Net profit for Transport Corp. of India surged 108 percent from a year earlier to $2.6 million in the third quarter ending Dec. 31, despite a 20-percent increase in operating expenses. Higher demand for automobiles and a stabilizing economy after the global downturn drove the increases.
Income from operations for the October-December quarter rose 18.5 percent to $83 million from $70 million, the company said in a statement.
TCI, the country’s largest integrated supply chain and logistics services provider, reported net profit of $6.6 million in the first nine months of fiscal 2009-10, up 78 percent from $3.7 million in the year-ago period. Revenue increased 7.6 percent to $228 million from $212 million on a year-on-year basis.
“Our robust growth is on account of the stabilizing market and demand coming in from the automobile sector. Going forward, we are anticipating a 10-15 percent increase in revenue and about 20-30 percent increase in our profit margins for the current full fiscal year,” the company said.
The Gurgaon-based company, with a fleet of over 6,000 trucks, has a pan-Indian distribution network serving nearly 13,000 locations across the country. In a bid to accelerate operations in global markets, it recently set up offices in Singapore, Hong Kong, Indonesia, China, Germany, Netherlands and Mauritius.
For fiscal 2008-09 ended March 31, TCI posted net profit of $7.08 million, up 1.06 percent from $7 million the previous year.