Singapore Post (S08) H2 2026 earnings summary

Executive summary

• Streamlined operations through divestment of non-core assets, unwinding of Alibaba cross-holdings, and cessation of Quantium Solutions JV.

• Invested $30 million in automation and expanded to over 2,500 customer touchpoints.

• One-off property sale of 10 HDB shophouses to be completed in FY26/27.

• FY25/26 net profit reached S$60.9 million, with underlying net profit at S$10.7 million, excluding exceptional items and derecognition of aged trade payables.

• Revenue declined 23.1% year-over-year to S$376.1 million, mainly due to a 55.2% drop in international revenue and continued decline in letter mail volumes.

Financial highlights

• Group revenue fell 18.2% in H2 and 28.3% for the full year compared to the previous year, mainly due to international business headwinds and letter mail decline.

• Operating profit dropped 71.3% in H2 and 68.9% for the year; underlying net profit (UNP) was $10.7 million, down 57% year-over-year.

• Net profit attributable to equity holders was $60.9 million, down 75.2% year-over-year.

• Exceptional items totaled $19.2 million, mainly from fair value gain on investment properties and gain on disposal of subsidiaries.

• $38.1 million in aged trade payables derecognized, boosting reported profit.

Outlook and guidance

• Focus on sustainable growth through automation, network expansion, and cross-border partnerships.

• Plans to enhance SingPost Centre and leverage government development in the Paya Lebar region for value creation.

• Transitioning Logistics & Letters to an improved operating model, integrating AI and automation to reduce costs by over 10%.

• Commitment to achieving commercial sustainability for the Post Office Network.

• Anticipates continued challenges in international eCommerce due to tariffs, de minimis threshold removals, and geopolitical instability.