SingPost’s revenue and net profit down
Revenue for the quarter was down 2% to S$355.9 million, largely due to an accelerated decline in domestic letter mail volumes, as well as weak performance in the freight forwarding business.
This is in spite of the highest quarterly revenue of S$148 million ever achieved by the international post and parcel business, which was insufficient to offset the declines.
Net profit attributable to equity holders dropped to S$30.5 million for Q3, due to an absence of significant exceptional gains recorded last year.
The absence of losses from the U.S. subsidiaries compared to the corresponding period last year was offset by lower profit for Post and Parcel due to lower domestic letter volumes.
Excluding the impact of exceptional items, underlying net profit was down 5.1% to S$31.2 million for the quarter.
Mr Paul Coutts, Group Chief Executive Officer, said: “Even though eCommerce-related deliveries have shown strong growth, we are seeing these benefits being eroded by the decline in letter mail volumes.
“As part of our response to the decline of domestic letter mail volumes, we will continue with our Future of Post strategy to reposition ourselves and transform Singapore’s postal landscape. We expect to commence trials of our new technology in the coming months,” Mr Coutts added.