Patel Integrated Logistics Ltd (NSE: PATINTLOG) Q1 2026 Earnings Call dated Aug. 06, 2025
Corporate Participants:
Unidentified Speaker
Mahesh Fogla — Executive Director
Analysts:
Unidentified Participant
Vikram Suryavanshi — Analyst
Presentation:
operator
Ladies and gentlemen, good day and welcome to the Patel Integrated Logistics Q1FY26 conference call hosted by Philip Capital India Private Limited. This conference call may contain forward looking statements about the company which are based on the beliefs, opinions and expectations of the company as on the date of this call. These statements are not guarantees of future performance and involves risks and uncertainties that are difficult to predict. 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 and then zero on your touchtone phone.
Please note that this conference is being recorded. I now hand the conference over to Mr. Vikram Suryavanshi. Thank you. And over to you sir.
Vikram Suryavanshi — Analyst
Thank you Nidhi. Good afternoon and very warm welcome to everyone. Thank you for being on the call of Patel Integrated Logistics. We are happy to have the management with us here today for question and answer session with the investment community. Management is represented by Mr. Mahesh Pogla, Executive Director and Mr. Avinash Paul Raj, Company Secretary. Before we start with the question and answer session we’ll have opening comments from the management. I will hand over the call to Mr. Mahesh for opening comments. Over to you sir.
Mahesh Fogla — Executive Director
Thank you Vikram. Very good afternoon to everyone. It is a pleasure to welcome you all to the earnings conference call for the first quarter of financial year 2026 of Pateli Integrated Logistics Limited. Let me first thank you dear Vikram and his team from Fleet Capital for graciously agreeing to hosting the phone call. We are really thankful to them. Now let me take you through the operational highlight for the CDS and the review after that. We’ll take you through also the financial highlights. Let me take you through the operational highlights. First of all, as we all know there is a challenging global environment marked by ongoing geopolitical tension, untaskernity tariffs.
However, we don’t want to distract by all of them and we remain focused on exhibiting our initiatives which we have taken up and we are very much focused to achieve our goal. Operationally we are well positioned to benefit from upcoming infrastructure development as we know that including the much anticipated inauguration of the International Air Force which is expected to be operational by October 2025 as per the media reports. And also we are expecting the in the up also one big airport going to open. These are all. As we know these are all part of overall government initiatives to increase number of airports from 1 around 140 to 220 airport as we know as the number of airports are increasing and airport have a cargo facility, it will definitely give us a boost to our business and the development is expected to significantly increase regional air cargo volume unlocking meaningful growth opportunities.
We believe this will play pivotal role in extending our network capabilities and as we know we are a Pan India company into more and more airport and increasing and our network also will increase further and enhancing and we will able to enhance our services offering to the customer. Also customer will have more choice and the more cargo movement will also be faster which in turn support our long term growth and profitability in the Very recently we have also signed a new rate contract with one of the leading airlines in the Middle east which will also help us to offer more competitive trading to our customers and give our enable us more good to move from India to the Middle East.
This move we expected to drive in our definitely international sales volume and further reinforce our strong market position. Now let me go by the numbers which are under quarter under review. There is a June quarter quarter ended by on June 25th. To provide a clear picture to all of you we classify as we know some of people who already attended our previous earning call. We classify our business into two segments, domestic and international. Domestic segment include good movement within India through the air while the international segment related to export and cross border segment mean good movement out of India.
In that our domestic sales volume for the quarter is 13,318 tonnes, a slightly lower than 13,366 tonnes in the previous quarter and 14,535 tons in the same quarter of the previous year. Let me clarify in the outright it is also a seasonal business quarter to quarter comparison may not be the appropriate although we are a growing company. So if I talk about the June quarter of the last same June quarter of the last year it is more comparable than the immediate past quarter. However, since there is a requirement to give the quarter immediate past quarter figure also.
So we are giving that figure out to all of you. Further let me also happy to inform you that our sales improved to 57 rupees 4 PETA per kilogram. That is the 3 and a half percent year on year increase. When I talking about year on year that means I’m talking about the June quarter of the last year reflecting our discipline, pricing and value driven customer service. This was the overall sales volume for the quarter which I was talking to you including the international and the domestic of 13,318 tonnes if I do the breakup of that into domestic and international then The Domestic segment contributed 11,636 ton 11,636 going sequentially growth from 11,266 in in in the quarter four in the joint sequential growth from no sorry, I beg pardon domestic segment contributed 11,636 tons.
