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Business
India's logistics sector posts mixed Q2 FY27 results as cost inflation bites
✍️ Asianet Newsable
🗓 11 Oct 2026, 10:16 AM
👁 13
The logistics industry recorded uneven performance in the second quarter of FY27, with cost inflation weighing on profitability across the sector.
India's logistics sector delivered a mixed picture in the second quarter of the 2027 fiscal year, as rising input costs eroded margins for many operators. While some firms reported modest revenue growth driven by higher freight volumes, others struggled to maintain profitability amid escalating fuel, labour and infrastructure expenses.
Industry analysts attribute the divergent outcomes to varying degrees of operational efficiency and the ability to pass on cost increases to customers. Companies with diversified service portfolios and strong digital platforms were better positioned to offset inflationary pressures.
The overall trend signals that cost inflation remains a key challenge for the logistics ecosystem, prompting firms to explore automation, better route optimisation and strategic pricing to safeguard earnings in the coming quarters.
Industry analysts attribute the divergent outcomes to varying degrees of operational efficiency and the ability to pass on cost increases to customers. Companies with diversified service portfolios and strong digital platforms were better positioned to offset inflationary pressures.
The overall trend signals that cost inflation remains a key challenge for the logistics ecosystem, prompting firms to explore automation, better route optimisation and strategic pricing to safeguard earnings in the coming quarters.