SingPost Q1 profit falls as e-commerce operating loss widens

LOSS of rental income arising from Singapore Post's SPC retail mall redevelopment and a bigger operating loss from e-commerce took a toll on the group's results for its first quarter.

Net profit dived 23 per cent to S$35.9 million from the preceding year, the group said in a Singapore Exchange filing on Thursday evening.

For the three months ended June 30, revenue surged 30.9 per cent to S$333.4 million from the previous year. The gain in revenue was due to continued growth in cross-border e-commerce-related activities, it said.

Bottom line was eroded partly by loss of rental income arising from the SPC retail mall redevelopment, depreciation charges for Regional eCommerce Logistics Hub which attained TOP in April 2016 and continued investments in e-commerce, it added.

Q1 earnings per share fell to 1.49 Singapore cents from two Singapore cents in the previous year. Net asset value per share edged up to 73.68 Singapore cents as at June 30, from 72.26 Singapore cents as at three months ago.

Interim dividend per share was flat at 1.5 Singapore cents. SingPost shares closed a cent higher at S$1.43 on Thursday.