SET-listed parcel delivery operator Kerry Express Thailand booked revenue of 4.6 billion baht in the second quarter, up 9.8% quarterly, attributed to its pricing strategy during the pandemic.
According to Kerry's analysis of its second-quarter operating performance sent to the Stock Exchange of Thailand, its pricing strategy bore fruit despite fewer operating days in the second quarter.
However, its year-on-year revenue fell 14.6% in the second quarter as that period in 2020 saw an abnormal surge in delivery volume because of the first wave of the pandemic.
The company also indicated the prolonged pandemic undermined people's purchasing power, which curtailed their spending in the second quarter.
In the first half this year, Kerry handled 167 million parcels, up 10.8% year-on-year.
"As a reflection of a continuously proactive pricing strategy and pandemic-led peak season, Kerry Express capably handled a record high delivery volume," the company stated in its analysis.
In the second quarter, parcel delivery for the consumer-to-consumer segment made up 53% of the company's revenue, up from 51% in the first quarter. In the business-to-consumer segment, it declined to 45% in the second quarter from 47% in the first quarter.
The proportion of revenue from parcel delivery for the business-to-business segment remained unchanged at 2%.
Kerry reported a net profit of 336 million baht in the second quarter, up 10.8% quarterly, but down 8.1% year-on-year.
The company attributed its quarterly improvement in net profit to: "better cost management and lower finance cost from repayment of existing indebtedness to banks, utilising the capital increase from the initial public offering".
Kerry Express Thailand announced an interim dividend payment at the rate of 0.743 baht per share.
The record date for the rights of shareholders is on Aug 25 and the payment date is set for Sept 10.
Kerry said it is gearing up efforts to diversify its business, including cold delivery platform, less-than-truckload delivery platform and an e-wallet offering called Kerry Wallet. Kerry Wallet is meant to serve as a tool to retain the money and activities of Kerry's users in its ecosystem, the company indicated.
