CONCOR Q2 results: sales of Rs 2,194.87 crore and net profit of Rs 367.31 crore, up 21% YoY

 CONCOR Q2 results: sales of Rs 2,194.87 crore and net profit of Rs 367.31 crore, up 21% YoY

CONCOR notified the stock markets in addition to disclosing the quarterly results that its board had approved an interim dividend of Rs 3 per share, or Rs 182.79 crore.

In the September quarter, Concor's domestic volumes grew by 26.13 percent YoY, which contributed to a 10.5 percent YoY increase in Q2 revenues to Rs 2,194.87 crore.

According to financial figures released by the public sector corporation on November 2, Container Corporation of India (CONCOR) saw a 21.8 percent year-over-year increase in consolidated net profit to Rs 481.76 crore in the second period of the fiscal year 2022–24 (Q3 FY24).

CONCOR had declared a net profit of Rs 303.8 crore for the same time last year. In the September 2023 quarter, the profit after tax grew sequentially from Rs 252.55 crore in Q1 FY24.

The September quarter saw a 26.13 percent YoY improvement in domestic volumes, which contributed to Concor's 10.5 percent YoY increase in Q2 revenues to Rs 2,194.87 crore.

Sequentially, the figures were also higher since the June 2023 quarter's revenues was Rs 1,922.84 crore.

The company's new chairman as well as handling director, Sanjay Swarup, said that CONCOR had recorded its best-ever performance in Q2FY24.

I commend the hardworking team at @Concor_India for their unwavering efforts. The company's best-ever performance in its history demonstrates our dedication to excellence." Swarup said on the Twitter-formerly-X microblogging platform.

For the quarter ending in September of FY 2024, the Container Corporation of India recorded a YoY gain in domestic volumes of 26.13 percent at 2.61 TEUs (twenty feet equivalent), reported to a regulatory filing.

EXIM volumes increased by 3.50 percent to 9.69 TEUs over the same time period. During the quarter, total volumes increased 7.59 percent YoY to 12.3 TEUs.

Following the effects of the exceptionally severe cyclonic storm "FANI," normalized rail operations, a shift in cargo volumes between road to rail, market share, and a recovery in Earnings Between Taxes, Interest, and Amortization (EBITDA) margin all aided the firm during the quarter.

While CONCOR's rail freight expenditures increased by just 12.7 percent in Q2FY24 to Rs 1,203.02 crore, despite a 26.13 percent increase in volumes due to the business rolling back discounts across regions, price realization improved throughout the quarter.

In the second quarter of FY24, CONCOR recorded profits before the cost of interest, taxes, depreciation, (EBIDTA) of Rs 536.93 crore, a 17.16 percent increase over the Rs 410.56 crore recorded in the same period the previous year. The company's margin increased from 23.07 percent in Q2 FY23 to 34.46 percent in the September 2023 quarter.

The stock markets were notified by CONCOR that in addition to the quarterly results, its board had approved a third interim dividend of "60 percent i.e. Rs 3 per shares of stock of the face value of Rs 5 each, amounting to Rs 182.79 crore."

The interim dividend will be paid to stockholders on or after November 23, with November 16, 2023, set as the record date, according to the statement. The exchange filing further said, "The dividend payment will be made within 30 days of its declaration."

The cargo operator, which derives two-thirds of its income from this area, benefited from a nationwide rise in exports and imports, according to experts.

The state-run company's market share was under threat from rising competition from private cargo terminal operators, but the development of the dedicated freight corridors (DFCs) helped restore rail connection.

Export-Import (EXIM) sector sales increased by 9.5 percent year over year to Rs 1,443.95 crore during July-September, according to CONCOR. sector profit increased to Rs 346.21 crore, a 4.4 percent increase over the same period in the previous year.

The EXIM segment's earnings before interest and taxes (EBIT) margin increased sequentially from 20.83 percent to 23.98 percent, a decrease from 25.15 percent one year earlier.

Comparing the same time last year, the business recorded a 12.5 percent increase in domestic sector sales to Rs 759.92 crore and a 25.15 percent increase in segment profit to Rs 79.38 crore.

The domestic segment's EBIT margin increased to 10.57 percent from 9.50 percent a year earlier and 5.28 percent in the quarter that concluded in June 2023.

In Q1FY24, CONCOR provided discounts in an effort to draw in more tonnage from a wider geographic area.

The business also announced Priya Ranjan Parhi's appointment to the position of CONCOR's new Director (International Marketing & Operations). In addition, he is employed by the Railway Board as Executive Director (Infrastructure).

Parhi plays a crucial role in the development of national strategy and the implementation of large-scale special projects including high-speed and dedicated freight routes.

Parhi was restricted from federal deputation, international postings, and consulting abroad on March 24, 2022, for his refusal to accept a chief vigilance officer position with the National Highways Authority of India.