APL Logistics: Financial Results for Q3*

Singapore, 11 February 2020

Our parent company, Kintetsu World Express (“KWE”), has posted Q3 2019 results.

With respect to APL Logistics (“APLL”):

APL Logistics posted a strong financial performance despite declining year-on-year volumes across its core vertical segments. Volume declines were largely attributed to a volatile global economy which brought an industry-wide decline in freight activity, as well as flooding and labor issues in the U.S. that impacted N-S rail auto volumes.

As a result, net sales of APLL fell 8.0% to 133,829 million yen, but operating income rose 41.8% to 8,135 million yen through efforts to improve operating margin including reduction of selling, general and administrative expenses.

The exchange rate was U.S. $1 = \109.15 and U.S. $1 = \109.61 for the nine months ended December 31, 2019 and 2018, respectively (APLL used the average rate for the period from January 1 to September 30 because APLL’s fiscal year-end is December 31).

*reference from KWE Q3 financial result public release