SLGL offsets fuel shock with smart pricing moves

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MG News | April 06, 2026 at 04:14 PM GMT+05:00

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April 6, 2026 (MLN): Secure Logistics-Trax Group Limited (PSX: SLGL) has effectively absorbed the impact of sharp fuel price increases triggered by the deteriorating regional situation since February 28, 2026, by implementing timely pricing and operational strategies.

Petrol and High-Speed Diesel (HSD) prices witnessed significant upward revisions during March and early April.

Data presented in the company’s annexure shows HSD prices surging cumulatively by over 76% between March 1 and April 3, while petrol prices also recorded steep gains before a partial decline, according to the company's statement issued today.

The rapid escalation in fuel costs created direct pressure on transport-heavy operations.

Among the company’s six business lines, the E-Commerce (last-mile delivery) and Logistics (long- and medium-haul transport) segments remain the most sensitive to fuel price movements.

The E-Commerce segment operates through a large network of motorcycle riders along with company-owned and rented vehicles using both petrol and HSD. In parallel, the Logistics segment primarily depends on HSD-powered commercial fleets.

To manage cost volatility, the company activated Fuel Adjustment Factor (FAF) clauses embedded in client contracts.

Delivery rates in the E-Commerce segment were revised in line with changes in petrol and diesel prices, while freight rates in the Logistics segment were adjusted accordingly under similar contractual mechanisms.

These measures have offset the financial impact of rising fuel costs, keeping margins stable despite the sharp increase in energy prices.

The company continues to maintain uninterrupted operations while proactively managing variable cost risks, ensuring service consistency and protecting shareholder value in a volatile pricing environment.

Copyright Mettis Link News

 

 

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