Cargosol Logistics Ltd Management Discussions

Cargosol Logistics Limited (hereinafter referred to as ‘CLL) was first established as "Cargosol" a "partnership firm" in the year January 2004. Subsequently, in March 2011 the company was converted to "Cargosol Logistics Pvt, Ltd" and then in April 2022 was changed to "Cargosol Logistics Limited"

Main objective of the company is to provide all kinds of logistics services across the Globe including Freight Fowarding (Sea & Air), NVOCC, Projects & Breakbulk, Customs Clearance, Transportation, Warehousing, etc,

Contract Logistics - Warehouse

The Head office of CLL is located in Mumbai and domestic network in Navi Mumbai, Nashik, Pune, Nagpur, Ahmedabad, Surat, Delhi, Jaipur, Panipat, Kolkata, Chennai, Bangalore, Hyderabad, Cochin, Ahmedabad and Gandhidham. International offices located at Dubai, Hongkong, China, Canada and United Kingdom.

OVERVIEW:

The year FY 22-23 was a challenging year for the entire Logistics industry. Ocean freight levels were dropping constantly from Q2 onwards until Q4 with some sectors plunging upto 75% in comparison to FY 21-22. To overcome these challenges, CLL took several measures viz. aggressive marketing, addition of new customers, handling flight charters under our GSA division, doubling the container inventory pool of our NVO division, additional of commercial vehicle to the existing fleet, to achieve overall growth of 15% in the volume of shipments.

Inspite of cut-throat competitions in the industry and drop in margin levels, we managed to retain most of our esteemed clients with the constant efforts and committed services rendered by the company.

During this year we have relocated our Head office to a new, bigger and better office at MIDC, Andheri (east), Mumbai.

ANALYSIS OF FINANCIAL CONDITIONS AND RESULTS OF OPERATIONS:

The Financial Statements have been prepared in accordance with the requirements of the Act, Indian Generally Accepted Principles (Indian GAAP) and the Accounting Standards as prescribed by the Institute of Chartered Accountants of India. The Management believes that it has been objective and prudent in making estimates and judgments relating to the Financial Statements and confirms that these Financial Statements are a true and fair representation of the Companys Operations for the period under review.

THE WAY FORWARD

As India is marching towards a USD 5 Trillion economy, logistics is one of the key factor contributing towards this goal. We at CLL are committed to our contribution for achieving this milestone.

CLL has recently inaugurated an office in Gandhidham which will help us cater to the export and import business volumes from Gujarat ports viz. Hazira, Mundra & Pipavav. Our focus will be to target

Customers based in Gujarat and Northern parts of India who are routing their sea freight movements via these ports.

Recently, we have completed our registration with "JSW Mangalore Container Terminal" adding one more service port for our NVO division, Moving forwards we are in the process of completing our port registrations with "Mundra International Container Terminal Private Limited" and the Four terminals operated by "Adani CMA Mundra Terminal Pvt Ltd." These registrations will enable us to handle container movements smoothly and improve our revenues,

We have also opened a satellite office in Nashik to cater to business from importers and exporters in that region,

We are pleased to announce this year (FY 23-24), Cargosol has opened up a new vertical dedicated to handling Projects and Break bulk,

We are in the process of opening an office in Navi Mumbai CLL that will enable us to handle Customs clearance inhouse,