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Four-s India Logistics Track 25 Dec 2012

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  • 1. 9 D E C ’ 1 2 – 2 5 D E C ’ 1 2 Logistics Track 25 Dec’12 Fortnightly update on Logistics Industry In The Spotlight ContentsA tough year drawing to a closeLogistics companies would be happy to put 2012behind, another year which has not been too good for In the Spotlight 1India’s manufacturing & export sector, and byextension, the logistics sector. Investment Activity 3The going was tough even in FY12, when overallEBITDA and net profit fell for the sector. In FY12, News Update 4aggregate EBITDA fell 4% and net profit fell a sharp33% for the companies in our sample. Global News Update 6In fact, things may have improved marginally inFY13. In Q2 for example, while aggregate EBITDAwas still down around 8%, reported net profit Stock Market Update 8improved 39% as some companies managed to turnaround operations, and also helped by other income Freight Indices 9items. Revenue growth though was a mere 9%,indicating that volume growth was under pressure.(see table ‘Quarterly Results’ on page 10) Peer Benchmarking 10On the stock markets too, a majority of the About Four-S Services 11companies underperformed. Only about a third of thesector companies managed to give a one-year returngreater than the market.We have included a new table ‘Comparision with 52 Four-S India Our logisticsWeek high/lows and All Time High’ on Page 8. This Logistics Report report is nowshows other than Blue Dart, all companies are 2011-12quoting significantly below their all-time-high prices. available forMost of them are more than 50% lower than ATH purchase. Aprice. 100 page, hardThe unlisted companies appear to have struggled as bound wordwell. Some of them were in the market to sell stake document,in 2012, but could not do so, due to performance presented bydeviating widely from projected numbers. Central, this is India’s most comprehensive and rigorous research report on Logistics. To buy the report, or to know more about it, see Page 2. Research4India is the research services arm of Four-S Services Pvt Ltd, a leading provider of high-end research, financial consulting and Investment banking services. For subscription / custom queries, please contact Seema Shukla at seema@four-s.com
  • 2. Logistics Track Central Logistics Intelligence presents “Four-S India Logistics Report 2011-12”. This is the first comprehensive, rigorous report on the logistics sector. It brings a new analytical perspective to the sector research coverage, which is plagued by poor research. Incorrect notions like: the Indian logistics sector is 13-14% of GDP; or there is multiplier of 2x between logistics growth and GDP growth rate – abound, and are often quoted by leading logistics companies, industry associations and sector consultants. The report presents original data and analysis on several key aspects of the sector, including size of various segments and projections, and highlights investment potential. In the report we have taken a comprehensive look at all the key segments of logistics and supply chain.We find EXIM and agri-logistics areas of great promise. The 3PL/contract logisticsspace also has strong potential, which will get a push as and when the long awaitedgoods and services tax (GST) reforms are implemented. We expect greater activityfrom PE funds and MNCs in this decade compared to 2001-10.The report includes information about the key players in the Indian logistic sector and itsvarious segments.