Patel Integrated Logistics Ltd (NSE: PATINTLOG) Q3 2026 Earnings Call dated Feb. 13, 2026
Corporate Participants:
Mahesh Fogla — Chief Financial Officer
Analysts:
Vikram Sooryavanshi — Analyst
Jainisha — Analyst
Shlok — Analyst
Jimmy Mehta — Analyst
Shivani Mehta — Analyst
Presentation:
operator
Ladies and gentlemen, good day and welcome to Patel Integrated Logistics Limited Q3FY26 earnings conference call hosted by Philip Capital India Private Limited. This conference call may contain forward looking statements about the company which are based on beliefs, opinion and expectations of the company as on the date of this call. These statements are not the guarantees of future performance and involve risks and uncertainties that are difficult to predict. As a reminder, all participle 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 attached to own phone.
Please note that this conference is being recorded. I now hand the conference over to Mr. Vikram Sooryavanshi from Philip Capital India Private Limited. Thank you. And over to you sir.
Vikram Sooryavanshi — Analyst
Thank you. Good afternoon and very warm welcome to everyone. Thank you for being on the call of Patel Integrated Limited. 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 comment from the management. I will hand over the call to Mr. Mahesh Pongla for opening comment open to you sir.
Mahesh Fogla — Chief Financial Officer
Thank you Vikram and good afternoon every. Good afternoon everyone. It is a pleasure to welcome you all to the earning conference call for the third quarter and nine months of the financial year ending on 31 March 2026. Let me first thank our host Philip Capital for graciously hosting the con call. Thank you once again. Now let me take you through the operational highlight for the period and the review and then followed by the financial performance of the company. Yes, despite a temporary deep in the sales volume due to certain operational headwinds which I am. I will explain you in the next few seconds.
The company remained focused on IT initiatives which are there which we have taken up now. Whether the tactical or strategic, our growth income from operation saw a temporary decline primarily due to a widely known disruption of scheduled aircraft for more than a week from Indigo Airlines in December 2025 in the domestic sector further there after the fastest region there. As usual there is a temporary slowdown in the sales in our international taxer as well. However, to further strengthen our domestic network we are expanding our cargo operation through a partnership with Star Airline or as well, this is in addition to what the domestic airlines we have partnership already including Indigo, Air India, Akasajet.
So we have another airline as well for which services are expected to commence in in the month which we are talking about. That is the February 2020. Happy to share with all concern about that. We have also during the quarter and the review we incorporated Rajput Logistics Private Limited as a subsidiary to expand our our road logistics business and consequently strengthen our multimodal service offering. The subsidiary had been incorporated very recently on the 27th of November 2025. And just to inform at our company holds 60% in the entity. We are very much confident that once the operation of this subsidiary gets stabilized it will contribute meaningfully in terms of turnover and profit of the company.
Profit for the company. Okay. The objective is to widen our logistic capability while remaining aligned with our core line of business. This initiative will also follow our asset light approach. We do not intend to own any truck and will operate through partner network focusing on execution, trend, service reliability and deeper engagement with very large corporate and public limited companies. And that is the objective of forming this subsidiary in the name of Rajput Logistics Private Limited. We are a company which is involved in the target activities. Naturally to reinforce our people first philosophy Company has just now include taken an initiative to come out with a restricted talk unit for employed a structure on the line top ESOP on ESOP which we are all familiar with.
This. This. This activity aimed at fostering our ownership Offering an ownership mindset among the employees Create as well as create equity culture in the company. Improve retention of our highly talented employees as well as aligning long term employee interest or with all the sustainable shareholder value creation so interest of all the stakeholders we can get aligned by that in activity. However, just hurriedly I can mention that this is subject to shareholder approval Subject to approval of shareholders which we are in the due code taking that procedure for taking the approval of shareholders. This activity subject to approval of shareholder Pending approval of shareholders.
