Integrated logistics and international freight forwarding segments drive up earnings growth
Hong Kong - 28 March 2012 - Kerry Logistics increased its turnover by 47% year on year to HK$16,034 mn (US$2,061 mn) and boosted net profit attributable to its parent company Kerry Properties’ shareholders by 11% to HK$740 mn (US$95 mn) in 2011, excluding the HK$130 mn (US$17 mn) fair value adjustment on investment properties.
During the year, Kerry Logistics’ Integrated Logistics (IL) services growth in Hong Kong and Southeast Asia drove segment turnover up 43% to HK$6,890 mn (US$886 mn). Net profit generated from operations amounted to HK$510 mn (US$66 mn).
The IL segment has increasingly focused on the potential to serve new demand emerging from China’s shift from an export-led economy to a domestic-consumption-led growth model, as well as from the flow of manufacturing activities into ASEAN countries. The segment’s performance was also helped by the further expansion of Taiwan operations.
The International Freight Forwarding (IFF) segment continued to deliver strong gains in performance. The segment’s turnover was up 51% to HK$9,144 mn (US$1,175 mn) with net profit from operations soared 200% to HK$90 mn (US$12 mn). During the year, the segment leveraged increasing economies of scale and a growing capability in intra Asia and Asia-Europe trade lanes while it gained solid ground in serving the growing import requirements in the markets where it operates.
Note: US$1 = HK$7.78
About Kerry Logistics
Kerry Logistics is Asia’s premier logistics service provider with a strong focus on China. Based in Hong Kong, Kerry Logistics has offices in 23 countries with over 16,000 employees and a transportation fleet of 8,000 vehicles. Its core business encompasses integrated logistics, international freight forwarding and supply chain solutions. By owning and managing 3m sq.m. of logistics facilities, it provides customers with reliability and flexibility to support their future expansion and long-term growth. Kerry Logistics Network Limited is a wholly owned subsidiary of the Hong Kong-listed Kerry Properties Limited.