Posti Group’s net sales decreased by 5.0% to €385.9m for the second quarter of 2016, with the adjusted operating result totalling -€0.9m; an improvement on the previous year’s outcome of -€6.8m.
When assessed by business segment, net sales decreased by 5.3% to €168.1m in Postal Services, by 1.9% to 146.0m in Parcel and Logistics Services, by 18.9% to 25.2m in Itella Russia and by 6.9% to 60.8m in OpusCapita. Comparable net sales increased by 3.3% in Parcel and Logistics Services and decreased by 5.0% in OpusCapita. Measured in local currency, Itella Russia’s net sales increased by 3.4%.
The adjusted operating result declined 26.3% to €3.6m in Postal Services and by 34.0% to €1.4m in OpusCapita. The adjusted operating result improved to -€0.6m in Parcel and Logistics Services and to -€1.6m in Itella Russia (from -€2.1m and -€2.0m, respectively). The result of Parcel and Logistics Services was previously weighed down by restructuring measures related to the divestment of the Scandinavian road freight business, which have now been completed.
The company reported that the operating result was weighed down by special items in the amount of -€4.8m, with personnel restructuring costs in domestic production operations representing the most significant proportion of this total. The operating result in the comparison period was boosted by special items in the amount of €34.7m, which included a significant gain from the sale of real estate.
The company’s President and CEO said, “The first half of the year was a satisfactory one for Posti in a difficult market climate,” adding, “The economic climate in Finland and its neighbouring areas remains weak but, for the first time in a long while, there are signs of economic recovery. The Russian economy remains in a recession, which has reduced the demand for Itella Russia’s logistics services. Nevertheless, measured in local currency, Itella Russia’s net sales increased by 3.4% in the second quarter. The Russian Ruble appreciated in the first half of the year, but the closing rate at the end of the second quarter was still down by almost 15% year-on-year.”
Source: Posti Group Corporation
