Tag: Singapore Post

Singapore Post has unveiled higher profits for the third quarter and the first nine months of its 2006/07 business year. The profitable company faces full competition in its lucrative domestic market within the next few months.

The Asian postal operator announced that its Q3 net profit increased 3.9% to USD34.2 million (euro17.2 million). Its operating profit improved by 6% to USD43.3 million on revenues up 3.5% to USD111.8 million.

Over the first nine months ending December 31, 2006, SingPost improved its net profit by 9.4% to USD101.6 million. The operating profit rose by 11.8% to USD127 million, while revenues were up 5.1% to USD323.4 million.

SingPost said that its mail business increased both operating profit and revenue in the third quarter, while logistics revenues benefits from higher contributions from Speedpost, the international express services operated in a joint venture with DHL Express. Cost reductions measures also generated profit growth.

Lau Boon Tuan, Group CEO of SingPost, commented: “In the third quarter, we further leveraged our retail network for growth, collaborating with our business partners to offer more value-added services and products including PostREALTY service and unit trusts.

Singapore will fully liberalize the city-state’s postal sector by opening the market for basic mail services, the government said Monday.

Singapore Post Ltd. will no longer have exclusive access to the segment — which includes the collection and delivery of letters and postcards within, into, and out of the country — when its license expires in March, Minister of Communications, Information, and the Arts Lee Boon Yang told reporters.

“We have had expressions from various postal service providers that they are interested in entering this sector,” Lee said. “At what level they are keen on entering or interested in participating we cannot say for sure at this instance.”

The market for express mail, printed matter and parcels is already liberalized.

Basic mail services make up about a fifth of the annual revenue generated by Singapore’s postal services sector — which was about 1 billion Singapore dollars (USD650 million; euro 503 million) in 2004, Lee said.

Total mail volume has grown at about 2 percent a year since the 1990s, he said.

SINGAPORE Post yesterday reported a 5 per cent rise in net earnings to $30.9 million, on turnover of $105.1 million, for the three months ended June 30, 2006.

During the quarter, mail revenue grew 5.4 per cent to $82.4 million, due to improved performances by all business lines, namely, domestic mail, international mail, hybrid mail and philatelic. Thank to higher contributions from Speedpost, warehousing, fulfilment and distribution, logistics revenue rose 11 per cent to $15 million from $13.5 million previously.