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1 MISCELLANEOUS Page 1 of 1 27/04/2006 Print this page Miscellaneous * Asterisks denote mandatory information Name of Announcer * Company Registration No. Announcement submitted on behalf of Announcement is submitted with respect to * Announcement is submitted by * Designation * M Leong Chee Sian (Ms) Company Secretary Date & Time of Broadcast 27-Apr :10:12 Announcement No >> Announcement Details The details of the announcement start here... Announcement Title * News Release - SingPost Group's unaudited results for the fourth quarter and financial year ended 31 March 2006 Description Attached is the news release on SingPost Group's unaudited results for the fourth quarter and financial year ended 31 March Attachments: NewsRelease.pdf Total size = 130K (2048K size limit recommended) Close Window

For Immediate Release SingPost Group s unaudited results for the fourth quarter and financial year ended 31 March 2006 Strong performance in Q4 with net profit growth of 15.

2 For Immediate Release SingPost Group s unaudited results for the fourth quarter and financial year ended 31 March 2006 Strong performance in Q4 with net profit growth of 15.8% Annual revenue of S$413M a breakthrough for SingPost Total annual dividend raised 10% to 5.5 cents per share Singapore, 27 April 2006 Singapore Post Limited ( SingPost ) today announced its unaudited results for the fourth quarter and financial year ended 31 March Financial Highlights A summary of the financial performance of the Group for the fourth quarter and financial year ended 31 March 2006 is as follows: FY2005/06 FY2004/05 FY2005/06 FY2004/05 4th Qtr 4th Qtr Variance Full Year Full Year Variance S$'000 S$'000 % S$'000 S$'000 % Revenue 104,997 94, , , Other gains (net) - Rental and property related 4,532 4, ,848 16, income - Miscellaneous 1, ,992 2, Exceptional gain N.M. - 3,925 N.M. Total expenses (74,375) (68,364) 8.8 (289,750) (268,406) 8.0 Share of profit of associated company and joint ventures 2,542 1, ,349 8, Profit before income tax 38,701 33, , , Income tax expense (7,639) (6,831) 11.8 (30,361) (27,859) 9.0 Total profit 31,062 26, , , Attributable to: Equity holders of the 30,924 26, , , Company Minority interest ,062 26, , , Underlying Net Profit * 28,850 26, , , Operating Profit ** 38,259 32, , , Notes Certain comparatives have been restated to conform to current year s presentation. * Underlying net profit is defined as profit after tax and minority interest, excluding exceptional gain and depreciation impact from the change in assets useful lives on 1 April ** Operating profit is defined as profit before interest, tax, exceptional items and share of profit of associated company and joint ventures. N.M. Denotes not meaningful. Singapore Post Limited Page 1 of 4

3 SingPost registers strong performance in Q4 with net profit growth of 15.8% Q4 revenue grew 11.3% to S$105M The Group continued its growth momentum, recording a good set of results in the fourth quarter of FY2005/06. Revenue rose by 11.3% from S$94.3 million to S$105.0 million, as all business segments achieved strong revenue growth. Mail revenue increased 9.1% from S$75.2 million to S$82.0 million in Q4 FY2005/06, supported by the good performance of all business lines ie domestic mail, international mail, hybrid mail and philatelic. Logistics revenue rose 11.9% from S$13.2 million to S$14.8 million, due to higher contributions from Speedpost, warehousing, fulfillment and distribution. In January 2006, the Group launched Speedpost Express, a premium international express delivery service. Retail revenue grew 18.0% from S$11.6 million to S$13.6 million in the fourth quarter. The decline in agency services was offset by growing contributions from financial services, higher retail product revenue and vpost mail-order transactions. Q4 operating profit up 17.5% to S$38M; net profit up 15.8% to S$31M As a result of the strong business performance, the Group posted a significant 17.5% increase in operating profit from S$32.6 million to S$38.3 million. Net profit rose by 15.8% from S$26.7 million to S$30.9 million in the quarter. Annual revenue of S$413M a breakthrough for SingPost Record revenue, underpinned by growth in all business segments in FY2005/06 FY2005/06 was breakthrough for the Group, as it posted strong business growth and a record high for revenues. The Group s revenue, which has not registered significant growth for the past years, grew 9.8% in FY2005/06 from S$375.8 million to S$412.8 million, surpassing the $400.0 million mark for the first time. Mail revenue grew 7.6% from S$301.4 million to S$324.2 million in FY2005/06. Contributions by all business lines, namely domestic mail, international mail, hybrid mail and philatelic, showed significant improvements during the financial year as the Group focused on efforts to enhance and grow the core business. Logistics revenue rose 14.7% from S$51.9 million to S$59.5 million, on the back of higher contributions from Speedpost, warehousing, fulfillment and distribution. The Group also benefited from the fuel and security surcharge implemented in December Retail revenue improved 14.6% from S$44.3 million to S$50.8 million in FY2005/06. The decline in agency services was offset by growing contributions from financial services, retail product revenue, as well as mail-order transactions on vpost. Financial services accounted for S$5.4 million, or about 83%, of Retail s revenue growth in FY2005/06. Singapore Post Limited Page 2 of 4

