and also if you could give us some sort of an outer limit so that we can model to say FY2026 end or FY2027 end, some sort of an outer date by which you could sell this business.
I mean, we cannot say for sure when we could sell because one is presently, we have just compiled the assets, which means the land and the ownership and the assets built on that and the business over there. So like I said earlier in this call, that due to the holidays and due to quarterly results being announced today, so we'll be getting on to business with investigating the potential buyers. But these things, I mean, first is we have to find a buyer. Second is we have to find the right value at which we are willing to exit. So these are overwhelming. I mean, I cannot give a time frame as it will be before the next quarter or six months or one year.
Whether it will be all price CFS or these things, this will go along and along whatever the market trends are and people investing in it, willing to invest in this business. We will keep the investors informed on a regular basis if any development takes place and further development takes place.
Right. Thank you. I'm wishing you all the very best.
Thank you.
Thank you. The next question is from the line of Yash Tanna from iThought. Please go ahead.
Yeah. Hi. Thank you for the opportunity. Am I audible?
Yes, sir.
Yeah. So my question was on Snowman. Last quarter, we mentioned that we have signed a new client in 5PL, and the revenues probably will start from August. So is this increase in 5PL attributed to the new client, or it's the regular business?
Hi. This is Sunil here. Yes. Yes. The increase in this 5PL revenue is primarily from the new client. As you know, the majority of the business in 5PL today is ice cream, and this is a lean season for them. But the increase that you are seeing is purely the addition of the new client, which is for one and a half months of their revenue has come in this quarter. Whereas in the subsequent running quarter, we will have full quarter revenue registered for this new client in this quarter.
Right, sir. Got that. And on the margin front, last quarter, we alluded to the margin drop to a certain one-off cost. And this quarter, again, our margins have dropped Q on Q. So if you can explain a bit in terms of profitability, is this the bottom or we're yet to see some impact? And also, if you can call out the reasons segment-wise for the margin drop.
Yeah. So the primary impact that has come in margins are in the warehousing segment, which is affected mainly due to three segments where the sales have been less. One is QSR. So all the QSRs in the country are struggling a little bit with respect to their business. That has impacted us as well. Their handling has been quite minimal. Due to the lean season, there has been some impact in ICDs. And there is also the seafood exports have slowed down a little bit due to the pricing issue in the international market. So these are the critical reasons.
Right. So maybe our realizations have dipped here on your rail Q and Q. Is it for the warehousing fee?
Yeah. The realizations are on the right track with just a couple of % this year.
Okay. And when do we expect this to improve?
So we have seen some traction now in this month onwards in terms of seafood. And ice cream will start picking up only in the month of February. And that is what we are projecting up.
Right. Got it. All right. Thanks a lot. There's one question on Gateway. So one of our peers has mentioned in their call that they will do double-stacking to one terminal somewhere in Varnama, which is just 400 kilometers away from JNPT. And hence, they are going to double-stack a significant volume that will be for JNPT before JNPT commissions on the DFC. So my question is, because of this, are we going to see any impact on our business or our volumes?
We've been following this model for quite some time since Varnama started with the first one to do this. We don't see any impact on JNPT volumes for us from that. It depends more on where the catchment area of the originating ICD is. That also is a factor.
All right. Got it. All right. Thanks, and that's all from us.
Thank you. The next question is from the line of Amit Dixit from ICICI Bank. Please go ahead.
Yeah. Hi. Good afternoon, everyone, and thanks for the opportunity. Just a couple of questions from my side. The first one is, if I look at the CFS realization, that has shown a significant drop, and then if I compare it with any quarter, I just wanted to explore reasons for that and whether it is one-off, what kind of outlook do we see going ahead for this division?
