Knutsford Express Services Limited (KEX) has released its unaudited financial statements for the third quarter ended February 28, 2025, revealing a nuanced financial landscape. While the company experienced a modest revenue uptick, net profits have seen a significant decline, prompting strategic shifts in operations and investments.​

Financial Performance Overview

For the third quarter, KEX reported revenues of J$593 million, marking a 4.8% increase from J$566 million in the same period last year. Over the nine-month period, revenues rose by 7.3%, reaching J$1.643 billion compared to J$1.531 billion previously.

Despite these gains, net profit for the quarter plummeted by 54.9% to J$49 million, down from J$111 million in 2024. The nine-month net profit also declined by 36.8%, settling at J$170 million from J$269 million in the comparative period.​

The company attributes the profit downturn to lingering effects of subdued passenger arrival numbers in Jamaica. Additionally, increased administrative expenses, particularly in staff costs, have impacted profitability. In the first quarter of 2025, administrative expenses rose to J$520 million, affecting net profits despite a revenue increase to J$592 million.

Strategic Investments and Operational Enhancements

In response to these challenges, KEX is investing heavily in fleet expansion and digital transformation. The company plans to inject J$500 million over the next three years to upgrade its bus fleet and implement advanced digital systems . This includes the introduction of airport-style departure gateways and digital ticket-checking kiosks, aimed at enhancing operational efficiency and customer experience.​

The Drax Hall depot in St. Ann has become a focal point for these innovations, serving as a prototype for the new passenger processing model. CEO Oliver Townsend emphasized the importance of these investments, stating, “We’re redoubling our investments and efforts on the core business and on initiatives that will improve our customer’s satisfaction”

Service Portfolio Adjustments

KEX is also refining its service offerings to align with market demands. The company announced the discontinuation of its international shipping and e-commerce service effective October 7, 2024, due to a 10% decline in revenue from overseas courier services . This strategic move allows KEX to focus on its core transportation and local courier services, which continue to be significant revenue streams.

Outlook

Despite current profitability challenges, KEX maintains a strong asset base, which grew by over 10.7% in the third quarter, reaching J$2.113 billion from J$1.926 billion the previous year. The company’s commitment to enhancing operational efficiency and customer satisfaction positions it for potential recovery and growth as market conditions improve.​

Conclusion

Knutsford Express is navigating a complex financial environment with strategic investments in infrastructure and technology. By focusing on core services and operational excellence, the company aims to bolster its market position and return to robust profitability in the coming periods.

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Caption: Participants receiving hands-on training in electric vehicle maintenance and repair during an EV Training Programme facilitated by GSI SKN.

Basseterre, St. Kitts, 7^th April 2025 – CARILEC, the leading association for electric utilities in the Caribbean, has partnered with Green Solutions International SKN Inc (GSI SKN) to deliver a cutting-edge Electric Vehicle (EV) Training Programme in St. Kitts from June 23 to July 4. This comprehensive training aims to equip professionals with the skills needed to work safely and effectively with electric and hybrid vehicles.

GSI SKN, a leading NGO driving clean energy growth and sustainability across the Caribbean, offers EV certifications from the Institute of the Motor Industry (IMI) in the UK and Technischer Überwachungsverein (TÜV) in Germany. The organisation partners with the IRENA SIDS Lighthouses Initiative, holds accreditation with the UNFCCC, and is the exclusive regional partner for the North American Board of Certified Energy Practitioners (NABCEP). With a strong track record in renewable energy and e-mobility, GSI SKN has successfully delivered consulting, training, and certification projects across the Caribbean, including in Guyana, Jamaica, Barbados, Bermuda, and St. Kitts & Nevis.

Dr Wayne Archibald, Executive Director at GSI SKN, will also contribute his expertise as a featured speaker at the upcoming Eastern Caribbean Central Bank (ECCB) 9^th Annual Growth and Resilience Dialogue, taking place from April 10 to 11, 2025. His participation reflects the regional recognition of GSI SKN’s leadership in clean energy and sustainable mobility.

