KLN Logistics Group (636) H2 2025 earnings summary

Executive summary

• Revenue for FY25 was HK$56,336 million, a 3% decrease year-over-year from HK$58,274 million.

• Core net profit from continuing operations rose 3% to HK$1,396 million, with profit attributable to shareholders up 7% to HK$1,411 million.

• Integrated Logistics segment profit increased 1% year-over-year, while International Freight Forwarding segment profit declined 4%.

• Final dividend proposed at 16 HK cents per share, with total dividends for the year at 27 HK cents per share.

• Core operating profit fell 4% to HK$2,627 million.

Financial highlights

• Segment profit reached HK$1,262 million, up 1% year-over-year.

• Gross profit increased to HK$5,891 million from HK$5,647 million year-over-year.

• Operating profit before fair value changes was HK$2,848 million.

• Gearing ratio improved to 49.9% from 53.6% year-over-year; net gearing at 14.1%.

• Free cash flow increased to HK$2,594 million from HK$2,093 million.

Outlook and guidance

• 2026 business environment expected to remain volatile due to geopolitical rivalry, tariff uncertainty, and trade disruptions.

• Integrated Logistics to focus on new customer gains, project wins, and clean-energy logistics.

• International Freight Forwarding to emphasize lane diversification, multimodal flexibility, and disciplined management.

• Strategic goal to double business scale and become a global top 5 industry player through KLN 2.0 transformation.