Key Highlights

Company had a good Mar 17 quarter where it was able to increase its market share in JNPT which stood at 81.9% vis a vis 79.3% YoY. Originating Exim volume for Mar 17 stood at 464084 as compared to 442198 TEU YoY.

Overall market share in Exim for FY 17 stood at 75.1% as compared to 73% in FY 16 and in domestic, the market share has come down from 68% in FY'16 to around 65% in FY 17.

In Mar 17 quarter, total handling volumes throughput in Exim stood at 665296 TEU as compared to 613543 TEU for Mar 16 quarter. Domestic throughtput for Mar 17 quarter stood at 135624 TEU as compared to125342 TEU YoY

Double stacking volume increased in Mar 17 quarter which stood at 938 vis a vis 332 in Mar 16. Management expects a further scope of margin improvement in coming years.

The Exim balance is still not favourable and imbalance continues.

Empty running charges for Mar 17 quarter stood at Rs 25 crore vis a vis Rs 45 crore, down by 44% on YoY basis.

The company received grant of around Rs 233 crore in FY 17 as compared to Rs 250 crore in FY 16 towards incentives from government which ended in FY 17.

GST rates on containers for rail transport have increased from 5% to 12% which is unfavourable for rail transport business. Railways have already mentioned their recommendations. Going forward it will be a challenge for the company to meet the increasing competition from roads and to maintain the market share. However the company is confident of doing that going forward.

Capex for FY 17 was around Rs 1000 crore and expects capex for FY 18 on similar lines.