Trailer Magazine

AusPost reports strong Christmas trading

  • Posted on Thursday 1st, March 2018.

Postal service company, Australia Post, has disclosed its group revenues increased by three per cent to $3.6 billion, following strong parcel growth for the six months to 31 December 2017.

Australia Post reported parcel revenues increased by eight per cent in the period, outperforming retail sales growth. Competitive pressures impacted the domestic parcels earnings growth modestly, but the growth did compensate for the 10 per cent fall in addressed letter volumes.

Australia Post Group Chief Executive Officer & Managing Director, Christine Holgate, said during the first half, the business made progress in driving further operational efficiencies, achieving a further $113 million in expense savings, which helped costs to grow marginally below revenues."Two-thirds of

Australia Post revenues are now in competitive markets and although deliveries were strong and cost savings were encouraging, trading EBITDA was flat at just one per cent growth," said Holgate.

"Reported profit after tax of $217 million was up 65 per cent, or $86 million, boosted by benefits from property transactions and other one-off items.

"Due to the strong seasonal nature of our business we expect to again make a loss in the second half.

"We do though forecast a full year profit before tax result in-line with last year. Going forward it is critically important we focus on returning Australia Post to sustainable growth.

"In developing our new strategy, it will be important Australia Post continues to meet the needs of Australians including by maintaining a healthy and viable Post Office network, including our Licensed Post Office partners.

"We are currently working to find new revenue streams for our post offices, as their role in communities becomes increasingly important to serve an ageing population and with traditional services closing branches," she said.

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