Premier Roadlines Ltd (NSE: PRLIND) Q4 2025 Earnings Call dated May. 21, 2025
Corporate Participants:
Akhilesh Gandhi — Investor Relations
Virender Gupta — Chairman & Managing Director
Samin Gupta — Chief Financial Officer
Analysts:
Agastya Dave — Analyst
Deepak Poddar — Analyst
Rushabh — Analyst
Natasha Singh — Analyst
Vishal Mehta — Analyst
Nitin — Analyst
Samridh Rela — Analyst
Satish — Analyst
Kanishk Shah — Analyst
Presentation:
Operator
Ladies and gentlemen, good day, and welcome to the H2 and FY ’25 Earnings Conference Call hosted by Premier Roadlines Limited. [Operator Instructions] Please note that this conference is being recorded. I now hand the conference over to Mr. Akhilesh Gandhi from Stellar IR. Thank you, and over to you, Mr. Akhilesh.
Akhilesh Gandhi — Investor Relations
Thank you, Sejal. Good evening, everyone. I, Akhilesh Gandhi, on behalf of Stellar Investor Relations, welcome you all to Premier Roadlines H2 and FY ’25 Earnings Conference Call. We shall be sharing the key operating and financial highlights for the second half and full year ended March 31, 2025.
We have with us today the management of Premier Roadlines Limited; Mr. Virenderji Gupta, he’s the Chairman and Managing Director; and with him, we have Samin Gupta, who is the Whole-Time Director and Chief Financial Officer.
Before we begin, I would like to state that this call may contain some of the forward-looking statements, which are completely based upon company’s beliefs, opinion and expectation as of today. The statements made in today’s call are not a guarantee of future performance and also involve unforeseen risks and uncertainties.
The company also undertakes no obligation to update any forward-looking statements to reflect development that occur after the statement is made. Documents relating to company’s financial performance, including investor presentation, have already been uploaded on the stock exchange and company website.
I now invite Mr. Virenderji Gupta to state his opening remarks on the company’s performance for the second half and the full year ended on March 31, 2025; post that, we will open the floor for Q&A session. Thank you, and over to you, sir.
Virender Gupta — Chairman & Managing Director
Good evening, everyone. Thank you for joining us on today’s earnings call. I’m Virender Gupta. On behalf of the entire Premier Roadlines team, I’d like to extend a warm welcome to all of you. We hope you have had a chance to review our investor presentation uploaded on the stock exchanges. Today, we will walk you through the key financial and operational highlights for the 6-month period and full year ahead, March 31, 2025.
FY ’25, particularly the second half was a strong period for us marked by solid execution, strategic progress we saw increased demand in Project Logistics, ODC Services, driven by the rollout of several large infrastructure projects across the country. These segments are high margin and complex, aligning perfectly with our operational strength. A standout achievement during the period was a successful contract to transport India’s largest tunnel boring machine.
This large-scale complex project was a clear demonstration of our technical capabilities and project management expertise. We support our growing operations. We expand our own fleet by adding specialized pullers, 56 axles, taking our total to 7 pullers and 74 axles. This expansion funded through a prudent mix of internal accruals and bank finance reflects our continued commitment to an asset-right strategy where we invest only after rigorous ROI assessment and long-term value analysis.
Another important strategic milestone this year was the acquisition of PRL Supply Chain Solutions as a wholly owned subsidiary. This move marks our evolution into a full stack logistics provider with capabilities spanning ocean freight, air freight, project logistics, warehousing and distribution.
It positions us to offer end-to-end domestic, international logistic solutions under one roof. Looking ahead to FY ’26, we expect continued momentum in Project Logistics, ODC supported by an uptake in infrastructure in activity, favorable macroeconomic conditions and rising capital expenditures across key sectors.
With that, I will now hand it over to Samin Gupta, who will walk you through [Technical Issues] financial and operational performance. Thank you, and good evening, everyone.
Samin Gupta — Chief Financial Officer
Hi, everyone. Good evening. This is Samin Gupta. So let me take you through the financial and operational performance for the second half and the full year of financial year 2025. So I’ll start with the H2 FY 2025. Our total income stood at INR175.6 crores, which was up 33% year-on-year and EBITDA came in at INR15.8 crores showing 22% increase with an EBITDA margin of 9%. Profit after tax stood at INR9.3 crores, up 16% year-on-year and a PAT margin was at the same time 5.3%.