Accelerating the Caribbean’s Shift to Electric Vehicles

The Caribbean region is increasingly adopting electric vehicles (EVs), driven by government incentives, environmental concerns, and economic opportunities. Barbados leads in per capita EV usage in the region, with over 600 EVs on the road and more than 100 charging stations (2023). Jamaica has also made significant strides, setting a goal to have 10% of its transportation powered by EVs by 2030 and introducing electric buses into its public transit system. These efforts align with regional strategies, such as the CARICOM Regional Electric Vehicle Strategy (REVS), which aims to transform transportation systems and promote sustainable mobility across the Caribbean. St. Kitts and Nevis is also advancing electric vehicle (EV) adoption through a government-led initiative focused on EV maintenance training and policies to promote sustainability. The island’s compact size makes EVs an ideal solution for local transportation, with several EV charging stations already installed to support the growing number of electric vehicles on the road.

Preparing the Caribbean for the EV Revolution

This training is a vital step toward ensuring that regional professionals are equipped with the necessary technical and safety skills to handle EV systems. As governments and private sector entities increase their investments in electric vehicle infrastructure, trained specialists will be essential to maintaining and expanding this rapidly growing industry.

Dr Archibald, Executive Director at GSI SKN and a key advocate for green energy and sustainable development in the Caribbean, emphasised the significance of this training: “The adoption of electric vehicle technology is a crucial component of the Caribbean’s transition to a sustainable energy future. By providing professionals with hands-on training and internationally recognised certifications, we are not only advancing technical expertise but also fostering a culture of innovation and resilience in the region.”

World-Class EV Training for the Caribbean

The EV Training Programme is certified by IMI and TÜV, ensuring world-class accreditation and technical proficiency. Participants will gain hands-on expertise in EV maintenance, repair, and diagnostics, with courses designed to cater to a broad spectrum of professionals, including auto technicians, fleet operators, engineers, compliance officers, and safety professionals. Participants will benefit from the IMI certification, which ensures that auto professionals receive industry-standard training, and the TÜV certification, recognised globally for safety and compliance in engineering.

Participant Testimonials

Past participants have found the training to be highly relevant and beneficial. Devlin Connor, Vehicle Superintendent with the Government of Anguilla’s Vehicles Department, shared his experience:

“This training course was incredibly valuable and came at a critical time, as electric vehicles represent the future of transportation. It was essential for us to have the opportunity to attend, gain insights, and receive hands-on training in EV operation and safety practices. This knowledge will enable us to be better prepared to manage the challenges and opportunities that arise from the adoption of EVs.”

Vince Archibald, Technician, Automotive Division, Clarence Fiztroy Bryant College, reflected on the significance of the training: “This training was an eye-opening experience, providing hands-on expertise and a deeper understanding of EV technology. The programme was not only highly beneficial but also innovative, equipping us with the latest industry knowledge and best practices. As the automotive industry transitions to greener technologies, this kind of specialised training is essential for keeping professionals ahead of the curve.”

Expert-Led Training

The training will be facilitated by Andy Latham, a globally recognised expert in electric and hybrid vehicle technology, with an extensive career spanning senior management roles in the automotive sector. As a Fellow of the Institute of the Motor Industry (FIMI) and an Incorporated Engineer with the Engineering Council UK, Latham will provide participants with a world-class learning experience.

How to Register

Contact training@carilec.org or slprimus@carilec.org, provide your organisation’s name, the number of participants and contact details. For further inquiries, call +1 (758) 717 9577.

The second quarter reflected stable demand for our core services. Revenue for the period increased by 5.7% to $500 million, compared to $473 million in the corresponding quarter last year. This growth was driven by increased passenger volumes across all routes. For the six-month period, revenue rose 8.8% to $1,050 million, up from $965 million in the comparative period. Continued investments in our coach fleet have enabled us to meet growing customer demand and position the company for sustained growth.

Our courier service remains a strong contributor, providing dependable package delivery seven days a week. We are actively focused on expanding into convenient courier locations and improving service processes to better serve our customers.

Our total assets grew 12.5% to $2,062 million as of November 30, 2024, up from $1,833 million a year earlier, reflecting ongoing investments in expanding our coach fleet and other operational resources.

Looking ahead, we anticipate a rebound in travel demand as headwinds from the recent U.S. election cycle and associated travel advisories subside.

Our strategic investments in capacity expansion, customer convenience, and operational efficiency are expected to drive sustainable growth and enhance customer experience in the second half of the financial year.