CFS margins are under pressure in revenue, but it's not transfers to business. So the EBITDA value is a drop because Mumbai also is a 25-year-old facility. We are revamping it. So there's a lot of R&M going towards there. You must be seeing there's a bunch of legal matters going on with Punjab government. So there's some arbitration-related costs. Again, that is impacting the P&L. If you look at it on a pure operational basis, the dip is not as much. But competition is there, and every day we need to keep re-evaluating and seeing what kind of pricing we're working on. Labor cost is also exponentially high in Nhava Sheva, especially as every three years, it gets renegotiated with everyone at the operating level. So those are the factors basically covering.
Yeah. That is on cost side. But on revenue side, is it the increased competitive intensity that has caused your realization for TEU dropping below 7,000?
Yeah. Yeah. Basically, there's 30-35 CFSs. So DPD is also increasing. So ground rent is actually going down. That is a general trend that's been happening for the last few years. And H&T rates are also slipping a little bit. And now we are recognizing the revenue. That is the discounts. So that is where the revenue might be less compared to last year. Right. Yeah. Sorry. I forgot to mention that. There was 20 crore loss is just a change in accounting standard. That was where it shifted from gross revenue to net revenue. There were some discounts earlier which we were counting as part of net revenue, but that's gone away. If you take that out, then the total revenue is actually only INR 3 crores.
Got it. Got it. Yeah. Sure. The second one is on Kashipur. So maybe I missed your prepared remarks earlier. So I'm asking it maybe again. Could you let us know the kind of business at Kashipur? How is it ramping up? Paper and pulp, I don't think it's in the best of health. So what kind of ramp-up expectations do we have from there in the near term?
We're not, as of last quarter, we're not sharing individual terminal-wise data anymore. But Kashipur volumes have a lot of scope to increase. There are some key customers that we've won and we'll probably see that impact coming in Q4. Q3 is also a bit of a slowdown as it's a waste paper dependent market. Every dependent market has most of these mills go on annual maintenance. Most of these plants shut down for maintenance during Diwali. So we should see improvement as of Q4 onwards.
Okay. That is very helpful. Thank you.
Thank you. The next question is from the line of `Kevin Gandhi from CapGrow Capital Advisors LLP. Please go ahead.
Hello, sir. I hope my voice is audible.
Yes, sir. You're audible.
Yeah. Sir, since last two to three quarters, we are seeing the rail freight realizations going up by almost 8%-10% each and every quarter, so just want to understand the reason behind that, the rail freight realizations. Thank you.
If you're looking on year-on-year volume, it's on the busy season, so adjustment that has come in. Approximately INR 2,000-INR 3,000 per TEU has gone up on the revenue side.
So, sir, actually, I wanted to understand the reason behind that. So due to the cost being increased or are we seeing lesser of the competitive intensity that we are actually able to raise the prices?
So I just mentioned that the busy season surcharge which railways put in, which is approximately 10% of the rail volume charges that we pay since September 30th last year, it was implemented. And now it's there for the full 12 months. So last year, it was only there for Q3, Q4. So this year, it's there in Q2. If you're looking at a comparable number, it wasn't there last year. That's probably the difference in the revenue per TEU that's coming. Competition intensity is there. So discounting has actually gone up for us. But we've handled more TEUs than Q2 rather than Q1. So you'll probably see some effect of that also.
Okay. So, got it. Thank you.
Thank you.
Thank you. The next question is from the line of Nihal Shah from Prudent Corporate Advisory. Please go ahead.
Hello. Thank you for the opportunity. So we know that last year, the second half saw the impact of the Red Sea issue, and now we are heading there. So given that soft base, how much of a growth can we see in the second half? Because if we compare the second half of last year and first half of this year, the volumes have remained the same. So can we, going ahead, estimate a higher volume, or it should remain at these levels? Because Q2 has been better than Q1.
Yeah. So it's hard to say, but the Q2 trend, if it continues, then H2 will be higher than H2 last year. So that is something we're hoping for. But because Q1 was low, we're not sure what the year-on-year for the full year will look like. But hopefully, this positive trend continues, and we should see volume updates from here. Plus, we're taking some more corrective action in certain markets where our market share is low. So even if the macros aren't growing, we should see our market share increase.