Now further we can see in our core line of business as well. We are as committed on operational efficiency across key domestic and international group to enhance service quality and expanding customer reach and continue to build on this momentum. Our supported by strong growth in India’s air cargo market. As we know, Indian aviation market is the fastest growing aviation market in the world. Led by E Commerce manufacturing and increasing demand for faster deliveries. We as a company remain well positioned to capture emerging opportunities and deliver sustainable and profitable growth. Now let me here with all stakeholders key operational metrics related to cargo volume handled during the quarter to provide a clearer picture.
We classify our business into two segments as above into domestic and international. The domestic segment include good Movement within India while the international segment pertain to good movement outside India. In a simple term in terms of volume in Q3FY26 the company handled a total of 14,339 ton of cargo comprising 12,270 tons of domestic cargo and which is temporarily down by 7% quarter on quarter. However we are very hopeful with downside is very much restricted in the coming quarter. On the international front volume is 2069 tons reflecting a decline of 6% quarter on quarter which also add one month already over up to the December quarter.
And we are very confident that this decline will not happen in the subsequent quarter. And this was this decline I was explaining earlier was in the international temporary. Temporary decline was due to festival ending of festival just after ending of festival and in the domestic sector there was a Indigo and destruction of aircraft from Indigo Airlines for more than a week in one in December 2025 which we all know is only a one time affair and we all understand now the things have been very much stabilized and necessary course correction has been taken by all the stakeholders.
So in the subsequent quarter we are not seeing any impact due to this. Further for the nine month ended FY26 total cargo volumes reach 43.50ton. Let me repeat 43,050 ton with domestic volume at 37,101 ton 37,101 sun and an international volume at 5,949 ton which more or less in line with our year on year and build your comparison of the ton. However we are making all our effort to and grow the volume. Let me give now the average sales realization on the blended sales realization for quarter three FY26 each INR 59.82 per kg 59.82 per kg while for nine month FY26 it each 58 INR 58.75 per kg reflecting that discipline priding from our team and a value driven customer.
We are a company which is a profitable and we are not like a company which want to burn our cash now and we have a sustainable profit there all the time. Now let me provide some key highlights of our financial performance which will more strengthen the point which I was just mentioning you all. During quarter three FY26 the company reported operational income of INR 88 crore in a quarter net of GST. From that EBITDA each INR 2 crore with EBITDA margin of 2.49% while profit after including the income from our interest income from our income tax refund and other other other income each INR 3 crore translating into path margin of 3.05%.
We have on a year on year path growth of 12%. On a quarter year on year we have a CAT growth of 12%. Similar number for the nine month end date FY26 total operational income for the company each net of GST each INR 261 crore. 261 crore which is higher than 256 INR 256 crore in the corresponding nine month of FY25 EBITDA for the nine month period is INR 7 crore with margin top 2.53%. While our path also it also at INR 7th road I.e. after depreciation and interest registering a throwing a year on year growth of 16% 16 16% PAT margin for the period is 2.53%.
This performance clearly highlights our cost conscious approach and resilience in a challenging macro. Macro and as we all know geopolitical environment. Thank you all of you for listening me. Now I open the floor for the question and answer session. Thank you once again for the attention.
Questions and Answers:
operator
Thank you very much sir. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on the Touchstone telephone. If you wish to withdraw yourself from the question queue you may press star and two participants are requested to use handset while asking a question. Ladies and gentlemen, we’ll wait for a moment while the question queue assembles. First question is from the line of Jainisha, an individual investor. Please go ahead.
Jainisha
Hi sir. Thank you for the opportunity. I wanted to ask that your domestic volumes have declined quarter on quarter and even your international volumes have fallen. So beyond the Indigo disruption and seasonal slowdown where were there any structural demand issues that you faced?
Mahesh Fogla
Thank you for asking the question and let me clarify again there is no issue of demand. Demand is very much there in the market and people are more and more as we are talking about the E commerce growing and people want the faster deliveries and there is a India is growing. Definitely demand is also growing. I again it is a one time issue of destruction of aircraft which we all know of the Indigo. Otherwise there was no other issue.
