Breaking: Sri Lanka’s Wijeya Newspapers Reengineers Its Business, Turning Idle Fleet into a Revenue Engine

In a dramatic shift sparked by shrinking print volumes and muted ad revenue, Wijeya Newspapers unveiled Reach Transport Service, a logistics network built on its existing truck fleet. The move is designed to convert a cost center into a lasting,profits-driven operation that supports the group’s broader diversification strategy.

Historically, the publisher faced a steady slide in circulation after COVID-19 and ensuing economic turmoil. Prices were raised to preserve roughly 85 percent of peak COVID-era circulation revenue (about LKR 3 billion), while advertising income tumbled from about LKR 5 billion to near LKR 2 billion.

Despite operating more than a dozen titles-language-diverse daily and weekly newspapers, Sunday editions, and Sri Lanka’s first Braille daily-print remained volatile. The leadership decided to pursue new ventures alongside the core newspaper business to ease pressure on the balance sheet and pursue long-term sustainability.

How Reach Transport Works

Reach Transport Service is a collaborative logistics model that leverages Wijeya’s fleet to carry e-commerce and FMCG goods along with newspapers. The initiative aims to:

• Turn the newspaper fleet into a versatile logistics network.
• Provide reliable transport and courier services across the country.
• Leverage brand trust and operational know-how to enter last-mile delivery.
• Operate throughout the year, 362 days annually.

Key partnerships include collaborations with industry players to move spare parts and consumer goods. Parcels are loaded first,followed by newspapers,with morning newspaper deliveries and returning shipments unloading at partner warehouses. The program is already expanding to include additional sectors, with plans to develop both first-mile and last-mile services in time.

Performance and Detailing Milestones

What began as crisis-driven improvisation evolved into a measurable revenue stream. By 2022, Reach generated around LKR 50 million in annual revenue; in 2023-24, revenue rose to about LKR 75 million; and in 2024-25, it climbed to roughly LKR 80 million.

Alongside revenue growth, Wijeya has optimized costs. Transport overheads dropped from about LKR 300 million per month in 2022 to approximately LKR 205 million per month, yielding monthly savings near LKR 95 million through Reach and its notebook manufacturing operations. Today, external clients cover more than 90 percent of transport costs.

Sunday editions, often heavy with pages, have spurred an expanded fleet for exclusive deliveries while weekday operations utilize the same resources for broader distribution. The company also harnesses its transportation assets for non-core tasks such as city tours,airport pickups,and drops when not in peak newspaper cycles.

Plans for Expansion and Revenue Optimization

Wijeya intends to push fleet utilization toward a 95 percent target, up from about 70 percent today. The company aims to extend Reach beyond the Western Province to Central, Northern, and Southern hubs, tapping into Sri Lanka’s SME and pharmaceutical sectors that collectively represent a large slice of the economy.

Revenue optimization will hinge on dynamic pricing based on weight and volume, SME subscription contracts, and monetizing unused capacity through truck sharing or leasing. A digital change is also on the horizon,including:

• Reach mobile app for booking,tracking,and payments.
• AI integration with partner systems for B2B courier requests.
• Customer dashboards for tracking, invoicing, and proof of delivery.

“We identified our resources and then explored how to use them. This turned our newspaper transport from a cost center into a revenue-generating logistics system,” the chief operating officer said, highlighting a broader lesson for media groups navigating disruption.

Table: Reach Revenue Milestones

Evergreen Takeaways for Resilient Media Businesses

The Wijeya case offers enduring lessons for customary media brands facing convergence pressures. Asset-light strategies, converting underutilized assets into service offerings, and purposeful diversification can stabilize finances while preserving core competencies. Digital adoption and partner-driven growth prove crucial when print remains volatile, and a robust agency network can unlock new revenue streams across sectors.

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What other industries could benefit from turning existing fleets or facilities into service platforms? Do you believe media firms should pursue similar diversification to stay relevant in a digital era?

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Additional context and coverage on print-to-logistics pivots can be explored through industry analyses from WAN-IFRA and other industry authorities.