- SingPost earns S$245.1 million net profit, boosted by a large exceptional gain.
- Underlying net profit falls by 40.3% to S$24.8 million, showing weaker ongoing business.
- Special dividend of 9 cents per share proposed after Australia business sale.
SingPost’s headline profit looks strong, but its core business faces a tough road ahead.
SingPost Reports S$245.1M Profit, Underlying Profit Down by 40%
As mentioned by SingPost, the postal and logistics group posted a net profit of S$245.1 million for the year ended 31 March 2025.
This figure includes an exceptional gain from the sale of its Australia business.
If we exclude this gain, the underlying net profit comes down to S$24.8 million.
This marks a sharp decline of 40.3% year-on-year.
The second half of the year saw Sing Post’s business record an underlying net loss of S$0.5 million, a big shift from the S$28.1 million profit during the same period last year.
As quoted in SingPost, the company stated, Net profit of S$245.1 million includes an exceptional gain from divestment of Australia business
The results highlight strong headline numbers, but the business is facing hard times in day-to-day operations.
Details of Exceptional Gain and Impairment Charges
Much of the reported profit came from selling SingPost Australia Investments Pty Ltd (SPAI).
The gain on disposal of SPAI was S$302.1 million.
There was also a fair value gain on properties worth S$15.2 million.
But these were partly offset by S$79.6 million in impairment charges, mostly linked to Quantium Solutions.
Overall, Singapore Post booked a net exceptional gain of S$222.2 million for the year.
- S$302.1M disposal gain from SPAI
- S$15.2M fair value gain on properties
- S$79.6M impairment charges
- S$222.2M total exceptional gain
How Each Business Segment Performed
Full-year revenue was S$813.7 million, 7.5% lower than last year’s S$879.2 million.
This was mainly due to a drop in the international segment, which fell 11.2% to S$494.3 million.
The Singapore segment saw a small rise of 2.9% to S$326.7 million.
Within this, the Property business did well, growing by 11.9% to S$86.9 million.
The international freight forwarding business (Famous Holdings group) performed well, but could not offset the overall drop in international segment earnings.
As quoted in S’pore Post, excluding the net exceptional gain, underlying net profit fell by 40.3% year-on-year to S$24.8 million.
Tough Years Ahead: Global Headwinds
The global logistics sector is facing a hard time.
Trade tensions remain due to US tariffs and measures from other countries.
This has disrupted global trade and increased problems in supply chains.
Forecasts for the world economy are now weaker.
Cross-border logistics demand is down, and political tensions add to the uncertainty.
- Drop in global trade flows
- Lower cross-border parcel volumes
- Slower growth expected into FY25/26
These tough conditions got worse in the second half of FY24/25, a trend SingPost expects will continue.
Sing Post’s Strategic Moves and Future Plans
After selling the Australia business, SingPost is refocusing on its core Singapore operations.
The board has put the international cross-border business back into Singapore’s postal and logistics business to squeeze out more business synergies and efficiency.
SingPost will keep offering cross-border delivery via its international postal network.
Plans to speed up postal automation are in place, with S$30 million set aside for new systems at the Regional eCommerce Logistics Hub.
According to Singapore Post, Simon Israel, Chairman, said, The Board is pleased to recommend a S$202.5 million special dividend at 9 cents per ordinary share.
Talks are also ongoing between SingPost and the Singapore Government on making the postal service more sustainable.
Special Dividend for Shareholders
Proceeds from the Australia sale are being used to pay off debt and strengthen SingPost’s finances.
The board has proposed a special dividend of S$202.5 million, or 9 cents per share, for shareholders — a direct result of the Australia business sale.
This needs shareholder approval at the 33rd Annual General Meeting.
The payment and record date will be announced later.
| Financial Metric (FY24/25) | Amount (S$M) | Year-on-Year Change |
|---|---|---|
| Revenue | 813.7 | -7.5% |
| Operating Expenses | 769.4 | -9.0% |
| Operating Profit | 44.3 | 30.8% |
| Profit After Tax | 245.1 | 200.8% |
| Underlying Net Profit | 24.8 | -40.3% |
| Dividend per Share (cents) | 9.34* | N.A. |
*Includes H1 Interim Dividend of 0.34 cents
Are you surprised by SingPost’s drop in core profit, even with the one-time gain from selling its Australia business?
