PostNL N : reports strong Q3 2020 performance

PostNL reports strong Q3 2020 performance

Full-year normalised EBIT expected to be at least €175 million

2 November 2020 07:00

The Hague

Share on Facebook

Share on Twitter

Full press release

Financial highlights

in € million	Q3 2019	Q3 2020	YTD 2019	YTD 2020
Revenue	636	742	2,001	2,232
Normalised EBIT	26	36	95	105
Free cashflow	40	5	39	103

Highlights Q3 2020 and outlook FY 2020

• Strong operational performance in Parcels continued
• Realisation of anticipated benefits and synergies from combined mail network ahead of schedule
• Mail volume decline slowed compared with Q2
• Good underlying FCF performance, development in Q3 impacted by timing effects in line with expectations
• FY 2020 normalised EBIT expected to be at least €175 million
• Resumption of dividend for FY 2020 expected

CEO statement

Herna Verhagen, CEO of PostNL, said: 'Together with all of our people, we have demonstrated the strength of our business model under challenging circumstances. With the pandemic numbers on the rise again, we remain vigilant in respecting all hygiene and safety measures within our operations and offices. The health and safety of our people, customers and consumers remains our key priority.

'Over the third quarter, we again reported a very good set of results. Strong operational performance at Parcels continued and the result at Mail in the Netherlands benefited from the combination of the mail networks. To prepare for our peak season, we are further scaling up capacity in Parcels, renting additional locations and transportation and hiring people for delivery and to staff our sorting centres. These will be also fully operational on Sundays, so as to accommodate the high volumes.

'On the back of our strong performance, supported by the impact of Covid-19 on online shopping, our financial position is improving significantly, buoyed up also by the announced sale-and-lease-back transaction. I am pleased to say that we expect to resume dividend payments over full-year 2020, earlier than expected. We will further accelerate digitalisation to strengthen our competitive position and contribute to customer satisfaction, which underpins our ambition to be the favourite deliverer in the Benelux region.

'Going forward, uncertainties seem to be increasing due to the second wave of the pandemic. Visibility remains limited and also depends on social distancing measures and potentially higher sick leave numbers as a result of the increasing number of infections, as well as macro-economic developments and consumer confidence.'

Extra informatie About PostNL

We are PostNL, the mail and logistics solutions provider for all. With our post and parcel deliverers that make it everywhere, our over 3,800 PostNL points and our 11,000 mailboxes - wherever you are, we're always nearby. We aim to be our customers' favourite deliverer by making it as easy as possible to send and receive parcels and letters. On weekdays, we deliver an average 900,000 parcels and 6.8 million letters across the Benelux region, and our 50,000 people are right at the heart of society. At PostNL, we aim to work as sustainably as we can, with lots of delivery kilometres done on foot and by bike, helped by our innovative city logistics and further electrification of our transport.

PostNL NV is a listed company with revenues of over €2.8 billion in 2019, 52% of which derives from e‑commerce. We provide mail and parcel delivery to our customers, logistics solutions for e-commerce and cross-border solutions.