GURUGRAM, India, May 27, 2023 /PRNewswire/ -- TCI Express Ltd. ("TCIExpress", NSE:TCIEXP ; BSE:540212 ), the market leader in express distribution in India, today announces its highest-ever revenue for the fourth quarter ended March 31, 2023. This marks one of the most successful years in the history of the company despite macroeconomic challenges globally and inflationary pressure across the industry.
During Q4 FY23, TCI Express achieved its highest-ever revenue of Rs. 326 crores, registering a growth of 9.4% from the previous year and 3.8% from the last quarter. EBITDA for the quarter stood at Rs. 56 crores, representing a sequential growth of 17.8% with a strong margin of 17.0%. Profit after tax stood at Rs. 38 crores with a margin of 11.7%, up by 20% from the previous quarter. The growth was primarily driven by strong demand from the MSME and Corporate segment as well as higher utilisation in newly developed sorting centre facilities.
On a full-year basis, revenue from operations reached Rs. 1,241 crores, a growth of 14.8%. EBITDA grew by 10.2% to Rs. 202 crores with strong margins at 16.2%. Profit after tax grew by 8.1% to Rs. 139 crores with a margin of 11.2%. In light of the company's stellar performance during the quarter, the Board of Directors has recommended a dividend of Rs. 2 per share, taking the full-year dividend to Rs. 8 per share representing a payout of 400% on face value for FY2023. In addition, TCIEXPRESS also successfully completed a share buyback of Rs. 42.5 crores announced in Q4 FY22. This is a testament to the company's strong financial position and its commitment to rewarding shareholders for their trust and support.
Commenting on the performance, Mr. Chander Agarwal, Managing Director of TCIEXPRESS, said: "FY2023 has been a year of growth acceleration for TCIEXPRESS. Despite macroeconomic challenges and inflationary trends across the industry, we take pride in consistently outperforming the industry with double-digit revenue growth and profit margins. This accomplishment can be attributed to our strong asset-light business model, efficient operations, and cost-effective measures, including the automation of sorting centres.
Mr. Chander Agarwal, Managing Director of TCI Express Ltd
During FY2023, TCIEXPRESS incurred a capex of Rs125 crores, primarily for the purchase of land in Kolkata and Ahmedabad for setting up new automated sorting centres; new corporate office in Gurgaon; and for network expansion by adding 35 new branches to penetrate deeper in the key growing markets in West and South region to cater to growing market demand. Among the company's newly launched services, the Rail Express offering has been gaining good traction from customers, with customer base having expanded from 250 to 2,200 and presence from 10 routes to 125 routes since its inception. These new service offerings are expected to contribute positively to TCIEXPRESS's top line in the forthcoming quarters, enabling the company to achieve higher margin levels with sustainable growth.
"Sustainability is a core value at TCIExpress," Mr. Agarwal added. "We are happy to share that TCI Express's Giga Sorting Centre in Tajnagar and Pune Sorting Centre in Chakan have been awarded the prestigious GEM 5 Certification, demonstrating our commitment to promoting environmentally sustainable green building design and construction practices. With our ESG roadmap, we are taking bold action to tackle climate change by replacing the old vehicles with new standards, investing in automation and installation of solar panels on our sorting centres which will enable us to be self-sufficient in our energy requirements going forward.
TCI Express remains steadfast in its commitment to leveraging its strengths, seizing growth opportunities, and maintaining a customer-centric approach. Our strategic initiatives and robust fundamentals will continue to propel us towards sustained growth and enable us to deliver superior value to our customers."
Performance Highlights: FY2023 vs. FY2022
Performance Highlights: Q4 FY2023 vs. Q3 FY2023
Other Key Highlights:
About TCI Express:
TCI Express is India's leading time-definite express distributor, based on its unparalleled experience and deep domain-expertise that enables it to offer customized solutions to express delivery. The company has been growing rapidly and expanding its distribution network locally, with its current 950 plus offices covering more than 60,000 locations. TCI Express is well-equipped to offer time-definite solutions to 704 out of 712 districts in India with its wide spectrum of services comprising surface, domestic and international, e-commerce, rail, pharma cold chain, C2C and reverse express services. The company has special expertise in enabling solutions for clients in sectors like consumer electronics, retail, apparel &, lifestyle, automobile, pharmaceuticals, engineering, e-commerce, energy/power, and telecommunications. With a proven commitment to excellence and the pursuit of value-based policies to satisfy the aspirations of customers, vendors, employees, shareholders, and all other stakeholders in the express delivery industry, TCI Express has emerged as a frontrunner in a segment that is here to grow in the long-term.
For more information please contact:
Mukti Lal VP & CFO, TCI Express +91 124 238 4090 - 4094 | Bhushan Khandelwal / Anvita Raghuram Churchgate Partners +91 22 6169 5988 tciexpress@churchgatepartners.com |
Safe Harbour:
This release contains statements that contain "forward looking statements" including, but without limitation, statements relating to the implementation of strategic initiatives, and other statements relating to TCI Express' future business developments and economic performance. While these forward-looking statements indicate our assessment and future expectations concerning the development of our business, a number of risks, uncertainties and other unknown factors could cause actual developments and results to differ materially from our expectations. These factors include, but are not limited to, general market, macroeconomic, governmental and regulatory trends, movements in currency exchange and interest rates, competitive pressures, technological developments, changes in the financial conditions of third parties dealing with us, legislative developments, and other key factors that could affect our business and financial performance. TCI Express undertakes no obligation to publicly revise any forward-looking statements to reflect future / likely events or circumstances.
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