For the full year 2025, the total income stood at INR288.5 crores, marking a 26.2% growth compared to last year. In terms of segment mix, Contracted Logistics contributed 39%, ODC 30%, Project Logistics 16%, General Logistics 15%; overall dominance by Contracted and General Logistics. So EBITDA for the full year was INR24.3 crores, which is up 15% with an EBITDA margin of 8.4%. The PAT stood at INR15.7 crores, up by 24% year-on-year and with a PAT margin of 5.4%.
The improved profitability was mainly driven by a higher share of project in ODC, which are more margin accretive. As mentioned earlier, the first half of the year, impacted by monsoons delayed project approvals, election-related uncertainty However, we saw a good strong recovery in H2, which helped us close the year on a high note.
On the balance sheet front, we continue to remain in a strong position. The ROE stood at 17.7% and ROCE at — return on capital employed at 22.6%. Our debt-to-equity ratio improved to 0.44, which reflected prudent capital management. Operationally, we had handled 35,739 orders and served 695 customers. And average revenue per order stood at INR81,279.
We made a conscious shift this year to focus on long-term, very high-quality clients. While the total number of clients have come down, our order volume has gone up, showing deeper engagement and higher repeat business.
So looking ahead at financial year 2026, so we expect a very strong momentum to continue in Project Logistics and ODC supported by increased infrastructure activities, a favorable macro outlook and rising capex across key industries. So we’ve especially seen promising opportunities in sectors like defense, transformers, hydro projects and oil and gas, all of which require sophisticated logistics solutions and more project and over dimension cargo movements on a pan-India basis.
So in defense, the government’s drive for modernization and self reliance is translating into large-scale projects and movement of sensitive and oversized cargo. So this is an area where we are comfortable in and given an experience and capability to handle such higher security movements, we think we’re poised to grow.
The Transformer and Power Equipment segment is also gaining a lot of traction in India. India’s grid upgrades and renewable energy push are driving demand for large transformer movements across the country, for which heavy equipment needs to be transported on specialized vehicles, which again plays to our strength in heavy haulage.
Hydropower projects. So these are on the rise of India’s clean energy push. These projects involve transporting bulky and higher-diameter equipment through difficult terrains. And we are one of the very few logistics providers equipped to such complex logistic solutions on a Pan-India basis, be it the toughest terrain in the North or the Northeast.
In the oil and gas, there are many refinery projects which are coming up in capacity, pipelines and storage are creating steady demand of ODC and Project Logistics where reliable execution is the key to success. Each of these sectors that I mentioned are not just an opportunity, but a natural extension of the work we already do.
We are very much confident that these are — these industries grow, we will continue to be a trusted partner in the Logistics journey for these sectors as we are well registered and a part of all these key manufacturers and players in each of these sectors.
So now as we step into financial year 2026, we remain focused on 3 things: operational excellence, disciplined capital deployment and deepening customer relationships in key sectors and key areas. So our strategy remains very clear. We’ll continue to strengthen our asset-right model, expand into logistics heavy industries and build on a reputation for execution.
So with that, we can now open the question — the floor for questions, and maybe we can start with discussions.
Questions and Answers:
Operator
Thank you very much. [Operator Instructions] The first question is from the line of Agastya Dave from CAO Capital. Please go ahead.
Agastya Dave
Hi, good evening. Am I audible?
Operator
Yes. Hi Agastya, you’re audible.
Agastya Dave
Hi, how are you? So the numbers look fairly decent. There is clearly a pickup in revenues and improvement in margins. You almost met your target of 30%, but there were slight misses on the margin level and the receivables have also increased as a percentage of revenue. So can you provide some commentary on all these 3 factors? And how do you see these variables panning out for next year?
Samin Gupta
First of all, the results that we posted and the numbers that we got were extremely, I would say, outstanding as per our — the results that we have posted and the numbers we’ve got is actually outstanding as per the current situation in the market. We saw a very weak H1 as an overall economy. And same time, H2 was also not something that was completely exciting for everyone. So in this tough market conditions, we could do such high numbers and such growth, we are very much positive about it, and we think that it’s a good set of results that we’ve posted.
