Glottis Ltd (NSE: GLOTTIS) Q3 2026 Earnings Call dated Feb. 19, 2026
Corporate Participants:
Kuttappan Manikandan — Managing Director
Rajasree Ananthapadmanaban — Chief Financial Officer
Ramkumar Senthilvel — Managing Director
Analysts:
Unidentified Participant
Krish Jain — Analyst
Presentation:
operator
Ladies and gentlemen, good day and welcome to Glottis Limited Q3 and 9 months FY26 earnings conference call. As a reminder, all participant lines will be in the listen only mode and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing Star then zero on your touchstone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. K. Manikandan, managing Director. Thank you and over to you sir.
Kuttappan Manikandan — Managing Director
Thank you Ma’. Am. Good afternoon everyone and thank you for joining us for the earnings call to discuss our performance for the quarter and nine months ended 31st December 2025. I appreciate your continued participation and interest as we move ahead in our freight year as a listed company. The operating environment during the quarter remained challenging across global logistics and freight market. Trade flows across key corridors stayed uneven, freight rates continued to soften and shipment planning by customers remained cautious. In this backdrop, our focus remained on customer engagement and disciplined cost control. For the quarter under review, revenue from operations stood was Rs.
14. 39 million. The movement in revenue reflects lower shipment volumes and software realization across several trade lanes, particularly in seaside demand. Visibility during quarter was limited and customer continued to optimize inventories and shipment sizes which impacted overall throughput. Operating profitability also moderated in line with lower revenue base and price pressure. EBITDA for the quarter was Rupees 40 million with margin of 2.8%. Profit after tax stood at Rupees 27 million with a margin of 1.9%. During this phase, we cautiously choose to retain key customers, accounts and service levels even where margins are thinner to protect long term relationship and business continuity.
From volume perspective, container throughput during the quarter was 20,710 TUs lower than the earlier periods. This 10 is broadly aligned with industry patterns where global container movement has remained soft due to slower ordering cycle, ongoing supply chain adjustment and cautious buying by importers. Looking at the business mix, key import continued to be the largest contributor accounting for about 79% of revenue for quarters. At the same time, sea exports show gradual improvement in share, increasing about 14.5% of revenue as compared to 12.2% in the previous quarter. This shift reflects pattern transition with export oriented customers in select sectors and trade routes where we are expanding our engagement.
On geographical side, Asia continued remain our core region contributing about 83% of our revenue for both quarter and 84% for a nine month period. Customer concentration remains stable and relationship continues to improve. Contribution from our top five customers was about 31% of the revenue for the quarter and 38% for the nine month period. This reflects repeat business and higher balance share from long standing clients while we continue to add new accounts to diversify the base over time. From an industry perspective, renewable energy remained the largest vertical. We also saw a noticeable increase in contribution from engineering products which increased to 20.2% in revenue in Q3 compared to 10.8% in previous quarter.
This increase was supposed by project cargo movement and higher dispatch activity from equipment and component manufacturers serving both domestic and export markets. Alongside market condition, we continue to invest selectively in operating footprint during the quarter. We opened new branch in Chaim Alabad to strengthen our presence in West India and to support customer in that region with faster coordination and on ground service. We also added 25 vehicles during the quarter by taking a total owned fleet strength to 42 vehicles. This addition improved our first mile and last mile control and reduced dependency on third party availability in key locations.
Going ahead, we will continue to focus on improving service depth, expanding customer coverage in target industry and maintain tight control over operating cost. Our approach remain measured and long term in nature so I also request all the investors to look into long term perspective instead of the quarter wise. I would also like to thank our customers for the continued support, our employees for their consistent effort and our shareholders for their support. With that I now hand over the call to DEEPTI to walk you you through the financial details. Thank you.
Rajasree Ananthapadmanaban — Chief Financial Officer
Thank you sir and a warm welcome to everyone on the call. I will now take you through the financial and operational performance for the quarter and nine months ended 31st December 2025. Starting with the top line, revenue from operations for Q3 FY26 stood at Rupees 14. 39 million while for the nine months period it was Rupees 5267 million. On the profitable different EBITDA for Q3 was Rupees 40 million reflecting an EBA TDF margin of 2.8 percentage and for nine months FY 2026 was Rupees 390 million with a margin of 7.4. Percentage profit after tax for the quarter was Rupees 27 millions and for the nine month period PAD stood at Rupees 270 million resulting in a nine month PAT margin of 5.1 percentage.
