SingPost FY25/26 net profit plunges 75% to $60.9m on volume decline

Revenue dropped 23.1% to $376.1m as international volumes and mail declined.

Singapore Post Limited (SingPost) reported net profit attributable to equity holders of $60.9m for the financial year ended 31 March, down 75.2% from $245.1m a year earlier.

Revenue fell 23.1% year on year (YoY) to $376.1m from $489.1m, driven by lower international volumes and continued decline in domestic letter mail. Operating expenses fell 19.3% to $365.4m, but did not offset the drop in revenue, resulting in operating profit declining 68.9% to $11.8m.

Underlying net profit declined 57% YoY to $10.7m from $24.8m whilst profit after tax fell 75.7% YoY to $59.5m.

The company recorded $19.2m in exceptional items, down from $225.8m a year earlier. It also booked a $38.1m derecognition of aged trade payables following a review of its accounting treatment for international postal settlements.

Domestic eCommerce volumes rose 8.1% YoY, partly offsetting a 13.5% decline in domestic letter mail. International eCommerce volumes fell 57.9%.

The Post Office Network narrowed its operating loss by 27.4% to $10.7m, supported by lower operating costs.

The Property Assets segment posted revenue of $80.7m, up 2% YoY, whilst operating profit rose to $45.2m. Occupancy improved to 99.4% from 98.2%.

The board proposed a final dividend of 0.06 cents per share and a supplemental dividend of 0.41 cents per share. A previous year included a 9.0-cent special dividend.

SingPost said it is focused on cost optimisation, automation and portfolio review, including potential enhancements to SingPost Centre.