Freightways Group Limited Analysis

Overview

Freightways is an operator of express logistics businesses in the express package, business mail, information management and waste renewal industries in both New Zealand and Australia. Across its brands Freightways handles over 100 million items every year utilising its core capabilities of ‘picking up, processing and delivering’ efficiently and at scale.

The company’s origins go back to 1964 in New Zealand, with the incorporation of New Zealand Couriers (an express package business), and 2007 in Australia, with the acquisition of Databank (an information management business). It has achieved growth on both sides of the Tasman both organically and through acquisition opportunities.

Freightways’ securities were listed in New Zealand in 2003.

Performance

The following information was extracted from Freightways Group Limited's half year results, released on 17 February 2025:

Despite the markets in which Freightways operate remaining challenging over the first half of FY25, the company recorded positive revenue and earnings growth.

Total company revenue was up by 6.7% on the pcp, with EBITA increasing by 6.5% and NPAT by 9.5%

HY25 Performance Overview:

• EPBM divisional revenue up 5.8% on the pcp
• EPBM EBITA is up 12% on pcp
• Service performance was strong across all business through peak
• Market share gains in all businesses
• The smaller premium point-to-point segment impacted by recession with lower volume
• EBITA % margin improved by 80bp