ID Logistics Group SA (IDL.PA) fair value

ACCE thesis

ID Logistics runs contract logistics for retailers and consumer brands, operating warehouses, fulfilment centres and transport services that it runs on behalf of its customers rather than owning the goods. Its edge is operational density in e-commerce and retail fulfilment across Europe, which keeps customers sticky once a site is integrated, with 18.3% revenue growth showing the model is still winning new volume. The next leg depends on converting that growth into margin: operating margin is only 3.7% on a 16.2% gross margin, so every point of productivity gained in the warehouse network flows through meaningfully. At 26.5x forward earnings against a trailing 38.3x, the market is already pricing in a steep earnings ramp, so the question for us is whether the margin expansion is visible in the next few reporting periods. Return on equity of 10.5% is adequate rather than exceptional for a business this capital intensive, which makes the thesis hinge on operating leverage rather than on balance sheet efficiency.