Sou Hu Cai Jing·2025-11-21 15:39Core Viewpoint - The logistics industry in China shows signs of recovery with the Logistics Performance Index (LPI) at 50.7% in October 2025, indicating continued expansion despite a slight month-on-month decline [5][7][9]. Group 1: Industry Performance - The LPI reflects a stable demand in logistics, supported by industrial and consumer sectors, with most sub-indices showing improvement [7][9]. - The warehousing index rose to 50.6%, indicating a return to expansion, with various sub-indices such as business volume and facility utilization also increasing [9][10]. - The express delivery index reached 475.5, up 2.4% year-on-year, driven by e-commerce activities and improved service quality [10][12]. Group 2: Policy Support and Technological Integration - Policies focusing on logistics data interconnectivity and green logistics are being implemented, aiming to reduce logistics costs by 1-2% [11][12]. - The government is promoting the use of new energy vehicles and smart warehousing systems, with companies like JD and SF Logistics accelerating their green logistics initiatives [12][21]. - The integration of technology in logistics operations is emphasized, with companies investing in smart logistics hubs and automated systems to enhance efficiency [22][23]. Group 3: Market Dynamics and Investment Trends - The logistics real estate investment trusts (REITs) are performing well, with an average occupancy rate of 92% and a stable annual distribution rate of 4% [6][26]. - Major logistics firms are actively pursuing mergers and acquisitions to enhance their operational capabilities and market presence [24][25]. - The cold chain logistics sector is experiencing growth, with a 4.72% increase in demand for food cold chain logistics in Q3 2025 [13][18]. Group 4: Company-Specific Developments - SF Holdings reported a revenue of 225.26 billion yuan, up 8.89%, with a net profit of 8.31 billion yuan, reflecting strong operational performance [18][19]. - JD Logistics achieved a revenue of 55.084 billion yuan, a 24.1% increase, despite a decline in net profit due to increased workforce costs [19][20]. - ProLogis and other leading firms are focusing on smart logistics parks and zero-carbon initiatives to drive operational efficiency and sustainability [20][21].