(LEAD) CJ Logistics Q2 net falls 36.8 pct on higher costs

(ATTN: RECASTS throughout; ADDS photo) SEOUL, Aug. 11 (Yonhap) -- CJ Logistics Corp., one of South Korea's leading logistics firms, said Tuesday its second-quarter net profit fell 36.8 percent from a year earlier due to higher costs. Net profit for the three months that ended in June fell to 36.8 billion won (US$25.9 million) from 58.2 billion won in the same period a year earlier, the company said in a press release. "High oil prices driven by the ongoing war between the United States and Iran in the Middle East pushed up operating costs," a company spokesperson said. Increased investment in facilities also weighed on quarterly earnings, he said. Operating profits were down 11.9 percent to 101.6 billion won in the June quarter from 115.2 billion won a year earlier. Sales, on the other hand, rose 10.9 percent to 3.37 trillion won from 3.05 trillion won. Increased sales from the O-NE daily delivery service and the contract logistics division helped boost overall revenue, the company said. Launched in January 2025, the O-NE service offers seven-day-a-week deliveries, including on public holidays, in a bid to better compete with local leader Coupang Logistics Services, the logistics arm of e-commerce giant Coupang Inc. From January to June, net income declined 24.7 percent to 74.7 billion won from 99.2 billion won a year earlier. Operating profit dropped 3.5 percent year-on-year to 193.6 billion won in the first six months, while sales fell 9.2 percent to 6.59 trillion won from a year earlier. This file photo taken Jan. 5, 2025, shows CJ Logistics' delivery trucks at one of its terminals in Incheon, west of Seoul. (Yonhap) kyongae.choi@yna.co.kr(END)