Sinotrans adds to portfolio
25 / 01 / 2011
ASIDE from a 110 per cent 2010 profit forecast, Chinese freight forwarder Sinotrans Air Transportation Development (SATD) has its eyes set on a new logistic company and logistics centre this year.
SATD is looking to build on its 229.07myuan (US$34.8m) net profit in 2009. In 2010 the company focused on direct sales to clients in the export business and the development of the free carrier business for companies importing goods. In addition, the company optimised its operating procedures and lowered its operating expenses.
Its joint venture with DHL had a good operating performance due to a rising business volume and profitability while another joint venture, Grandstar Cargo International Airlines, reduced its loss significantly in 2010.
At the end of December the company planned to bid up to 58m yuan for Tianhua Hongyun Logistics, which owns a warehouse with an area of 10,000m2 and a 1,400m2 office building.
The company also plans to invest up to 21m yuan to expand two warehouses at the Shanghai Pudong International Airport. The warehouses will be put into operation in 2012.