About the second question that you had about receivables. Receivables, yes, they’ve spiked up to INR114 crores. So it’s because of increase in turnover. So once you’re increasing turnover, of course, you’re doing credit sales to customers and all these are high-quality clients and high-quality customers wherein you require to give cash sales. So the receivables will definitely go up, but the quality of clients is something that you should keep in mind.
Like you can see in the operations metric, we have reduced the number of clients that we work for. So that goes to say that we are very choosy and very — choosing the clients very carefully. So the payment and the money is always safe. It is just that when you expand the receivables will increase. And talking about the third question that you asked was talking about the margins. So if you see the total number of revenue mix, this year, we were heavy of general and contracted logistics, which was 54% because there were no projects or no ODC movements happening on an entire year basis.
The entire year did not see any new project coming. There was no new oil and gas refinery. There was no new hydro projects coming in. There was no new major expansions of any refineries. So if that is not there, then, of course, project and ODC will take a back seat. But going forward, we see a very huge demand in these few sectors. So we are very much positive about it.
Agastya Dave
Great. So next year, your target for 30% growth remains? That was your target, right?
Samin Gupta
Yes, absolutely, absolutely.
Agastya Dave
One more thing that I noticed. I don’t have the annual report and the schedules in front of me, so I could be slightly off here. But it seems that you have capitalized a bit more than what you were initially — at least what I understood. My guess is that you did a capex of around INR17 crores this year. So was it more than what you had initially budgeted? Are there opportunities emerging where do you need to deploy more capital upfront? And what was the capex for next year?
Samin Gupta
See, we are very — we are doing capital expenditure on need basis where there is a requirement of specialized assets. So we see a lot of refineries projects and hydro projects and heavy HVDC transformer movements happening very soon on the road. So we would require some specialized assets to be eligible for those projects.
So we will definitely — that’s the reason why we had added the specialized TII axles and Volvo pullers. And going forward as well, in this first half, we plan to, I would say, invest close to INR7 crores in capital expenditure, which will have Goldhofer axles. So these are German axles, Goldhofer. They are the world’s best hydraulic axles available, so they can move cargo up to 1,000 metric tonnes.
So when I’m talking about 1,000 metric tonnes, that is a territory and range where we have not even touched right now. So we are planning to move over there, and we are planning to bid for projects of that scale. So we are very much positive about it. And because there’s an eligibility criteria that these big companies have for these particular projects, we will be compelled to buy these assets on our books and win those projects in the future.
Agastya Dave
Understood. So one last question. On the margin side, now that projects are back and you are seeing — you are getting visibility on even better quality orders, do you expect the margins to now go to the early double-digit trend? Can we cross 10% in the coming year?
Samin Gupta
See, we can easily cross 10% if the revenue mix of contract — I mean ODC and projects is more if the mix is favorable. And if it is — what we have seen in the past and what we are gradually getting a taste of, when we are using our own equipment, the gross margins are even higher than, I would say, 40%, 50%.
So if that continues, and if these projects come through and if there’s a higher mix of project cargo and ODC going forward, which we very much see because of the recent developments everywhere that there will be more transformers movements and defense movements and hydro project movements and as well as oil and gas refineries, which have already gained approvals and the execution might start very soon. So we are very much positive about it.
Agastya Dave
Understood. Thank you very much. And sir, I also appreciate that you have started giving some quarterly updates. That’s — that was something that I had requested the last time we interacted. And thank you for following up on that. So I really appreciate it and all the best for the coming years, sir. Thank you.
Samin Gupta
Thank you. Thank you.
Operator
The next question is from the line of Deepak Poddar from Sapphire Capital. Please go ahead.
Deepak Poddar
Yeah, I’m audible, sir.
Operator
Yes, sir. Yes.
Deepak Poddar
Yeah. Hi. Thank you very much for this opportunity and many congratulations for a good set of numbers. Sir, just wanted to understand in terms of mix. I mean 46% was your revenue mix for ODC and Project Logistics together and now given the commentary that we do see a good pipeline in this and expect momentum in Project Logistics and ODC. How do you see this mix changing in FY ’26? I mean, what sort of mix we might be targeting?
Samin Gupta
See, we are targeting approximately 75-35, 75% project in ODC and 35% contracts. So we already have good number of contracts for this financial year, which we have — which we are under signing and which we’ve already signed. So we want to keep that in place because contracts are something which is always — it’s there every year. It is not something which is dependent on capital expenditure and macroeconomics. So that is the ideal mix we are focusing on for this financial year.