“Four-S India Logistics Report 2011-12” is prepared by the research of Four-S Services(www.four-s.com), which has covered this sector in detail in India for several years now.REASONS TO BUY India’s first comprehensive report on the logistics and supply chain business The report has original numbers and projections, backed by rigorous analysis, which would compel you to question some of the established facts floating around about the sector. Takes a detailed look at all key business segments, and highlights growth potential. Mentions key listed and unlisted companies in the sector.FOR WHOMCompanies in the supply chain and logistics business in India, logistics MNCs wanting to enterIndia, private equity funds, industry associations, policy makers, independent consultants andindustry researchersHOW TO BUYKindly write to Seema Shukla at seema@four-s.com You can also call Ashutosh Sharma at0124-425 1442, or Devendra Deole at 022-42153659 to book your copy. www.research4india.com 2
  • 3. Logistics TrackInvestment Activity PE Deals in 2012 The space saw 13 deals till date raising a total disclosed amount of $264.4mn. In 2011, there were 11 PE deals in Logistics space worth $278.1mn. The largest among came from Warburg Pincus which invested $100mn in Continental Warehousing Corporation for un-disclosed stake. Date Investor Target Stake Amount Strategy (%) ($ mn) 9-Jan Nalanda Capital Great Eastern Shipping 0.16 NA PIPE 6-Jan General Atlantic Fourcee Infrastructure NA 104 Growth 23-Feb IDFC Private Equity StarAgri Warehousing & Collateral NA Growth 30.0 Mgmt 23-Feb Global Super Angels Chhotu.in (Santa Claus Couriers) NA NA Angel 28-Mar Ambit Pragma Spear Logistics NA 1.7 Growth 30-Mar VenturEast, Zephyr Peacock e2E Rail NA 6 Early 26-Apr New Silk Route VRL Logistics NA 33.4 Late 19-Apr KKR, Goldman Sachs TVS Logistics 20 55 Growth 29-Jun Vertex Venture Holdings, NA Growth Reverse Logistics NA KPCB, Sherpalo Ventures 25-Jul Ambit Pragma Mehta Frozen Foods Carriers 74 NA Early 19-Aug GTI Capital Brattle Foods NA NA Growth 19-Nov Everstone Capital, ICICI Sohan Lal Commodity Management 32.48 23.5 Growth 28-Nov UTI Capital Pristine Logistics and Infraprojects Na 10.79 Growth Pvt. Ltd. Mergers & Acquisitions in 2012 M&A Amount Date Buyer Target Type ($ mn) 26-Jan Sattva Business Group Sattva CFS & Logistics Pvt. Ltd. Domestic 1.4 1-Feb Farnair Switzerland AG Quikjet Cargo Airlines Pvt. Ltd. Inbound - 1-Feb Oil Field Warehousing & Domestic Raamns Shipping & Logistics NA Services 13-Feb Kintetsu World Express Inc. Gati Kintetsu Express Pvt. Ltd. Inbound 53.97 20-Apr DHL Express (India) Pvt Ltd DHL Lemuir Logistics Pvt Ltd Inbound 24.0 4-May Deutsche Post AG DHL Logistics Pvt. Ltd. Inbound - 14-Jun a2z Shopping Ltd. SSN Logistics Pvt. Ltd. Domestic - 25-Jun SG Holdings Co. Ltd. Sunlog Services Pvt. Ltd. Inbound 40 25-Jun SG Holdings Co. Ltd. Sindhu Cargo Services Ltd. Inbound 40.0 15-Sep Nissin Corporation Nissin ABC Logistics Pvt. Ltd. Outbound - *SG Holdings have invested a total of $18mn in Sindhu Cargo Services and Sunlog Services which are sister concerns The space has seen 10 deals in 2012. In the same year, 8 M&A deals in Logistics space. TVS Logistics acquired 100% stake in US based MESCO for un-disclosed amount. Amongst the disclosed, the largest was 100% stake by Royal Vopak in CRL Terminals for $61.8mn www.research4india.com 3
  • 4. Logistics Track News UpdateJM Baxi looking to raise equity from PE conveyor system having a capacity of 5,000funds tonnes/hour. The stock yard has been equipped with two reclaimers with a capacity of 2,500Mumbai-based logistics company JM Baxi & Co tonnes/hour each.is engaged in discussions with PE players to The terminal will handle iron ore pellets for itsraise fund to meet its expansion plans, reports anchor customer Essar Steel, which hasBusiness Standard. The management of JM Baxi commissioned a pellet plant of 6 mtpa and is inhas appointed IDFC Capital, the investment advanced stages of construction of the secondbanking arm of IDFC, to find suitable buyers. unit of 6 mtpa, taking the total pelletisationSources said JM Baxi plans to raise Rs 150-200 capacity to 12 mtpa.crore by selling minority stake in the company.JM Baxi runs services such as a