PRANIK - Pranik Logistics
Financial Performance
Revenue Growth by Segment
The company operates in a single consolidated segment of integrated logistics services, which grew 56.73% YoY to ā¹104.76 Cr in FY25. For Q2 FY26, revenue reached ā¹38.78 Cr, a 60.77% YoY increase.
Geographic Revenue Split
Domestic dominance in key cities contributes 60% to total revenue, reflecting a strong urban network footprint.
Profitability Margins
Net Profit (PAT) grew 58.50% to ā¹6.44 Cr in FY25 with a PAT margin of 6.15%. Q2 FY26 PAT margin stood at 4.87% (ā¹1.89 Cr), reflecting seasonal impacts.
EBITDA Margin
FY25 EBITDA margin was 11.35% (ā¹11.42 Cr), up 49.69% YoY. Q2 FY26 EBITDA margin dipped to 9.59% from 12.73% YoY due to monsoon-related service maintenance costs.
Capital Expenditure
Property, Plant & Equipment increased 98.7% to ā¹7.85 Cr in FY25 from ā¹3.95 Cr, primarily for fleet and warehouse infrastructure expansion.
Credit Rating & Borrowing
CARE assigned a long-term rating of CARE BB+; Stable and a short-term rating of CARE A4. Total debt as of March 2025 was ā¹18.8 Cr, with interest rate volatility identified as a risk to borrowing costs.
Operational Drivers
Raw Materials
Fuel (Diesel) is the primary operational cost, part of the ā¹77.55 Cr other expenses which represent 74% of total revenue.
Import Sources
Sourced domestically within India to support nationwide logistics operations.
Capacity Expansion
Logistics: 94 owned vehicles and 226,250 sq ft owned warehouse area current, expanding fleet and geographic reach to achieve ā¹500 Cr revenue by 2029.
Raw Material Costs
Other expenses (including fuel) rose 51.7% to ā¹77.55 Cr in FY25, representing 74% of revenue, driven by higher shipment throughput.
Manufacturing Efficiency
Maintained a customer retention ratio of >92% and achieved higher shipment throughput during the festive season.
Logistics & Distribution
Integrated logistics services generated ā¹104.76 Cr in FY25, with distribution costs embedded in the 74% other expenses.
Strategic Growth
Expected Growth Rate
47.80%
Growth Strategy
Achieving the ā¹500 Cr revenue target by 2029 through fleet expansion, geographic reach enhancement, and aggressive client acquisition in high-growth sectors like FMCG and Retail, while maintaining 11-12% EBITDA margins through operational leverage.
Products & Services
Transportation, Warehousing, Reverse Logistics, CFA Services, and Value-Added Services.
Brand Portfolio
Pranik Logistics.
New Products/Services
Expansion of customized reverse logistics and value-added services to diversify revenue streams.
Market Expansion
Targeting nationwide reach beyond current 40+ hubs to enhance supply chain density.
Strategic Alliances
Service agreement with Meesho Limited for sort center operations, though Siliguri operations were recently changed after mutual review.
External Factors
Industry Trends
Logistics industry is shifting towards integrated, tech-enabled 'one-stop' solutions; Pranik is positioned as a service-led player with an asset-light model.
Competitive Landscape
Highly competitive with pressure on pricing power from both organized and unorganized players.
Competitive Moat
Sustainable moat through an asset-light model for rapid scalability, integrated service offerings, and a high customer retention rate of >92%.
Macro Economic Sensitivity
Sensitive to GDP growth and fuel inflation; fuel price spikes directly impact the 74% operating cost base.
Consumer Behavior
Demand is influenced by festive seasons and growth in e-commerce/retail sectors, driving higher shipment throughput.
Geopolitical Risks
Vigilant of global supply chain disruptions that may impact domestic client demand in automotive and engineering sectors.
Regulatory & Governance
Industry Regulations
Compliance with Companies Act, GST, and Transport laws; internal controls are reviewed through periodic audits.
Environmental Compliance
CSR policy focused on healthcare and environmental sustainability; obligation was below ā¹50 lakhs in FY25.
Taxation Policy Impact
Effective tax rate of ~25.2% in FY25 (ā¹2.17 Cr tax on ā¹8.61 Cr PBT).
Risk Analysis
Key Uncertainties
Fuel price volatility and intense market competition could impact the 11-12% EBITDA margin target.
Geographic Concentration Risk
60% of revenue is concentrated in key domestic cities, creating sensitivity to regional economic shifts.
Third Party Dependencies
High customer concentration risk; loss of a major client like Meesho could significantly impact revenue.
Technology Obsolescence Risk
Mitigated by ongoing investment in ERP and real-time tracking systems to maintain service transparency.
Credit & Counterparty Risk
Trade receivables of ā¹30.33 Cr (28.9% of revenue) indicate significant credit exposure and dependency on client payment cycles.