Okay, and so does this also mean that if the market share and the revenue increase, does that give a positive impact? Does that have a positive impact on our EBITDA per TEU as well, which is, I guess, suffering in the last four quarters?
So EBITDA per TEU at this level is probably quite healthy for us. And with Faridabad coming in and double-stacking increasing, that is some uptick can be there. But we will have to also pass on some discounts to gain more market share, which we've done in Sahnewal. So while EBITDA per TEU might go down slightly, overall, EBITDA as a whole will go up.
Okay. And on that, so what was the portion of double-stacking in this quarter?
It was 38%.
Okay. Okay. Thank you. Thank you very much.
Thank you. The next question is from the line of Pranay from Alpha Invesco. Please go ahead.
Hi. I'm from the advisory. My question is asking.
You've been interrupted, sir. I would request you to please use your handset.
Yeah. Am I audible now?
Yes, sir. Much better.
Yeah. My questions have been answered, so thanks for the information.
Sorry, we are not able to hear you clearly.
My questions have been answered, so we can move on to the next one. Thank you.
Thank you. A reminder to all the participants, you may press star and one to ask a question. Ladies and gentlemen, you may press star and one to ask a question. The next question is from the line of Aditya from Kotak Securities. Please go ahead.
Yeah. Hello, everyone, and thank you for the opportunity. My question was more on the double-stacking number, which is 38%. Could you give us a sense of where did this number kind of peak out in the recent past, and how can we aim to go back at the same levels?
So I think we were about 44-45%. So it should improve now with Faridabad being direct double-stacking. We've also started focusing a bit more on TEU volume, especially on the lightweight side. There are still most of the restrictions have gone away, but there are still some restrictions on double-stacking combinations, which have been in place for the last year and a half or so. That's why the number is slightly lower, but the industry is taking that up with rates. Hopefully, if that comes back, plus Faridabad and our pricing correction, we should be crossing 40%.
Okay. And if this change were to happen, 600 basis points higher double-stacking, what could be the impact on margins, basis availability to retain some benefits?
It's hard to quantify like this, but it will definitely improve every % of double-stacked loads only. But it depends a lot on the volume mix of that plant, the 40, the lightweight, heavyweight, how many 20 feet are on the lower stack also. Is it 40 on 40, or is it 40 on 20? So there are a lot of variables that go into this. But it is definitely true that more double-stacking equals to more savings.
Understood. Okay. Maybe I'll probably kind of put this in a different perspective. See, our margins obviously are where they are, and double-stacking is one endeavor. And you've talked about a few other endeavors to improve margins. You've talked about using mixed trains, doing more MTs, so on and so forth. I'm just trying to get a sense of how much more upside on margins can be seen by these endeavors that you're thinking through over the next one to two years.
So at the end, the whole DFC is already there till Mumbai. That 10.5-11,000 EBITDA per TU is something we can look at. Jaipur coming in. We used to say Jaipur coming in, Faridabad double-stacking, and JNPT being connected would give us about 11,000. So those are the next few drivers that are there. But somewhere, we'll also have to balance between passing on discounts to customers to gain more volume rather than focusing on just the margin per TU. So we find the right balance and focus on overall EBITDA.
Understood. And the other question that I had was from a competitive perspective beyond Concor, which are the other players, if any, who are kind of starting to challenge your market share, and who would those names be, and which are the markets that are seeing an increase in competitive intensity?
Varnama has five ICDs competing for the same volume, so that's a very competitive market. In terms of Garhi, we are in a unique position where Gurgaon is only one other competing terminal. Faridabad also has three terminals overall, but then if you include slightly going up to, say, 50-70 km, there'll be five terminals there. So those are more competitive than, say, Garhi or Kashipur-Palanpur.
