Delivery and postal firms from PostNL to Germany's Deutsche Post and U.S.-based FedEx have seen parcel volumes fall from their pandemic highs as demand normalises while high inflation erodes consumer confidence.
PostNL, which delivers parcels and letters across Belgium, the Netherlands and Luxembourg, posted a 78% drop in normalised earnings before interest and taxes (EBIT) to 7 million euros ($7.7 million), but beat analysts' estimate for a loss of 2 million euros.
The company said the results were aided by adaptive measures including optimisation of routes, staff and fleet and tight control of indirect costs.
Volumes for PostNL's parcel distribution business fell 6.5% to 81 million euros, while analysts had expected a drop of 8%.
"Overall, we are satisfied with the start of year, which has shown the positive effect from the necessary steps taken to mitigate the impact of the macroeconomic situation and inflationary pressure on our volumes and costs," CEO Herna Verhagen said in a statement.
PostNL confirmed its full-year guidance of normalised EBIT between 70 million and 100 million euros and free cash flow between 10 million and 40 million euros.
($1 = 0.9056 euros)
(Reporting by Olivier Cherfan and Augustin Turpin; Editing by Himani Sarkar)
By Olivier Cherfan and Augustin Turpin
