HLIB: Teleport's 2mil daily parcels to bring up to RM60mil quarterly
The firm said Teleport's stronger cargo volumes, rising eCommerce delivery demand and improved network utilisation have supported the company's earnings for two consecutive quarters.
The logistics unit delivered a turnaround in the fourth quarter of the financial year 2024 with a RM2.2 million net profit and stayed in the black in the first quarter of the financial year 2025 with a RM400,000 profit.
"Teleport continues to deliver record-breaking volume performance, powered by the reactivation of AirAsia's fleet, the launch of three owned freighters and strategic partnerships with third-party airlines.
"Management remains confident of achieving its two million parcels-per-day target by end-2025, with growth primarily driven by the continued expansion of third-party airline partnerships," it said.
HLIB Research added that the recent depreciation of the US dollar has further supported this momentum, delivering a net positive impact on Teleport's margins.
It said while about 15 per cent of Teleport's revenue is denominated in US dollars, a larger portion of its operating costs, notably airline space leasing, is in the greenback.
The US dollar has weakened by 5.2 per cent against the ringgit, 5.4 per cent against the Thai baht and 2.8 per cent against the Philippine peso.
Meanwhile, the impact is marginal, as most cargo is carried in the belly space of AirAsia and third-party airlines, where pricing is demand-driven.
HLIB Research said future capacity growth will primarily come from third-party partners, which has grown 125 per cent in the first quarter.
The firm maintained its "buy" call on Capital A with a target price of RM1.68 a share based on the implied valuation of RM6.8 billion for aviation business and assuming RM2 billion for non-aviation segments.
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