Now turning to operational metrics the EU’s handled during Q3 FY26 was 20,710. For the nine month period, the total years handled were 67,742. Now looking at the business mix for the quarter, Sea import remained the largest segment contributing around 79% of total revenue while sea export contributed about 14.5 percentage. Air import and air export together accounted for approximately 3.2% and road transport made up around 3.9% of revenue. From a geographic perspective, Asia continued to be the primary contributor accounting for around 83% of revenue in Q3 and about 84% for the nine month period. North America contributed about 8% in Q3, followed by Europe at around 5%, with the balance coming from Africa, South America and Australia.
Regarding customer concentration, revenue from our top five customers during Q3 was Rupees 438.9 millions contributing 30.5% of total turnovers for the nine month period. Revenue from the top five customers was Rupees 1976.3 millions representing 37.5% of total turnover. From an industry vertical perspective, renewable energy sector accounted for about 32.7% of revenue and engineering products contributed about 20.2% of revenue for the quarter. For the nine month period, renewable energy contributed 41.4% of total revenue followed by engineering products at 13.7%, consumer durables and home appliances at 9%, minerals and granite at 6.4%. In summary, while the quarter reflects a relatively soft operating environment, our cost structure remains aligned with business volumes and we continue to maintain financial discipline and working capital control.
With that, I conclude my remarks and request the operator to open the floor for questions.
Questions and Answers:
operator
Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may press Star and one on their touchtone telephone. If you wish to remove yourself from the question queue, you may press star and 2. Participants are requested to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. We’ll take a first question from the line of Krish Jain from Nafa Asset Managers. Please go ahead.
Krish Jain
Yeah. Hi. I hope I’m audible. So thank you.
operator
Can you use your handset mode please? Krish?
Krish Jain
Yeah. Am I audible now?
operator
Yes. Please go ahead.
Krish Jain
Yeah. Saying thank you for taking my questions. So first few questions on the revenue front. So revenue per TEU, which was around 97,000 in Q2 has come down to close to 70,000 this quarter. As well as coming to the revenue split, there has been a sequential drop of 35% in ocean freight import revenues as well as the Asia geography and also a sequential drop of 50% in renewable energy and from the top five customers. So I’d like to get your thoughts on that and also if you be great if you could quantify the team, you drop as well.
Ramkumar Senthilvel
Hi Chris, thanks for this question. So revenue has dropped. The revenue has dropped due to two reasons. One, the market is very soft in Q3 due to a lot of policy changes, policy angles especially from our country’s policy against the Southeast Asia countries policy that is especially on terms of imports. So that that is one of the reason the market was very strong. And second, the freight levels also dropped close to 28 to 30%. So which has brought down the average per tu basis quarter on quarter it was very, it was like lower. For an example in Q2 the average per tu cost was around 79,000 and for this quarter Q3 it is close to 67,000 naught.
So there has been almost like a 16% drop in terms of the pricing. So this, both these actions have brought down the revenue from the last quarter. And second, renewables due to some policies. One, the Trump’s policy of exports is now picking up. But there was no light in Q3, there was no visibility in Q3. And this has brought down this import because a lot of manufacturing happening and exports are happening to us also for domestic. So due to this policy kind of fluctuations, especially from us, every manufacturer was very cautious on piling up their raw materials.
So this, this brought down the volume especially on the renewable sector.
operator
Chris, does that answer your question?
Krish Jain
Yes, yes that. Could you please also say the same for Asia geography And I couldn’t get that answer.
Ramkumar Senthilvel
In terms of China. Like still we used to do the major movements from China, Malaysia, Vietnam, Thailand. So this could be the top four and Malaysia. So top five should be these region. And we have now scaled up Cambodia, Africa and Europe. This is on export front. So this 8, 9 corridors is where we are now targeting more especially Q3 revenues have built up in this 7, 9, 7 to 9 per country.
Krish Jain
Sure sir. Coming to the cost of services endorsed. So what I’ve noticed is it’s always been around 86 or 87 Percentage of revenue from operations but this quarter it is around 91%. So that 400 basis movement is the main reason that the EBITDA margins are down this quarter. If you could explain what is the reason for that.