Again that last year we have a 12,600 sons in in in the 11,266 tons in the Q4 Q4 FY25 I beg pardon I repeat the number within the domestic segment contributed 11,636 tons and in the current quarter again the 12 when the 12,617 6 tons 12,617 tons in Q1FY25 on the last year the international segment contributed 1682 tons lower than 2099 tons in Q4FY25 and 1918 tons in Q1F1FY25. This decline as I was explaining was primarily due to geopolitical uncertainty. There is impact where people don’t know what to do and what not to do. However, we are very confident that things are getting settled down as we are talking about and which we are in the last quarter okay it impacted but in the coming quarters we are helpful to recover all this whatever the decree happened in the earlier part in the earlier quarter of June quarter.
Further, let me give now the apart from the connect figure, let me give the financial figures for the quarter under review. During the first quarter of FY26 operational income declined by 5% to INR 78 crore year on year that is net of GXP. The decrease was primarily attributed to seasonal softness and a marginal drop in overall cargo volume. EBITDA for the quarter was as sales had come down marginally so consequently EBITDA also came down from EBITDA for The quarter was 1.9 crore down 9% year on year with EBITDA margin standing at 2.44%. However we able to keep our profit after tax increased by 6.6.7% year on year to INR 1.6 crore supported by a substantial reduction in the finance cost which we are hopeful to continue to get the benefit further our pat margin improved to 2.5%.
These are some of the operational and financial highlights from my end. We are as I was explaining to you, we are very hopeful about the things which are going to happen in the future. In spite of all this knowledge which we are hearing from the all over the world and as a General as a macro picture also we are not an export dominated country like a China. We are more dependent on our in house demand, domestic demand. So we. We don’t expect much effect on the all this noises to our. Not to not only to our company but as a general also.
And since we are in logistics business and it’s the economy it’s going doing well as we can see today also our honorable governor also kept the growth rate same and he also hopeful. So we are also hopeful for the entire thing. And by this I am over over to the Vikram. Thank you Vikram.
Vikram Suryavanshi — Analyst
Yeah, thank you sir. I think we can move to the question and answer session.
Questions and Answers:
operator
Thank you very much. We’ll now begin the question and answer session. Anyone who wishes to ask a question may press star and one on their touchstone 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’ll wait for a moment while the question queue assembles. Ladies and gentlemen, anyone who wishes to ask a question may press star and one on their touchtone phone. The first question is from the line of Vikram Suryavanshi. Please go ahead.
Vikram Suryavanshi
Yes sir, we have seen volume decline on yoy basis for this quarter. But on full year basis as well as the long term if you take what kind of growth in volume we are targeting as a company.
Mahesh Fogla
Yes, as I was explaining in the 1/4 normal this quarter remains a seasonally weak for us. So traditionally also and you can see the things are coming up for July already ended up also and it look good only. So we are expecting at least I will not give a specific number but definitely we are expecting more than the last year overall.
Vikram Suryavanshi
Okay. And how is the gross margin as well as the EBITDA margin in international business compared to domestic business? If you can give some sense.
Mahesh Fogla
Yeah, definitely in the Internet international business margins are lower because the recovery of money is also faster in the international business. Okay. Comand in the domestic business there as a traditional factory the receivables are there for three months around margins are little higher. So in the. If I give you a ballpark figure of the restaurant in the domestic business, figure it around the 12% around between the 12 to 13% in the range and in the international business the range is between the one and a half to two and a half percent.
Vikram Suryavanshi
Yeah, this is for gross margin.
Mahesh Fogla
I’m talking about a pure gross margin.
Vikram Suryavanshi
Okay, okay. Understood. And what would be our receivables and table scenario currently in terms of days or absolute number whatever is available.
Mahesh Fogla
Yeah, yeah, yeah. Look, we are also very recently we have introduced a one system also system driven. Because we want to be a system driven company. And after. After setting up the mobile app trash fill mobile app in the last year thereby the everything moved to the mobile only on the system. Nothing is done, no booking is done in a manual way. In the same December also we have introduced the receivable control also through the system only. And which. Which right now we have a receivables as usual around the 65 to crore amount of figures are there 65 to 68 crore figure.
But as we have improved some as recently in December only and which is getting digested in the in the entire ecosystem. And we are hopeful to improve our receivables also in the coming quarter which will definitely help us in more movement of the goods and more sales volume. So overall it look like receivables also are in the control.