4 Annual operating profit grew 16.4% to S$152M; net profit rose 12.0% to S$123M The Group s operating profit grew 16.4% from S$130.4 million to S$151.8 million. As a result of the strong business performance, the Group s net profit improved significantly by 12.0% from S$110.1 million to S$123.3 million in FY2005/06. Excluding the exceptional gains recorded last year and depreciation change impact, the Group s underlying net profit grew 8.3% from S$106.2 million to S$115.1 million. Said SingPost s Group CEO Mr Lau Boon Tuan: This is indeed a milestone year for us; not only did we post record revenue, our annual revenue also breached the S$400.0 million mark for the first time. I am happy that our focus on controlled, quality growth for FY2005/06 has paid off. In addition to growing our business through reinvention and rejuvenation, we had also invested in our people and strengthened our branding. We were prudent with costs, and capital expenditure was kept to a minimum even as we enhanced our infrastructure to support business growth. During the year, SingPost recast several of its existing products including MyStamp and SAM PLUS, generating fresh demand for its services. A host of new services were also rolled out, from James, an unsecured personal loan targeting those who needed bigger loan amounts, to shop@usa and vconcierge services that brought convenience to on-line shoppers, to Speedpost Express, a premium international express delivery service for those who prefer a faster delivery service. Care for Life insurance plans were expanded and SingPost opened two additional SpeedCash branches, which now stand at four. SingPost s Friday Mailbox Surprise! was successfully launched to advertisers, creating greater awareness for direct mail as an effective channel to reach their target audience. Leveraging its extensive network, SingPost collaborated with several key organisations to offer exclusive retail promotions at its branches. These included the idog, Uniquely Singapore Monopoly, Microsoft office student package and the Harry Potter book launch. Focus on execution excellence for FY2006/07 SingPost is positive on its growth prospects over the next 12 months, despite declines in public mail volumes. As part of its diversification strategy in the face of potential deregulation when its exclusive licence for basic mail services (letters and postcards) expires on 31 March 2007, the Group has been rolling out more financial services and leveraging its distribution network to offer higher value products and services to its customers. It will continue to implement initiatives to enhance and grow its core business of Mail and Logistics and focus on execution excellence. Mr Lau Boon Tuan added: In FY2005/06, we launched many new services and initiatives to grow the business. This year, our theme is execution excellence. To drive revenue growth, we will increase awareness and enhance usage of our services, acquire more customers and carry out more below-the-line marketing activities. Basically, we have the highways in place; what remains to be done is to get more cars onto the highways. We will, at the same time, focus on operating leverage by managing costs and increasing productivity. Singapore Post Limited Page 3 of 4

5 Total annual dividend raised 10% to 5.5 cents per share The Group s cashflow generation remained robust. Net cash inflow from operating activities amounted to S$149.7 million for FY2005/06, compared to S$144.4 million for the previous year. Free cashflow (defined as net cash inflow from operating activities less cash capital expenditure) totalled S$139.4 million for the year, compared to S$130.7 million for the previous financial year. With the good performance and robust cashflow generation, SingPost s Board has proposed a total annual dividend of 5.5 cents per ordinary share (tax exempt onetier) for FY2005/06. This represents a 10% increase over the dividend of 5.0 cents per ordinary share for FY2004/05. The dividend payout ratio of 85% is within the Company s target range of 80% to 90% of net profit. With three interim quarterly dividend payments of 1.25 cents per quarter paid out during the financial year, the final dividend would amount to 1.75 cents per ordinary share. This comprises the final quarterly dividend of 1.25 cents and the difference of 0.5 cents between the target dividend of 5.5 cents and the minimum of 5.0 cents. During the financial year, the Board reviewed SingPost s capital structure and made a special dividend payout of 10 cents per share, or approximately S$190.9 million, in January End - About Singapore Post Limited SingPost is a household name in Singapore with strong brand recognition. It is the dominant provider of domestic and international postal services in Singapore. It is one of the most efficient and profitable postal operators globally and offers customers a one-stop mail, logistics and retail distribution network in Singapore. With a highly efficient mail delivery services utilising a sophisticated distribution infrastructure and advanced mail processing technology, SingPost estimates that it has achieved domestic mail market share of greater than 95 per cent. Its Spring joint venture is a market leader in private cross-border business mail solutions. ~~~~~~~~~~~~~~~~~~~~~ For general information on SingPost, call 1605 toll-free or visit Media contact Analyst contact Tay Poh Choo, Corporate Communications Selena Chong, Investor Relations Tel / Tel / Singapore Post Limited Page 4 of 4

FINANCIAL STATEMENT AND DIVIDEND ANNOUNCEMENT

FINANCIAL STATEMENT AND DIVIDEND ANNOUNCEMENT http://info.sgx.com/webcorannc.nsf/vwprint/f182d6477fc6ff5a48257213002d0647?opendocu... Page 1 of 1 31/10/2006 Print this page SingPost Group's unaudited results