SINGPOST plans to continue expanding its logistics capabilities in North Asia, as part of its revenue diversification programme.

This comes after the Singapore mail, express and logistics group's revenue for the first quarter of its 2010-11 financial year, which ended June 30, rose by 13.5 per cent compared to the same quarter a year earlier to S$138.2 million (US$101 million), while net profit grew by 3.2 per cent year on year to S$40.7 million.

Logistics revenue rose by 34.4 per cent to S$46.3 million as SingPost subsidiary Quantium Solutions, an international provider of freight and mail services launched in November, was included in full quarterly figures for the first time.

"In spite of the challenging landscape, we have managed to grow our business in the first quarter. We are seeing an increase in business activity thanks to a recovering economy," said deputy group CEO Ng Hin Lee.

"Our objective is to build a more balanced revenue and earnings portfolio by growing non-mail contributions and driving regional growth," he said.

"We will continue to push for regional growth through Quantium Solutions, especially in the area of e-commerce logistics, against the backdrop of rapid internet growth in North Asia.

"Concurrently, we are expanding our in-country distribution networks in the region, especially in the India market," he said.

Source: shipping online