Shree Vasu Logistics H1 profit rises 171% as revenue grows

Shree Vasu Logistics Limited reported H1 FY27 profit after tax of Rs 8.4 crore, up 171% year on year, as revenue rose 37.2% to Rs 145 crore while finance costs increased only 3.7% to Rs 8.4 crore. The limited-reviewed standalone results also show EBITDA rose 43% to Rs 37.2 crore.

What drove Shree Vasu Logistics' H1 FY27 profit increase?

Shree Vasu Logistics' H1 FY27 profit increase was driven by EBITDA growth outpacing revenue growth and finance costs rising far more slowly than sales. Revenue from operations increased by Rs 39.3 crore from Rs 105.7 crore in H1 FY26 to Rs 145 crore in H1 FY27. Over the same comparison, EBITDA rose by Rs 11.2 crore to Rs 37.2 crore, while profit before tax increased 169.2% from Rs 3.9 crore to Rs 10.5 crore.

Operating expenses rose 35.3%, below the 37.2% revenue increase, and EBITDA margin therefore expanded 110 basis points to 25.7% from 24.6%. A basis point is one-hundredth of a percentage point. Other income increased 38.9% from Rs 1.8 crore to Rs 2.5 crore, while depreciation grew 31% to Rs 20.7 crore. Profit after tax margin widened by 290 basis points to 5.8% from 2.9%, and earnings per share rose 171% to Rs 7.25.

How did Shree Vasu Logistics perform in Q2 FY27?

Shree Vasu Logistics' Q2 FY27 performance accelerated from the corresponding quarter, with revenue rising 43.2% to Rs 80.2 crore and profit after tax increasing 325% to Rs 5.1 crore. EBITDA grew 50.7% from Rs 13.6 crore in Q2 FY26 to Rs 20.5 crore, lifting EBITDA margin by 130 basis points to 25.6%. Finance costs declined 2.5% to Rs 3.9 crore despite the increase in quarterly revenue.

The quarterly comparison shows a larger increase in profitability than in the first quarter of FY27. Q1 FY27 revenue rose 30% year on year to Rs 64.8 crore and profit after tax rose 74% to Rs 3.3 crore, whereas Q2 delivered Rs 80.2 crore of revenue and Rs 5.1 crore of profit after tax. Q2 revenue was also 23.8% higher than Q1 FY27, while its Rs 5.1 crore profit represented more than 60% of the Rs 8.4 crore H1 FY27 total.

How did Shree Vasu Logistics' EBITDA margin change?

Shree Vasu Logistics maintained EBITDA margins around the mid-20% range while revenue expanded across FY26 and H1 FY27. In FY26, revenue grew 53% to Rs 224 crore and EBITDA increased 50% to Rs 56.9 crore, with EBITDA margin easing 60 basis points to 25.4%. In H1 FY27, however, EBITDA margin increased to 25.7% from 24.6% a year earlier.

The quarter-by-quarter figures show the H1 margin was supported by both FY27 quarters. Q1 FY27 EBITDA margin was 25.8%, up 80 basis points from Q1 FY26, and Q2 FY27 margin was 25.6%, up 130 basis points from Q2 FY26. This contrasts with Q4 FY26, when the presentation says EBITDA margin was 29.0%; Q1 FY27 revenue still rose 4% sequentially from that quarter, but its margin was lower than the Q4 level.

What does H1 FY27 show against Shree Vasu Logistics' annual trend?

Shree Vasu Logistics' H1 FY27 revenue of Rs 145 crore reached about 65% of its FY26 revenue of Rs 224 crore, while H1 profit after tax of Rs 8.4 crore exceeded FY26 profit after tax of Rs 5.8 crore. The comparison is between a six-month period and a full financial year, so it does not establish a full-year outcome, but it shows that first-half profit was above the prior year's reported total.

The company’s annual revenue rose from Rs 85 crore in FY22 to Rs 224 crore in FY26, and the presentation calculates a 28% compound annual growth rate from FY21 revenue of Rs 66 crore. EBITDA increased from Rs 18 crore in FY22 to Rs 56.9 crore in FY26. In the nearer comparison, FY26 revenue added Rs 77.9 crore over FY25, compared with FY25 revenue of Rs 146.1 crore and EBITDA of Rs 37.9 crore.

What capacity plan does Shree Vasu Logistics disclose?

Shree Vasu Logistics discloses a roadmap to 50 million square feet of warehousing capacity by FY31, compared with 4.5 million square feet of tech-enabled warehousing cited in its presentation. The presentation also cites 65 or more blue-chip clients across eight industries as part of its operating platform. It does not provide a year-by-year capacity addition schedule or an H1 FY27 utilisation rate.

Management's presentation says return on capital employed could improve as new capacity reaches full use, which is a stated expectation rather than a reported result. At 31 March FY26, Shree Vasu Logistics reported Rs 169 crore of net fixed assets, Rs 95 crore of borrowings and Rs 40 crore of net worth. Return on capital employed was 14.4% in FY26, compared with 16.6% in FY25, while return on equity rose to 15.6% from 6.6%.

Conclusion

Shree Vasu Logistics' H1 FY27 results show revenue growth translating into a faster increase in reported profit: sales rose 37.2%, EBITDA grew 43%, and profit after tax rose 171%. The key numerical difference was finance costs, which increased by only Rs 0.3 crore to Rs 8.4 crore even as revenue increased by Rs 39.3 crore, alongside a 110-basis-point increase in EBITDA margin.

The next issue to watch is whether Shree Vasu Logistics can sustain its H1 FY27 margin and finance-cost pattern as it pursues the stated FY31 roadmap of 50 million square feet. Management has linked potential return on capital employed improvement to new capacity reaching full use, while FY26 borrowings stood at Rs 95 crore and return on capital employed was below the FY25 level.