Wednesday 07 July 2021
Forecasts raised again
Mail rushes from record to record
The ongoing boom in online trading brought Deutsche Post another record result in the second quarter – after starting the new year with excellent results. Even then, Group boss Appel was raising the forecast – now he is going a step further.
Thanks to the booming parcel and express business, Deutsche Post is rushing from record to record. The Bonn-based group was able to more than double its operating profit (EBIT) to around two billion euros from April to June, as it announced on the basis of preliminary figures. For this year, the board of directors around CEO Frank Appel is now even more optimistic and now expects an operating profit of more than seven billion euros. He also increased the medium-term goals. Post shares temporarily rose to a record high of EUR 59.60.
The around 550,000 employees worldwide receive another special corona bonus for their services. Each full-time employee receives 300 euros, the costs for the one-off payments add up to around 200 million euros. These are already included in the raised forecast. “The second quarter has once again proven that world trade continues to recover and the e-commerce boom is permanent – although we are benefiting greatly from both developments,” said Appel. All Swiss Post divisions increased their profits, especially in the express and parcel business.
The Post had already started the year with record figures. Appel had already raised the forecast back then – now he has gone a step further. For the year 2023 he expects earnings before interest and taxes (EBIT) of more than 7.4 billion euros – previously he had assumed seven billion euros.
The lockdown in the Corona crisis had given online retail a decisive boost. More and more consumers order their goods on the Internet, the logistics groups deliver them. With business continuing to boom, they expect the post-pandemic trend to continue.
But world trade is also picking up again. That plays into the cards of logisticians worldwide. For example, the postal competitor UPS was able to increase its sales by 27 percent to around 22.9 billion dollars in the first quarter. The operating result of the US group was in the comparison to the same quarter last year by 158 percent to 2.8 billion dollars in the amount. Competitor FedEx also recently expanded sales and profits.
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