First of all, I, on behalf of the Board of Directors, Chairman and management team of the Company, thank you for the long-term support and concern for Dimerco Express Group. Thank you very much for attending 2018 annual general shareholders meeting of Dimerco Express Corporation. Meanwhile, we sincerely hope that all of you can support and urge us continually to construct the advantages of brand, reinforce organization’s strength and value innovation. To follow the company objectives, the management and staff will certainly optimize the business performance and stabilize the growth of corporate performance, as well as achieve the annual budget target and shareholders’ expectations.
In 2018, Dimerco continued to develop the two major strategies of its business blueprint. So far, the Group’s global service networks have spread to over 158 locations. The strategies aim to provide multiple services that Dimerco Express (DIM) focuses on air freight services, while Diversified Freight System (DFS) focuses on sea freight services. In addition to take the advantage of dual-brand strategy, Dimerco Express Group also coordinates with diversified transportation services, comprehensive logistics and warehousing services, cargo insurance services, customs brokerage services for import, export and inspections, China domestic transportation, cross-border road freight in Asia, Central European cross-border railway and cross-border e-commerce. These customized services not only enhance our business capabilities, but also increase the brand value.
From the year 2018 of perspective, though the first three quarters of 2018 were bolstered by the economic boom of 2017, the global economy took a sharp downturn in the fourth quarter, resulting in a 36.3% drop in annual net profit and a 38.3% drop in net profit by quarter for all listed companies. This means 2018 has been a challenging year.
Thanks to the collective effort of all Dimerco employees, the Group’s consolidated operating revenue certified by the independent external auditor for 2018 was NT$18.4 billion, increased by 5.2% compared with the previous year. Despite the modest 5.2% growth, this is the first time that our Group has crossed the 600 million USD turnover mark. The net profit after tax, NT$263 million, increased by 27.2% from NT$206 million in last year (2017), after-tax earnings per share (EPS), NT$2.09, increased by NT$0.42 (25.1%) from NT$1.67 in 2017. The broad of directors’ meeting passed a cash dividend of NT$1.5 per share.
Since the global financial crisis toward the end of 2008, the global economy has been largely unstable and currency fluctuations have been volatile, making it highly difficult to predict the future state of the economy. Looking forward to 2019, the trade war between China and the U.S.A. and Brexit have both cast shadows over global economic growth. Dimerco will continue active in North America, Europe, India, China and Southeast Asia business development and investment. Meanwhile, in accordance with the established policy of global operations and plans to “Greater China economic region as the mother market”, Dimerco will use organization force to integrate sales and customer service throughout the combat team to develop new business and continue to secure a number of multinational customers. The overall turnover will be able to become growing in the near future or to build upon our performance in 2018.
In order to optimize our management and serve customers around the world, Dimerco successfully developed an integrated e-commerce service platform and global real-time information system – the ‘Dimerco Value Plus System®’ in 2009. We have since upgraded this system in December 2017 and introduced the latest Web 3.0 Cloud Networking and mobile technology to streamline our supply chain management by integrating the business processes of sales, operations, accounting and financial management, to build the world’s most competitive international logistics and transportation service company. We connect upstream and downstream vendors and customers via the system’s Collaboration Service Platform (CSP), drawing upon the concept and functionalities of the virtual office and smart mobile technology and networking (e.g. eSAM), to provide our customers with highly efficient services anytime, anywhere. We can also link with clients’ systems via the Purchase Order Management System (POMS) to provide real-time information on sales, shipping, purchasing and warehousing, to increase customer satisfaction. We have enhanced the overall efficiency of our supply chain management and effectively helped our customers to reduce their operating costs by successfully establishing an integrated, smart logistics system that tracks and provides real-time information on the status of customer parcels anywhere in the world. In addition, the adoption of cloud technology not only ensures the high efficiency and stability of the system, it also allows customers to conveniently and instantly analyze and generate customized reports. On the other hand, this also contributes to our planet by reducing the carbon footprint.
Dimerco Express Group has remained true to our pursuit of excellence for over 40 years. Based on our ethical values and corporate culture, we have spared no effort in becoming the most competitive international transportation and logistics service provider in the world. Through the globalization of our channel network, product diversification, streamlined operations, centralized information, localized operations, together with the introduction of the internet and the integration of the Internet of Things, Dimerco has built a real and virtual channel network to provide globally accessible international logistics services as the mainstay of the company’s growth strategy.
We have been actively innovating and honoring our commitment to the research and development of information technology, strategically expanding our global business locations, and focusing on the customer-oriented optimization of service quality, winning us the Air Cargo Week (ACW) ‘Airfreight Forwarder of the Year 2018’ award for the third consecutive year. We won the award for the first time in Shanghai in 2016, followed by Munich in 2017, and again in 2018 for the third year running. Our progress and achievements to date, as well as our future development, would not have been possible without your unreserved support. We pledge to continue to build a lasting and sustainable organization, improve the company’s structure of governance, maintain stable operations, and bring reasonable returns to our shareholders. Thank you for your continued support. Thank you!
Mr. Edward Lin
Chief Executive Officer
Dimerco Express Corporation
Dimerco Express Group
Date: June 10th, 2019