Net profit for state-owned Container Corporation of India grew by a mere 2 percent in the second quarter to $47 million as earnings plunged in the core export-import segment amid increasing competition from private operators.
Revenue for the July-September quarter dropped to $214 million from $218 million in the same period last fiscal year, Concor said in a statement Tuesday.
Operating income from international freight hauling totaled $166 million compared with $176 million in the year-ago quarter.
By The Numbers: U.S. Container Trade With India.
Income from domestic intermodal traffic surged 15 percent to $48 million from $42 million on a year-on-year basis.
The company’s profit for the first half fell 1 percent to $92 million as income from operations decreased to $422 million from $424 million a year earlier.
Concor, an offshoot of Indian Railways, is the largest intermodal logistics provider in the country, with a network of nearly 60 inland terminals. It had a monopoly of the container hauling market until the central government opened the sector to private players in 2006 and issued licenses to 14 new operators, including local logistics companies of major ocean carriers covering Indian trades.
The company last week deferred its plan to raise freight charges after the Railway Ministry agreed to reconsider applying new haulage rates on container rail operators. The increase was slated to take effect Oct. 1.