CJ Logistics announced on November 10 that its consolidated operating profit for the third quarter of this year fell 25.3% year-on-year to 110.5 billion won. Revenue increased by 9.5% during the same period, reaching 3.36 trillion won.
The company attributed the decline in operating profit to factors such as the timing difference of the Chuseok holiday, increased investments, and worsening external conditions.
In the parcel delivery segment, revenue from the One division rose 1.2% year-on-year to 976.5 billion won. Although the Chuseok holiday, which was included in last year's fourth quarter, was moved to this year's third quarter, reducing the number of business days, growth in the 'Daily One' and personal delivery service 'Send One' contributed to increased revenue. However, operating profit dropped 39.5% to 38 billion won due to investment costs aimed at enhancing service competitiveness and the decrease in business days.
The contract logistics (CL) segment reported revenue of 933 billion won, an 8.3% increase from the previous year. Growth was driven by increased volumes from existing strategic customers and new orders, particularly in fulfillment operations and middle-mile transportation. However, operating profit fell 11% to 49.2 billion won due to rising operating costs stemming from worsening external conditions.
Global business revenue increased by 13.1% year-on-year to 1.17 trillion won, supported by growth in strategic countries such as the United States and India, as well as double-digit growth in cross-border logistics (CBE) volumes. Operating profit decreased to 11.8 billion won, down from the same period last year, due to prolonged external uncertainties and temporary cost burdens from expanding overseas operations.
Meanwhile, CJ Logistics plans to continue expanding its lifestyle logistics services. The company intends to introduce parcel delivery services for small business owners and self-employed individuals and is exploring the use of Toss franchise locations as parcel handling points.
* This article has been translated by AI.
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