Ramkumar Senthilvel
Yeah, the cost has increased a bit from our side and second due to market dynamics the prices were, the freight rates were Softening. We also wanted to like maintain our existing customer base. So we don’t want to miss out any of our customer base. So we wanted to play it very soft, especially in Q3. So we just did. We went with the win. We didn’t go against the win. We went with the win. So that’s one of the reason there is a big drop in Q3 which you could see.
Krish Jain
Sure sir. Coming to the capex front, last one call. You had mentioned that purchase of trailers will start by the end of Q3 as well as the utilization of IPO proceeds will complete by Q4. Are we still on track to do that?
Ramkumar Senthilvel
Yeah, so we have already as money has earlier quoted. So we had already included 25 fleets. So currently our fleet strength is 40 40. So we are again for doing some 45 odd fleets in Q4. So which means in terms of transportation like we were trying to add 150 odd trailers from the IPO proceeding we will be doing within Q4 close to 70 to 75 odd trailers in within Q4. I’ll tell you the reason why. So balance we will be doing in Q1 of FY27 and in terms of containers for the containers of thousand containers we will execute everything in Q4 itself.
The payments have been already in under process. So we will initiate in Q4 itself and continuous which will come live from Q1FY27 onwards. So. So the reason for why we did a slow deployment on trailers See we are we in my earlier call also we were trying to focus everything on a backward integration mode. So backward integration mode. We are, we are this transportation as well as containers. So container for the trailers. We have two challenges. One challenge is like we don’t want to pile up all the assets in one or two trenches. So we want to fix this in multiple trenches due to operational and other FC related issues.
And second one is drivers because availability of drivers is scarce. But we have, we have identified drivers and what we are trying to do is we are giving a quality training for all our drivers. It is almost like one week to. In one week to 15 days, one to two weeks. So this training session also we don’t want to keep our idea vehicle side. So we are like doing this training on a batch by batch basis. So that’s one of the reason why we have deferred this 66760 to 70 odd vehicles to Q1 of FY27.
But every. Yeah, but everything is under track. Everything is as we scheduled only.
Krish Jain
On the same track. So all These Capex purchases will obviously increase our depreciation. It would be great if you could quantify the annualized incremental depreciation that we are going to see in FY27. And it’s like I said, like the drivers you will be hiring which will increase your fixed cost. So you could quantify that as well. And how much are we planning to save in variable costs in FY27 and same thing. So what kind of a capacity utilization percentage are you looking at for these Capex purchases?
Ramkumar Senthilvel
I’ll go one by one. So let. Let me just take assistance from Deepi for the depreciation mode for FY27. Deepi, can you just throw some light on.
Rajasree Ananthapadmanaban
Yeah, I think it would be too early to quantify the annualized depreciation amount and the impact as of now. But corresponding to the depreciation amount which will hit the P and L, we are going to get the advantage from the containers purchase. And so I don’t think it will give a much impact to the P and L because of that because we have both gains and expenses as well due to container purchase.
Krish Jain
All right, sure. Just a final question from my side if you could be grating, you share the tu moved in Q3 of FY25.
Ramkumar Senthilvel
Sorry, I couldn’t. I couldn’t get your question.
Krish Jain
The tu movement in FY25 Q3 FY25. Sir.
Ramkumar Senthilvel
We are on the same numbers. Almost the same numbers. Deepi, can you just give. Give the TU to you for FI. So the Q3 FY26.
Rajasree Ananthapadmanaban
Yeah, yeah. For Q3 the DU is 26,700 odd and for the nine month period for 2025 it’s 85,800 odd.
Krish Jain
Yeah, sure. Okay, those are all the questions from my side. Thanks.
operator
Okay, thank you. Ladies and gentlemen. To ask a question Please press star N1 on your phone. Now. We’ll take our next question from the line of Bharat Zoshi, an individual investor. Please go ahead. Bharat, please unmute your phone and go ahead with your question please.
Unidentified Participant
Hello, Am I audible?
operator
Yes.
Unidentified Participant
Okay. Hello Sir, I would like to ask you the question since we are seeing that majority of revenue is depending on the renewable sector and the following renewable sector outlook for imports is on a sort of a downward trend from FY26 onwards. So what are the. Can you just throw some light on that?
Ramkumar Senthilvel
As you said earlier till FY24 and Fi. Fi 24, FY25 due to government policies for the enables import of solar, finished solar models were being imported and been allowed into India without any hiccups. So once this ALM came into place and government of India’s Making India drive is in fact pushing all this model importer to do model assembly or model manufacturing in India in which the volume compared with model imports or the raw material compared with raw material imports, it’s come down. This is. This is for sure. And what we are trying, what we are trying to.