Jainisha
Okay. Also like your fat margins have improved. Like despite there was a decline in the volumes pat margins were good. So what like is this a one time effect?
Mahesh Fogla
No Jenny, it will continue. Why? I’m telling you because we are a company which is debt free company now. So we have a saving in the interest cost as well, as we have a other income also coming up and we are. We will continue to earn the other income which. Which will improve our debt about. Definitely. As for the accounting, we have to pour it then other income. But more or less like taking like a regular income space. Okay.
Jainisha
Okay, good. Thank you.
Mahesh Fogla
Yeah.
operator
Thank you. Next question is from the line of Shlok, an individual investor. Please proceed.
Shlok
Thank you for the opportunity. Sir. I wanted to know that. So my question is like the previous essay itself. So our volumes have dropped. But this is because of Indigo that you mentioned. But I want to know like is there any specific concentration on Indigo. Because only Indigo was not operational. But other flights such as Air India and all were operational. So is there any specific high concentration on that flight?
Mahesh Fogla
Look, not for us. It is for the India only. As we know Indigo is dominant market share. Okay. Even then because we have a very marginal decline. Because we have a very good understanding with the other Air India or that other airline. That’s why we kept out with a very marginal decline. If you have a total reliant on the Indigo then the much sufferer will be higher damage would have been higher. But we cannot avoid the dominance dominance of Indigo which is there. Which is because. Just to clarify we use the same passenger aircraft which you and me fly use for flying.
And at the regulator is taking a necessary action and they are trying to reduce the dependent on the Indigo. And definitely we also will be similarly will be positively affecting.
Shlok
Got it sir. So on the same point. So don’t you think there is a risk that such opera. Such flight operators if they are not flying then it is very risky for the business. And then we should operate on our own lease model or something for the flights.
Mahesh Fogla
Look, we have that our own flight is always a very not a viable business model. As you know. Also because that is not the right approach. And. And this is a. Again I’m telling you this is not a temporary then and we all know and like in if something happened which is a very once in a while for that the business model cannot have a destruction and changing. And thinking of that. So we have no intention of bringing any asset heavy business or like airlines. Okay sir.
Shlok
And one more question on Rajput logistics. So I wanted to know when will it operationalize and how much margin growth can we see from that operations.
Mahesh Fogla
Look, it has been already been in a sample stage. It already got operational like in this in the January quarter. January to March quarter. And we are expecting at least because any new budget take it is time for stabilization of operation. So we are expecting in the next few quarters. Definitely we will get a meaningful contribution from that company as well. Okay sir, answers my question.
Shlok
And one more question I have is for the recent GST 2.0. So the GST card rate cut.
Mahesh Fogla
Yeah.
Shlok
So did it help our business? Because for business like for traveling and all the main logistic business should be the most beneficial from such. You know initiatives by the government. So I wanted to know if it is helping. And till now that is balance has volumes increase because of this.
Mahesh Fogla
Look. Yes definitely at the consumption increase the corresponding volume will increase. But let me give you again. We are in the company which is very long periods in the logistics sector. And they have done a GRC 2.00. But ATF which is a major fuel cost in the airline has not been got under GST. Still neither the petroleum for the. Neither the diesel, neither the petrol has been brought under the gfp. So whatever we said and done and all this is okay. But still these things are not coming under the gst. The benefit which we are expecting the logistics sector will get will not be available.
So it is high time and just to add. We are talking about. Just to tell you further in the ATF there’s a BAT applicable and which is different in different data. Just to tell you. We may talk about one India, one nation and all this one. But still my. My humble request to the government that is very high time. And the logistics sector is the one of the major sector for growing the economy. We could bring the all the major things like petroleum or the ATF which are on the outside GST to immediately bring under the GST.
Sir.
Shlok
So this ATF strategies are born by us or it is directly passed on to the customers.
Mahesh Fogla
Exactly. Pass on to the customer.
Shlok
Then how should it affect our business?
