3 Things That Investors Should Know About Cogent’s Latest Results

Cogent Holdings Limited (SGX: KJ9) is a company that is involved in many aspects of logistics, such as transportation, warehousing, container-depot management, automotive logistics and project cargo.

Apart from its logistics business it also has a property management arm that manages “The Grandstand” at the former Turf City.

The company reported its first-quarter results for financial year 2017 a few weeks ago. In this article, we will share a few highlights from the announcement.

Source: Cogent 2017 First Quarter Result Release

Here, we see that all metrics are stronger on a year-on-year basis.

  Source: Cogent 2017 First Quarter Result Release

We can see that most segments grew on a year-on-year basis.

The biggest growth was driven by container depot management service, as a result of increased volume of containers handled, repaired and stored in Singapore and Malaysia.

Prospects for 2017.

Tan Yeow Khoon, Cogent’s CEO, made the following comments about the company’s prospects.

 “We are pleased that all of our core businesses have done well, in particular, the marked improvement to our container depot segment. On 28 April 2017, our Automotive Logistics business received a boost with the award of a $2.5 million contract from the Land Transport Authority to supply and manage a vehicle pound, and this came on top of an earlier $2.1 million contract for vehicle storage and support services for the Ministry of Home Affairs awarded on 4 October 2016.

With the gantry crane on top of Cogent 1.Logistics Hub now fully operational, we have expanded our combined container storage to more than 30,000 TEUS in Singapore. We are also pleased that all of our warehousing facilities in Malaysia are now fully occupied, including the newly-constructed warehouse in Port Klang Free Zone.

Meanwhile, the full-fledged container depot on Jurong Island is now fully operational and this will go a long way to support our container depot capabilities and customer base for our future Jurong Island Chemical Logistics Facility.”

In short, the company expects a positive year due to additional capacity in Singapore and strong performance in Malaysia.

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The information provided is for general information purposes only and is not intended to be personalised investment or financial advice. Motley Fool Singapore contributor Lawrence Nga doesn’t own shares in any companies mentioned.