Pos Malaysia registered a commendable 21.2% or RM364.8 million hike in revenue to touch RM2.1 billion one the year ended 31 March 2017 and that causes for our highest annual revenue to date. This came on the back of higher contributions from our Courier business as well as the inclusion of six months revenue amounting to RM327.6 million from our newly absorbed Logistics and Aviation services businesses under the Pos Aviation Group.
Pos Laju, grew its revenue by 22.5% even though the intense competition in the courier market. The surge in revenue was generated from the On Demand and Contract Customer segments that increased by 27.1% (RM40.5 million) and 46.2% (RM81.4 million) respectively as a result of higher demand from online businesses and encouraging sales from promotional campaigns. However, the Group’s performance was offset by lower contributions from Postal Services and International businesses. Within Malaysia Postal Services, the Retail business saw its revenue decrease as a result of lower transactions volume across the Group’s post offices. Post has reviewed the year and found it, the Group registered a healthy 33.1% hike in profit after tax (“PAT”) to RM84.0 million against PAT of RM63.1 million in FY2016.
The higher profitability mainly came on the back of higher profit contributions from the Courier business along with our more disciplined cost management initiatives.The Group has recorded that the cost of employees, vehicle rentals, communication charges and the acquisition of the Pos Aviation Group has achieved higher sales costs compared to the previous year. The higher staff costs came on the back of additional manpower requirements in the Courier business to cater for higher volume growth; the higher vehicle rental costs were due to several van leases; while the higher communication charges were primarily due to higher wide area network charges.