SINGAPORE - Mainboard-listed mail and logistics firm SingPost posted 37.2 per cent higher net profits for the first quarter ended June 30 at $25.7 million versus $18.7 million for the year-ago period.
SingPost said it had reported exceptional fair value loss on warrants from an associated company for 2018's first quarter, which were then swapped for direct shareholding, accounting for the absence of the fair value losses this year.
Underlying net profit, which excluded exceptional items, net of tax, was 3.9 per cent higher at $25.6 million versus $24.7 million a year ago. This was driven by improved results from associated companies and joint ventures, said SingPost.
Earnings per share was 0.98 cent compared with 0.66 cent a year ago. SingPost shares were flat at $0.96 as at 9.06am on Friday.
It declared a dividend of 0.50 cent per share, same as the year ago period.
Revenue rose 1 per cent to $376.4 million from $372.6 million, driven by higher International Post and Parcel revenue arising from cross-border e-commerce deliveries.
From April 1, 2019, the group reclassified the reporting of certain business units under four key business segments - post and parcel, logistics, property and US business.
Its US business comprises of e-commerce companies TradeGlobal and Jagged Peak, which are in the midst of a sale process as part of SingPost's intention to exit its US businesses.
"Amid the backdrop of declining domestic letter volumes and a weaker economic outlook in our key markets, we will continue to navigate our way through the transformation journey, leveraging the continuous growth of e-commerce," said Paul Coutts, SingPost's group chief executive officer.
"Meanwhile, we remain firmly focused on rolling out our mid and longer-term measures aimed at improving service levels for our customers in the home market."