Listed on the Singapore Exchange (SGX) Mainboard, Cosco Shipping International (Singapore) aims to be the leading integrated logistics service provider in South and Southeast Asia through strategic acquisitions and investments. The company is also involved in dry bulk shipping, ship repair and marine engineering as well as property management.
1. What is Cosco Shipping International (Singapore)’s business about, and what are some of the key segments?
Cosco Shipping International (Singapore) is primarily engaged in the integrated logistics business through its wholly owned subsidiary, Cogent Holdings, with business segments including warehousing, container depot, land transportation and automotive logistics in Singapore and Malaysia. The company also provides integrated logistics services through associated companies in Indonesia and Vietnam. Apart from logistics services, Cosco Shipping International (Singapore) also provides ship repair, inspection, ship supplies and provision services to Cosco Shipping and other ship owners.
2. What drove the 10.6% revenue increase from 1H2024 to 1H2025, and how is the logistics segment evolving?
Revenue rose by 10.6% in 1H 2025, mainly due to higher revenue from logistics, ship repair and marine engineering segments. Growth was attributed to increased logistics volume and successful price negotiations.
Our logistics segment, which accounts for 89% of total revenue, is undergoing growth with a customer base expansion of at least 10%. This is being achieved through the provision of value-added services and system integration for improved client communication.
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3. How is Cosco Shipping International (Singapore) improving operational efficiency and cost control, particularly regarding administrative expenses and return on equity?
We have taken steps to streamline operations and manage costs across our business sectors. By upgrading and integrating our logistics operating systems, we have improved productivity and automated routine tasks, reducing labour and administrative expenses.
We have also established strict budget controls for all logistics teams, with regular monitoring and reporting to ensure accountability and enable timely corrective actions. These measures help optimise operational efficiency, control costs and support sustainable financial performance.
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4. How is the company managing foreign exchange risks, given the notable foreign exchange losses in 1H2025?
We manage foreign exchange risk by prioritising cost certainty over speculation, employing strategies such as natural hedging and asset-liability matching.
Both the financing currency and functional currency are Singapore dollars, thereby avoiding exchange losses and impacts on accounting profits caused by significant foreign currency fluctuations. The foreign exchange losses disclosed in the company’s first-half financial report are all foreign exchange losses arising from normal US dollar receipts and payments.
5. What are the growth plans for the ship repair and marine engineering segment?
We aim to strengthen our position as a leading regional ship repair and marine engineering provider by enhancing operational capabilities, expanding service offerings and targeting strategic partnerships.
High-value segments such as LNG/LPG carrier repairs, offshore renewables support vessels, and offshore platform install and dismantle will be our key focus for growth. The company is looking to increase digitisation to serve more vessels and expand its global customer base by improving efficiency and turnaround times.
6. What are the company’s plans for capital investments or acquisitions in the second half of 2025?
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In June 2025, the company started construction of Jurong Island Logistics Hub Phase 2. This project is scheduled to be completed in the fourth quarter of 2026. The company, together with its subsidiaries and associated companies, is also looking into investment opportunities in logistics infrastructure in Singapore and Southeast Asia. The company will make announcements as and when there are material updates.
7. How is Cosco Shipping International (Singapore) positioning itself to remain competitive in the regional logistics market?
The company leverages an integrated one-stop logistics model, combining warehousing, container depot and transport operations within its Jurong and Tuas-area hubs. Its strategic location near key ports, expansion of the Jurong Island Logistics Hub (Phase 2) and regional presence in Malaysia enhance connectivity and efficiency. The company aims to leverage scale, automation and diversified services, such as bonded warehousing, chemical and automotive logistics, to serve a wide customer base. The company is investing in automation, digitalisation and sustainability to reduce costs, improve productivity and meet regulatory and customer expectations.
However, challenges from labour shortages, rising costs and competition from lower-cost regional players remain. To stay ahead, we aim to focus on operational efficiency, green logistics, workforce development and regional partnerships, positioning ourselves as a reliable, value-adding logistics provider in Southeast Asia’s evolving supply-chain landscape.
8. What are the company’s expectations for full-year 2025 performance, and what are the key risks?
Cosco Shipping International (Singapore)’s business operations in 2025 are stable and making good progress. However, several key risks could impact performance. The primary concern is the potential slowdown in global and regional trade volumes, particularly driven by ongoing US tariff policies, which may affect demand for logistics and cross-border services. Other risks include operational disruptions, such as equipment or workforce constraints and fluctuations in fuel or transportation costs, which could impact margins.
Additionally, regulatory changes or delays in key projects may pose challenges to timely execution. To mitigate these risks, the company continuously monitors market trends, maintains operational flexibility and implements proactive contingency plans to ensure resilience and sustained performance throughout 2025.
9. What are Cosco Shipping International (Singapore)’s key environmental, social and governance (ESG) priorities, and how are they integrated into core operations?
Our ESG priorities include environmental sustainability, safety, social responsibility and governance. Initiatives include maximising land use through innovative designs like the rooftop container depot and high-stacking systems, reducing our carbon and land footprint. Operationally, the company’s logistics sector integrates warehouse, depot and transport functions under one hub to cut fuel use and emissions while enhancing efficiency.
The company upholds strict safety and compliance standards, ensuring staff are trained for hazardous goods handling and that facilities meet NEA and SCDF regulations. In governance, vertical integration and in-house quality control enhance transparency, risk management and accountability to meet high standards of listed companies.
In ship repair and marine engineering, the company’s ESG priorities focus on reducing carbon emissions, adopting solar power and energy-efficient technologies, maintaining high HSE standards and responsible resource use. ESG is also integrated through sustainable procurement, workforce training and community initiatives, with considerations included in strategic planning and performance evaluation to support long-term objectives.
10. What is the company’s value proposition to shareholders in a low-margin, capital-intensive industry?
Traditionally, the logistics industry, including warehouse, depot and land transport operations, is low-margin and capital-intensive. This is because investing in warehouses, depots, and trucks requires a huge capital. Cosco Shipping International (Singapore) aims to create shareholder value in a low-margin, capital-intensive industry by focusing on operational efficiency and disciplined capital management.
Key initiatives include expanding strategic infrastructure, such as the Jurong Island Logistics Hub Phase 2, to increase capacity and capabilities. The company is also exploring new services like cold chain logistics to diversify revenue streams. Through targeted investment and continuous process improvements, the company aims to strengthen market position, enhance resilience and deliver sustainable returns.
Emelia Tan is director of research and FinLit at the Singapore Exchange Group