Deepak Poddar
Okay. So that ideally means that’s a drastic shift rate? I mean, as compared to 46%, we are targeting the 75% in Project Logistics and ODC. So ideally, that means we are very positive or optimistic on this crossing the 10% kind of EBITDA margin that you were saying because on this Project Logistics and ODC revenue mix increasing?
Samin Gupta
Absolutely. So the thing is that we see a lot of transformer manufacturers bumping up their manufacturing and transformers are selling like left, right and center everywhere. And to move these 500 MVA and even anything above, I think, 300 MVA or 200 MVA I’m not too sure about the KV class, but anything above, say, 60 tonnes has to be moved on a hydraulic axle trailer. So that comes under Project Logistics and over-dimensional cargo.
So we are working with every — each and every reputed transformer manufacturer you can recall and think of. We are associated with them. And by this end of year, we believe that we will be India’s probably leading and trusted logistic service provider for transformer movements.
So with these tailwinds, with the transformer sector, I think we can easily achieve 75% of our total, I would say, revenue mix in ODC and Project Logistics. And at the same time, oil and gas refinery is coming through. These are big mammoth vessels, which need to be moved from one place to the other. Things are very much positive and they’re looking very much positive going forward if things start flowing as and when what we see right now.
Deepak Poddar
So sir, among the 4 sectors, you have highlighted, transformer and oil and gas sector would be most optimistic which can drive your project and ODC revenue, right?
Samin Gupta
Transformer, defense — I’ll just give them in a sequence as of today, as of May 2025, what we see. So number one, where we are very much optimistic is, number 1 is transformers; number 2 is defense; and number three, I would say, hydro projects; and number four, oil and gas because oil and gas, the big vessels start moving in the last. [Foreign Speech], the first what happens is the general cargo starts moving, the contracts start making [Foreign Speech]. Then the last [Foreign Speech] the biggest pieces start to go in the refinery projects. So in sequence, what we can see and what we can project. This is what we are most optimistic about in going forward.
Deepak Poddar
That’s very clear. That’s very clear and helpful. Just one last thing. I mean, in terms of seasonality, I mean, how much percentage of your revenue you see in first half versus second half? I mean, is it 40-60 kind? And how should one look at that?
Samin Gupta
See, 35-75 is what you can see. But I mean, it’s — we can’t — we will not commit or we will not comment on how it would look like this year because things are very much dynamic. There’s a lot of backlog from last year that things are keep on — things are moving right now. So we cannot comment on how the split would look like in terms of percentage. So — but yes, of course, H2 is more dominant.
Deepak Poddar
Always more dominant. But generally, is it what? 25-75 is that general trend? I mean.
Samin Gupta
Yeah, 70% — in the past, we have seen 60-40, 75-35. This is what we’ve seen on a year-on-year basis, but it keeps on changing each year. I mean, this year, we expect that difference [Foreign Speech] I mean, there will be difference, but we cannot comment. I mean, we’re not sure, honestly.
Deepak Poddar
Understood. That’s very helpful, sir. All the very best to you. Thank you so much.
Operator
Thank you sir. Thank you. Thank you. The next question is from the line of Rishabh from Synovate Finance. Please go ahead.
Rushabh
Hi. Congratulations on great set of numbers. That’s really impressive. So if you see the first half of the year, the results were basically affected because of the rain. So I just wanted to know how are we planning to manage or reduce the impact of such seasonal disruptions on business margin going forward?
Samin Gupta
See, you have general logistics and contracted logistics for that purpose only. So contracts where it is just moving off general movement. I mean normal trucks that you see, they keep on moving regardless of rains. Yeah, definitely, the amount of volumes of those transactions are less even in the first half, but they keep on moving. The big consignments do not move in the first half, but the small consignments keep on moving. So that’s how we mitigate this risk. But this year, we personally believe that because of backlog of the last financial year that India saw — the slowdown that India saw.
We think that you never know how the first half would look like because transformer movements are still happening right now, the rains have started to kick in, in some parts of the country, but transformer movements are still happening in full swing. So we cannot comment on how H1 would look like. But on a full year basis, I gave you guidances of how these 4, 5 sectors are looking very much promising.