shipping Essar Ports plans to expand its capacity to 158agency, ship brokerage and chartering, bulk mtpa over the next few years from the presentcargo operations, clearing and forwarding, 104 mtpa. Apart from the Paradip terminal,container logistics, port development, tanker Essar Ports has two operational ports at Haziraoperations and ship management. and Vadinar. The Hazira port is an all-weather, deep-draftABC India reduces stake in JV port with 30 mtpa of dry bulk and break bulk cargo handling capacity. Vadinar is also an all-BC India Limited has sold 44% stake to its weather, deep-draft port with 58 mtpa of liquidpartner Nissin Corporation in the JV – Nissin cargo handling capacity.ABC Logistics Private Limited.Earlier this month Essar Ports is currently developing one terminalABC India had sold 19% stake for R16.3 Cr at Paradip which will be a coal berth of 14(holding 24% at that time) in the JV forming mtpa.part of the overall stake sale. The company is also setting up a dry bulkABC now holds 5% stake with the rest 95% terminal at Salaya with a capacity of 20 mtpa.lying with Nissin Corp. Nissin ABC Logistics, Additionally, the company plans to expand itsoperating out of Kolkata, was formed in 1999 Hazira port capacity by 20 mtpa – taking itsas a provider of in-plant logistics at Haldia. It capacity to 50 mtpa.later diversified into 3PL services that includewarehousing, distribution and transportation toautomobile sector at Noida. It provides both TCI to invest Rs 150 crore on newdomestic and international logistics services capacitieswith air freight, sea freight and customs Transport Corporation of India is investing Rsclearing forming part of its international 150 crore on expanding services andoperations. infrastructure to meet the demand from multi- brand retail that is expected to grow rapidly following the government move to allow foreignEssar Ports commissions dry bulk terminal direct investment in the sector.at Paradip The company will invest about Rs 60-70 croreEssar Ports has commissioned its 16 million on setting up new warehouses across thetonnes a year (mtpa) dry bulk terminal at country and about Rs 40 crore on buying newParadip, taking the aggregate handling capacity trucks, Transport Corporation of India’s Jointof Essar Ports to 104 mtpa. The project Managing Director Vineet Agarwal told PTI.involved the upgradation and mechanisation of He said TCI is looking to achieve 15-20 per centthe existing 230-metre-long CQ3 berth at growth in the next 3 years as the businessParadip, with the installation of a fully climate is improving and the supply chainmechanised ship loading system with a capacity division will contribute about one-third of theof 5,000 tonnes an hour. revenues for the company.It is an all-weather terminal with a capability to At present, TCI’s 40-45 per cent revenues comehandle large size ships. The terminal is from freight, while supply chain, express cargoconnected to the stockyard by a 9-km-long and seaways divisions account for the rest. www.research4india.com 4
  • 5. Logistics TrackMoreover, the company is also expecting 10 per Holcim employs track and trace softwarecent growth in its profits level for the current in Indiayear. Holcim Services (South Asia) Limited, a unit ofIn 2011-12, TCI had reported a net profit of Rs Holcim Group (Switzerland), announced that it51.84 crore and revenue of Rs 1,828.98 crore. will deploy the Trimble Trako Fleet ManagementFor the quarter ended September 30, 2012, the and Visual Cargo solutions for the outboundcompany had reported a net profit of Rs 13.14 logistics fleet that transports cement tocrore and revenue of Rs 470.37 crore. customers in India.The company operates a fleet of 7,000 trucks aday, of which it owns 1,500 vehicles. It also has Trimble will provide the Visual Cargo solution to3 ships and is planning to buy fourth ship, Holcims ACC Limited and Ambuja