Mahesh Fogla
It affects my volume should increase. Look, look. Ultimately everything is a part driven thing. If cost. If I if a cost increase then customer may not go for that one. If cost is lower then customer may go for the year. Correct. Now everything ultimately the economic there now is the unit economic has to be there everywhere. If something is available in lower cost they mean they will opt for the that thing. Now.
Shlok
What it’s about. And sir, any projections on how you we are going forward for quarter four and in financial year FY26 will be improve in double digits on top line.
Mahesh Fogla
I’m. I’m refrain from giving the guidance. But going by the numbers which are coming up now also I’m very hopeful to what you are talking about will be achieved.
Shlok
Okay sir. Thank you. So much sir. All the best.
Mahesh Fogla
Thank you.
operator
Thank you. Participants to ask a question you may press star and one. Ladies and gentlemen, anyone who wishes to ask a question may press star and one on your touch tone till four. Next question is from the line of Jimmy Mehta, an individual investor. Please go ahead.
Jimmy Mehta
Hi sir. Good evening. Am I audible?
Mahesh Fogla
Yeah, very much.
Jimmy Mehta
So. My first question is for the 9m of this financial year the volumes were flat on a year on year basis. So what is the management outlook on the. On this part like FR27 and in terms of tonnage growth for the future.
Mahesh Fogla
Look, we are a company which was very conscious about this tonnage which we are talking about. As I’m talking about this is just because of the one time have happened in the Indigo Indigo fiasco which we can call it that affected other and so we don’t think that there will be a definitely a normal growth if they had the economy growing in the line of the. Because we are one of the major player which have a Pan India present. We have an ecosystem already there. So whoever want to move good through the air will definitely.
We are coming into the picture and as the aviation sector is growing so we. We don’t find any reason for not growing our business. We will definitely grow also. But it is practically not possible for me to give you a definite number right now because it depends on many factors.
Jimmy Mehta
Okay sir, so like for that only my second question would be like world your competitors. So like like how much percentage market share you have. You are competing with whom and who whom share you are taking.
Mahesh Fogla
Yeah. Can you give some light on that? Look, we are in our area of business. We definitely have a double digit market share and there are more than 40, 50 players out there. Okay. In spite of that we have a double digit market share in our area of business. And let me clarify you again. Okay. So we are not not like actually we are trying to take out the market share of anybody and all this one it all depends on the our service things and all this one if our service have a quality. Okay and we are able to deliver if business is basically what Deliver deliver deliver.
Okay so we are able to deliver the definitely we have our our portable protected and we will be able to grow and we are hopeful and at the company which has seen many ups and downs also and it still remain the in the business. So we are definitely know that we we will grow our business in the future. Going by that as we know number of airports are increasing. Just to give you a filler number of airports are increasing from 140 to 220. Number of passenger aircraft are increasing from 800 to 1700. Okay. All this number that.
Because these are two things we use for our business. If they are increasing then our business is bound to increase.
Jimmy Mehta
Okay sir. So you mean to say the industry is increasing at a rapid space. So we are also. You’re also going to increase at that pace as well. Okay, so. Okay. So understood. Thank you. Thank you for this opportunity and best of luck for the future.
Mahesh Fogla
Yeah, thank you.
operator
Before we move to the next question, a reminder to the participants. To ask a question, you may press star and one next question is from the line of Shivani Mehta, an individual investor. Please proceed.
Shivani Mehta
Hello.
operator
Yes, please proceed.
Shivani Mehta
Thank you for the opportunity, sir. So actually firstly I wanted to ask that what is the margin differential between the domestic and the international air threat operations?
Mahesh Fogla
Yes. Just to tell you it’s like a more like insight about the business only there is a substantial difference between the international gross margin and domestic gross margin. But it is but in isolation if you see like that you will find the substantial difference in the margin between the international and the and domestic. But at the same time as a matter of trade practice, international business is a very low capital required working capital requirement is not there. But in the domestic business then your working capital requirement is there. So it is very difficult to tell that directly that this is the mark.
