Shares of TVS Supply Chain Solutions closed 2.43% higher on Tuesday despite broader market weakness, following the announcement of its three-year contract with Daimler India Commercial Vehicles. This marks a positive reversal from Monday's performance when the stock closed 0.62% lower at ₹106.49 per unit on the National Stock Exchange. However, the company's shares have significantly underperformed over the longer term, declining nearly 30% in the past year and grossly underperforming the NIFTY50 benchmark, according to Upstox.
TVS Supply Chain Solutions Ltd announced it has secured a three-year contract from Daimler India Commercial Vehicles (DICV) for managing in-plant warehouse operations at the truck manufacturer's facility in Oragadam, Chennai, according to a regulatory filing dated January 12. The company did not disclose the financial details of the contract, as reported by PTI. The partnership will reinforce TVS Supply Chain Solutions' focus on delivering efficient, technology-driven supply chain solutions to global automotive manufacturers.
Under the agreement, approximately 700 employees from TVS Supply Chain Solutions will be deployed to manage end-to-end warehouse operations within DICV's manufacturing facility. The deployment will leverage advanced technologies including IoT-based tracking for real-time visibility, automation-led systems to reduce manual handling, predictive analytics for smarter planning, and digital dashboards for centralised performance monitoring, according to Upstox. These capabilities aim to ensure seamless material flow, optimised inventory management and enhanced operational efficiency while strengthening DICV's production ecosystem.
TVS Supply Chain Solutions CEO (India and MEA) Sukumar K stated that the company has extended its long-standing partnership with Daimler through this significant engagement. "Our global experience with Daimler, combined with our expertise in in-plant logistics, automation-led operations and real-time visibility solutions, positions us well to drive measurable efficiencies," he said. He added, "We look forward to further strengthening their production ecosystem and supporting their commitment to world-class manufacturing." C. Muthu Maruthachalam, President & Chief Operating Officer at Daimler India Commercial Vehicles, emphasized that "efficient in-plant logistics is vital to our production success. Partnering with TVS Supply Chain Solutions allows us to leverage their proven expertise and technology-driven approach to enhance our operational performance," as reported by PTI.
In December, the company received approval to make further investment up to ₹100 crore in FIT 3PL Warehousing, a wholly owned subsidiary, to facilitate business expansion. The funding will be deployed as an aggregate of up to ₹100 crore through equity and equity-like instruments in one or more tranches, with the Board of Directors approving the investment on December 9, 2025, according to Upstox. TVS Supply Chain Solutions operates as an Indian supply chain logistics solution provider with global capabilities and a network across the value chain with cross-deployment abilities.
