CJ Logistics 1Q Operating Profit 109.4 Billion KRW... Up 10.4% YoY

Efficiency Improvement Effects Despite Initial Costs of Fulfillment Centers

CJ Logistics posted an operating profit approaching 110 billion KRW in the first quarter of this year. The scale of profit grew by more than 10% over the past year due to improved logistics operation efficiency.

CJ Logistics announced on the 10th that it recorded consolidated sales of 2.9214 trillion KRW and an operating profit of 109.4 billion KRW in the first quarter of this year. These figures represent increases of 4.0% and 10.4%, respectively, compared to the same period last year. Net profit for the same period was 55.4 billion KRW, up 14.5%. Despite initial costs related to the new fulfillment center, profitability grew as high-margin customer volumes expanded and the delivery network became more efficient.

Sales increased across all business divisions, including parcel delivery, contract logistics (CL), and global operations. Parcel delivery and e-commerce business sales reached 937 billion KRW, a 2.9% increase from the same period last year. This growth reflected expanded volumes from overseas direct purchases and fashion and beauty sectors, as well as the effect of attracting large e-commerce platforms and seller customers.

CL business sales in the first quarter were 696.8 billion KRW, with an operating profit of 41.3 billion KRW. These represent increases of 2.6% and 18%, respectively, compared to the same period last year. The company explained that securing customized logistics consulting contracts and productivity innovation projects based on automation and data management were effective.

In global business, sales grew 3.9% from the first quarter of last year to 1.0763 trillion KRW due to the expansion of forwarding-specialized logistics. Sales in the construction sector were 211.3 billion KRW, up 16.4% compared to the same period last year.

This content was produced with the assistance of AI translation services.