During Friday’s trading session, the shares of one of the leading 3PL and 4PL logistic companies in India surged 3.8 percent to Rs. 151.05 on BSE, after the company got selected as a sole supply chain partner for in-plant logistics & container rake transportation from Tata Steel Limited.
With a market cap of Rs. 1,512 crores, at 12:53 p.m., the shares of Western Carriers (India) Limited were trading in the green at Rs. 148.3, up by nearly 2 percent, compared to its previous closing price of Rs. 145.4.
What’s the news:
Western Carriers (India) Limited (WCIL) has been selected as the sole supply chain partner for in-plant logistics & container rake transportation from Tata Steel Limited for the Tata Steel Sponge Iron Joda (TSSIJ) plant in Joda, Odisha, for a period of 3 years.
According to the latest regulatory filings with the stock exchanges, the order, valued at Rs. 41 crores, covers the entire logistics support and container rake transportation for both loose and bagged direct reduced iron (DRI/Sponge Iron) at TSSIJ.
About Western Carriers IPO:
Western Carriers had recently gone public, with the issues being subscribed over 30 times.
The bidding for Western Carriers IPO started on September 13, 2024, and concluded on September 19, 2024. The allotment for the IPO had been finalized on 20th September. The shares were listed on the BSE and NSE on 24th September.
The company raised Rs. 492.88 crores, which included a fresh issue of Rs. 400 crores and an offer for sale (OFS) of Rs. 92.88 crores.
The objectives of the issue included prepayment of outstanding debt and funding the capital expenditure of the company.
Financials:
The company experienced a marginal growth in its revenue from operations, showing a year-on-year increase of around 3.2 percent from Rs. 1,633 crores in FY23 to Rs. 1,686 crores in FY24.
Similarly, its net profit increased during the same period from Rs. 72 crores to Rs. 80 crores, representing a growth of around 11 percent YoY.
EBITDA stood at Rs. 36.8 crores for Q1 FY25 compared to Rs. 32.5 crores during Q1 FY24, a year-on-year growth of nearly 13.5 percent.
Meanwhile, EBITDA Margin increased by 63 bps at nearly 8.71 percent in Q1 FY25, mainly on account of cost optimisation measures and improvement in operating efficiencies.
Shareholding Pattern:
As per the September 2024 shareholding pattern, the Promoters hold a 71.89 percent stake in the company, Foreign Institutional Investors (FII) hold a 5.46 percent stake, while Retail Investors and Domestic Institutional Investors (DII) hold a 14.13 percent and 8.52 percent stake in Western Carriers, respectively.
About the company:
Founded in 1972, Western Carriers (India) Limited is the largest private, multi-modal, rail-focused, 4PL asset-light logistics company in India in terms of container volumes handled/operated by private players in FY23.
In FY23, the company’s domestic and EXIM market share, based on container volumes handled, was 6 percent and 2 percent, respectively.
Written by Shivani Singh
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