Kerry Logistics eyes doubling its topline to Rs 3,000 crore by FY21

Kerry Indev Logistics has set a target of doubling its topline to Rs 3,000 crore by FY21 as it expects to cash in on the growing e-commerce sector with the entry into last mile connectivity. To expand its reach, the Chennai-based company Friday launched eight services, each catering to different B2B and B2C segments under the brand name of Kerry Indev Express.

"We are launching our express service today which will enable us to reach the door steps of consumers," Kerry Indev Logistics chairman S Xavier Britto told PTI here. He said the company has now touched all the points in the logistics chain and is expecting revenue to double to Rs 3000 crore by FY21 from Rs 1,500 crore now. "We have made strategic investment in Velex Logistics, which is involved in supporting and auxiliary transport activities for courier services. With this we get access to their 3,000 pincodes which we want to increase to 6,000 by this December. "We will continue to make investments in the next couple of years to expand our presence in e-retailing and e- commerce segments," he said.

Britto said the company has already announced plans to invest Rs 500 crore over the next two-three years for expanding its presence as well as to enter global markets. "Most of the capex will be funded through internal accruals. But once we reach the Rs 3000-crore revenue milestone, we will think of launching an initial public offer," Britto added.

He said the just launched express service will operate through over 200 centres, with 1,500 staff and a fleet of vehicles in the first phase and will also focus on technology-driven delivery solutions like parcel lockers. The new vertical will cater to the process and time sensitive delivery requirements of e-tailers as well as pharma, automobiles, engineering and telecom businesses, he said.

(With inputs from agencies.)