Cementswhich will be deployed for cargo shipments Limited plant operations and the GPS/GPRSbetween Chennai and Port Blair. based Fleet Management solution for use by their contracted transport vendors. Visual Cargo provides advanced dashboard and reportingPristine Logistics aims to set up 4 PFTs features that allow logistics managers toPristine Logistics plans to set up 4 private monitor, track and manage delivery exceptions.freight terminals (PFT) in Indore, Ludhiana, The Fleet Management solution will providePatna and Cuttack. In PFT business — rights of online tools for transport vendors to managewhich are given by the Railways — operators their fleet utilization and driver safety. (Source:are allowed to handle various types of goods for Cemnet)the Railways, roads and various value-added Cabotage rules’ relaxation to attract moreservices. To become PFT operators, companies ships to Vallarpadam terminalhave to pay Rs 2 crore to the Railways, out ofwhich Rs 1 crore is paid back after thenotification. The trade and industry welcomed the formalThe Railway Board already has close to 35 orders in relaxing Cabotage rules, saying that itproposals from 22 companies for setting up would help Vallarpadam terminal for optimumPFTs. The companies include Concor, Kribhco utilisation of installed capacity. With theseRail Infrastructure, Lloyd Steel and Hind relaxations announced by the Shipping Ministry,Terminals, amongst others. the ICTT at Vallarpadam would able to attractThe size of each of Pristine’s private freight more cargo and ships.terminals would be about 50 acres and land has Instead of insisting of 100 per cent X-raybeen acquired by the company. The company scanning of all containers, now 100 per centhas received Rs 60-crore investment from India radiological scanning is made mandatory for allInfrastructure Development Fund of UTI Capital containers routed through ICTT.recently.Pristine Logistics is a start-up backed by AmitKumar, Rajnish Kumar, and Sanjay Mawar. Air India still losing too much moneyBoth Amit and Rajnish were earlier in railwaytraffic service, and have worked in Container Air India is still losing cash by the bucketful,Corporation of India and Gateway Distriparks according to the Union Minister of Civil AviationLtd, the private container train operator, before Ajit Singh. The cash flow during the periodstarting this venture. shows a net shortfall of Rs 404 crore per monthAccording to Railways’ policy, brownfield PFT with inflows being at Rs 1,348 crore andoperators have to share 50 per cent of cargo outflows estimated at Rs 1,752 crore, said ahandling revenue or Rs 20 a tonne — whichever Ministry statement after a review meeting.is higher — with the Railways, after two years The Minister said that though there was anof operation; while greenfield PFT operators overall improvement in the performance of Airhave to share the same five years after India, it is important that the revenuecommencing operations. generated should meet the costs incurred.The Railways asks for this revenue share He asked Air India to go into minute operationalbecause it provides access to its over 65,000- details to cut costs including those incurred onkm network. Moreover, business of PFTs is overseas offices, salaries, fuel and officeexpected to increase by offering rail-based expenses. He further asked Air India totransportation services. negotiate with public sector oil marketingwww.research4india.com 5
