Logista Holdings SA experienced a significant drop in its stock prices on Friday, May 9, 2025, falling by 7% after the company announced disappointing results for the first semester of its fiscal year 2025. The results, which cover the period from October 1, 2024, to March 31, 2025, revealed a net profit of 151 million euros, marking a decline of 5.4% from the 160 million euros reported in the same period last year.
According to reports from Bolsamanía, the decline in Logista's stock is closely linked to the company’s financial performance. The decrease in net profit was attributed to rising operational costs and a slowdown in the transportation segment, factors that were influenced by the broader macroeconomic context and the normalization of interest rates across Europe.
Despite the dip in profits, Logista's revenue saw a 3.5% increase, reaching 6.425 billion euros, driven primarily by growth in the Iberian and Italian markets. In Iberia, economic sales rose by 6.4% to 606 million euros, bolstered by significant increases in tobacco sales (+12.5%) and pharmaceutical distribution (+13.2%). Italy also performed well, with economic sales growing by 12.1% to 213 million euros, thanks to a surge in new-generation product sales.
However, France's performance was less favorable, with a 9.3% decrease in economic sales, resulting in 101 million euros. This decline was attributed to reduced tobacco volumes and a lesser impact from inventory revaluations compared to previous periods.
Logista's adjusted operating profit also showed positive signs, increasing by 4.6% to 202 million euros, with the overall operating profit rising to 174 million euros from 168 million euros the year before. Notably, the revaluation of inventories, particularly in the tobacco sector, contributed significantly, adding 46 million euros compared to 25 million euros in the prior year.
In light of these results, analysts from Bankinter have maintained a "buy" recommendation for Logista shares, assigning a target price of 30.1 euros, slightly below the company's closing prices prior to the earnings announcement. Bankinter's confidence in Logista remains strong, suggesting that the recent stock market correction may be temporary, presenting a potential buying opportunity for investors seeking medium- to long-term gains.
Furthermore, Logista announced a dividend of 2.09 euros per share, reflecting a yield of 7%. This commitment to dividends is viewed as a sign of financial stability, which, along with possible future acquisitions, could serve as a catalyst for the company’s stock performance.
In summary, while Logista's recent financial results have raised concerns among investors, the company's overall revenue growth and commitment to dividends suggest a resilient business model. The upcoming strategic moves, including potential acquisitions, will be crucial in shaping Logista's future performance in the competitive logistics market.
