Allcargo Gati Aug-24

A regulatory body in India responsible for overseeing the securities market. It sets rules and guidelines for listed companies, including disclosure requirements.

A financial report that covers a company's financial performance for a specific period, usually a quarter or a year, but not audited.

The practice of publicly disclosing information about a company's financial performance through official statements and earnings calls.

A meeting between analysts and management to discuss a company's financial performance and future prospects.

An official communication to stakeholders, often sent through mail or email, containing important information about a company or its actions.

India's economic growth is projected to be 7% for the financial year 2025 by the IMF.

The IMF has attributed the upward revision of India's growth forecast to improved private consumption, especially in rural areas.

The Goods and Services Tax (GST) collections in India have been showing a positive trend, indicating strong economic activity.

Ketan Kulkarni, a veteran with three decades of experience across various sectors, has been appointed as the Deputy Managing Director of Gati Express and Supply Chain Private Limited.

Gati has implemented cost optimization initiatives, resulting in improved profitability at both the gross and operating levels.

Gati has launched a new technology platform called GATE (Gati Associate Tracking Engine) to monitor the movement of its associates, providing real-time location and route details.

Gati has completed Phase 1 of its infrastructure upgrade, indicating a focus on improving its operational capabilities.

The new technology platform, GATE, provides improved customer service and enhances operational efficiency.

A strategy that focuses on serving customers within specific geographical areas, often with a smaller team and fewer operating costs.

A strategy that involves serving customers across a wider geographical region, often with a larger team and higher operating costs.

The percentage of revenue remaining after deducting the cost of goods sold, which may be lower with zonal play due to less overhead expenses.

The direct costs associated with producing or delivering goods and services, such as material costs and labor.

A type of fundraising where a company issues new shares to existing or new investors, raising capital for expansion or other projects.

The financial resources a company has available to invest in future growth and development.

The possibility that a company will need to raise more funds in the future, depending on opportunities and project requirements.

A continuous process of reducing direct costs, aiming for greater efficiency and profitability.

A key financial metric that measures a company's profitability by calculating earnings before interest, taxes, depreciation, and amortization (EBITDA) as a percentage of revenue.

A strategic business goal that aims to achieve profitability in excess of 30% on gross margin and 10% on EBITDA.

A legal process by which two or more companies combine into a single entity, often involving the transfer of assets and liabilities.

A legal process in India for corporate restructuring, including mergers and acquisitions, overseen by the National Company Law Tribunal.

Refers to the process of reorganizing a company's structure and operations, often to improve efficiency or profitability.

The volume of goods or services handled by a company or industry during a specific period, often measured in units or weight.

EBITDA is a measure of a company's profitability that excludes interest, taxes, depreciation, and amortization. It provides a more accurate picture of a company's core operating performance.

The percentage of revenue that a company earns as EBITDA.

A company's plan mix refers to the distribution of its revenue across different customer segments. In this case, KEA accounts for 63% of the company's revenue, followed by SMEs at 19%, and retail at 18%.

The company's management is aiming to reduce operating costs through cost reduction initiatives. This will improve gross margins in the future.

The company aims to gradually shift its business towards more SME and retail customers. This is because these segments offer a more balanced risk-reward profile compared to large key accounts.

The company aims to achieve a 60% - 40% mix between key accounts and SMEs and Retail, with an aspirational goal of reaching 55% - 45%.

The company is actively pursuing a more balanced customer mix by hiring experienced professionals like Uday Sharma. This strategic shift, implemented in January, aims to optimize their sales and operations performance.

The company's efforts to reduce operating costs, enhance gross margins, and shift toward a more balanced customer mix are expected to demonstrate positive results in the future. However, the exact timeline for these changes and their specific impact remain to be seen as the company navigates its strategic journey.

A threshold for customer revenue that classifies them as key accounts. This indicates that companies exceeding this revenue mark are deemed significant to the business.

The proportion of a customer's total spending that is directed towards a specific company's products or services. Higher wallet share signifies a stronger customer relationship and potential for greater revenue.

A business model that focuses on delivering services to other businesses, often involving complex logistics and specialized needs. This contrasts with B2C (Business-to-Consumer) models.

The expansion of a company's reach to encompass a wider range of geographic areas. This is crucial for attaining national-level operations in India, which has a vast territory spanning many regions.

The process of adding new capabilities or services to an existing platform, effectively expanding the range of offerings. This can be advantageous for businesses looking to leverage existing infrastructure for multiple purposes.

The cost advantage gained by operating in a B2B express delivery market, where the same infrastructure can be used to serve both B2B and B2C customer segments. This can lead to economies of scale and improved profitability.

The potential for increased competition within the B2B express delivery market due to the entry of B2C e-commerce players seeking to expand their services. This can be challenging for existing B2B players.

The degree to which a company's operations are accessible and transparent to customers. This involves open communication and clear information about services and activities.