Allcargo Global receivables rose Rs 752 crore, absorbing cash

Allcargo Global’s trade receivables rose Rs 752 crore to Rs 2,746 crore between March 2026 and September 2026, while a Rs 119 crore working-capital outflow reduced cash generated from operations to Rs 84 crore despite Rs 203 crore of operating profit before working-capital changes.

Why did Allcargo Global’s working capital absorb cash?

Allcargo Global’s working capital absorbed Rs 119 crore in the period reported as Sep-26, compared with a Rs 65 crore positive contribution in Sep-25. This was a Rs 184 crore year-on-year reversal in cash-flow impact. The outflow followed an increase in operating profit before working-capital changes to Rs 203 crore from Rs 23 crore, so the improvement did not fully pass through to cash generated from operations.

Cash generated from operations was Rs 84 crore in Sep-26, compared with Rs 88 crore in Sep-25, although profit before tax, or PBT, before joint ventures and associates and after exceptional items improved to Rs 30 crore from a Rs 119 crore loss. Income tax paid fell to Rs 21 crore from Rs 81 crore, allowing net cash from operating activities to rise to Rs 63 crore from Rs 7 crore.

How much did Allcargo Global’s receivables and contract assets grow?

Allcargo Global’s trade receivables increased Rs 752 crore to Rs 2,746 crore at Sep-26 from Rs 1,994 crore at Mar-26. Contract assets rose by Rs 279 crore to Rs 733 crore from Rs 454 crore. Together, the two balances increased Rs 1,031 crore over the six-month balance-sheet comparison, while the cash-flow statement reported a Rs 119 crore movement across working capital as a whole.

Trade receivables were Allcargo Global’s largest disclosed current-asset category at Rs 2,746 crore in Sep-26, ahead of contract assets at Rs 733 crore and cash and cash equivalents at Rs 412 crore. Other current assets also increased Rs 178 crore to Rs 409 crore. Total current assets increased Rs 1,275 crore to Rs 4,449 crore, while cash and cash equivalents increased Rs 38 crore from Rs 374 crore.

Did Allcargo Global’s current liabilities offset its current-asset increase?

Allcargo Global’s current liabilities increased Rs 1,229 crore to Rs 4,709 crore at Sep-26 from Rs 3,480 crore at Mar-26, nearly matching the Rs 1,275 crore rise in current assets. Trade payables increased Rs 747 crore to Rs 2,186 crore, while contract liabilities rose Rs 350 crore to Rs 965 crore. Despite these changes, the cash-flow statement recorded a Rs 119 crore working-capital outflow.

Current borrowings rose Rs 76 crore to Rs 994 crore, and other financial liabilities increased Rs 25 crore to Rs 201 crore. Other current liabilities increased Rs 34 crore to Rs 129 crore, while employee benefit obligations decreased Rs 7 crore to Rs 90 crore. Current investments fell from Rs 5 crore to nil, and bank balances other than cash and cash equivalents decreased Rs 4 crore to Rs 18 crore.

How did Allcargo Global’s operating performance translate into cash?

Allcargo Global reported revenue from operations of Rs 7,842 crore in H1FY27, up Rs 1,119 crore from Rs 6,723 crore in H1FY26. Earnings before interest, tax, depreciation and amortisation, or EBITDA, rose to Rs 155 crore from Rs 6 crore, and EBITDA margin increased to 1.9% from 0.09%. Gross margin, however, declined to 20.0% from 21.0% over the same period.

Profit after tax was Rs 4 crore in H1FY27, compared with a Rs 117 crore loss in H1FY26. In Q2FY27, revenue was Rs 4,320 crore, up 27% year on year from Rs 3,393 crore, and EBITDA was Rs 122 crore versus Rs 37 crore. The cash-flow schedule reported Rs 30 crore of PBT before joint ventures and associates, while the income statement reported Rs 38 crore of post-exceptional PBT; the income statement also recorded Rs 8 crore as the share of joint venture profit.

What changed in Allcargo Global’s liquidity and financing cash flows?

Allcargo Global’s closing cash and cash equivalents were Rs 412 crore at Sep-26, up Rs 38 crore from the Rs 374 crore opening cash balance. Net cash from investing activities was an Rs 8 crore outflow, compared with an Rs 39 crore outflow in Sep-25. Net cash from financing activities was an Rs 25 crore outflow, compared with an Rs 116 crore outflow a year earlier, while exchange differences added Rs 8 crore.

The reported net change in cash and cash equivalents was a Rs 30 crore increase in Sep-26, compared with a Rs 148 crore reduction in Sep-25. Total borrowings were Rs 1,017 crore at Sep-26, comprising Rs 994 crore of current borrowings and Rs 23 crore of non-current borrowings, compared with Rs 938 crore at Mar-26. Lease liabilities totalled Rs 376 crore, down from Rs 399 crore at Mar-26.

Conclusion

Allcargo Global’s Sep-26 disclosures show that higher operating profit was accompanied by a substantial expansion in operating balance-sheet balances. Trade receivables rose Rs 752 crore and contract assets rose Rs 279 crore, while trade payables rose Rs 747 crore and contract liabilities rose Rs 350 crore. The resulting Rs 119 crore working-capital outflow limited cash generated from operations to Rs 84 crore despite Rs 203 crore of operating profit before working-capital changes.

The presentation does not disclose a receivables collection target or a working-capital plan. The unresolved matter is whether the Rs 2,746 crore receivables balance and Rs 733 crore contract-assets balance convert into cash while current liabilities, including Rs 2,186 crore of trade payables, remain at their Sep-26 levels or change further.