What we are understanding from the market is the capacity is also increasing in India. Like for example customers who are doing 5 gigawatt of model line is now increasing the model capacity to 15 to 20 gigawatt. So this is giving us more opportunity of driving the volume especially on the raw materials. Raw materials for this solar model. Manufacturing of solar models. This is one, one of the case and another one is energy storage batteries. The best container, best containers. So this is a big movement which is happening and we are again an earlier entrant into this energy storage battery units which is happening for this renewable industry.
So we see a big opportunity in 2026 and 2027 next two years at least I’m just giving a conservative two years. So we see a big movement of this energy storage coming into India and we already started signing contracts with multiple customers and we also started executing in different ports in India. So this could give more kind of a volume handling in coming years. And the third one I could say like a lot of CAPEX movements is again happening. As I said, the model capacity is getting increased. So the capex is also 2026 and 2027 these two years is going to be again CAPEX movements from Southeast Asia, Europe into India.
So this will definitely give more opportunity for. And we are very positive on the volumes which could scale up.
Unidentified Participant
So down the line you see clotties as still focused on the renewable sector for the revenue contribution, is that correct?
Ramkumar Senthilvel
No, see the revenue contribution definitely energy vertical is going to be one of the biggest vertical in Gloucesters at least for the next three, four years. But now in my. In my last thing also I was telling about our concentration we will be doing more in automobile. So we have signed few contracts with top automobile players and we are executing this auto in a big way in Q4. So this auto spread will see will have a big growth compared with the FY25, FY26 auto growth would be higher. Apart from Moto, we’ll be doing engineering and pharma, other two, three pharma and rubber.
Three to four verticals we have already identified and we have quantified some sizeable customers in Q3 and Q4. So this could give a backup of solar renewables. But having said that renewable is going to be major moment for next two years. But our focal will remain spread it so which means like we will be concentrating the down the line we’ll be concentrating more on automobile energy and pharmaceuticals.
Unidentified Participant
So I think so we will be getting that synergy from Europe that EU has done for the automatic sector. Can. Can you like share the early numbers for Q4? Because the half of the Q for quarter four is already completed. What are the trends? Are they soft like Q3 or what’s the throw some color on that.
Ramkumar Senthilvel
So this we could take an offline call. But I could, I could say Q4 would be very positive and company is very bullish from Q4 onwards.
Unidentified Participant
Okay. And moreover can you give an outlook for FY27? I know it’s a bit early but still on the sort of that integration of backward integration that we have been talking about. And so we are shifting towards asset heavy model. Right. So can you just show some color on that incremental cost which we will be facing.
Ramkumar Senthilvel
We are deploying assets in FY26 and FY27 Q1 combined close to 130 odd crores especially on trucking and transport and containers. So. So this will give significant growth especially one in terms of revenue model especially on the trucking. And it will also bring down the cost. When we deploy this container which we buy it will bring down the cost which can increase the profitability. So the margins what we are currently in nine months combined. Nine months. I think our EBITDA is close to nine odd percent. So we are very, very positive going on a double digit.
Unidentified Participant
Okay. And you know during the quarter we opened one new branch. May I know where is where it is located? And on that note can you give a bifurcation of where the branches all over are located? The nine branches.
Ramkumar Senthilvel
Okay. The branch currently we have opened the branch in Ahmedabad. So Ahmedabad we have a operating office which is based out of Gandhidham. So this Gandhidam branch is almost like six to seven years we have been operating Gandhidham branch. We thought like we have to actively focus on Ahmedabad and Surat belt where we have lot of exports as well as import opportunities. So we have. That’s one of the reason why we thought like strategically we thought Ahmedabad could be the right choice to set up a siege office. Same speed, this could cater a big size of customers both in terms of exports and imports.
And our other branches are as I said in Gujarat we have two branches, Gandhidham and Ahmedabad. Then we have a branch at Delhi. We have a branch at Kolkata. We have a branch at Bangalore. We have a branch in Coimbatore, Tyotigoram, Cochin. So these are the branches currently we have and we will keep adding more because we are identifying more more promising areas. So we’ll keep adding more in coming.