Vikram Suryavanshi
Understood. And two more question one regarding we are hearing like a lot of other express players or logistics players are also aggressive in now air express or air cargo movement. When you look at the GATI or even other TC Express everyone is now started and putting started giving air volume numbers. So are they competing with us or we also do consolidation for them and it is a complementary for us. So how is the competition competitive scenario? If you can explain that. I think.
Mahesh Fogla
What is happening in look like like when you’re talking about a specific name of the one party. They are our also customer also. Not that they are not our customer also. And we actually market is now and market is growing because people are talking about the electronics all the movement of the good in the faster way. And as the way the number of airports are increasing and as you can see we use normally the passenger aircraft and the number of passengers are also increasing lift and bound. So point that whoever comes is good for us only.
And as you can see earlier also people are coming also and but we as a company which are definitely not scalable. We talk in our language. We have a strong brand recall of the PUBC we call in internally and the particular Kangaroo brand. People have a lot of faith on that brand of Kangaroo brand. And we are open to competition. It always welcomes competition lead to more efficiency, more innovation and we are to be unduly not bothered about any competition. In fact, we will feel the more competition will give us a more market will be more wider and and we will have a more player only overall.
Vikram Suryavanshi
Okay, and how is the progress on monetization of Non core assets. And
Mahesh Fogla
as we are talking my team, one of the team is talking to one of the developer only to be honest with you. And we are talking right now also. But as you know this type of thing take time. But it is progressing. As I’m talking to just now that other team is talking to another building. He’s talking to the developer only.
Vikram Suryavanshi
Okay, got it. Thank you.
operator
Thank you. The next question is from the line of Vishal, an individual investor. Please go ahead.
Unidentified Participant
Hi sir. Wanted to know that more about the recent contract that is signed with the Middle Eastern airlines. Specifically like will we be receiving some allocated cargo space only flights or we will be getting some incentives on the volume of load that we are providing to them.
Mahesh Fogla
Number of airlines are foreign airlines are there. When we able to sign the contract with them then we have option to move the code to that airline and to that specific area also. Okay. And definitely once we as I was talking to mention that we we have a sign a contract with one airline. I cannot talk the name right now. But this will open our further door and it will definitely help us in increasing our failed volume. And without the. Without the. Without. Look, if I don’t have a contract with that airline I have. I cannot move the good to that airline. Okay. So now I have signed the contract with that airline. It open contract normally remain open contract and okay. And depend on the situation that it go up and down. And we will have a not like an incentive like that. It’s like that we will have a more increasing the sales volume that will help us in that.
Unidentified Participant
Okay. And so by like how much time will it take for us to like recognize the revenue for the same like can we expect
Mahesh Fogla
as I was talking like that now yesterday only we started that one also putting the book to that airline also.
So it is we not that we are a company with daily weighted load the good into the airline. Okay. We in our our language we call ourselves. Okay. Okay. So we are a regular. We are a regular one. So we already started yesterday loading the book through that airline. And we will start the book on. Booking the revenue also.
Unidentified Participant
Okay. Great. Sir, that answers my question. Thank you so much, sir.
Mahesh Fogla
Thank you. Thank you.
operator
Thank you. A reminder to the participants. Anyone who wishes to ask a question may press star and one on their touchstone telephone. The next question is from the line of Kamal Jaiswani from your first capital. Please go ahead.
Unidentified Participant
Hi. Thank you for allowing me to ask the question. I just wanted to note that with this make in India where Modi is promoting this make In India thing iPhone or Apple is making their iPhones here in India. And these kind of electronics are definitely going to be. You know, logistics has to be returned to airlines. Right? So with this growth coming in on make in India and manufacturing happening in India and these goods are getting exported and also domestically supplied. Is this translating into higher volume Such activities translating into higher activities for us.
Mahesh Fogla
It will die. Thank you for asking this question. And they are all hopeful and definitely I’ll be talking about. We are one of the largest network of the in the country of the moment of and the number of airlines are increasing, number of passenger aircraft. Just to clarify, you number of aircraft are increasing, number of airports are increasing and manufacturing activity more and more increase in India. Whether it is the electronic board or as our Hon. Prime Minister was talking about as small as. Not a small thing like a small small thing like also organic.
Our God. I should not talk about Almighty God they are talking about. So it is like that whatever the more and more manufacturing activity happen, it will be good for us, all of us. And we to be honest with you, after with all this trouble and all this noises which we are hearing and after that also we are very committed and we are seeing the numbers are improving that justify that all the getting translated into numbers and getting impact affected. We are positively getting impacted by the water model made in India and if it is taken by our honorable prime minister.
