VRL Logistics exits low-margin contracts despite volume decline

VRL Logistics reported 1% revenue growth in Q1 FY26 but maintained a robust 21% EBITDA margin despite 12% volume decline. The company strategically exited low-margin freight contracts, expecting further 8-9% volume decline in Q2 before normalizing in Q3.

Net profit surged to Rs. 50 crores from Rs. 13 crores last year. VRL Logistics added 18 new branches while closing 30 underperforming locations, with realizations projected to remain stable at Rs. 7,800 per ton.