2GO, Chelsea post losses in Q1

MANILA, Philippines — Logistics firms 2GO Group Inc. and Chelsea Logistics and Infrastructure Holdings Corp. continued to post losses in the first quarter.

2GO, in a stock exchange filing, said it was able to trim its net loss by 88 percent to P35 million during the quarter from P292 million in the same period last year.

Revenues of the transportation and logistics firm stood at P3.9 billion, almost the same level as last year.

2GO said shipping revenues rose by 53 percent year-on-year as both sea freight and travel gained traction with the country’s economic reopening, while logistics and other services revenue grew by 14 percent on the back of the growth in cold chain reefers, e-commerce fulfillment and international courier services.

“Our company focused on profitable services and customers, while driving efficiencies in our operations and stringently controlling costs. We are encouraged by the country’s reopening as it opens opportunities for us to facilitate economic activity,” 2GO president and CEO Frederic DyBuncio said.

2GO has been modernizing its operations to improve customer experience and strengthen services, with its express business investing in automated sorting and transport management systems to meet growing customer demands.

The company also recently invested in two modern vessels, MV 2GO Masagana and MV 2GO Maligaya, which are the largest roll-on/roll-off passenger vessels in the country.

DyBuncio said 2GO is optimistic the company’s continued modernization efforts would further improve service standards and drive profitability.

“As the economy continues on its path towards recovery, 2GO looks forward to the return of travel and tourism. Our ships and port operations have been upgraded in preparation for this to provide passengers with an enhanced onboard and terminal experience,” he said.

Meanwhile, Chelsea Logistics saw its net loss widen to P416 million in the first quarter from P217 million in the same period last year as a result of a one-off gain in contract pre-termination in 2021.

Chelsea generated consolidated revenue of P1.3 billion during the three-month period, up 13 percent from P1.15 billion in the same period in 2021.

The group’s freight segment increased revenue by 23 percent to P762 million, while the passage revenue surged by 124 percent to P160 million with the easing of travel protocols which increased passenger volume during the period.

Chelsea said fuel prices continued to increase with the Ukraine conflict, pushing its bunkering cost to P486 million, 43 percent higher year-on-year.