Cogent Holdings Q3 net profit down 6%

HIGHER depreciation charges and contract services expenses dented results for Cogent Holdings Ltd in its third quarter.

Net profit fell 6 per cent to S$7.4 million from the previous year, the logistics service provider said in a Singapore Exchange filing on Monday evening.

For the three months ended Sept 30, revenue grew 4 per cent to S$35.3 million from the preceding year. The increase in revenue was due mainly to the increased business volume handled for the container depot management services and transportation management services, it said.

But the bottomline was eroded by a 33 per cent, or S$0.8 million, increase in depreciation charges, as certain container depot facilities started to be depreciated.

Contract services expense also rose 15 per cent, or S$0.4 million, mainly due to higher container repair and maintenance cost, and increased security cost.

The group's earnings per share slipped to 1.54 Singapore cents from 1.64 Singapore cents in the year-ago period.