Singapore Post

Thread Rating:
  • 1 Vote(s) - 5 Average
  • 1
  • 2
  • 3
  • 4
  • 5
SingPost's US e-commerce units seek bankruptcy protection

Samantha Chiew 19/09/2019, 6:51pm

SINGAPORE (Sept 19): Singapore Post (SingPost) today announced that its two e-commerce businesses in the US – Jagged Peak and TradeGlobal – have filed for voluntary petitions for relief under Chapter 11 of the US Bankruptcy Code.

This came on the back of the group failing to find a buyer for the two e-commerce units. It ran a comprehensive sale process over almost six months, which saw 105 interested parties that signed non-disclosure agreements and led to eight expression of interest and finally two non-binding offers.

However, the offers were on terms and conditions that the group found to be commercially unfeasible. Hence, SingPost ended the sale process.

Following this, SingPost is expected to incur professional and administrative fees during the process for the Chapter 11 proceedings, though these are not expected to be material.

The two US subsidiaries will also no longer be included in the group’s consolidated financial reports. In the group’s latest quarter ended June, the unaudited consolidated loss arising from the US subsidiaries came up to approximately $6.9 million.

Analysts at DBS Group Research believe the bankruptcy proceedings are likely to at best enable SingPost’s US entities to pay off all outstanding liabilities.

More details in https://www.theedgesingapore.com/capital...protection
Specuvestor: Asset - Business - Structure.
Reply
SingPost introduces new package categories and adjusts postal products to meet eCommerce boom
* New postal services for packages to meet eCommerce demand: Basic Package and Tracked Package
* Ordinary Mail renamed as Basic Mail and will only accept letters and printed papers up to 500g; No change in Basic Mail rates
* Registered Service (Singapore) to be realigned – offered only to letters and printed papers weighing up to 500g
* Revisions to international airmail rates and Registered Service (International) fees
* All changes to take effect from 2 December 2019

More details in https://links.sgx.com/FileOpen/Media_Rel...eID=583593
Specuvestor: Asset - Business - Structure.
Reply
Rainbow 
8 May 2020 SingPost Revenue declined 0.7% to S$1.31 billion for the full year ended 31 March 2020

https://links.sgx.com/FileOpen/SGXNET-Q4...eID=609806
(click for sgx announcement)
  • Net profit up mainly due to absence of impairment charges for U.S. businesses
  • incurred in the previous year
  • Underlying net profit remained stable at S$100.2 million
  • Challenging outlook since Q4 and for year ahead due to on-going Covid-19 crisis
  • Final dividend of 1.2 cents per share proposed
Stay home and stay safe, valuebuddies.
Reply
Rainbow 
9 June 2020 Partial Award in Arbitration SingPost
https://links.sgx.com/FileOpen/SGX%20Ann...eID=616874
Mr Tan Ho Sung@Taufiq Tan commence an arbitration against SingPost.
18 Jan 2013 Following initial acquisition of 62.5% of Famous Holdings Pte Ltd (FHPL) from Mr Tan, the remaining 37.5% of the shares (from Mr Tan) is to be determined based on final valuation of FHPL group
2017 Both parties has differences on final valuation and Mr Tan commenced arbitration proceedings against SingPost
3 Jun 2020 Dismissed Mr Tan's claims for damages for breach of the shareholders' agreement, conspiracy and inducement of breach of contract.  Directed both parties to agree on the final amount payable for transferring of Mr Tan's remaining 37.5% shares in FHPL.  Failing which the tribunal will make a final determination.

Stay home and stay safe, valuebuddies.
Reply
Rainbow 
16 July 2020 eAGM ppt for SingPost
https://links.sgx.com/FileOpen/AGM_Prese...eID=623943

Wear mask and keep your social distance, everyone.
Heart
Reply
Rainbow 
1Q Result as at 30 Jun 2020
Rev $360m (vs 321m)
GP  $ 22m (vs  42m)

The Group is implementing the Future of Post initiative, which will reengineer the Postal business to capture the broader growing opportunities for smart urban logistics. A key component of this ecosystem, the world’s first-ever “Smart Letterbox”, will commence public trials in the next few months.

With a relatively strong balance sheet, the Group will continue to seek out new opportunities that will strengthen its capabilities and competitiveness in key markets

Stay home and stay healthy, valuebuddies.
Heart
Reply
Rainbow 
SingPost - half year ended 30 September 2020 on 6 November 2020 before the opening of trading.


Stay home and stay safe, everyone.
Heart
Reply
Rainbow 
SingPost - 1H2020 as at 30 Sep 2020
Rev $707m (vs 645m)
GP  $ 39m (vs  80m)
NP  $ 30m (vs  52m)
Div  0.5cts (vs 0.5)

There remains significant uncertainty in the operating environment due to Covid-19. Group earnings and operating cashflows will continue to face headwinds from the disruptions to businesses. The extent and duration of the headwinds will depend on when the global pandemic situation will ease up.

The Group is carefully managing its expenses, cashflows and liquidity.

Notwithstanding the immediate challenges, SingPost remains committed to its transformation efforts.

The Group is implementing the Future of Post initiative, which will reengineer the Postal business to capture the broader growing opportunities for smart urban logistics. A key component of this ecosystem, the world’s first-ever “Smart Letterbox”, will commence public trials by the end of the calendar year.

Stay home and stay safe, everyone.

Heart
Reply
Smart Letter Box - save time on postman distributing letter to each mailbox and hopefully they can use that to maybe do more parcel. But problem is letter is 30% margin biz vs parcel 10% margin (i read this in their transcript posted online for most recent result call).

https://www.youtube.com/watch?v=hkmK-YGNNOM
Reply
Results slides have something interesting

https://www.singpost.com/sites/default/f...FY2021.pdf

Page 13 - show you that ecommerce mitigating decline in letters.
Page 16 - this is a temporary cost increase which Singpost can't pass on. But when flight recover in Singapore this will drop back to normal level i.e. cost reduction. In the result call transcript, you can also read that Pos Malaysia gave up this transhipment biz which will be gain to Singpost when biz get back to normal. Also Singpost is not operating at full capacity for transhipment yet... when it recover this will also recover.
Reply


Forum Jump:


Users browsing this thread: 1 Guest(s)