Kuttappan Manikandan
Sorry to interrupt. To add to Ram’s point and Mumbai is also one more branch. We are Mumbai. Yeah.
Unidentified Participant
One last question from my side. Other teamu numbers like last quarter we, we have been said that the TU numbers will be more or less equal to the FY25 numbers for FY26 as well. So that will make a sense if we are like say 44,400 some odd TU will be pushed in the Q4. I don’t think that’s viable. But just can we go some color on that?
Ramkumar Senthilvel
In terms of TUs in FY25 we did around Lakam 1400 odd TUs. So as such nine months we stand around 85,000 TUs which is short of like 25,000 TUs which could be the target to achieve at least Q5. That is FY25 numbers in terms of TUs. So out of 25,000 TUs we are very bullish in this quarter and we are very positive achieving at least close to that. The market is very soft but we are still focusing more and customer bases have increased. We could come little close to this numbers what we did last year.
Unidentified Participant
Okay. And just on that note, can you sort of assist me on linking how the TU are linked to the revenue contribution.
Ramkumar Senthilvel
TU comparison revenue. So so this is like. So we, we have, we have this 20ft unit and 40ft units and this TU’s like majority since it is like Southeast Southeast Asia based majority of our procurement supplies happens from the Southeast Asia base. So we average average of the tu. Like what to say it could be around close to 77,000 rupees per du. I’m just giving you an approximate figure. So when and this is the cost and revenue we go as per the market practice and as for the market demand and supply. So Q3 was very very soft and the global queues well as the policies were completely shapeless especially for our industry.
So we thought like we will do a smaller percentage on from our current cost model. So but Q4 seems to be very promising and we have some kind of a steady announcement coming in from Europe, US and other areas which is very positive note for the logistics industry and especially for the office.
Unidentified Participant
Okay, so the TU numbers is the 77000 which you said. So as per my model it is 90 000. So I am assuming that is for all the CC routes. So on that note, can I request management tools specifically give a root wise to you by the reason if it’s possible for major routes at least major routes.
Ramkumar Senthilvel
I think we have Deepi, you have the data. Can you just second share for Q3?
Rajasree Ananthapadmanaban
Actually we have country wise to use.
Ramkumar Senthilvel
Yeah, that’s fine. Yeah.
Rajasree Ananthapadmanaban
Coming to the top five contributors as already as Ramsar have discussed. China this quarter we have made around 7900 odd years. With Vietnam we have made 3600 odd EUs. Indonesia close to 2000 EU’s. Malaysia approximately 1600 years and United States around 1300 years. These are the top five nations which have contributed to the most of the TUs in this quarter.
Unidentified Participant
Okay. And the revenue derived from them are based on the distances of the routes.
Ramkumar Senthilvel
This, this, this, this. No, no, it will not based on distance. It is based on the services and the availability and the the root model.
Unidentified Participant
Okay, no problem. May I request that from next quarter onwards can you also provide this data as update?
Ramkumar Senthilvel
Sure. So you. You want to have some idea based on the root wise, right? Root wise like May we can just give infra Asia as one one particular bucket and Europe as second bucket and mid as a third bucket and fourth bucket could be us.
Unidentified Participant
Yes, that will assist in the revenue model.
Ramkumar Senthilvel
Definitely. Sure. Definitely. We’ll take a note. We will just give you puis on TUIS and tui’s average cost also in this particular.
Unidentified Participant
That will be. Thank you and best of luck.
Ramkumar Senthilvel
Thanks.
operator
Thank you. Ladies and gentlemen, to ask a question please press star and one on your phone. Now. Participants who wish to ask a question are requested to press Star and one on their phone. Participants who wish to ask a question may please press N1 on their phone. As there are no further questions. I would now like to hand the conference back to Mr. Ramkumar Senthilwell, managing Director for closing comments. Over to you sir.
Ramkumar Senthilvel
Thank you. Thank you everyone. And we would thank everyone, each and everyone, the shareholders, the retail investors, our customers for being with us. Especially on this tough time. So Q3 is very tough for us. But we are very patient and very ambitious company is very ambitious and bullish. And we would request all our all stakeholders, all partners and investors to measure us on a long term, not on a short term basis. This could be my humble request and I thank you everyone for trusting us. Glottis, thank you so much.
operator
Thank you. On behalf of Glottis Limited, that concludes this conference. Thank you for joining us. And you may now disconnect your lines.