Rushabh
So another guidance, which I would like from you. So like if you see the target, our targets are quite ambitious. So INR500 crores and eventually, we want to reach INR1,000 crores. So can you just share the strategy or the road map which the company wants to do? And is the company in terms of capacity, order pipeline, like will we be able to achieve these targets?
Samin Gupta
See, we are in a very dynamic and a very fast-moving industry. Last year, after our listing, after our first con-call, whatever we said it is completely — once we are into this year, once we’ve already crossed a year, our perspectives have changed and everything has changed. The things keep on changing. The goals keep on changing each, I would say, each quarter or each — every 2 months.
So going forward, INR500 crores, INR1,000 crores definitely is the target. But as of now, what we are concentrating on is how we can capitalize the maximum for these 4, 5 sectors, which are growing rapidly. Talking about oil and gas, there are opportunities of barging. There are opportunities of roll on and roll off movements and special sort of arrangements and bypasses for moving a single cargo, which usually takes close to 6, 7 months to deliver.
So you can imagine the sort of complications and compliances that it may require to move that piece of cargo. So that is the sort of focus and vision that we are having for the next financial year or say the half — second half of this financial year. So we are just going with the flow in terms of concentrating on the hot sectors and how we can have the major chunk of the logistics spend in these sectors. So that is what we have kept as a strategy. And once we are just focusing on whatever work we are having, I think the numbers will follow.
Rushabh
Understood. Got it. So thank you so much and all the best for the future. Thank you.
Operator
Thank you. [Operator Instructions] The next question is from the line of Natasha Singh from Arihant Capital Markets Limited. Please go ahead.
Natasha Singh
Hello. Good evening sir. Congratulations for great numbers. So sir, my first question is, as of — in FY ’25, saw sharp decline in operating cash flow despite a strong PAT growth. So can you please elaborate the key reasons behind that and how you’re managing the working capital cycle and especially into the project-based logistics?
Samin Gupta
See, we saw a sharp decline in the operating activities or operating cash flow just because of the trade receivables, which has increased, that is the major contribution towards the negative cash flow — operating cash flow that you see and as well as depreciation. Depreciation has almost doubled from what we had in the last year because of asset acquisition. And these 2 are the major, I would say, key driving forces behind the negative operational cash flow that you see at the moment. And going forward, working capital requirements are well managed. There is — I don’t think there is anything which I can say right now here. But I think it’s also all taken care of.
Natasha Singh
Okay, great. And sir, the second question I just wanted to know is that what is the expected order inflow visibility and how they will be contributing to the revenue generation as of you mentioned before, also your highest sectors are defense, transformer and hydro projects. So how they will be contributing in FY ’26. So any — and how we will be executing towards that project, sir?
Samin Gupta
See, talking about revenue projections and how — what we already have in orders in hand. So contracts, we already have approximately INR150 crores to INR170 crores in pipeline or in signing. This is the rough number that I can give you right now for Contracted Logistics.
For Project Logistics, like I mentioned in order about what these sectors will contribute. So you can just split them equally for the remaining part and do the math that transformer will contribute the most, then the defense and then after that, hydro and then in the last — for this financial year would be oil and gas. But going forward in the next financial year, oil and gas will be probably number 1 or number 2.
Natasha Singh
Okay. And sir, one more thing. The capex what we had in FY ’25 of INR17-plus crores. So as of the company is into the asset-light model, so this INR17 crores will be somewhere we’ll be utilizing for the assets also that we are acquiring?
Samin Gupta
Ma’am, we have — we are in our asset-right model right now. So we are buying only those assets which are required for customers to have trust on us and which are eligibility requirements for bidding in projects and competing in projects and falling into those particular criterias. So you cannot go to a war without any ammunitions. So these are some ammunitions that we’ve purchased just so that we can just have a — have the opportunity to bid for these projects. So going forward also, we will be buying and procuring only specialized assets, only and only specialized assets which are not available in the market very easily. And we will keep on doing capex whenever the requirement comes through.
Natasha Singh
Okay, great. Thank you so much. Thank you ma’ am.
Operator
Thank you. The next question is from the line of Vishal Mehta from Mehta Properties. Please go ahead.
Vishal Mehta
Thank you. Sir, I’m audible.
Operator
Yes, hi Vishalji. You are audible.
