Seoul: CJ Logistics Corp. on Tuesday announced a significant decrease in its second-quarter net profit, which fell to 36.8 billion won (US$25.9 million), marking a 36.8 percent decline from the previous year. This drop reflects the challenges faced by one of South Korea's leading logistics companies.

According to Yonhap News Agency, despite the decline in net profit, CJ Logistics reported an increase in sales, which rose by 10.9 percent to reach 3.37 trillion won for the quarter. However, operating profit also saw a decrease, coming in at 101.6 billion won compared to 115.2 billion won in the same period last year.

The reported earnings failed to meet market expectations, as the average net profit estimate by analysts was 42.6 billion won, based on a survey conducted by Yonhap Infomax, the financial data arm of Yonhap News Agency. The discrepancy highlights the challenges CJ Logistics is facing in maintaining its profitability amid changing market conditions.