CJ Logistics said on the 10th that its operating profit on a consolidation basis last year was provisionally tallied at 530.7 billion won, down 4.3% from a year earlier.
Revenue for the same period rose 1.4% to 12.2847 trillion won, while net profit was provisionally tallied at 258.7 billion won, down 6%.
CJ Logistics explained that annual operating profit fell slightly due to investment expenses following the introduction of O-NE, a seven-day-a-week delivery service, and the reflection of initial logistics operation expenses for 3PL (third-party logistics) clients.
By business institutional sector, the O-NE institutional sector for parcel and e-commerce recorded annual revenue of 374.58 billion won, up 0.5% from a year earlier, but operating profit came to 204.7 billion won, down 14.3%.
The CL institutional sector, the contract logistics business, posted revenue of 337.36 billion won last year, up 13% from a year earlier, and operating profit also rose 1.5% in the same period to 178.6 billion won.
In the global business, revenue fell 1.6% year over year to 435.99 billion won last year, but operating profit in the same period rose 5.2% to 90.7 billion won. In the same period, the construction institutional sector recorded revenue of 805.4 billion won, down 16.9%, and operating profit of 25.1 billion won, up 20.7%.
CJ Logistics said it posted its highest-ever quarterly results in the fourth quarter last year on the back of strong performance in the global business institutional sector, with fourth-quarter revenue up 0.5% on-year to 317.71 billion won and operating profit up 3.4% to 159.6 billion won.
CJ Logistics plans to solidify future growth engines in the global business this year by continuing to invest in innovative technologies and evolve its business model. It plans to lead the market based on the O-NE operating model and also expand its position in the 3PL market. In addition, it aims to expand its business in the global institutional sector with a focus on CL and forwarding.