IPO-bound CJ Darcl Logistics expects revenue momentum to continue as it expands into new verticals.
IPO-bound CJ Darcl Logistics expects its revenue growth momentum to continue, having grown at around 10 per cent compound annual growth rate over the past few years, according to Nikhil Agarwal, president of the company. The logistics firm, backed by South Korea’s CJ Logistics Corporation, reported consolidated revenue of ₹5,680.19 crore in FY26, up 10 per cent year-on-year. Ebitda for the year stood at ₹273.24 crore, up 1.88 per cent, while net profit declined by 6.87 per cent to ₹86.72 crore, according to the company’s FY26 annual report.
Agarwal attributed the expected continuation in growth to India’s manufacturing expansion, exports, industrial demand and supportive government initiatives. The company is developing three key areas: a technology-enabled marketplace for small fleet operators, alternative fuels and electric vehicles and warehousing and distribution. The planned marketplace will give truckers access to technology, products and accounting tools, including a digital khata-book, through a single platform. CJ Darcl currently works with around 8-10 lakh truckers, with 2-2.5 lakh new trucks joining its network annually.
On sustainability, Agarwal said an electric truck currently costs around three times more than a 55-tonne diesel truck, India’s largest truck category, making high asset utilisation essential to financial viability. The company is in talks with customers to identify suitable applications for electric vehicles and is also developing alternative-fuel solutions. Its warehousing business, which spans 2.78 million square feet as of FY26, has grown 70-80 per cent annually over the past two to three years and now includes e-commerce and quick-commerce clients.
CJ Darcl transported 22.42 million tonnes of cargo in FY25, with road transport remaining its core business alongside rail and coastal logistics. Agarwal noted some slowdown in metals and minerals demand, while FMCG remained broadly stable. Higher diesel prices have pushed up freight rates, particularly in long-haul segments, though rising commercial vehicle sales could add supply and ease rates over the coming quarters. The company is also exploring acquisitions, particularly in warehousing, to expand its customer base and logistics footprint.
On its proposed IPO, Agarwal said the company’s draft red herring prospectus has been filed and approved, with the listing subject to market conditions. CJ Logistics will not be a selling shareholder in the offering. Agarwal added that CJ Logistics supports the Indian business in warehousing, technology, AI and the trucker marketplace, and helps connect it with global customers through its presence in 38 countries. He also cited infrastructure initiatives such as Gati Shakti and port and rail terminal expansion as key contributors to improving India’s logistics ecosystem.
Source: Business Standard