The international business also have a low margin but no working capital requirement. While the in domestic business has a high margin but a high working capital requirement also. So net. Net. What I’m trying to tell you these two business are not comparable with each other.
Shivani Mehta
Okay, got it. So also I wanted to ask that currently as warehousing is accounting for a very small share of revenue. So what are you targeting for it as a contribution over next two to three years?
Mahesh Fogla
Say we have time to time evaluate our roi. We are a ROI driven company. Hello, can you hear me?
Shivani Mehta
Yes sir.
Mahesh Fogla
Yeah, we are ROI driven company. So as we are talking about warehouse are like sometime become a very asset heavy business and low ROI driven business. So having said so we may look into the businesses or as I was explaining assets like businesses. So we are right now not much focusing on the creating a asset and reducing our roi.
Shivani Mehta
Okay, got it. So also last question from my end. What is like the proportion of revenue like what is the revenue split between E commerce and pharma client? Like how is that mix evolve?
Mahesh Fogla
We are a company which have a more than 1200 customers are there and not only pharmacoma Just to tell you our business, we move documents. We move perishable goods. We are at. We move mobile electronic goods. We move all the things which can be moved through the air. Apart from definitely we don’t move dangerous goods. We don’t move the silver and the gold. So we don’t track like that. We move the all the things which can be moved through the year. So we are not depending on only on E commerce or pharma. Like that.
Shivani Mehta
Okay. Got it. So thank you so much sir. This. That was really helpful. All the best.
Mahesh Fogla
Thank you.
operator
Thank you. Next follow up question is from the line of Shlok, an individual investor. Please go ahead.
Jainisha
So just one question. I wanted to know that in the opening statement you mentioned the partnership with Star Air. So I wanted to know in which regions are we partnering with this flight operator.
Mahesh Fogla
Right now it is in. In Mumbai and Hyderabad. Okay.
Shlok
And going forward what do you think how are they planning to expand and how will it benefit us?
Mahesh Fogla
Look, as we all understand now before that Indigo fiasco happened and the government is talking about also not to depend on one major airlines. And everything is happening. So as more and more players are coming up it will definitely help our business. And these are companies which are regional airlines. And we are a company which is a Pan India company which have a Network more than 100 locations all over India. And at the air number of airports are increasing. We are the airlines also will increase its footprint. And correspondingly by default we also will increase.
So it will be definitely helpful as the number of airlines are increasing in India. And in that respect Star airlines also is one of the things in that all overall framework.
Shlok
Okay sir. And in the previous concur we had mentioned that Navi Mumbai airport will be a major boost for us. So just wanted to know if the operations from the Navi Mumbai.
Mahesh Fogla
No, it’s still getting stabilized. Just to tell you it’s getting stabilized till now. It will take some more time. Okay. Okay.
Shlok
Sir answers my question. So. Thank you.
operator
Thank you. Participants, to ask a question you may press star N1. Ladies and gentlemen, to join the question queue you may press Star and want. Next question is from the line of Vikram Suryavanshi from Philip Capital. Please go ahead.
Vikram Sooryavanshi
Yes sir. Sir, what would be cash balance currently?
Mahesh Fogla
Look, we have a cat balance of more than 10 crore.
Vikram Sooryavanshi
Okay. And in terms of working capital, how is the situation? Are we seeing some stress in working capital or compared to say past and all that or any material change happening in working capital.
Mahesh Fogla
Just to tell you Vikram, working capital is very Much comfortable. In fact we are not reading our limit also working capital limit which we have with the bank that is giving us the parameter that our working capital limit is very much within a comfortable position. And you know we have developed a mobile app also by that if some, some. Some one or two customers have some issues and we don’t do the further business only system gets stopped. Not me system intervention apart from the women intervention. We have implemented the system intervention also. So we are very very much I think compared to.
I’m talking about the last six years. We are most comfortable right now in working capital. If I compare for the last six years.
Vikram Sooryavanshi
Okay. And how is the development on this monetizing the assets or property progress?
