CWT Limited reaps 64% more profits in 2Q

Revenue increased a stellar 114%.

Logistics and supply management company CWT Limited continues to deliver strong growth on the back of its commodity marketing business, strong earnings from trade services in financial services, and increased capacity in logistics business from CWT Jurong East Logistics Centre which received takeover payments in January.

A report by OCBC reveals that CWT recently obtained JTC approval to redevelop an existing property at 47 Jalan Buroh into a new generation ~2.2m sq ft integrated warehouse cum container port logistics complex. The proposed facilities will house essential interrelated logistics and supporting activities under a single roof to create a ‘hub within a hub’ ecosystem of logistics clusters and sub-clusters. Its innovative design and layout would result in intensification of land use and enhance productivity.

Here’s more from OCBC:

We incorporate the latest results and derive a new TP of S$2.01 (previous: S$1.92). Near-term growth will still be driven by increased logistics capacity and full-year contribution from new energy trading products. We think that the recent price retreat since Jul-14 presents an opportunity for accumulation.