Understood. Maybe the last question from my side. The CFS sale of assets, whether partial or full, is this an event that one can think through happening over the next 6-12 months, or can it take much longer than that?
It's very hard to say. I mean, we're kind of, like you said earlier in the call, we're still evaluating. We'll start speaking to some people, and maybe we can let you know in three months, next call, or the call after that, we'll have a better update for you. But it's not going to be a quick process. So we don't see anything happening within this financial year for sure.
Okay. Just on the cold chain business, obviously, the company, I think, continues to kind of add stake over there. What is the end game in terms of shareholding the company wants to reach over there? And if you could kind of just update us once again, as in what is the rationale of using the cash of the company to kind of buy stake inside Snowman? That's the last question. Thank you.
Sorry, I'm sorry. We are acquiring the shares on the creeping acquisition. So last financial year, we acquired 5%, and similarly, we can acquire up to 5% this year that will take us a little above 50%. So one is that from an associate company becomes a subsidiary. Second is Gateway cash flows are heavy, and we are in a position to acquire these shares under creeping acquisition. So it's a gradual process, not putting in money at one go. And we see that going forward, Snowman has a very good potential with revenue as well as profit growth. So it makes sense to increase our stake to this level. And I cannot say for the next year, but 50% is the minimum that we'll achieve this year.
Got that. Thank you for the responses. Those were my questions.
Thank you.
Thank you.
Before we take the next question, a reminder to all the participants, you may press star and one to ask a question. The next question is from the line of Vipul Kumar from Sumangal Investments. Please go ahead.
Hi, sir. Thanks for the opportunity. Most of the questions have been answered. I have just one question. When this full DFC will be operational, what kind of double-stacking we can look at from 38% where we can reach 60%-70% is possible?
So the way we measure our double-stacking is that how much is carried on the second stack, basically. So it can't exceed 50%, that number. What we can increase is the number of 40 feet that we do. But I mean, overall, this is comparing stack one versus stack two, so that number cannot possibly cross 50%. So proposed DFC to Bombay may be up to 45% is something that we can target.
Thank you, sir.
Thank you. The next question is from the line of Aditi Sawant from ADM Advisors. Please go ahead.
Yeah. Hi. Thank you so much for the opportunity to just change my name. So my full name is ADM Advisors. So yeah. So the first question is, so we just wanted to understand that on the growth in terms of what kind of growth we are really expecting in the second half of this year and, say, for the next year.
This for Snowman or Gateway?
Sorry?
Is this question for Snowman or Gateway?
On the consolidated.
So for rail, we are expecting some growth in the second half, but by how much, we can't really say. We expect some improvement over the Q2 number. So Q3 and Q4, if you look at it, last year were lower than Q2 in terms of throughput. So we should see some improvement there. Yeah. So as I mentioned earlier, some of the 5PL customers are just onboarded in this quarter. So we expect those revenue for the full second half of the year. At the same time, our Lucknow project is up and running now. It was made partial a couple of weeks back. So that will also be put to function. Next month, which is December, mid-December, we will have our Kolkata facility also functional. And by the end, we'll have our Krishnapatnam facility functional.
So putting all these together, we expect a reasonably good growth over the first half of this year in the second half.
Okay, sir. Got it. And the last question is post-Faridabad double-stacking. So what was the overall impact on our business, if you can just give some idea?
This only happened about 10 days ago, so we'll wait and watch, and by next quarter, we'll give you some more details on how it was able to improve our overall operation.
Sure. Sure. No issues. Thank you so much. That was helpful, and I'll touch upon the next quarter.
Thank you. Thank you very much, ladies and gentlemen. That was the last question for today. Participants that have missed out due to time constraints can reach out to the management and SGA for Gateway Distriparks or Churchgate Partners for Snowman Logistics for any further information. With that, we conclude this conference. Thank you for joining us, and you may now disconnect.