1. At a Glance – The Container That Fell Off the Ship
Lancer Container Lines Ltd (LCLL) currently trades at around ₹11, with a market cap of ~₹282 crore, and the confidence of a ship sailing through the Red Sea without insurance. In the last 3 months, the stock is down ~35%, and down ~63% over 1 year, which is impressive consistency—in the wrong direction.
Latest Q3 FY26 results delivered:
- Revenue: ₹54.4 crore (down 73% YoY)
- PAT: –₹7.43 crore
- Operating Margin: –3.22%
- EPS: –₹0.30
Annual numbers look worse:
- TTM Revenue: ₹373 crore
- TTM PAT: –₹37.7 crore
- ROE: –0.76%
- ROCE: 0.51%
Despite all this, the company is:
- Expanding TEU capacity
- Acquiring companies via share swaps
- Issuing 10.28 crore new shares at ₹19.77
- Fighting a ₹7.86 crore GST RCM order
So yes, this is not a boring company. It’s a financial thriller.
2. Introduction – From Global Logistics to Global Confusion
Lancer Container Lines was incorporated in 2011 and positioned itself as a global logistics solution provider—freight forwarding, NVOCC, air cargo, container trading, vessel agency, the whole buffet.
On paper, the company boasts:
- Presence in 75+ locations
- 95+ overseas ports
- 36+ ICDs
- ~20,000 TEUs
- 84,962+ shipments completed
That sounds like a seasoned logistics operator. But then you open the financials… and the ship hits an iceberg.
Revenue peaked earlier, profitability evaporated, promoter holding declined, institutional investors quietly exited, and now the company is trying to financial-engineer its way into relevance via acquisitions and equity dilution.
The big question:
Is this a temporary storm in shipping cycles, or a structural leak in the hull?
3. Business Model – WTF Do They Even Do?
Let’s simplify Lancer’s business for a smart but lazy investor.
Core Services
LCLL operates as a non-asset-heavy logistics aggregator, offering:
- NVOCC / Liner services
- Freight forwarding
- Air freight
- Breakbulk & project cargo
- Container trading
- Vessel & container agency
- Empty Container Yards
- Specialized routes to CIS, LATAM, Africa
Translation:
They don’t own ships like Maersk. They coordinate, lease, trade containers, manage routes, and act as middlemen—earning margins on volumes.
Revenue Mix FY24
- Services: ~94%
- Container sales: ~4%
- Forex gains: ~1%
So this is primarily a services business, which should be asset-light and margin-stable.
But here’s the twist:
They didn’t stay asset-light.
Over the years, Lancer expanded:
- Container fleets
- Fixed assets (₹142 Cr → ₹461 Cr)
- Overseas subsidiaries
- Acquisitions
Now depreciation, interest, and working capital swings are eating margins alive.
Is this logistics… or logistics cosplay with debt?
4. Financials Overview – Numbers That Need Therapy
Q3 FY26 Financial Comparison (₹ crore)
| Metric | Latest Qtr | YoY Qtr | Prev Qtr | YoY % | QoQ % |
|---|---|---|---|---|---|
| Revenue | 54.4 | 203.97 | 93.67 | –73.3% | –41.9% |
| EBITDA | –1.75 | 9.56 | 5.51 | NA | NA |
| PAT | –7.43 | 4.08 | 6.77 | –282% | –210% |
| EPS (₹) | –0.30 | 0.17 | 0.27 | – | – |
Commentary:
This is not a “cyclical dip.” This is a faceplant.
Revenue collapsed, margins flipped negative, and PAT went from profit to full reverse gear. Even after adjusting for shipping volatility, this is ugly.
EPS Annualisation
Latest Q3 EPS = –₹0.30
Average Q1–Q3
