SingPost share price up 1.04% after it reported a spike in Q1 earnings
The firm posted a 37.2% year-on-year increase in net profit for the fiscal first quarter at S$25.7 million.
Shares of mail and logistics firm Singapore Post (SingPost) increased by 1.04% on Friday noon after the firm posted a 37.2% year-on-year increase in net profit for the fiscal first quarter at S$25.7 million.
The profit increase this quarter was due to an exceptional fair value loss on warrants from an associated company last year, which were then swapped for direct shareholding, accounting for the absence of the fair value losses this year, SingPost said.
The firm said its revenue for the first quarter rose by 1.0% to S$376.4 million, supported by higher international post and parcel revenue due to cross-border ecommerce deliveries.
Earnings per share for the quarter came in at 0.98 Singapore cent, compared with 0.66 Singapore cent a year ago.
The board has declared an interim dividend of 0.50 Singapore cent per share, the same amount a year ago, to be paid on August 30, this year.
SingPost shares rose 1.04% or S$0.01 to S$0.97 at around 3.30pm Singapore time on Friday.
SingPost continues in transformation journey
Amid the backdrop of declining domestic letter volumes and a weaker economic outlook in SingPost’s key markets, the firm will continue to navigate its way through the transformation journey, leveraging on the continuous growth of ecommerce, said SingPost’s group chief executive Paul Coutts.
In October 2017, the group launched its new General Post Office at Paya Lebar, Singapore, calling it the “future of the post office,” which includes self-service sections such as self-serve postal collection called POPStation.
Meanwhile, the group will “remain firmly focused” on rolling out its mid-and-longer-term measures aimed at improving service levels for its customers in the home market.
From April 1 this year, the mailing company regrouped the reporting of its business units to four key segments: post and parcel, logistics, property, and its United States business.
The group had previously announced that it intends to exit its US ecommerce businesses TradeGlobal and Jagged Peak, and is in the midst of a sale process.
IGA, may distribute information/research produced by its respective foreign affiliates within the IG Group of companies pursuant to an arrangement under Regulation 32C of the Financial Advisers Regulations. Where the research is distributed in Singapore to a person who is not an Accredited Investor, Expert Investor or an Institutional Investor, IGA accepts legal responsibility for the contents of the report to such persons only to the extent required by law. Singapore recipients should contact IGA at 6390 5118 for matters arising from, or in connection with the information distributed.
The information/research herein is prepared by IG Asia Pte Ltd (IGA) and its foreign affiliated companies (collectively known as the IG Group) and is intended for general circulation only. It does not take into account the specific investment objectives, financial situation, or particular needs of any particular person. You should take into account your specific investment objectives, financial situation, and particular needs before making a commitment to trade, including seeking advice from an independent financial adviser regarding the suitability of the investment, under a separate engagement, as you deem fit.
No representation or warranty is given as to the accuracy or completeness of this information. Consequently, any person acting on it does so entirely at their own risk. Please see important Research Disclaimer.
Please also note that the information does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. Any views and opinions expressed may be changed without an update.
Seize a share opportunity today
Go long or short on thousands of international stocks.
- Increase your market exposure with leverage
- Get spreads from just 0.1% on major global shares
- Trade CFDs straight into order books with direct market access
Live prices on most popular markets