Unidentified Participant
Okay, so that means definitely this would. This also depends on the kind of. Capacity you get depending on how much load is available in the headline accordingly. But then you also mentioned last time that yeah, if it doesn’t go into one flight in the next flight it will go. So basically that is not a major constraint the capacity of the airlines. Basically,
Mahesh Fogla
yeah, it’s not major content. I agree with you. But suppose if the number of airlines are increasing then more and more people will also opt for about the air movement. Ultimately look, if there is no capacity then the people will look for some other alternative what to do. You would have to move. And as we are seeing the India is growing. We are the largest population of the world now. But we are internally consumption consumption is also very high. So and luckily we are a domestic aircraft. Our domestic operations are more than the international operations.
So it all get adapt.
Unidentified Participant
Okay, thank you.
operator
Thank you. The next question is from the line of Jagdish from an individual investor. Please go ahead.
Unidentified Participant
Good evening. So yeah, hello. So. So like my question was since we use more passenger aircraft, so are there any restrictions on the types of boards that can be transported By a passenger airline Such as frozen foods, batteries or electronics. Given that such items often face limitations during regular air travel.
Mahesh Fogla
Look like fourth which you mentioned. We specifically carry. But not agree me and you supply also. And all this one there are specific. The precautions are taken up and not that moment are there in the passenger aircraft. What we use actually is a belly capacity of airlines not on the main board where we are sitting here.
Okay. Where we sit our week before us. So daily capacity of airlines are getting used. And then the boost which you mentioned are definitely moved through the airline.
Unidentified Participant
Okay. Okay. Sir. Sorry, can I.
Mahesh Fogla
I cannot get. You can repeat please if you don’t mind.
Unidentified Participant
Yeah. So. Yeah, soon sir. In the next quarters. So the seasons are coming. So can we expect more the in in the coming quarters?
Mahesh Fogla
Yeah, definitely. I have been prohied from giving any photo give any forecast. But I can internally tell you numbers are looking good only for us.
Unidentified Participant
Okay, sir. Thank you.
operator
Thank you. A reminder to the participants. Anyone who wishes to ask a question may press star and one on their touchstone telephone. It. The next question is from the line of Mr. Vikram Suryavanshi. Please go ahead.
Vikram Suryavanshi
Yes sir. Just a follow up question. How would be I think our opportunities to venture into other businesses like we used to have earlier Road or service transport also as well as there was also earlier mention about our venture into health and fitness industry with apprentices. So just wanted to know what would be the growth avenues apart from that our regular business. Are we looking to follow up that including even warehousing also?
Mahesh Fogla
Yes, we are in the process of that one. And we are just as we are talking about. We are also in the process of using one dedicated to. For our new project which we call on the new project. So we are in very soon will bring on board one dedicated resource also for the new project. And we are evaluating time to time and things are in the pipeline. And as we know we are a little cost year company. So it takes time. But when will happen. It happened in a very frustrated matter. So we are in that mode also.
Definitely.
Vikram Suryavanshi
Okay. And in case of warehousing whatever existing Bangalore warehousing. Apart from that any other plans to expand the capacity or more focus will be on growing the existing business only.
Mahesh Fogla
Look, we are. We will only grow in the wear out or even the air cargo also. Wherever we get the opportunity and ROI could where we are. We are open to that one. And that’s the reason as I was explaining to you Vikram. That we are bringing on board one dedicated to very senior. Very senior report on the board also for the new new project only. So that definitely we are looking all the way here for all this one.
Vikram Suryavanshi
Okay. And anything happening on Pune location for warehousing?
Mahesh Fogla
Yeah, that is also in the pipeline. That definitely the pipeline is there. That only I can tell you a few things are in the pipeline.
Vikram Suryavanshi
Okay. Okay. Okay. Got it. Thank you very much.
Mahesh Fogla
Thank you Vikram.
operator
Thank you. Ladies and gentlemen. Anyone who wishes to ask a question may press star and one on your attached to telephone. As there are no further questions I would now like to hand the conference over to the management for closing comments.
Mahesh Fogla
Yes. Thank you. Thank you from my heart. To all of you who have asked a question or who have heard our earning call as I was talking to you. We are continuing to remain focused for creating a long term value for all stakeholders. Our entire team has a single minded focus to create value for all the stakeholders and long term sustainable value. Once again, thank you to victoram and all its team for ending this phone call. Thank you all of you.
operator
Thank you on behalf of Philips Capital India Private Limited. That concludes this conference. Thank you for joining us and you may now disconnect your lines.