Stock-specific action is being seen in the stock market. Stock-based news flow is being seen in the fluctuating market. East West Freight Carriers Ltd company secured a service contract with UAE-based Erhart Projects Cargo and Logistics. On Thursday, the stock closed at Rs 7.34 with a gain of about 5 percent.

It is a high book value stock, with a book value of Rs 5.22 against a stock price of Rs 7.34. This means that the company has a good amount of assets.

East West Freight Carriers Limited (EWFCL), a subsidiary of East West Holdings Limited has entered into a service agreement with Erhart Projects Cargo & Logistics Middle East (ERHART), UAE.

Under this service contract, EWFCL will act as the principal agent of Erhart in India and provide logistics support as per their requirement and Erhart will act as the agent of EWFCL in UAE/KSA. The partnership is expected to generate revenue of around Rs 3.5 to 4 crore.

Erhart is a specialist in industrial project logistics and turnkey solutions in sectors such as oil & gas, renewable energy, and power and will act as the agent of EWFCL in UAE and Saudi Arabia. EWFCL in turn will represent Erhart as its principal agent in India, providing customized logistics support to meet their requirements.

Financial performance of the company

As per the quarterly results, East West Freight Carriers Limited recorded a revenue of Rs 68.21 crore as against Rs 43.43 crore in September 2024, showing a growth of about 57 percent as compared to the same quarter last year. The company recorded an operating profit of Rs 2.56 crore as against Rs 2.94 crore with a margin of around 3.75 ppercent The net profit of the company during this period stood at Rs 0.09 crore as against a profit of Rs 0.09 crore in the same quarter last year.