NEWS WRAP: J&T Express posts revenue, profit gains as Southeast Asia unit booms

The logistics company handled around 14 billion parcels in the first half of this year, with strong growth in Southeast Asia and new markets in South America, Africa and the Middle East

By Teri Yu

Global logistics services provider J&T Global Express Ltd. (1519.HK) said last Friday its adjusted net profit rose 147.1% to $156 million in the first half of the year from $31 million a year ago, lifted by strong results for its ongoing expansion into new markets.

J&T has rapidly expanded its international reach in recent years, extending beyond its initial focus on Southeast Asia and China to include new locations in Saudi Arabia, the UAE, Mexico, Brazil and Egypt.

Its overall revenue rose 13.1% year-on-year to $5.5 billion in the six months to June, with revenue from express delivery services accounting for 97.1% of the total on strong gains for its parcel volume in Southeast Asia, China and new markets in Latin America and the Middle East. Its profitability improved significantly, with adjusted EBITDA rising 24.2% year-on-year to $436 million, primarily due to business growth in Southeast Asia.

“Our leading position in Southeast Asia is more solid than ever while we have maintained growth and resilience amidst fierce competition in the China market, and our new markets have reached a turning point towards profitability,” said Vice President Charles Hou.

J&T handled 13.99 billion parcels in the first half of the year, up 27% from 11 billion in the same period last year. Southeast Asia, where J&T holds a strong position, saw the largest growth of 57.9% to 3.23 billion parcels, driven by booming e-commerce and diversification beyond e-commerce through competitive pricing. That growth increased J&T’s market share by 5.4 percentage points year-on-year to 32.8%, solidifying its position as the industry leader for the sixth consecutive year, according to Frost & Sullivan. The company said its cost per parcel in the region decreased by 16.7% year-on-year, enhancing its competitiveness.

In China, the company’s largest market, J&T handled 10.6 billion parcels in the first half of the year, up 20% year-on-year, giving it 11.1% of the market. Despite intense price competition, the company lowered its unit parcel cost by 10.3% on increased operational efficiencies.

In its new markets, the company’s parcel volume grew to 170 million pieces in the first half of the year, up 21.7% year-on-year, with South America as an especially strong performer. As the company gains traction in those markets, their revenue contribution grew to $360 million and they achieved positive adjusted EBITDA of $1.57 million for the first time, compared to a loss of $7.84 million in the same period last year.

The company had 6,900 network partners as of June 30, down by 100 from the end of 2024. Its number of service points rose by 100 to 19,200, while the number of sorting centers stood at 239.

J&T Global started in Indonesia in 2015 and has since grown to become the leading express delivery company in Southeast Asia. It entered the China market in 2020 and now operates in 13 countries, with an ongoing expansion in Latin America and the Middle East.

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