o Largest container train operator and associated logistics services provider in country with around 83 terminals and 75% market share in key segments of EXIM rail transportation.

o Investments in multimodal logistics parks coupled with progress on Dedicated Freight Corridor and GST and DTC will lead to strong growth in earnings

o Implementation of dedicated freight corridor starting FY20-21 will lead to big jump in rail share in container traffic from roads

o Healthy financial profile

- Sales and profit CAGR of 10-15% over next 2-3 years

- Steady and strong EBIDTA margins of 25%

- Strong annual FCF generation of Rs.1100 cr annually even after spending Rs.1000+ cr in capex annually

o New initiatives such as distribution logistics and coastal shipping to contribute in terms of extra volumes to existing rail volumes.

o Valuations at 23x FY21E earnings undermine the monopolistic nature of the company and the scale it has created in multimodal logistics.

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