SingPost Q2 net profit down 4.8% to S$37.5m

Singapore Post (SingPost), which is rapidly expanding into e-commerce and logistic business, reported a 4.8 per cent drop in net profit in the fiscal second quarter ended on September 30, to S$37.54 million, from S$39.43 million one year ago. Revenue rose 19.4 per cent to S$263.17 million from S$220.34 million one year ago.

Earnings per share (EPS) for the quarter was 2.31 Singapore cents, up from 1.63 cents one year ago. For the second quarter, the company has declared an interim dividend of 1.50 cents per ordinary share (tax exempt, one-tier). The dividend will be paid on Nov 27, 2015.

For the half year period, also ending on Sept 30, SingPost's net profit was up 1.4 per cent to S$77.83 million from S$76.74 million, one year ago. Revenue was up 20.1 per cent to S$517.78 million from S$431.26 million one year ago. EPS for the period was 4.30 cents, up from 3.58 cents one year ago.

SingPost noted that second quarter and first half net profit would have been up by 38.5 per cent and 26.9 per cent, respectively, with the one-off gains from divestment of subsidiaries. The company divested Novation Solutions for S$8.4 million in the first quarter and DataPost for S$24.9 million in the second quarter.