  • 6. Logistics Trackcompanies for the same discount they areproviding to international and domestic carriers. Global News UpdateCargo berths at Chidambaranar port evokestrong bidding interest $2.13bn logistics park coming up in North ChinaSeven companies have reportedly expressedinterest in two berths being auctioned by V.O. The foundation stone laying ceremony forChidambaranar port (formerly Tuticorin port). Liaoning Donggang Yicheng InternationalThe Port Trust plans to build North Cargo Berth Logistics Park was held on Dec 18 in Donggang(NCB) – III for handling thermal coal and rock of Dandong, China.phosphate cargo through public-private Developed as a large storage and logisticspartnership on design, build, finance, operate project, the park will focus on overseasand transfer (DBFOT). container logistics. It will mainly handle theSimilarly, NCB-IV is being developed to handle transaction, intermediary trade, storage andthermal coal and copper concentrate. The bid logistics of grain, ores, steels, wood and coal infor both the projects will be finalised on the eastern part of Northeast China.Thursday and Friday. The park aims to develop into the mostThe berths have attracted interest from Marg influential international logistics harbor inLtd, Sterlite Ports, Adani Ports, besides Northeast Asia, a bulk commodity transactionconsortiums including the Hyderabad-based center in Northeast China, and Chinas base forTransstroy (India) and Russian company OJSC international trade to South Korea.and SEW Infra and Malaysian company The logistics park will provide services includingPembinan Radzai Sdn Bhd. technological research and development, e-The overall berth capacity for coal will be of 30 commerce, bulk community transactions, spotmillion tonnes per annum against the floating goods delivery and information services. Built tocargo of 3.5 mpta. The capacity is being the standards of more than 30 regional modernenhanced keeping in mind the proposed power logistics centers across the country, the parkprojects coming up near the region, said an will consist of five centers: a grain logistics andindustry source. distribution center, a financial service center, a price information publishing center, a fund settlement center, and an agricultural productsGail will receive first cargo at Dabhol LNG research and development center.terminal on Dec 28 With a planned area of 3.2 million squareGas Authority of India (GAIL) on Monday said it meters and a total investment of 13.3 billionwill receive the cargo at LNG terminal at Dabhol yuan ($2.13 billion), the park is expected toby December 28, and expects commissioning attract 100 enterprises and generate operatingby early February. revenue of 100 billion yuan annually after“We will get the first cargo on December 28. We construction.expect the terminal to be commissioned in thenext month-and-a-half,” GAIL Chairman andManaging Director B C Tripathi told reporters on Norway’s sovereign fund takes 50% stakethe sidelines of a FICCI event here. He further in $3.1bn warehouse JV which will own 49said the company expects to get 25 cargos in million square feet of space in Europethe next calendar year. Prologis, Inc. one of the leading global owners, operators and developers of industrial real estate, has signed a definitive agreement to form Prologis European Logistics Partners Sàrl, a euro-denominated joint venture. The venture will acquire a portfolio of high- quality distribution facilities wholly owned by Prologis in 11 target European global markets. Prologis’ partner is Norges Bank Investment Management (NBIM), which is the manager of the Norwegian Government Pension Fundwww.research4india.com 6
  • 7. Logistics TrackGlobal. Prologis European Logistics Partners will including OEM suppliers, rental agencies,be structured as a 50 / 50 joint venture with an auctions, web-based logistics firms andequity commitment of €2.4 billion ($3.1 billion), individuals — transporting nearly 2 million new,which includes a €1.2 billion ($1.55 billion) co- remarketed and specialty vehicles each year.investment by both NBIM and Prologis. Founded in 1998, United Road Services, Inc. isUpon closing, the venture will acquire a the premier finished vehicle logistics companystabilised portfolio of 195 properties totaling in North America. Each year, coast to coast andapproximately 