2GO turns profitable with P312-million net income

SY-LED logistics company 2GO Group, Inc. became profitable in 2022 as it recorded a P312-million net income, after booking higher revenues amid the reopening of the economy.

“Our 2022 growth was the result of high demand for our services with the opening up of the economy while our increased profitability was also driven by the structural changes and financial discipline we have put in place,” 2GO President and Chief Executive Officer Frederic C. DyBuncio said in a press release on Thursday.

“These changes are fully ingrained in all parts of the business and will benefit us in the long term. We are optimistic about ongoing momentum in 2023,” he added.

In 2022, 2GO Group’s topline rose by 25% to P19.3 billion after shipping revenues climbed by 21% as its passenger travel business and sea freight revenues grew by 217% and 48%, respectively.

Similarly, the company recorded a 30% growth in its logistics and other services revenues, which it attributed to its cold chain services, forwarding, e-commerce, and international courier business.

“Group revenues grew 25% as the company benefited from the country’s economic reopening and complete lifting of movement restrictions,” the company said.

For 2023, Mr. DyBuncio said the logistics company will continue to make “bold” investments as it banks on the opportunities that arose from the pandemic.

“Our aim remains to be the best-in-class logistics and transportation provider in the Philippines,” he added.

2GO is an end-to-end transportation, logistics, and distribution provider in the country under Sy-led conglomerate SM Investments Corp. It offers multimodal transportation, warehousing and inventory management, distribution, special containers, project logistics, and e-commerce logistics. It also provides sea travel, freight forwarding, import and export processing, and customs brokerage services.

In 2021, it recorded an attributable net loss of P1.14 billion or lower than the P1.84-billion loss incurred in the earlier year.

At the stock exchange, shares in the company climbed 2.94% or P0.20 to close at P7.00 each on Thursday. — Justine Irish D. Tabile