Vishal Mehta
So sir, I have few questions. Firstly, congratulations on delivering a strong set of number. So we currently have 28 branches. Are there any plans to expand further? And it would be in which state, if I may know? And expanding the branch network could significantly enhance the company’s visibility. And also, could you share a ballpark number of how many ODCs order we have executed this year? What is the maximum number of ODC orders we can handle with our current asset capacity?
Samin Gupta
See, first of all, I don’t know if I can say this, but I’ll still say it, that we have more than 45 branches, but due to some restrictions we had published 28, 29 whatever number that you see on the PPT because we did not have some shop and establishment act certificate or something of that sort. So we could not give that number out, but we are operating 45-plus branches all over India.
Going forward, we will expand if the need arises because these branches only serve the purpose for — they are just loading points and having runners in them where — for example, if I have to move a Delhi to Bombay shipment, the Delhi office will go to the loading point and manage all the loading protocols and checklists and ensure the cargo is loaded safely for the onwards journey. So this is the purpose of branch network, and we are already having 45-plus branches. So whenever need arises, we will do that. There’s no particular state where we are focusing on currently.
Talking about how many ODC shipments we have done in the past. So you can — I’ve given you a revenue mix. So that revenue mix will tell you how many ODC and how many Project Logistics we’ve done in the past. And going forward, see, whatever assets we have purchased, you cannot do more than some certain level of turnover from them because they are hardly any assets, just say 7 pullers and 74 axles and nothing.
So because once you start engaging into bigger projects, of, say, oil and gas or transformer transportation, you need at least 500, 600 axles on a daily basis on the road. So how do you do that? You acquire — I mean, you take on rent from service providers. So there’s no capacity restraint in that front. I would say sky is the limit in terms of that. If a transformer manufacturer is manufacturing, I would say, 10 transformers or 15 transformers in a month, I have the capacity of lifting those 10, 15 transformers each month from them.
And just to give you a number, right now, we have more than 20-plus transformer manufacturers on our systems where we are working for. And out of those 20, at least, we are top preferred suppliers for 10 of them. And those 10 are right now leading the sector and leading the manufacturing. And you can just imagine what sort of volumes may come from them.
Vishal Mehta
Okay. Got it. Got it, sir. Got it. And just one more question. I just wanted to ask about the rental fleet business. Do we have any update on that?
Samin Gupta
We’ve closed that.
Vishal Mehta
Okay. Okay, thank you so much. Thank you. Thank you.
Operator
Thank you. The next question is from the line of Nitin, who is an individual investor. Please go ahead.
Nitin
Hi. So sir, I had a question that you said you’re targeting about 70% to 75% revenue from Project Logistics. So if you do that, let’s say, hypothetically, if you’re able to do that, what would be the EBITDA margin from this?
Samin Gupta
See, the biggest word right now here is hypothetically. I would like to mark that [Indecipherable] because it’s a very hypothetical [Indecipherable] that we do it because if everything is supported from the macroeconomic front and everything falls in the right places. So EBITDA margin, you can expect, like I’ve always mentioned, that project and ODC have 12-plus upwards of margin.
So there’s no limit to that. You can — in one project, maybe you can earn 50% also, 40% also, somewhere we were earning 12% also. So 12%-plus is what we’ve generally seen in project and ODC logistics. So if we are doing, I would say, in a hypothetical environment 75% of these service types, so then there’s no number that I can give out right now.
Nitin
Okay. But that is the eventual target. That’s what we’re aiming for. Is that correct? I mean, the majority of the?
Samin Gupta
Very true.
Nitin
Okay. Excellent. And just a couple of months ago, we did a call. And any update regarding any big orders, I think we were waiting for. So any updates on that?
Samin Gupta
Yeah, I think we shall share the same shortly, probably later this month or starting of the month, we will give an update on the exchange.
Nitin
Okay. And that would be a Project Logistics product, is that correct?
Samin Gupta
Yeah. Yeah, that’s right.
Nitin
Okay, thank you. Thank you very much. Thank you.
Operator
Thank you. [Operator Instructions] The next question is from the line of Samriti Reila who is an individual investor. Please go ahead.
Samridh Rela
Hi, am I audible? Hi, thanks for the opportunity. Also, Samin, congrats on the good set of numbers, firstly. I have a couple of questions. Firstly, given that you have given a revenue growth of 30%, so is it fair to assume that we’ll be closing FY ’26 with about around INR375 crores, INR380 crores top line?
