Blue dart express
Given the bombardment of advertisements that i see of all the online shopping websites, One of the direct benefactors is courier and logistics firms who serve them.
Of the two companies that are listed - Blue Dart and GATI, i find blue dart attractive for the following reasons
CMP 2050
Ownership : DHL express singapore owns 75%
Financials
| Dec '11 | Dec '10 | Dec '09 | Dec '08 | Dec '07 |
| Income | ||||||||||
| Sales Turnover | 1,489.60 | 1,147.41 | 905.23 | 974.47 | 808.72 | |||||
| Excise Duty | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | |||||
| Net Sales | 1,489.60 | 1,147.41 | 905.23 | 974.47 | 808.72 | |||||
| Other Income | 23.45 | 4.46 | 6.92 | 6.61 | 0.93 | |||||
| Stock Adjustments | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | |||||
| Total Income | 1,513.05 | 1,151.87 | 912.15 | 981.08 | 809.65 | |||||
| Expenditure | ||||||||||
| Raw Materials | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | |||||
| Power & Fuel Cost | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | |||||
| Employee Cost | 184.41 | 148.89 | 134.76 | 132.65 | 116.36 | |||||
| Other Manufacturing Expenses | 1,007.64 | 748.36 | 585.63 | 635.92 | 501.94 | |||||
| Selling and Admin Expenses | 78.62 | 63.31 | 52.85 | 53.15 | 40.06 | |||||
| Miscellaneous Expenses | 40.87 | 30.74 | 26.98 | 26.42 | 19.41 | |||||
| Preoperative Exp Capitalised | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | |||||
| Total Expenses | 1,311.54 | 991.30 | 800.22 | 848.14 | 677.77 | |||||
| Dec '11 | Dec '10 | Dec '09 | Dec '08 | Dec '07 | ||||||
|  | ||||||||||
| 12 mths | 12 mths | 12 mths | 12 mths | 12 mths | ||||||
|  | ||||||||||
| Operating Profit | 178.06 | 156.11 | 105.01 | 126.33 | 130.95 | |||||
| PBDIT | 201.51 | 160.57 | 111.93 | 132.94 | 131.88 | |||||
| Interest | 1.63 | 1.26 | 1.68 | 1.59 | 1.66 | |||||
| PBDT | 199.88 | 159.31 | 110.25 | 131.35 | 130.22 | |||||
| Depreciation | 21.60 | 19.22 | 17.76 | 16.57 | 24.03 | |||||
| Other Written Off | 0.00 | 0.00 | 0.00 | 0.00 | 0.16 | |||||
| Profit Before Tax | 178.28 | 140.09 | 92.49 | 114.78 | 106.03 | |||||
| Extra-ordinary items | 0.60 | 0.29 | 0.33 | 3.97 | 0.55 | |||||
| PBT (Post Extra-ord Items) | 178.88 | 140.38 | 92.82 | 118.75 | 106.58 | |||||
| Tax | 56.64 | 46.02 | 32.12 | 41.40 | 36.64 | |||||
| Reported Net Profit | 122.24 | 94.37 | 60.71 | 77.35 | 69.38 | |||||
| Total Value Addition | 1,311.54 | 991.30 | 800.22 | 848.14 | 677.78 | |||||
| Preference Dividend | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | |||||
| Equity Dividend | 4.75 | 2.37 | 2.37 | 2.37 | 2.37 | |||||
| Corporate Dividend Tax | 0.77 | 0.39 | 0.40 | 0.40 | 0.47 | |||||
| Per share data (annualised) | ||||||||||
| Shares in issue (lakhs) | 237.28 | 237.28 | 237.28 | 237.28 | 237.28 | |||||
| Earning Per Share (Rs) | 51.52 | 39.77 | 25.58 | 32.60 | 29.24 | |||||
| Equity Dividend (%) | 20.00 | 10.00 | 10.00 | 10.00 | 10.00 | |||||
| Book Value (Rs) | 277.37 | 228.17 | 189.57 | 165.15 | 133.72 | |||||
Pros
Zero debt
Increasing profits
Online shopping growth at 30% CAGR
Market size of online retail shopping of $300 million (2009)
Indian retail market size is $470 billion (2011)
Cons
PE - 35
Competition from other international players - Fedex
Competition from local non listed companies - First flight, DTDC etc
Potential new entrants in retail FDI could move the market to brick and mortar shops (Walmart, IKEA)
Bigger online houses might lean towards a holistic logistics provider to a vanilla courier service
Sources
Company website
Wikipedia
MoneyControl
Disc
I have no holdings in the company now, but may initiate a small position soon.