BENGALURU – India’s Mahindra Logistics Ltd reported a swing to a fourth-quarter internet loss on Monday towards a revenue a yr in the past, dented by increased working bills in a weak-demand surroundings.

The logistics arm of Mahindra Group logged a consolidated internet loss after tax of 8.2 million rupees (round $100,000) for the three months ended March 31, in contrast with a revenue of 74 million rupees a yr in the past.

Total bills climbed 18% to 12.81 billion rupees with working bills leaping 15.7%.

Third-party logistics suppliers similar to Mahindra Logistics are dealing with a difficult demand surroundings as a consequence of softness in e-commerce actions and shopper sturdy segments, analysts stated.

The provide chain administration phase, which contributes greater than 90% to the corporate’s revenues, nosedived to a lack of 37 million rupees from a revenue of 639.7 million rupees a yr in the past.

The enterprise mobility providers phase additionally reported a lack of 9.3 million rupees, down from a revenue of 10.4 million rupees a yr in the past.

Mahindra Logistics, which competes with companies similar to Delhivery, had flagged demand weak point at its investor convention in February and had anticipated the development to proceed until December 2023.

Revenue from operations elevated 16.9% to 12.73 billion rupees.

Shares closed 1.3% down forward of outcomes on Monday and had been down 25.3% year-to-date.

($1 = 81.9040 Indian rupees)

(Reporting by Meenakshi Maidas and Aleef Jahan in Bengaluru; Editing by Janane Venkatraman)