Logistics company Gateway Distriparks posted a robust set of numbers for the quarter ended March with their EBITDA rising 41 percent year-on-year (YoY). The company's rail and container freight segments (CFS) also reported higher volumes and revenues.
Detailing the numbers, Prem Kishan Gupta, CMD of the company said that the volumes are good so far in rail and container freight segments in Q1FY22.
“As far as this quarter (Q1FY22) is concerned, so far the going is good. The volumes are there both in the import as well as in the export direction. But going forward, we have visibility of imports coming in, but exports have been down because of the lockdowns. But nevertheless, the volumes, both in the rail and the CFS business are good till now and we hope that this quarter will do well,” he said in an interview to CNBC-TV18.
According to Gupta, H1FY21 was a washout due to lockdown, but for FY22 he is expecting double-digit growth in volumes in both rail and CFS.
“Last year was an exceptional year where there was a complete lockdown and the first half of the year (H1FY21) was almost a washout. We had very low volumes during the first 6 months, but the second half, month-on-month (MoM) the volumes increased and we got more than what we expected in the second half of the year (H2FY21). That momentum is continuing and so this year (FY22) our volumes baring the extended lockdowns and interruptions in the industrial activity, we definitely are going to have much more volumes. We expect double-digit volume growth for both the rail and CFS segment,” he said.
He also said that EBITDA per twenty equivalent units (TEU) will be better and expects it to go up by 10 percent for the rail business.
“The EBITDA/TEU will be better. CFS it will be the same but the rail business will see an improvement. Right now we have about Rs 10,000/TEU and it can go up by another 10 percent,” he said.
The debt for the company currently stands at Rs 445 crore. Gupta said that the company plans to reduce it by Rs 100 crore by end of FY22.Watch the video for more.