49 million square feet (4.5 across borders, United Road manages themillion square meters); about 75 percent of the transport of nearly 2 million vehicles.properties coming from the former ProLogis Headquartered in Romulus, Michigan, theEuropean Properties (PEPR) fund and the company operates an integrated nationalremaining 25 percent coming from other network, has nearly 1,000 employees and morePrologis wholly owned assets. than 1,200 vehicle carriers.The venture may grow through acquiring Customers include all major global vehiclestrategic portfolios in target markets and, manufacturers, remarketers, financialwhere appropriate, properties that complement institutions, car auctions, car dealers, rentalthe existing asset base. In connection with the companies and on-line sales organizations. Itstransaction, NBIM will receive a warrant to patented, industry-leading OVISS logisticsacquire 6 million shares of Prologis common system provides real time order visibility forstock based on the closing price of $35.64 per customers.share on Wednesday, December 19th, 2012.The warrant will have a three-year term.“This joint venture is a significant milestone for CEVA sells bulk container businessPrologis, as it completes our European Freight and supply chain support group, Cevarecapitalisation ahead of schedule,” said Hamid Logistics, has announced the sale of both itsR. Moghadam, co-CEO and chairman, Prologis. CEVA Pallecon European container logistics“Our Private Capital business serves as a business and its Asia Pacific Pallecon businesspowerful growth engine for the company, to Australian company Brambles Limited forallowing us to continue to serve our growing €135 million. Both subsidiaries provide a fullglobal customer base, while redeploying capital range of intermediate bulk container’s (IBC) forefficiently and increasing and diversifying our the packaging of liquid, dry products andrevenue.” general security use."Our participation in the Prologis European The Pallecon brand operates mainly in WesternLogistics Partners venture advances our Europe, Australia and New Zealand, providingstrategy of investing in high-quality properties,” IBCs primarily for the transportation of liquidssaid Karsten Kallevig, chief investment officer in the food, cosmetic and chemical industries. Itfor real estate, NBIM. “We are very pleased to has been operating for more than 30 years andbe teaming up with a partner of Prologis’ caliber controls a pool of approximately 180,000 IBC’sas we enter the market for industrial real worldwide.estate, and we look forward to working together With business generated sales revenue of €53on future endeavors.” million in the year ended 30th September 2012,The venture has an initial term of 15 years, and with compound annual sales growth inwhich may be extended for additional 15-year excess of 7% over the three calendar years toperiods. Prologis will have the ability to reduce 31st December 2011, Pallecon’s EBITDA andits ownership to 20 percent following the EBIT margins averaged 33% and 18%second anniversary of closing. respectively over the same period. The transaction price represents a multiple of 7.4 times Pallecon’s EBITDA and 11.8 times EBITPE fund acquires US’s largest car carrier for the 12 months to 30th September 2012.Charlesbank Capital Partners announced itsacquisition of United Road Services (“UnitedRoad”) from The Gores Group.Headquartered in Romulus, Michigan, UnitedRoad is the premier provider of vehicletransport and logistics in North America. UnitedRoad serves 10,000 customers annually —www.research4india.com 7
