2GO Group, Inc. (2GO, the Company), formerly ATS Consolidated, was initially majority owned by the Aboitiz Group. On December 2010, Aboitiz group sold their interest in ATS Consolidated to Negros Navigation Co., Inc. (NENACO) and renamed the Company 2GO Group, Inc. on March 2012. As of December 2012, NENACO owns 88.37% of 2GO.
Below is 2GO’s corporate structure:
2GO Express, Inc. offers supply chain solutions which includes warehouse and logistics services. 2GO Express has three notable subsidiaries, Hansa Meyer-ATS Project, Inc., 2GO Logistics, Inc., and ScanAsia Overseas Inc.
Hansa Meyer-ATS Project, Inc. (HATS), 50% joint venture with Hansa Meyer Global Transport Pte. Ltd. a transportation company headquartered in Germany. HATS is engaged in the business of transportation and haulage of heavy and bulk-sized equipment such as those used in mining, power plants, and telecommunication infrastructure.
2GO Logistics, Inc., wholly owned subsidiary of 2GO express that is in the business of warehousing. 2GO Logistics has two state-of-the-art warehouses:
Edan warehouse – 6,500 pallet positions
Elisco warehouse – 30,148 pallet positions
A third warehouse is under construction that can add approximately 56,000 pallets.
ScanAsia Overseas Inc. (SOI), wholly owned subsidiary of 2GO express is a full supply chain solutions provider. The Company claims that SOI is the premier chilled distributor carrying approximately 80% of the products in the chilled section in any supermarket today.
The Supercat Fast Ferry Corporation (SFFC) , wholly owned subsidiary of 2GO that is in the business of providing fast craft passenger services under the “Supercat” brand name. SFFC has 8 fast craft vessels with a total passage capacity of 2,305 passengers.
NN-ATS Logistics Management & Holding Co. Inc. (NALMHCI), a wholly owned subsidiary of 2GO that has the purpose of managing agents, local agents or representatives of the Company.
Special Container and Value Added Services, Inc., a wholly owned subsidiary of the Company that was incorporated on March 2012 to take the reefer van container business and isotank business of 2GO Express, Inc.
The Company claims to dominate Philippine Sea Travel with 93% market share. The Company estimates freight market share at 33%.
2GO’s freight business appears to be promising:
Although freight revenues are still far from its 2008 high, 2012 freight figures are going strong and poised to reach 6 billion in revenue:
- The Company’s travel business is faced with tight competition against the airline industry.
- The Company’s costs continue to be unmanageable.
Although the chart above shows a shrinking loss, costs reduced are only from “depreciation and amortization” and “outside services” (costs spent for third parties to engage in maintenance). It would be desirable to see the Company improve efficiency in its operations such as the ratio of fuel costs to total revenues.
With that, the company still has a long way to go before turning their operations around.