Oliver Townsend Chief Executive Officer Knutsford Express Limited

“FedEx shares are jumping 8.6% in premarket trading after the company said it plans to spin off its freight division into a separate publicly traded company in a deal that will streamline the parcel giant.” Bloomberg.com

FedEx shares surged 8.6% in premarket trading following the company’s announcement that it would spin off its freight division into a separate publicly traded entity. This ground-breaking decision marks a major shift in FedEx’s strategy as it seeks to streamline its operations and sharpen its focus on parcel delivery services, while allowing the new freight entity to pursue its own growth path.

As the logistics industry continues to evolve amid growing competition from e-commerce giants and global supply chain disruptions, FedEx’s move reflects a broader trend of corporate restructuring aimed at unlocking value for shareholders and enhancing operational efficiencies.

FedEx: A Legacy of Innovation and Growth

Founded in 1971 by Frederick W. Smith, FedEx revolutionized the logistics industry with its pioneering overnight delivery service. Over the decades, the company expanded its portfolio through a series of acquisitions, including the purchase of American Freightways in 1998, which became FedEx Freight, and the integration of TNT Express in 2016, helping the company solidify its international footprint.

Today, FedEx is a global logistics behemoth, offering a wide range of services spanning express parcel delivery, freight services, and e-commerce solutions, with annual revenues surpassing $90 billion.

Despite its success, FedEx has faced mounting pressure in recent years from increased competition, rising fuel costs, and changing customer expectations. The COVID-19 pandemic only accelerated these challenges, highlighting the growing importance of e-commerce and fast delivery services, as well as the need for enhanced operational agility. In response, FedEx has been focusing on restructuring its business model, optimizing its supply chain, and embracing new technologies to stay ahead of the curve.

The decision to spin off its freight division marks the latest chapter in this ongoing evolution.

The Spin-Off: A Strategic Move to Streamline and Enhance Focus

The decision to separate FedEx’s freight division is a strategic one aimed at unlocking value for both the parent company and the new spinoff entity. FedEx’s freight business, which includes ground and less-than-truckload (LTL) services, has been a significant contributor to the company’s overall revenue. However, the division has faced operational challenges, including rising labour costs and supply chain inefficiencies, which have sometimes resulted in underperformance relative to the company’s express parcel services.

By creating a standalone, publicly traded company, FedEx aims to achieve several key benefits:

1. Unlocking Value for Shareholders: The spin-off allows the freight division to operate independently, enabling it to pursue its own growth strategy and unlock shareholder value. For investors, this creates a more straightforward opportunity to invest in the segment they find most appealing, whether that be parcel services or freight logistics.
2. Greater Operational Focus: FedEx has long been a diversified logistics company, but separating the freight business from its parcel division will allow both entities to concentrate on their core operations. The parcel division can continue its focus on global e-commerce growth, while the freight business can double down on industrial and B2B logistics.
3. Increased Flexibility: A separate freight company can more effectively tailor its offerings to meet the needs of its specific customer base. This could include expanding its LTL network, improving last-mile delivery, or exploring new technologies such as autonomous trucks and electrification.
4. Boosting Shareholder Confidence: Investors have often expressed concerns about the complexity of FedEx’s sprawling operations. A clear separation of its various business units should make the company’s financials easier to analyze, thereby boosting investor confidence and potentially driving up stock prices.

The Future of the Freight Division: Competing in an Evolving Market

While the new freight division will be operating independently, it will retain many of the key advantages that made it an integral part of FedEx’s global supply chain. The freight industry, particularly LTL logistics, continues to grow as e-commerce drives demand for more flexible and efficient shipping solutions. The spin-off gives the new company a stronger platform to compete in this dynamic environment.

1. LTL and Freight Services: The U.S. freight industry, valued at over $1 trillion annually, is undergoing significant transformation as companies invest in better technology, more efficient distribution systems, and sustainability. The freight spinoff could focus on expanding its LTL capabilities, which have proven to be a growing market segment in recent years. Innovations in digital freight matching and automated supply chains will allow the new entity to compete more effectively with companies like XPO Logistics and J.B. Hunt.
2. Autonomous and Electric Trucks: As the logistics industry increasingly looks toward electrification and automation, the freight division could capitalize on emerging technologies such as autonomous trucks and electric delivery vehicles. Companies like TuSimple and Embark Trucks are leading the charge in autonomous freight, while firms like Tesla are pushing forward with electric truck prototypes. FedEx Freight could become a key player in this space by integrating these technologies into its operations, helping it maintain a competitive edge.
3. Last-Mile Logistics and Supply Chain Optimization: With the growth of e-commerce, last-mile logistics has become a critical battleground in the freight industry. The new company could focus on streamlining last-mile delivery, offering faster and more cost-efficient services, while leveraging FedEx’s global network for greater reach.

