Singapore Post (S08) H1 2026 earnings summary

Executive summary

• Completed major organizational realignment and streamlining after divesting the Australia business and several subsidiaries, consolidating operations to focus on core business and financial flexibility.

• Revenue declined 27.4% year-over-year to S$188.4 million, mainly due to lower volumes in Logistics & Letters and Post Office Network segments, partially offset by improved Property Assets performance.

• Net profit for H1 FY25/26 was S$18.4 million, mainly due to one-off gains from divestments, while underlying net profit was S$5.5 million, a significant drop year-on-year but an improvement from a loss in the previous half.

• Significant investments made to expand eCommerce parcel sorting capacity, aiming for full operational readiness by mid-2026.

• Extensive network maintained with over 2,500 service touchpoints, with 80% of Singaporeans within 10 minutes of a service point.

Financial highlights

• Group revenue for H1 FY25/26 was S$188.4 million, down 27.4% year-over-year, mainly due to a decline in cross-border business.

• Operating profit dropped 66% to S$5.7 million, reflecting lower delivery volumes and cost control measures.

• Net profit attributable to equity holders was S$19.7 million, down 12.8% year-over-year; underlying net profit (excluding exceptionals) fell 78% to S$5.5 million.

• Exceptional items contributed S$13.9 million, mainly from gains on disposals and fair value gains.

• Interim dividend of 0.08 cents per share declared, representing 30% of underlying net profit.

Outlook and guidance

• Continued focus on operational efficiency, disciplined capital management, and network expansion to support sustainable growth.

• eCommerce capacity expansion on track for completion by mid-2026, with S$30 million invested in new sorting equipment.

• Cross-border delivery faces regulatory and market headwinds; cost discipline and partnership strengthening continue.

• Investments in automation and network partnerships expected to enhance competitiveness and service quality.