Container Corporation of India (CONCOR) reported a 9% rise in second-quarter profit on Tuesday, helped by higher cargo volume.
The state-run logistics company’s consolidated profit before tax rose to 5.26 billion rupees ($62.6 million) for three months ending Sept. 30 from 4.82 billion rupees a year ago.
Revenue from operations rose 4.2% to 22.88 billion rupees, mainly on the back of a near-6% growth in cargo volume. The company incurred a one-time expense of 333.2 million rupees.
Sustained growth in cargo volume on the back of steady commercial activity and consumption in the world’s fifth-largest economy, has benefitted CONCOR – India’s largest container train operator.
Cargo volume at the company’s mainstay export/import (EXIM) segment increased 3.7% on-year in the reported quarter, while its domestic business reported a 14% growth.
Analysts expect domestic volume growth, helped by freight corridor connectivity, to fuel volume growth as CONCOR has been losing market share to private peers in the EXIM segment.