Transport Corp Q1 profit slips marginally despite higher revenue; margin improves

Transport Corporation of India Ltd. (TCI) reported a marginal decline in consolidated net profit for the quarter ended June 30, even as revenue and operating profitability improved, aided by steady demand across key logistics segments.

The company's consolidated net profit attributable to shareholders fell 0.75% year-on-year to ₹105.7 crore in the June quarter from ₹106.5 crore a year ago. Revenue from operations rose 9.6% to ₹1,249 crore from ₹1,139 crore during the same period.

Operating performance remained resilient, with EBITDA increasing 11.7% to ₹135.2 crore from ₹121 crore in the year-ago quarter. EBITDA margin expanded to 10.83% from 10.62%, reflecting improved operating efficiency despite higher input costs.

Revenue growth remains steady

TCI said business momentum remained broadly in line with expectations during the quarter, supported by healthy demand from the automotive, consumer goods and quick-commerce segments.

"TCl delivered a steady Q1 performance, with revenue and profitability broadly in line with expectations. Automotive, Consumer goods and quick-commerce related fulfilment continued to provide healthy traction. The impact of war on certain sectors like Chemicals, Tiles, packaging was visible. However, our diversified multimodal operating model and Pan-India branch network enabled us to maintain operational stability through the quarter," said Vineet Agarwal, managing director, Transport Corporation of India.

The company said higher diesel and bunker fuel prices exerted cost pressure during the quarter. However, contractual escalation mechanisms helped protect the majority of its contracted business, while recovery in the spot market reflected only a short lag.

Outlook remains positive

Looking ahead, TCI expects business activity to strengthen as the festive season approaches, supported by seasonal consumption trends and improving market momentum.

"We remain focused on margin discipline, efficient cost pass-through and improving asset productivity across our network," Agarwal said. He added that the company is accelerating investments in technology and AI-led capabilities to improve forecasting, route optimisation and automation, which are expected to enhance service quality, cost efficiency and sustainability.

TCI, one of India's largest integrated multimodal logistics and supply chain solutions providers, operates across freight, supply chain solutions, coastal shipping, cold chain logistics and chemical logistics. The company said its diversified business model and nationwide network continue to position it well to capitalise on improving demand in the logistics sector in the coming quarters.

Shares of Transport Corporation of India ended 2.51% higher at ₹940 apiece on the NSE on Thursday. However, the stock has declined more than 21% over the past year, underperforming the benchmark Nifty 50, which has slipped over 2% during the same period.