Earnings Miss: Allcargo Logistics Limited Missed EPS By 26% And Analysts Are Revising Their Forecasts

As you might know, Allcargo Logistics Limited (NSE:ALLCARGO) recently reported its yearly numbers. Statutory earnings per share fell badly short of expectations, coming in at ₹0.37, some 26% below analyst forecasts, although revenues were okay, approximately in line with analyst estimates at ₹160b. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.

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Taking into account the latest results, Allcargo Logistics' two analysts currently expect revenues in 2026 to be ₹161.3b, approximately in line with the last 12 months. Per-share earnings are expected to bounce 507% to ₹2.10. Before this earnings report, the analysts had been forecasting revenues of ₹174.0b and earnings per share (EPS) of ₹2.10 in 2026. The consensus seems maybe a little more pessimistic, trimming their revenue forecasts after the latest results even though there was no change to its EPS estimates.

Check out our latest analysis for Allcargo Logistics

The consensus has reconfirmed its price target of ₹57.33, showing that the analysts don't expect weaker revenue expectations next year to have a material impact on Allcargo Logistics' market value.

Of course, another way to look at these forecasts is to place them into context against the industry itself. We would highlight that Allcargo Logistics' revenue growth is expected to slow, with the forecast 0.7% annualised growth rate until the end of 2026 being well below the historical 9.2% p.a. growth over the last five years. Compare this against other companies (with analyst forecasts) in the industry, which are in aggregate expected to see revenue growth of 11% annually. So it's pretty clear that, while revenue growth is expected to slow down, the wider industry is also expected to grow faster than Allcargo Logistics.

The Bottom Line

The most obvious conclusion is that there's been no major change in the business' prospects in recent times, with the analysts holding their earnings forecasts steady, in line with previous estimates. Unfortunately, they also downgraded their revenue estimates, and our data indicates underperformance compared to the wider industry. Even so, earnings per share are more important to the intrinsic value of the business. With that said, earnings are more important to the long-term value of the business. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.

Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. At least one analyst has provided forecasts out to 2027, which can be seen for free on our platform here.

You should always think about risks though. Case in point, we've spotted 3 warning signs for Allcargo Logistics you should be aware of, and 1 of them shouldn't be ignored.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.