Singapore Post has announced moderate growth in revenues and profits for the first quarter ending30 June 2008 following improved performances by its logistics and mail segments.
The group posted 4.6% growth in revenue to S$120.9 million (€56.64 million), with mailrevenues up 2.4%. Logistics revenue was up 11.8% to S$18 million on increased Speedpost traffic andvPOST shopping and shipping transactions as well as warehousing, fulfilment and distributionservices.
The Group’s net profit grew 2.9% to S$39.5 million. Excluding one-off items, the group postedunderlying net profit growth of 11.6% to S$38.9 million.
CEO Wilson Tan commented: “I am pleased to report on a healthy set of results for the firstquarter, with growth registered by all business lines. The Group’s operating expenses showed aslower increase in the first quarter and we remain watchful and will continue to focus efforts onproductivity and processes to ensure sustainable cost management.”
As with most companies, the uncertainties in the global economy following the developments inthe US economy will have an impact on the business outlook in Singapore with continuinginflationary pressures on operating costs, SingPost said. The group remains focused on growing itscore business of Mail and Logistics, and leveraging its retail and distribution network to offerhigher value products and services to customers in view of the expected margin pressure due toupcoming postal liberalisation.
