Allcargo Global posts Rs 32 crore Q2 profit after losses

Allcargo Global Limited reported consolidated profit after tax of Rs 32 crore for the quarter ended September 30, 2026, compared with losses of Rs 28 crore in the preceding quarter and Rs 30 crore a year earlier. Income from operations increased 27% year on year to Rs 4,320 crore, while a Rs 6 crore subsidiary-sale gain also lifted the result.

Why did Allcargo Global return to Q2 profit?

Allcargo Global returned to profit because total income rose to Rs 4,321 crore in the September 2026 quarter while total expenses were Rs 4,269 crore, producing Rs 52 crore of profit before associate and joint-venture income, exceptional items and tax. The comparable operating result was a Rs 28 crore loss in the June 2026 quarter and a Rs 24 crore loss in the September 2025 quarter.

Income from operations increased by Rs 798 crore from Rs 3,522 crore in June 2026 and by Rs 927 crore from Rs 3,393 crore in September 2025. Allcargo Global reports International Supply Chain as its single reportable segment under Indian Accounting Standard 108, so the filing does not provide a revenue or profit split between underlying operating businesses.

Operating expenses rose to Rs 3,483 crore from Rs 2,789 crore in June 2026 and Rs 2,699 crore a year earlier, alongside higher operating income. Employee-benefit expense was nearly unchanged quarter on quarter at Rs 533 crore versus Rs 532 crore, while other expenses were Rs 172 crore versus Rs 173 crore.

How much of Allcargo Global's Q2 profit came from the sale gain?

Allcargo Global recorded a Rs 6 crore exceptional gain on the sale of a subsidiary in the September 2026 quarter, which contributed to the reported Rs 32 crore profit after tax. Before exceptional items, profit before tax was Rs 56 crore; after including the gain, profit before tax was Rs 62 crore, followed by a net tax expense of Rs 30 crore.

The gain related to the July 9, 2026 sale by wholly owned Contech Logistics Solutions Private Limited of its controlling stake in Comptech Solutions Private Limited to TransIndia Real Estate Limited, identified as a promoter-group company. The disclosed consideration was Rs 23.59 crore, and Comptech Solutions ceased to be a step-down subsidiary following that transaction.

The filing separately identifies the Rs 6 crore gain as an exceptional item rather than operating income. Cash flow from investing activities shows Rs 22 crore of net proceeds from the sale of a non-current investment in a subsidiary during the six months ended September 30, 2026, while the exceptional-items table records no such gain in the June 2026 or September 2025 quarters.

How did Allcargo Global's first-half result compare with last year?

Allcargo Global reported Rs 4 crore consolidated profit after tax for the half year ended September 30, 2026, compared with a Rs 117 crore loss in the corresponding half year ended September 30, 2025. First-half income from operations rose by Rs 1,119 crore to Rs 7,842 crore, whereas total expenses rose by Rs 983 crore to Rs 7,828 crore.

The first-half result included a Rs 28 crore loss after tax for the June 2026 quarter before the September-quarter profit. Profit attributable to the company’s owners was a Rs 8 crore loss for the six months, while non-controlling interests received Rs 12 crore of the period’s Rs 4 crore consolidated profit.

Other comprehensive income was Rs 18 crore in the latest first half, compared with Rs 127 crore in the prior-year period. This made total comprehensive income Rs 22 crore, compared with Rs 10 crore a year earlier, although the profit-and-loss result improved by Rs 121 crore.

What happened to Allcargo Global's receivables and operating cash flow?

Allcargo Global’s trade receivables increased to Rs 2,746 crore at September 30, 2026 from Rs 1,994 crore at March 31, 2026, an increase of Rs 752 crore on the balance sheet. Its cash-flow statement reports a Rs 764 crore working-capital outflow from increased trade receivables during the first half, alongside a Rs 38 crore allowance for doubtful receivables.

Contract assets increased to Rs 733 crore from Rs 454 crore over the same six-month period, while other current assets were Rs 409 crore. Trade payables increased to Rs 2,186 crore from Rs 1,439 crore, and contract liabilities rose to Rs 965 crore from Rs 615 crore, providing offsetting movements within working capital.

Despite those changes, net cash from operating activities was Rs 63 crore for the first half, up from Rs 7 crore in the corresponding 2025 period. Cash and cash equivalents ended September 2026 at Rs 412 crore, compared with Rs 374 crore at March 2026, after Rs 8 crore of foreign-currency translation differences and a Rs 30 crore net increase in cash during the period.

What other disclosed matters could affect Allcargo Global?

Allcargo Global disclosed an income-tax demand of Rs 5.61 crore relating to a block period from April 1, 2018 to April 5, 2025, following an assessment order received by Allcargo Logistics Limited on June 30, 2026. Allcargo Global said it had recognised a provision, paid Rs 1.21 crore on July 17, 2026, and appealed the remaining Rs 4.40 crore on July 29, 2026.

Allcargo Global also increased its ownership in Ecunordicon AB through subsidiary Ecu Global N.V., which acquired a further 10% stake on July 28, 2026 for Rs 17.35 crore. After the transaction, Ecu Global N.V. owned 99.99% of Ecunordicon AB; the first-half cash-flow statement records Rs 18 crore for acquisition of additional stakes in subsidiaries.

Allcargo Global acquired 25% of Allcargo Group Services Private Limited for Rs 3 lakh during the quarter and classified it as an associate. It then subscribed to a rights issue of 60 shares for Rs 1.06 crore, with the shares allotted after September 30, 2026, meaning the later allotment falls outside the reported quarter-end balance sheet.

Conclusion

Allcargo Global’s Rs 32 crore September-quarter profit reversed losses in the June 2026 and September 2025 comparison quarters, supported by income from operations of Rs 4,320 crore. The result also included a Rs 6 crore exceptional gain, while first-half profit was Rs 4 crore and the owner-attributable first-half result remained a Rs 8 crore loss.

The next developments to watch are the outcome of the Rs 4.40 crore tax appeal and whether trade receivables of Rs 2,746 crore, contract assets of Rs 733 crore and a Rs 38 crore doubtful-receivables allowance affect subsequent cash generation. The September results were approved by the board on November 14, 2026, and no operating target or guidance was disclosed in the filing.