Strategic Responses from UPS, Amazon, and Other Competitors

The spin-off of FedEx’s freight division will undoubtedly stir competitive responses from rivals, including UPS, Amazon, and other key players in the logistics and transportation industry. Each of these companies has been heavily investing in its own logistics infrastructure, and the separation of FedEx’s freight business will present both challenges and opportunities.

1. UPS: As FedEx’s largest competitor in the parcel and freight space, UPS will likely see the spin-off as an opportunity to consolidate its own position in the market. UPS has been aggressively expanding its ground operations and focusing on automation, but it will need to accelerate efforts in areas like LTL shipping and cross-border logistics to stay competitive with FedEx Freight.
2. Amazon: The e-commerce giant continues to disrupt traditional logistics players with its vast delivery network and technology-driven approach. With Amazon’s growing focus on logistics and its own freight delivery capabilities, the spin-off could signal an opportunity for Amazon to capitalize on any potential operational weaknesses in the separated FedEx freight business. Amazon is also investing heavily in its own fleet of delivery trucks and drones, and any strategic moves by FedEx Freight will need to account for Amazon’s growing presence in the sector.
3. Other Competitors: Companies like XPO Logistics, J.B. Hunt, and DHL will likely view the spin-off as an opportunity to gain market share. These companies have already been investing in automation, digitization, and sustainability initiatives, and they will likely use the split to adjust their own strategies, offering more competitive solutions for customers.

Conclusion: A Pivotal Moment for FedEx and the Freight Industry

The spin-off of FedEx’s freight division is a pivotal moment for the company and the logistics industry at large. While it poses challenges to competitors, it also presents FedEx with an opportunity to streamline its operations, unlock shareholder value, and enhance its focus on e-commerce growth. For the newly created freight entity, the future is filled with opportunities to innovate and compete in an increasingly tech-driven industry.

As the logistics sector continues to evolve, FedEx’s decision to separate its freight business marks an important strategic shift—one that could have far-reaching implications for the industry and for how logistics giants like UPS, Amazon, and others respond in the future.

Jamaica’s trusted name in transportation, JUTA, is proud to announce the launch of JUTA Express, beginning service on December 15th, 2024. Offering a premium, non-stop travel experience, JUTA Express is set to revolutionize intercity transportation and same-day courier services in Jamaica.

Your Non-Stop Ride to Convenience
With four daily departures from Kingston, Sangster International Airport, and Mandeville, passengers can count on timely, uninterrupted service. Departure times are 6:00 AM, 8:00 AM, 4:00 PM, and 6:00 PM, ensuring flexibility and convenience.

JUTA Express guarantees the same renowned level of customer service and comfort that passengers have come to trust from JUTA over the years.

Same-Day Courier Service
In addition to passenger services, JUTA Express will offer courier services on all routes. With same-day pickup and delivery, customers can rely on swift and secure transportation of packages. Please note, no overnight storage is available. Unclaimed packages will incur heavy overnight fees, making same-day collection a must.

Book Easily with the InterMetroONE App
JUTA Express is designed with modern convenience in mind. All bookings and payments are processed through the InterMetroONE Customer App, available for download on both Google Play and the Apple App Store. Limited in-person bookings will be accommodated at the JUTA Kingston Office; however, the service is primarily cashless, accepting only credit and debit cards.

Looking Ahead to 2025
To meet the anticipated demand, JUTA Express will expand its routes in 2025, connecting even more of Jamaica’s key destinations.

Download the App Today and Book Your Seat!
Be among the first to experience the next generation of intercity travel and courier services with JUTA Express. Download the InterMetroONE Customer App today, secure your seat, and travel in comfort, safety, and style.

For more information, contact:
JUTA Express Customer Service
4 Lady Musgrave Road Kingston
jutaexpressone@gmail.com
Phone: (876) 927-4536

About JUTA
JUTA (Jamaica Union of Travellers Association) is Jamaica’s leading transportation provider, known for its unparalleled commitment to safety, reliability, and exceptional customer service.