SingPost reviewing commercial sustainability of domestic postal business as FY2023 profit plunges 70.3%

NATIONAL postal service provider Singapore Post (SingPost) announced on Thursday (May 11) that it is evaluating the commercial sustainability of its domestic postal business as part of a strategic review of its portfolio, which comes as earnings have been weighed down by losses in the postal operations.

SingPost delivered 28 per cent lower earnings at S$34.6 million for the second half of financial year 2023 ended Mar 31, from S$48.1 million in the year-ago period. Earnings per share for H2 fell to S$0.013, from S$0.0186 in the corresponding period of FY2022.

The listed firm attributed the fall in its bottom line to losses from its post and parcel business as delivery volumes fell, while operational costs within the segment rose due to upward inflationary pressures. For the half-year, the post and parcel business recorded a S$3.8 million operating loss, compared to an operating profit of S$13.6 million previously.