On A Strong Growth Path With 43% Revenue Growth And 57% PAT Growth In Q3FY19
Future Supply Chain Solutions Limited (FSC or the Company), a leading third-party supply chain solutions specialist and logistics service provider, today announced its results for the quarter ended December 31, 2018.
Key Operating Highlights:
- FSC continues to witness increased traction from new clients and added several reputed clients to its portfolio during the quarter, including a reputed fashion & apparels brand, a men’s casual wear brand and many more.
- Annual incremental billing potential of new clients added in the last nine months amounts to over ₹ 1,250 million.
- The Company has a healthy 12-month sales funnel of ₹ 4,000-5,000 millioni, which includes many marquee brands.
- Non-anchor customers contributed 38% to 9M FY19 revenues.
- Warehouse space increased by 0.91 million sq. ft. to 7.31 million sq. ft. during the quarter.
- Revenue per square feet remained stable at ₹ 115 per month in Q3 FY19, despite significant warehouse capacity expansion during the year. FSC has added 2.7 million sq. ft. during nine months ending December 31, 2018.
- In January 2019, FSC announced launch of the India Food Grid, a network of multiple Integrated Food Distribution Centres (IFDC) across the length and breadth of the country that will redefine the Food & FMCG supply chain in India. The India Food Grid will provide pan-India distribution reach, right from the manufacturing hubs till the points of consumption.
Key Standalone Financials:
- Revenue from operations grew 43.2% year on year to ₹3,326 million.
- EBITDA grew 50.6% year on year to ₹ 347 million.
- PAT grew 56.7% year on year to ₹ 197 million.
Commenting on the results and the business outlook, Mayur Toshniwal, Managing Director of FSC said “I am pleased to share that this has been a great quarter for FSC with both revenue and profit growth surpassing expectations. The strong momentum continued in new client acquisitions, thereby further consolidating our position as one of the fastest growing logistics solution provider in India. In the coming months, we will be implementing newer technologies and increase the use of automation in our operations, such as robotics and voice picking. This will further drive our business intelligence and create value for our stakeholders and customers.”
India Food Grid: Redefining Food & FMCG Supply Chain in India
FSC has identified 38 locations across the country, based on a comprehensive study, which will be developed into large food and FMCG distribution centres completing the jigsaw puzzle of making one India Food Grid. Consumer products will get distributed from an IFDC to retail stores in a radius of up to 225 kms. In this journey, the life of each retail store serviced by India Food Grid would be simplified and they would focus on serving customers for their entire food and FMCG needs. This will help improve overall supply chain efficiencies, lead to better inventory management and help increase availability of consumer products at locations where the demand is. With the development of FSC India Food Grid, stock availability and visibility will be ensured at all times, consumer will get fresh products faster and there will be reduction in the inventory holding at the DC.