Gati slips 6% on dissapointing Q2 numbers

NEW DELHI: Shares of logistics company Gati slipped over 6 per cent in Tuesday's trade after the company reported a set of disappointing numbers for the September quarter post market hours on Monday.

The company posted a 16.45 per cent decline in net profit on a year-on-year basis due to higher costs on employee benefits and lower operating income. Consolidated net profit for the quarter stood at Rs 5.79 crore versus Rs Rs 6.93 crore in the same period last year. Total income stood at Rs 41.49 crore, up marginally by 1.8 per cent compared from Rs 40.77 crore in the same period last year.

The logistics major also saw its H1FY16 net profit decline by 26.1 per cent on a YoY basis. The development saw the scrip slump 5.9 per cent to Rs 153.95 in intra-day trade.

Earnings per share, a measure of the profit allotted to each share of a company, slipped to 0.66 for the quarter compared with 0.90 in the previous quarter. The company is mainly engaged in e-commerce logistics, integrated freight forwarding and running of fuel stations.