Samin Gupta
You’re trying to put words in my mouth that accepting this or something. I will not say that we will be doing INR370 crores, we’ll be doing any amount. We have been very clear with our guidances that 30%, 35% CAGR growth we will be doing on a year-on-year basis, I mean, for a 3-year basis. So we would like to stick to that, and we would let you do the math on the numbers of the top line and how the top line would look like.
Samridh Rela
All right, no problem. Also just wanted to understand the PAT margin for FY ’26, if you could — considering the increase in Project Logistics and ODC and there’s going to be a decline in contract and General Logistics. So just wanted to understand how the PAT margins would look like for FY ’26?
Samin Gupta
See, if we do the ideal mix, which is 75-25, then the PAT margins can be something that we’ve never seen before and something that would be very exciting. But like I said, 12%-plus EBITDA margin is what we generally see in ODC and Project Logistics. So you can — I mean, it’s very hard for us to also imagine and calculate that what exact EBITDA margins and what exact margins would we be looking at because we never had the revenue mix in the past. So it will be very hard for me to give you a number out, but if you keep the hopes up and hopes high, that 12%-plus and we’ll keep going down at the PAT level and we’ll get a good number.
Samridh Rela
Understood. Makes sense. So since we are already like a couple of months in H1, so just wanted to know, is H1 FY ’26 same as dull as H1 FY ’25 or is it better?
Samin Gupta
It’s better.
Samridh Rela
Okay. So can you like tell a little bit more about as to what’s happening on ground currently? We’ve already.
Samin Gupta
There’s been a spillover of, I would say, close to INR10 crores to INR12 crores of revenue from the last year, which, I mean, just to give you an example, so what happens is and why — I’ll take this opportunity to explain why our result is very late. So I would — my personal plan and my targets were that I would want to give result in, say, the 30th April or the last week of April.
But what happens is it’s a very difficult calculation that we have to do at all times of closing that whatever vehicles have reached unloading and has been unloaded, will only be counted in the revenue of that particular financial year. So in that case, there has been multiple spillovers which has happened, and we will see in the financial year 2026 of H1. And these are some big projects also that have gone in this next financial year.
So if you ask me what my turnover was and what my top line was, if I had to count how many numbers and — number of vehicles I’ve placed and what all cargoes have moved in that particular financial year, it is easily INR300 crores-plus. But because the spillover and because they were not unloaded on 31st March or before the 31st March, I had to move it in the next financial year.
So keeping that in mind, I think the H1 of next financial year and plus all the ongoing transformer moments that we are doing currently and the demand we see from these large providers and the defense spend that we see, I don’t think this will be that bad.
Samridh Rela
Understood. I believe you have already — in some of the previous con-call also, you have given this explanation about how this process exactly makes sense. So thanks. Just also wanted to thank you for giving us quarterly updates. Thank you for, you know, taking our request. Thank you.
Operator
Thanks. Thank you. The next question is from the line of Satish who is an individual investor. Please go ahead.
Satish
Yeah. Hi, good evening Sami. So my question is regarding the subsidiary we have, the PRL Supply Chain Solution. So are we doing any business in this financial year on the subsidiary?
Samin Gupta
Yeah. So actually, I will give you an update about the subsidiary that we acquired PRL Supply Chain Solutions. So last year, we saw, I mean, a lot of competition in that front because of the tariffs and because of the global economics and how the environment look like. So existing big players are also struggling on that front. So it was very hard for a new player like us in that field of project forwarding and freight forwarding to, I would say, have a good hold and have a good understanding of the field.
And there has been some, I would say lacking from the market’s end to support PRL Supply Chain. So going forward, we are actively looking for joint ventures. We’re actively looking for, I would say, collaborations. And if these movements and these sectors do well, transformers are right now also exporting to the foreign markets. Defense, I’m not too sure, and I would not like to comment if it will be exported or not. And all these sectors, once we start getting some good traction, we will put our focus on payroll supply chain and maybe do some joint venture or collaboration with some foreign organizations or foreign bodies can take that forward as well.
Operator
Thank you. [Operator Instructions] The next question is from the line of Kanesh Shah from PRC Capital. Please go ahead.
Kanishk Shah
Yeah. Hi. Recently, we’ve seen videos of ODC movements. Can you please explain me the entire process like from how an order is received or how our team plans the moment?
