Vrl Logistics Ltd. · NSE:VRLLOG
Vrl Logistics — Q1 FY2023-24 Earnings Presentation
23 slides from Vrl Logistics's earnings presentation, Aug 7, 2023
Slide 1: Submission of Earnings Presentation cover letter
Corporate Office: Giriraj Annexe Circuit House Road HUBBALLI- 580 029 Karnataka State Phone : 0836- 2237511 Fax : 0836 2256612 e-mail : headoffice@vrllogistics.com To, BSE Limited National Stock Exchange of India Limited Phiroze Jeejeebhoy Towers Exchange Plaza, Plot No.C/1, G-Block, Dalal Street Ba
Slide 2: Q1 FY2023-24 Earnings presentation
Q1 FY2023-24 Earnings presentation 1
Slide 3: Disclaimer
Disclaimer • Certain statements contained in this document may be statements of future expectations/forward looking statements that are based on management‘s current view and assumptions and involve known and unknown risks and uncertainties that could cause actual results/performance or events to di
Slide 4: VRL – Market Leader in B2B Parcel Segment
VRL – MARKET LEADER IN B2B PARCEL SEGMENT Only “Owned Asset” organised Pan-India surface logistics services Integrated hub-and-spoke player in Less than Truckload provider with an established brand operating model ensuring logistics business in India having one of the largest efficient consignment d
Slide 5: VRL at a glance: workforce, hubs, branches, vehicles
20000+ WORKFORCE led by 8 LAKH + experienced CUSTOMER BASE management 49 MASSIVE TRANSHIPMENT 1140 GOODS HUBS TRANSPORT HIRED VEHICLES BRANCHES ENGAGED ON NEED BASIS 5628 OWNED GOODS TRANSPORT VEHICLES .
Slide 6: Key Points - YoY
KEY POINTS- YoY GOODS TRANSPORT REVENUE ( Rupees in lakhs ) GOODS TRANSPORT EBITDA (Rupees in lakhs) 68310 11081 61730 9422 Q1FY23 Q1FY24 Q1FY23 Q1FY24 BRANCHES (No’s) TONNAGE DELIVERED CAPACITY (TONS) CAPEX ( Rs in Lakhs) (in ‘000 TONS) 8712 1140 11% YOY 81885 1002 11% YOY 904 1126 8541 73616 Q1FY2
Slide 7: Financials
FINANCIALS Q1 YoY Q4 QoQ Particulars (INR in Lakhs) FY24 FY23 Growth (%) FY23 Growth (%) Total Income 68,310.05 61,729.74 11% 70,287.99 (3%) Total Expenses 63,749.11 56,849.24 12% 64,265.66 (1%) Profit Before Tax from Continuing Operations 4,560.94 4,880.50 (7%) 6,022.33 (24%) Profit for the Period
Slide 8: VRL - Key Differentiators
VRL - KEY DIFFRENTIATORS India – 66% Goods transported by road Long Term Sustainability VRL Only “Owned Asset” organised player in LTL business in India Operating model Integrated hub-and-spoke operating model ensuring efficient consignment distribution VRL owns 5628 GT vehicles Efficie
Slide 9: VRL - Key Differentiators
VRL - KEY DIFFRENTIATORS ~31% vehicles Fully Depreciated Lower Costs ~ 89% vehicles Debt Free No Associated finance costs Financial performance & position Track record of growth and robust financial position EBITDA Margins @16% (Q1FY24) – Amongst the best in the Industry Cash Profits/C
Slide 10: Standalone Strengths
Standalone Strengths Most efficient collection mechanism • Annual bad debt(FY23) ~ Rs.30 lakhs on ~ Rs.2,600 Cr. Revenue. • Hardly any collectible more than 90 days. • Trade Receivables at 11 days of Total revenue in FY23 Procurement of diesel directly from Refineries by establishing own fuel pu
Slide 11: Goods Transport (GT)
GOODS TRANSPORT (GT) Rupees in Q1 YoY Q4 QoQ GT revenue increases by 11% YOY Lakhs FY24 FY23 Growth (%) FY23 Growth (%) Revenue 68310.05 61729.74 10.66% 70287.99 (2.81%) GT EBITDA increases by 18% YOY EBITDA 11080.6 9422.19 17.60% 11878.6 (6.72%) GT EBITDA margins @ 16.22% Margin (%) 16.22% 15.26% 1
Slide 12: GT Performance
GT PERFORMANCE Revenue Analysis • GT revenue increases by 11% YoY and decreases 3% QoQ • Volumes up by 10.74% YoY from 904,000 tons to 1002,000 tons and down 2.80% QoQ from 1031,000 tons to 1002,000 tons. . • Realisation per Ton decreases by 0.63% YoY from Rs 6691.44 to Rs.6649.53 and by 0.07% from
Slide 13: Continued Operations - Goods Transport (GT)
CONTINUED OPERATIONS - GOODS TRANSPORT (GT) Details of Unallocable segment Revenue/Expenses in earlier quarters are now a part of continued operations Q1 Q4 Rupees in Lakhs FY24 FY23 FY23 FY23 Unallocable revenue (A) 955.96 842.72 1264.55 3863.64 Unallocable expense (B) 1333.87 1395.58 1291.88 5389.