  • 8. Logistics TrackStock Market UpdateShare Price Performance – Change in share price in the last 12 monthsCompany Name Market Cap Price Percentage Change (Rs mn) (Rs) 1w 1m 3m 6m 12m Container Corporation Of India 121,187 932.4 1.5 (1.6) (1.6) 7.2 11.8 Blue Dart Express 47,970 2,021.5 (0.2) (1.7) 19.7 5.7 35.8 Redington India 35,715 89.5 0.6 11.7 23.5 14.7 27.4 Shipping Corporation of India 25,619 55.0 3.2 6.1 (0.5) 1.7 6.8 Allcargo Logistics 16,212 127.2 2.1 (1.7) (2.2) (3.2) 4.2 Gateway Distriparks 15,218 140.4 8.0 8.5 0.4 6.1 13.6 Arshiya International 7,450 120.4 2.0 0.3 (11.5) (10.9) (7.2) Aegis Logistics 5,962 178.5 (4.8) 5.6 38.0 39.0 60.8 Transport Corporation of India 5,627 77.3 (5.7) 13.5 28.8 34.3 37.2 Mercator 5,069 20.7 3.0 7.5 (3.9) 13.4 18.6 Aqua Logistics 4,266 14.2 (5.8) 37.3 51.1 56.3 51.3 Sical Logistics 3,636 65.4 (1.6) 0.3 (0.2) (2.5) (5.4) Gati 3,014 34.8 (0.4) (5.1) (7.5) (2.4) 20.0BSE Sensex 19,242 (0.4) 3.9 2.6 13.4 22.3BSE 500 7,492 (0.3) 4.8 5.1 15.0 27.5As on 21 Dec’12Comparision with 52 week hi/lows and All Time HighCompany Name 52 week 52WH Date Diff 52 Week 52WL Date Diff from All ATH Date Diff from High from Low 52WL Time ATH 52WH HighContainer Corporation Of India 1097.0 Oct 23 2012 -15 805.0 Dec 30 2011 16 1500 Apr 22 2010 -38Blue Dart Express 2205.0 Apr 19 2012 -8 1407.1 Dec 22 2011 44 2205 Apr 19 2012 -8Redington India 94.0 Apr 23 2012 -5 65.0 Aug 13 2012 38 102 Jul 29 2011 -12Shipping Corporation of India 81.7 Feb 17 2012 -33 46.6 Jan 2 2012 18 221.33 Jan 3 2008 -75Allcargo Logistics 155.5 Feb 21 2012 -18 109.1 Jun 5 2012 17 271.02 Jan 12 2007 -53Gateway Distriparks 159.9 Mar 30 2012 -12 119.5 Dec 22 2011 17 241 Nov 14 2005 -42Arshiya International 171.4 Feb 9 2012 -30 111.5 Aug 28 2012 8 424 Jan 10 2008 -72Aegis Logistics 210.7 Dec 7 2012 -15 100.1 Jan 2 2012 78 416.8 Oct 12 2010 -57Transport Corporation of India 89.7 Dec 12 2012 -14 52.6 May 31 2012 47 185 Jan 1 2008 -58Mercator 33.8 Feb 22 2012 -39 15.8 Dec 28 2011 31 184.95 Jan 3 2008 -89Aqua Logistics 16.1 Dec 11 2012 -11 7.9 Dec 22 2011 81 67.53 Sep 30 2010 -79Sical Logistics 78.0 Feb 15 2012 -16 65.0 Nov 5 2012 1 574.75 May 3 2006 -89Gati 49.5 Feb 13 2012 -30 25.1 Dec 22 2011 39 215.2 Jan 2 2008 -84As on 21 Dec’12. SCI net profit adjusted for extraordinary itemswww.research4india.com 8
  • 9. Logistics TrackFreight IndicesBaltic Dry Index 1800 1600 1400 1200 1000 800 600 400 200 0 Jan-12 Jan-12 Mar-12 Mar-12 Jun-12 Oct-12 Oct-12 May-12 May-12 Apr-12 Aug-12 Nov-12 Feb-12 Jul-12 Jul-12 Sep-12 Dec-12Source: www.bloomberg.comRoad Freight Index 178 177 176 175 174 173 172 171 May-11 May-12 Nov-11 Jul-12 Nov-12 Jul-11 Sep-11 Sep-12 Mar-11 Mar-12 Jan-11 Jan-12SSource: Transport Corporation of Indiawww.research4india.com 9
  • 10. Logistics TrackFinancial BenchmarkingQuarterly Results – Q2 FY ’13, ending 30th September, 2012 Revenue (Rs mn) EBITDA (Rs mn) PAT (Rs Mn) Margins (%) YoY YoY JAS12 JAS11 YoY (%) JAS12 JAS11 (%) JAS12 JAS11 (%) EBITDA PATContainer Corporation OfIndia 10,548.6 9,945.5 6.1 2,575.7 2,628.0 (2.0) 2,324.8 1,754.2 32.5 24.4 22.0Blue Dart Express 4,180.8 3,888.4 7.5 449.6 440.6 2.0 322.0 297.5 8.2 10.8 7.7Redington India 58,596.9 51,889.0 12.9 1,451.6 1,349.5 7.6 24,681.7 682.8 3,514.8 2.5 42.1Shipping Corporation ofIndia 10,286.5 10,242.4 0.4 (183.9) 981.4 2,972.6 (1,406.0) (311.4) (1.8) 28.9Allcargo Logistics 10,136.7 8,115.9 24.9 1,068.9 1,042.1 2.6 2,160.7 592.1 264.9 10.5 21.3Gateway Distriparks 2,158.9 2,041.4 5.8 580.3 602.5 (3.7) 264.2 343.8 (23.2) 26.9 12.2Arshiya International 3,725.7 2,453.9 51.8 1,081.8 647.2 67.2 1,607.2 318.5 404.6 29.0 43.1Aegis Logistics 8,826.0 9,980.4 (11.6) (443.2) (288.1) 681.5 (193.2) (5.0) 7.7Transport Corporation ofIndia 4,703.7 4,526.7 3.9 345.8 368.4 (6.1) 131.4 137.5 (4.4) 7.4 2.8Mercator 8,222.6 7,811.6 5.3 1,692.9 1,459.6 16.0 1,007.1 104.8 861.0 20.6 12.2Aqua Logistics 783.2 921.7 (15.0) 61.5 24.8 148.0 622.1 63.3 882.8 7.9 79.4Sical Logistics 1,955.3 1,963.2 (0.4) 214.6 244.2 (12.1) 1,200.3 40.1 2,893.3 11.0 61.4Gati 2,980.3 3,201.4 (6.9) 122.3 265.5 (53.9) 257.3 45.0 471.8 4.1 8.6Annual Results - FY‘12 Revenue (Rs mn) EBITDA (Rs mn) PAT (Rs Mn) Margins (%) YoY YoY YoY FY12 FY11 (%) FY12 