KUALA LUMPUR: Teleport, the logistics arm of Capital A Bhd, is poised to achieve record revenue of about RM1 billion in 2024, representing a 50 per cent year-on-year (y-o-y) growth, according to chief executive officer Pete Chareonwongsak.

Chareonwongsak said that the company has secured increased direct volumes from China's top five e-commerce marketplaces, expanded its network to boost capacity and reach, and maintained a strong focus on cost optimisation.

Teleport currently operates three narrow-body Airbus A321 freighters to meet growing logistics demands, supported by the expanding belly capacity of AirAsia's passenger aircraft and partnerships with over 40 other airlines.

According to Bernama, Chareonwongsak said the company has 10 more airline partners in the pipeline, expected by the fourth quarter.

He highlighted the role of larger planes in driving growth and how freighters complement AirAsia's network.

"Our significant volume growth has been a driving factor. This reflects a slightly different business model that prioritises volume, enabling us to accomplish outcomes that others cannot," he said.

Teleport's air cargo operations have also funded the development of its e-commerce delivery infrastructure, facilitating its expansion into Southeast Asia's cross-border e-commerce market by air, a critical operational capability for the company.

In the third quarter ended September 30, 2024, Teleport's revenue surged by 52 per cent y-o-y to RM286.7 million, driven by a 31 per cent increase in tonnage and a 113 per cent rise in delivery parcel volumes. The company delivered over 15.7 million parcels during the quarter, bringing its total for the year to more than 47 million.

Positive earnings before interest, taxes, depreciation, and amortisation (EBITDA) of RM21.9 million were also recorded in the third quarter. Chareonwongsak attributed this to optimised cost management and stabilised freighter operations.

Looking ahead, Teleport aims to handle two million parcels daily across all business segments by the end of 2025, leveraging its freighter fleet, AirAsia's network, and additional airline partners. 

"As of today, we have more than 200,000 parcels and really, that scale is coming very quickly, from increasing more capacity from third-party airlines. We anticipate it reaching approximately 350,000 parcels by year

 -end," he said.