Pos Malaysia records RM2.33b revenue in FY20

Pos Malaysia reported net loss of RM309.02mil and a loss before tax of RM303.49mil due to the unprecedented Covid-19 pandemic in FY20 which impacted the postal, logistics and aviation segments.

KUALA LUMPUR: Pos Malaysia Bhd recorded revenue of RM2.33bil in the financial year ended Dec 31,2020, underpinned by the revised postage rates for commercial mail and higher parcel volume.

It said in a statement on Monday the higher postage rates came into effect in February last year while the Movement Control Order and other restrictions resulted in an increase in online shopping.

However, the group reported net loss of RM309.02mil and a loss before tax of RM303.49mil due to the unprecedented Covid-19 pandemic in FY20 which impacted the postal, logistics and aviation segments.

Pos Malaysia said there was also the one-off expenses of RM123mil in goodwill impairment, RM16mil in property, plant and equipment impairments and a provision for a cost reduction scheme of RM42mil.

Nevertheless, this was offset with a gain in partial disposal of equity in World Cargo Airline Sdn Bhd of RM79mil.

In the fourth quarter, it recorded a net loss of RM232.35mil in 4Q, FY2020 with a 12.6% decline in revenue at RM544.6mil compared to the previous quarter as revenue from mail and international businesses declined.

Pos Malaysia group CEO Syed Md Najib said the challenges and uncertainty brought about by the COVID-19 pandemic in 2020 tested Pos Malaysia’s resilience and responsiveness toward sustaining its business.

In the meantime, he said, the group had also to ensure its planned transformation initiatives were carried out to remain relevant in the market.

“The progress of our transformation journey and improved financial performance seen in 2Q and 3Q have provided us the confidence in making improvements to the group’s profitability this year.

“The group is currently executing its business recovery plan and is confident that the aviation sector will recover if the pandemic can be brought under control this year.

“We will continue our transformation journey to further improve our position in enhancing customer experience; riding on technology and digitalisation while leveraging on the exponential growth of the eCommerce sector, ” he added.