- In its 1QFY24 business update, Singapore Post (SingPost, SGX:S08) reported a 15% y-o-y decline in group revenue to S$404.1m, largely due to normalising sea freight rates post-pandemic, as well as the impact of foreign currency translation (primarily driven by the depreciation of AUD and CNY against S$).
- - Read this at SGinvestors.io -
A tale of two cities
- SingPost (SGX:S08)’s International Post & Parcel (IPP) business reported a y-o-y decline in revenue, largely due to the depreciation of the CNY, even as a shift in product mix towards more commercial solutions has helped to stabilise cross-border volumes.
- - Read this at SGinvestors.io -
- Management shared that China remains a key market, and the overall growth trajectory continues to be positive even though the pace might have moderated with some softness in the economy.
- Meanwhile, the Domestic Post & Parcel (DPP) business continues to struggle with declining revenues, with the volume of letters & printed papers and eCommerce deliveries down 5.3% y-o-y. Together with high operating overheads, largely from operating the local post office network, the segment remained in an operating loss position in 1QFY24.
Logistics remains a bright spot
- Read more at SGinvestors.io.
Above is the excerpt from report by OCBC Investment Research.
Clients of OCBC Securities may be the first to access the full report in PDF @ https://www.iocbc.com/.
Ada Lim OCBC Investment Research | https://www.iocbc.com/ 2023-08-18
Read also OCBC's most recent report:
2024-12-23 Singapore Post - No Jingle Bells.
Previous report by OCBC:
2024-12-02 Singapore Post - Proposed Divestment Of Australia Business.
Price targets by 3 other brokers at SingPost Target Prices.
Listing of research reports at SingPost Analyst Reports.
Relevant links:
SingPost Share Price History,
SingPost Announcements,
SingPost Dividends & Corporate Actions,
SingPost News Articles