Mahesh Fogla
Correct, Correct. As I was talking earlier call we have a building to which is going to be redeveloped and we are actively and not only our in the data we want looking for a cluster redevelopment. So there will be other buildings are also there. So we were. We are actively in the very active state in talking with them and it’s progressing very well as I’m talking to you and in hopefully next two, three next few quarters we will have a very definite agreement with them and be able to move forward.
Vikram Sooryavanshi
Okay. And Pune location I think if you can give an update.
Mahesh Fogla
Yeah. Just to tell you Vikram, as I was talking about when we are evaluating ROI time to time we are just keeping it in hold till we get a definition on ROI negability and all this one not roi. One of we want a high ROI in our business always. That is the reason we kept it in hold for timing.
Vikram Sooryavanshi
But any particular reason keeping in hold or what is the challenge in generating better roi?
Mahesh Fogla
The only thing look these are the asset heavy business. Okay. These are the assets heavy business so that they they may give us ROI which is aligned with the bank rate of interest. Okay. So that’s why and we have. We are finding an opportunity like. Like asset light opportunity. We are finding up. If we are finding up asset light opportunity or all the alternative we are also mulling over internally another one, one more thing also where we can have a high roi. So why not we go for that and do that. That’s the things are there otherwise they know the challenge is there.
We can go because cash wise balance, bank balance wise we have no challenge. We have a ready cat as I’m talking to you as I explained to you that all the are there but since we think that we can get the more ROI and other alternative so why not to go for that.
Vikram Sooryavanshi
Okay, got it. But since we have Compatible limits and cash. Is there any scope to increase our market share or how is the how.
Mahesh Fogla
Power performance compared to correct. Agree with you that will definitely will increase also because as I was talking about non Mumbai airport getting stabilized or the Javad airport in Delhi near to Delhi Noida that is coming up. So if more and more airport and more and more aircraft are coming up more and more movement of good. So we will also require for that also the money also definitely. So the end. Luckily this cat in hand will actually very timely helpful to us to take opportunity for all this one.
Vikram Sooryavanshi
Got it. But are we able to maintain market.
Mahesh Fogla
Share or market share or gaining market.
Vikram Sooryavanshi
Share in overall industry growth?
Mahesh Fogla
Yes. To assure you we are definitely a dominant player in our area of operation and there is no no no issue in that. And as we are talking about we will have may have some new location also in international as well. Apart from right now we are doing only in Mumbai now we will we are looking for not only doing from Mumbai we want to do from some other metros also. We are actively discussing for that also. So there is no dearth of. There is no issue in our dirty. We will lose market share with any other thing in our area of oppression by God God blessing we are very much secured but we don’t want to be complacent as well.
So we are actively in the our our area of actively monitoring the situation as well.
Vikram Sooryavanshi
Got it. And last question sir it is Rajput Logistics. Where can we start materially contributing to our revenue and profitability?
Mahesh Fogla
Yeah indefinitely in the because just now it started look after we were in the north in the road business for the last six years as you know after the 2019 after. So it may take a next few quarters but we we already bring up all the structure all the compliances and all that we already put in place now. So there are. We are very much hopeful that in the in the next few quarters it will have a thing that there it will have a meaningful turnover. Yeah.
Vikram Sooryavanshi
Got it. Thank you.
operator
Thank you participants. To join the question queue you may press star N1. As there are no further questions from the participants. I now hand the conference over to the management for the closing comments.
Mahesh Fogla
Thank you all for participating in this earning conference call. I again thank you all of you who have taken out their valuable time for hearing us. I hope we have been able to answer your question to the satisfaction of yours. Further. We are very open that if you have any other further question or would like to know more about the company or any clarification we have a dedicated IR manager in which the relationship agency in the form of bellowedom advisor Please contact them they are very much ready to clear your anything or can check with us if anything required.
Once again, thank you for attending this.
operator
Thank you sir. On behalf of Philip Capital India Private Limited that concludes this conference. Thank you all for joining us and you may now disconnect your lines.
Mahesh Fogla
Thank you.