Company Overview

AVG Logistics Limited (Scrip Code: 543910) submitted its Annual Report for FY 2025-26 to stock exchanges pursuant to SEBI Regulation 34(1), detailing financial and operational performance for the year ended 31 March 2026.

Financial Performance Highlights

AVG Logistics reported consolidated total income of ₹582.48 crore in FY26, representing a 5.1% increase from the previous year. Revenue from operations stood at ₹557.41 crore (FY25: ₹551.52 crore), while other income was ₹3.88 crore. The company recorded significant income of ₹21.19 crore from reversal of leases due to termination of a lease agreement with Indian Railways.

EBITDA increased 14.27% YoY to ₹112.45 crore with margins improving to 19.3% from 17.8% in FY25. Profit Before Tax (PBT) reached ₹34.46 crore (up 18.13% YoY), while Profit After Tax (PAT) was ₹26.17 crore. Basic and diluted earnings per share were ₹17.38 (FY25: ₹15.01).

The balance sheet showed net debt increased to ₹173 crore from ₹99 crore, with debt-to-equity ratio at 0.67x vs 0.42x previous year. Current ratio improved to 1.97x from 1.77x. Total assets stood at ₹548.37 crore (FY25: ₹499.03 crore) with total equity of ₹271.16 crore.

Operational Performance and Business Initiatives

The company operates 3,000+ vehicles (850+ owned trucks and reefers) with warehousing capacity of ~7.4 lakh sq. ft. across 8 facilities. Its 70+ branch network serves 19,000+ pin codes across India with 6 active operational rail routes.

Key business initiatives included:

  • Liquid Cargo Vertical: Launched with 96 ISO tanks for bulk chemical transportation
  • Green Logistics: Introduced LNG-powered trucks in partnership with Blue Energy Motors (Essar group)
  • Electric Vehicles: Deployed 5 high-tonnage (55-tonne) electric vehicles for Tata Steel routes
  • Strategic Contracts: Joint venture with Baidyanath Group for LNG-based transportation and long-term contract with Haldiram Nagpur for 100+ vehicles

Corporate Actions and Capital Structure

The Board recommended a final dividend of 12% (₹1.20 per equity share) for FY26, with record date set for September 18, 2026, subject to shareholder approval. However, subsequent to the financial year end, the company completed a fully subscribed rights issue of ₹52.93 crore in June 2026, issuing 36,50,356 equity shares.

Capital expenditure of ₹61.82 crore was incurred in tangible and intangible assets during FY26, focused on fleet expansion, warehousing infrastructure, and technology development including an in-house Fleet Tracking and Command Centre.

Corporate Governance and Management Changes

The Board comprises 6 Directors with 3 Independent Directors (50% of Board) and 16.67% women representation. Mr. Pawan Kant serves as Independent Director and Chairman.

Key managerial changes included:

  • Mr. Himanshu Sharma resigned as CFO effective November 21, 2025
  • Mr. Rajesh Rohilla appointed as CFO effective January 23, 2026
  • Mr. Sumit Garg appointed as Additional Director and Whole-time Director effective August 14, 2026

Audit and Regulatory Compliance

Auditors M S K A & Associates LLP issued an unmodified opinion but highlighted key audit matters around revenue recognition (due to judgment involved in identifying performance obligations) and allowance for credit impaired trade receivables of ₹18.40 crore (gross receivables ₹254.41 crore).

The audit report noted that the audit trail feature in the accounting software was not enabled throughout the year, preventing assessment of its operation and tampering instances. The company confirmed compliance with various regulatory requirements including no benami property proceedings, not declared wilful defaulter, and proper utilization of borrowed funds.

Related Party Transactions and Subsidiaries

Significant related party transactions included transportation expenses with Yellowings Delivery Services of ₹2.63 crore (FY25: ₹0.80 crore) and directors' remuneration of ₹1.38 crore (Sanjay Gupta ₹0.78 crore, Asha Gupta ₹0.60 crore). Outstanding balances included trade receivables of ₹0.61 crore from Yellowings Delivery Services.

Subsidiaries include wholly-owned Galaxy Packers and Movers Private Limited and associate company Kaizen Logistics (99% holding). AVG Sunil Liquid Logistics ceased to be subsidiary on May 30, 2025.

Forward-looking Statements and AGM Matters

The report contains forward-looking statements regarding expected financial position and business plans, subject to assumptions and uncertainties. The 17th Annual General Meeting scheduled for September 25, 2026 includes resolutions for adoption of financial statements, re-appointment of Mr. Sanjay Gupta as Director, increase in authorized capital, approval of Employee Stock Option Scheme 2026, and appointment of Mr. Sumit Garg as Whole-time Director.