Chinese Courier SF Gains After Scoring Record Monthly Revenue on Overseas Delivery Boom
Liao Shumin
DATE:  Jul 19 2022
/ SOURCE:  Yicai
Chinese Courier SF Gains After Scoring Record Monthly Revenue on Overseas Delivery Boom Chinese Courier SF Gains After Scoring Record Monthly Revenue on Overseas Delivery Boom

(Yicai Global) July 19 -- Shares of S.F. Holding, a Chinese express delivery giant, jumped after the firm reported the highest single-month revenue ever in June due to its quickly growing international business.

SF's stock price [SHE: 002352] rose 5 percent to close at CNY54.50 (USD8.10). But the shares are still almost 13 percent down in the past 12 months.

Revenue surged 64 percent to CNY26.7 billion (USD4 billion) last month from a year ago, based on the unaudited performance data the Shenzhen-based company published yesterday.

Supply chain and international business revenue tallied CNY10.6 billion, topping CNY10 billion for the first time and up nearly six times from a year ago, driven by SF's good performance overseas.

The boost has many reasons. The company has increased its revenues faster than the sector's average amid ending lockdowns in some domestic cities such as Shanghai in June. Moreover, SF's recent acquisition of Hong Kong-based Kerry Logistics has introduced cost advantages due to its expanding scale in international freight forwarding.

The firm is expecting a big increase in profit. In the first half of this year, net profit should more than triple to a point between CNY2.4 billion and CNY2.6 billion (from USD355.9 million to USD385.6 million), SF said on July 14.

The delivery firm is enhancing its capacity. The company is a co-investor in Ezhou Huahu Airport, the world's fourth and Asia's first professional cargo airport, which was put into operation on July 17.

The new aviation base in Hubei province should cut SF's delivery times more than three hours below the sector's average, and this efficiency will become its core advantage, Shanghai Securities News reported yesterday, citing Zhao Xiaomin, an expert in express logistics.

Editor: Emmi Laine, Xiao Yi 

 

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Keywords:   S.F. Holding Co.