LOGISTICS management service provider Cosco Shipping International (Singapore) said it expects to report a net profit of approximately S$1.9 million for its financial year ended Dec 31, 2023.
This would represent a reversal from the net loss booked for the same period a year earlier.
In a profit guidance update on Friday (Feb 16), Cosco said it had recognised a non-cash impairment of goodwill of S$99 million from its acquisition of Cogent Holdings in 2018, which affected its results for FY2022.
No such impairment of goodwill was made by the group in FY2023.
Regardless, Cosco’s FY2023 net profit has been negatively affected by the non-renewal of subleases due to the expiry of its lease of The Grandstand in Bukit Timah, higher financing costs and lower contribution from associated companies.
Its final set of results will be released no later than Feb 29.
Shares of Cosco gained S$0.004 or 2.8 per cent to close at S$0.146 on Friday, before the announcement.
