Last week, Blue Dart Express announced a 9.6 per cent hike in its average shipment price from January next year to offset higher costs
Given the sharply lower operating performance, the company reported a loss (after adjustments) of Rs 8 crore as compared to analyst estimates which had pegged the profit number at Rs 30 crore
Lower volumes would impact topline and margin performance; revival in discretionary demand crucial
Investors advised to wait for traction in revenues and margins before considering stock
The company indicated that it will take close to two years for capital investments as well as expansion to contribute to the top line and earnings, materially
While investments will pay later, intense competition to keep profit under pressure