Leading Indian road express trucking company Gati recorded a turnover increase of 5.4% but a 52.6 %drop in net profit for the first quarter of 2008 due to rising costs. It has also introduced a new
air express service and established Singapore as its regional headquarters.The company’s turnover grew 5.4% to Rs 1.47bn (€22.1 million) during January-March 2008. Thenet profit, however, fell by 52.6% to Rs 32.2 million (€0.5 million) due to a large increase inoperating costs.
Mahendra Agarwal, Gati’s CEO and Managing Director, said in a statement that infrastructure,manpower and business processes were in place to present a healthy turnover in the next quarter.
Separately, the company has launched a new service “Gati Air Express” offering next daydelivery to around 30 locations nationwide and next day before noon delivery across nine locallocations to meet customer demands. The company has established a fleet of dedicated freighters andmultimodal network to ensure that shipments arrive on time providing seamless connectivity acrossair, road, ocean and rail.
Meanwhile, Gati has chosen Singapore to become the company’s regional headquarters profitingfrom the country’s strategic location to expand its business activities into the fast-growing Asiaregion and beyond and thus strengthen its international network.
“This is a dream come true,” added Mahendra Agarwal. “When we decided to spread our wingsbeyond India 3 years ago, Singapore was our first choice, because of its great infrastructure,businesses, finance, support services, world class reputation as a shipping, logistics, trading andfinancial hub, the importance of its geographic location as a springboard to Asia, and last but byno means least because of the long standing excellent business and cultural ties between Singaporeand India.”
Today, Gati has offices in China, Singapore, Japan, Dubai, Hong Kong Thailand, Nepal and SriLanka and plans to foray into other markets. Gati International’s revenues have grown from S$2.0Million (€ 937,116) to S$9.6 Million (€ 4.5 million) over the last 3 years.