Slide 14: GT – Profitability Analysis
GT – PROFITABILITY ANALYSIS Q1 FY24 Q1 FY23 Difference YOY (%) Reasons (% to Revenue) EBITDA 16.22% 15.26% 0.96% • Procurement from refineries increased by 31% from 0.75% in Q1-23 to 31.73% in Q1-24 Fuel cost 29.76% 30.87% (1.11%) • Average procuring cost per litre of Diesel down by 6.08%, from Rs 9
Slide 15: GT – Profitability Analysis
GT – PROFITABILITY ANALYSIS Q1 FY24 Q4 FY23 Difference QoQ (%) Reasons (% to Revenue) 16.22% 16.90% (0.68%) EBITDA Fuel cost 29.76% 30.95% (1.19%) • Procurement from refineries increased by 3.58% from 28.15% to 31.73% Average procuring cost per litre of Diesel down by 1.39%, from Rs 88.78 to Rs.87.5
Slide 16: GT – Tonnage and Realisation
GT – TONNAGE AND REALISATION GT Tonnage (in '000 tons) 1009 1031 1002 905 967 877 887 847 616 Q1 FY22 Q2 FY22 Q3 FY22 Q4 FY22 Q1 FY23 Q2 FY23 Q3 FY23 Q4 FY23 Q1 FY24 11000+ TONS SERVICED ON A DAILY BASIS (Q1 FY2024) 6755 6691 6679 6683 6649 6654 6650 6589 6205 Q1 FY22 Q2 FY22 Q3 FY22 Q4 FY22 Q1 FY23
Slide 17: Consistent Growth in Tonnage & Realisation
CONSISTENT GROWTH IN TONNAGE & REALISATION 6584 6669 6268 6047 5698 5825 5429 5179 4972 4689 4180 3912 3696 3416 3227 2959 2659 2787 2596 2619 2624 2541 2323 2363 2406 2094 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21 2021-22 2022-23 GT TONNAGE ('000 TONS)
Slide 18: GT Network
GT NETWORK LADAKH-UT 01 J&K-UT 08 • Market Leader In LTL Segment HP CH-UT 01 PB 27 10 UK • Hub & Spoke Model 08 DL HY 38 28 • Focus on Geographical Expansion. UP RJ 56 23 AS- 09 BR 14 ML-01 • 21 Branches Added in Q1FY24 JH GJ 90 MP 19 09 WB 36 TR 01 • Service extended into newer territories CG 11 Op
Slide 19: GT Vehicles & Capacity
GT VEHICLES & CAPACITY Total GT Vehicles : 5628 No of GT Vehicles 33837 GT vehicles carrying Capacity: 81885 tons - Capacity (tons) -excluding Cranes(14) and Tankers(21) 14880 14071 9212 7531 1233 1030 859 1904 646 1121 626 504 24 <5 tons 5 - 10 tons 10 - 15 tons 15 - 20 tons 20 - 25 tons 25 - 30 to
Slide 20: GT Wide Range of Sectors Served
GT WIDE RANGE OF SECTORS SERVED Expertise In Handling Variety Of Commodities Sports Goods Educational Goods Machinery Diversified B2B Customer Base Across Wide Range Agriculture of Industries FMCG Products & Textile Implements No single customer contributing over ~1% of Total Electrical Pharma Leath
Slide 21: Key Developments
KEY DEVELOPMENTS Addition of 21 new branches in Q1FY24. Closed : 7 branches. Total number of branches as on 30.06.2023 is 1140. Expansion of existing TPT / Branch Area and increasing Branch Density in Key Markets like Hubballi, Pune, Ahmedabad, Raipur, Salem, Chennai, Kanpur, Delhi, Kolkata, Patna,
Slide 22: Focus on core competency - Goods Transportation Business
Focus solely on core competency- Focus on increasing Geographic Goods Transportation Business. presence of in hitherto untapped markets Priority to Volume Growth. Increase in Freight Rates as & when required Well positioned to conclude planned fleet addition 21
Slide 23: For further discussions or queries, please contact
For further discussions or queries, Please contact Sunil Nalavadi Chief Financial Officer +91 93425 59298 cfo@vrllogistics.com 22