VRL Logistics – An investment worthy candidate despite tepid show
Given the distressed external environment where most competitors are on a weak footing due to tight liquidity conditions and stretched balance sheets, it appears that VRL will be able to consolidate these market share gains
December 17, 2020 / 09:24 AM IST
PRO Only Highlights
Quarterly performance largely backed by improved realisations
Medium-term triggers China plus and protectionist measures for tyre industry
Valuations not inexpensive; but improved medium-term outlook
VRL Logistics, one of the largest transportation and logistics companies in India, had a muted performance in the first half on account of supply and demand disruptions triggered by the pandemic. Despite a subdued show, VRL seems to be an interesting long-term bet as the future of the company looks optimistic owing to an uptick in consumption aided by sectoral reforms being undertaken by the government.
VRL’s June quarter results were rather disappointing as the company swung to...