FY11 (%) FY12 FY11 (%) EBITDA PATContainer Corporation OfIndia 40,609.3 38,334.4 5.9 10,237.3 10,062.5 1.7 8,778.8 8,759.4 0.2 25.2 21.6Blue Dart Express 14,922.7 11,498.9 29.8 1,798.6 1,556.3 15.6 1,227.8 946.5 29.7 12.1 8.2Redington India 211,928.0 167,036.2 26.9 6,043.7 4,527.7 33.5 3,390.4 2,647.7 28.1 2.9 1.6Shipping Corporation ofIndia 40,334.3 36,245.0 11.3 1,892.4 7,909.1 (76.1) (4,282.1) 5,673.5 (175.5) 4.7 (10.6)Allcargo Logistics 42,711.5 33,963.0 25.8 5,197.0 3,987.2 30.3 2,976.9 2,372.7 25.5 12.2 7.0Gateway Distriparks 8,173.0 5,990.8 36.4 2,484.2 1,656.7 49.9 1,356.2 997.1 36.0 30.4 16.6Arshiya International 10,493.4 8,215.2 27.7 2,716.6 1,570.5 73.0 1,208.0 822.0 47.0 25.9 11.5Aegis Logistics 44,634.8 18,111.1 146.4 (37.8) 833.4 (104.5) 223.8 470.9 (52.5) (0.1) 0.5Transport Corporation ofIndia 19,537.5 18,512.6 5.5 1,579.9 1,400.0 12.9 593.4 501.2 18.4 8.1 3.0Mercator 36,999.1 28,288.8 30.8 5,829.1 6,210.4 (6.1) 301.4 858.6 (64.9) 15.8 0.8Aqua Logistics 3,682.3 5,165.0 (28.7) 222.8 497.4 (55.2) 55.6 330.5 (83.2) 6.1 1.5Sical Logistics 7,796.3 7,694.6 1.3 844.0 (25.7) (3,384.0) 156.1 (110.9) (240.8) 10.8 2.0Gati 11,771.0 12,029.8 (2.2) 567.3 924.6 (38.6) 415.1 141.0 194.4 4.8 3.5Valuation Table EV/ Market Cap EV (Rs EBITDA P/CEPS P/Sales (Rs mn) mn) P/E (x) (x) (x) (x)Container Corporation Of India 121,187 94,152 13.8 7.0 11.7 3.0Blue Dart Express 47,970 47,568 39.1 23.6 33.2 3.2Redington India 35,715 51,483 10.5 8.1 9.7 0.2Shipping Corporation of India 25,619 74,424 -6.0 11.3 14.2 0.6Allcargo Logistics 16,212 22,546 5.4 3.9 3.8 0.4Gatew ay Distriparks 15,218 14,826 11.2 5.6 7.7 1.9Arshiya International 7,450 29,675 6.2 10.6 4.9 0.7Aegis Logistics 5,962 7,936 26.6 7.9 15.0 0.1Transport Corporation of India 5,627 8,730 9.5 5.4 5.6 0.3Mercator 5,069 37,849 16.8 5.9 1.2 0.1Aqua Logistics 4,266 4,197 76.7 16.8 39.1 1.2Sical Logistics 3,636 8,848 23.3 10.2 7.4 0.5Gati 3,014 6,230 7.3 3.8 3.8 0.3www.research4india.com 10
  • 11. Logistics TrackFour-S Services Pvt LtdFounded in 2002, Four-S has a strong & successful track record of genuine, accurate andobjective advice to top Indian & global companies & PE Firms. Four-S has already provensuccess in corporate finance, strategy consulting, fund-raising, investment banking andinvestor relations mandates with 100+ corporates and large PE funds.Four-S, trusted advisor to top Indian & Global CosOffering comprehensive bouquet of services to SMEs, Corporates and PE Fundswww.research4india.com 11
  • 12. Logistics TrackDisclaimerThe information contained herein has been obtained from sources believed to be reliable but is not necessarily completeand its accuracy cannot be guaranteed. No representation, warranty, guarantee or undertaking, express or implied, ismade as to the fairness, accuracy or completeness of any information, projections or opinions contained in this documentor upon which any such projections or opinions have been based. Four-S Services Pvt. Ltd. will not accept any liabilitywhatsoever, with respect to the use of this document or its contents. This document has been distributed for informationpurposes only and does not constitute or form part of any offer or solicitation of any offer to buy or sell any securities.This document shall not form the basis of and should not be relied upon in connection with any contract or commitmentwhatsoever. This document is not to be reported or copied or made available to others.The company may from time to time solicit from, or perform consulting or other services for, any company mentioned inthis document.For further details/clarifications please contact:Ajay Jindal Seema ShuklaAjay.jindal@four-s.com Seema@four-s.comMumbai Office: Gurgaon Office:101,Nirman Kendra, Opposite Star TV, 214, Udyog Vihar, Phase I,Off Dr E Moses Road, Mahalaxmi, Gurgaon – 122016Mumbai – 400001 Tel: +91-124-4251442Tel: +91-22-42153659www.research4india.com 12