Red Star Express Plc has announced that its shareholders approved the merger of its wholly owned subsidiary, Red Star Logistics Limited, into the parent company.
The decision was reached at the company’s 32nd Annual General Meeting (AGM), which took place virtually on Thursday, September 18, 2025.
In a regulatory filing with the Nigerian Exchange, the company explained that although Red Star Logistics will cease to exist as a separate legal entity, its business operations will now continue under Red Star Express as a dedicated division. To ensure a seamless process, directors were also given the mandate to engage advisers and take all necessary actions for the transition.
At the AGM, shareholders endorsed a dividend payout of 35 kobo per share and approved N8 million as remuneration for Non-Executive Directors for the 2026 financial year. The session also covered the re-election of directors, appointment of shareholder representatives to the audit committee, and the adoption of the company’s audited financial statements for the year ended March 31, 2025.
For the year ended March 31, 2025, Red Star Express generated revenue of N21.6 billion, a significant rise from N16.1 billion in the previous year. Courier services contributed N10.6 billion, freight brought in N4.2 billion, logistics accounted for N3.6 billion, while support services delivered N3.08 billion.
The cost of sales rose from N11.6 billion in 2024 to N15.7 billion, but gross profit still improved to N5.9 billion, marking a 33.6% increase. Operating expenses—largely administrative costs totaling N5.1 billion—expanded by 34.2%, yet the company managed to post an operating profit of N944.1 million, up from N578.2 million in the prior year.
Profit before tax came in at N924.7 million, a 70.6% year-on-year growth compared to N542.1 million in 2024. For the April–June 2025 quarter, pretax profit also advanced to N303.8 million from N154.2 million.
On the equities market, Red Star Express has been one of the standout performers in 2025, recording a year-to-date gain of 149.4%. The stock began the year at N4.41, advanced to N6.60 by February, briefly dipped to N4.82 in March, but regained strength from April onwards. The rally gained momentum in May after the company released its unaudited results, driving the share price to N8.30. By mid-year, it had delivered a half-year gain of 72.6%. July proved the best month so far, with the stock surging 63.2% to reach N12.40. Despite slight pullbacks in August and September, the stock remains firmly bullish, currently trading at N11.20 compared to its January opening price.