On April 25, Mahindra Logistics fell 2% in the early morning trade, a day after the company informed a 97% year-on-year (YoY) drop in combined net profit at Rs 0.2 crore in the March ending quarter.

The company’s operating margin was 5.01% against 4.73% in the same quarter a year ago. Besides, the revenue of Mahindra Logistics rose 17% YoY to Rs 1,272.51 crore in the March quarter of the financial year 2022-23, the company mentioned.

According to the research and brokering firm, Motilal Oswal Financial Services had a diversified revenue portfolio across sections, offsetting the muted growth in e-commerce for the March quarter.

Mahindra Logistics stated that despite the slowdown in some end markets, their core 3PL business proved positive traction on order intake and margin expansion, led by our varied market segments.

Rampraveen Swaminathan, MD and CEO of Mahindra Logistics, added that their freight forwarding business was impacted by freight price improvements but demonstrated volume growth across all offerings. They persisted, optimistic about demand uptick in upcoming quarters, focusing on amalgamating and leveraging the portfolio.

Mahindra Logistics is an incorporated third-party logistics service provider with expertise in supply chain management and enterprise mobility.

At 9:21 am, the stock traded 1.6% lower at Rs 368.75 on the Bombay Stock Exchange.