Samin Gupta
Yeah. Yeah, absolutely. This is the most interesting part, me explaining our job. So what happens is once we — just to give you an example of the transformer movement that you see. The transformer movement that you see is from Airoli. So if you can figure out which transformer manufacturer has a plant in Airoli. So we had taken that order from Airoli, Bombay to Goharganj, Madhya Pradesh. So first, what happens is before the movement is finalized, we have to do a route survey.
So what happens in a route survey. An escort car starts from Airoli to Goharganj. They will first visit the entire stretch by a 4-wheeler. They will examine the route. They will understand what all challenges are there. So typical challenges are first, first thing is in such point load cargo, this is called a point load cargo. Why is it a point load? Because the length is very less. A transformer has very less length, but the weight is high. So it’s a point load. So in point load, what happens is we have to take into the consideration the weight of the entire movement. So 250 tonnes is the cargo weight plus, I would say, 150 tonnes of the empty trailer.
My empty trailer also has a weight. So we have to calculate that and it comes to 400 tonnes. So just imagine to move 400 tonnes, what sort of road you would require? You can’t just go on any bridge, you can’t just go on any road, that would just make — I mean, it will just destroy the entire road. So these sort of analysis has to be happened before the movement starts in a route survey. Some major problems such as are also there if the height is more. So our transformer is approximately 15 to 16 feet height, plus the empty trailer height is approximately 19 feet, I mean, total from the ground level. So there are multiple welcome boards. There are multiple obstructions of the wires. So we have to take a shutdown of that. We have to remove the welcome boards. We have to remove speed cameras. So these all analysis goes in the route survey.
After that is done, the cargo is loaded. Once the cargo is loaded, a lot of safety compliances and everything goes to load the cargo. A lot of checks goes through, a lot of lashing goes through, then the cargo starts moving on the ground. Our operations team is in front of the gypsy, [Foreign Speech] there is a gypsy and then the car is — the trucks are at the back. They keep on moving and then they reach the destination. And in between whatever obstacles were found in the route survey, they are cleared and then you clear the obstacle and you move the obstacle and then deliver.
At the last mile, at the delivery, there is always a challenge. So there is some village, some village problem, some local issues. So you have to live in for that and that is where the money lies because once you are going and solving a complex problem, that is where the customer will pay you. So that is what we also do in the last mile. And also after everything is done, we unload the cargo.
So we have to unload 250 tonnes by jacks, by hydraulics, by pulling mechanisms. So this is the complete scope of work we do for transformers and you can multiply this entire thing into, I would say, an intensity of 10 if barging and if oil and gas projects are involved. So once oil and gas movements and some big movements start moving, you can just multiply whatever I said by 10, and imagine the sort of work that goes behind that.
Kanishk Shah
Okay. Okay. And who is responsible for obtaining all the necessary permissions and how big is the operations team?
Samin Gupta
There’s an entire team. So that is where you see the employee benefit costs that have gone up. Nobody has asked the question, but I’ll just answer it myself. So you see the employee costs have gone up in the balance sheet. So that’s the exact reason why. So the team, we have hired the best and best-class team available in the market from many organizations that we have taken training from. And that’s the reason we’re able to do these movements very professionally and safely.
Kanishk Shah
Okay, okay. Okay. And you know, I would also like to understand how much revenue the company is expecting from the ODC and Project Logistics, like?
Samin Gupta
See, hypothetical — and yes, like I mentioned earlier also in the answer that I gave hypothetically and optimistically, 75% of the total revenue. So that is what we are focusing on this year. But let’s see where the macroeconomics and environment.
Kanishk Shah
And what kind of margins are we looking at in this business?
Samin Gupta
Already answered. 12%-plus.
Kanishk Shah
Okay, no problem. Thank you. Thank you.
Operator
Thank you. Thank you. Ladies and gentlemen, that was the last question for today. I now hand the conference over to Mr. Virender Gupta for closing comments.
Virender Gupta
Yeah. So Samin this side, I’ll only give the closing remarks. So thank you all for being a part of our conference call and for actively participating in the call. We appreciate your support and trust in us. We hope you’ve been able to address most of your queries. In case of further queries, you may reach out to our Investor Relation adviser, Stellar IR. Thank you all, and have a great day.
Operator
[Operator Closing Remarks]