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Be the first with the news that moves the market- Courier logistics company, PUDO Inc (CSE:PDO) has seen significant industry growth and corresponding challenges caused by the ongoing COVID-19 pandemic
- Parcel volumes have increased substantially, as more people order online, due to retail disruption and self-isolation measures
- Despite these increases, PUDO stated that closures, quarantines, and ever-changing government requirements are challenging the delivery and logistics industries
- In related news, PUDO has finished a pilot program, allowing customers to use PUDO’s pick-up sites on Amazon’s delivery platform
- PUDO Inc (PDO) is holding steady, with shares trading for C$1.15 and a market cap of $26 million
Courier logistics company, PUDO Inc (CSE:PDO) has seen massive industry growth and corresponding challenges, due to the ongoing COVID-19 pandemic.
The company reported parcel volume growth of 66 per cent, and 443 per cent increase in parcel re-directing and returns. The company helps to manage parcel delivery issues through its logistics platform, and is therefore directly impacted by increasing figures.
These increasing volumes are largely the result of Canadians choosing to self-isolate and purchase products online, rather than in person. This has put unprecedented levels of pressure on delivery services.
In a lengthy address to shareholders, PUDO’s CEO, Frank Coccia, began by outlining the company’s position during the crisis.
“It is true that this global pandemic will be one of the defining events of 2020. However, I can assure you that at the time of writing this, PUDO is weathering the crisis with few operational disruptions,” he said.
Frank did concede that logistics and supply chains are currently unpredictable, due to closures, quarantines, and ever-changing government requirements.
However, unlike a large swath of industries during the pandemic, the transport industry has been holding up well.
In the past two months, PUDO’s market share has remained largely steady. This is because of growing demand for its services, which has balanced against the general economic downturn.
In related news, the company announced a new arrangement with e-commerce giant Amazon. The arrangement allows PUDO’s pick-up sites to be used on Amazon’s platform. The arrangement currently covers 30 of PUDO’s sites, but could expand in the coming months.
Closing out his address, Frank Coccia stated that arrangements like this show PUDO’s resilience, despite the current challenging circumstances.
“A successful pilot program with Amazon confirms the global legitimacy of our business model and lays the groundwork to move forward more quickly with expansion.
“I am confident that, current crisis notwithstanding, the e-commerce logistics sector is finally ready for the kind of virtual counter integration that only PUDO can offer,” he said.
PUDO Inc (PDO) is holding steady, with shares trading for C$1.15 at 10:31am EST
