PostNL presents additional plans to solidify its fundamentals
Normalised EBIT of €84 million for FY 2022
The Hague, the Netherlands, 27 February 2023
PDF press release (EN)
PDF persbericht (NL)
Financial highlights Q4 and FY 2022
| In € million | Q4 2021 | Q4 2022 | % Change | FY 2021 | FY 2022 | % Change |
| Revenue | 936 | 883 | -6% | 3,466 | 3,144 | -9% |
| Normalised EBIT | 93 | 60 | -35% | 308 | 84 | -73% |
| assumed to be non-recurring and related to Covid-19 | 9 | 1 | 82 | 2 | ||
| Free cash flow | 65 | 79 | 22% | 288 | 40 | -86% |
| Normalised comprehensive income | 89 | 41 | -54% | 285 | 90 | -68% |
Reported numbers are impacted by the change in accounting classification of pensions following pension agreement of 23 December 2022, mainly non-cash. On balance, the positive impact on consolidated equity was €13m. Please refer to page 5 and our Annual Report 2022 for more information.
Highlights Q4 2022
- Solid performance in peak season
- Domestic volumes Parcels -3.8%, excluding non-recurring impact Covid-19; reported volumes -5.4%
- Volumes Mail in the Netherlands -8.1%
- Efficiency improvements and productivity gains in comparison to last year
Highlights FY 2022
- Domestic volumes Parcels up 2.3%, excluding non-recurring Covid-19 impact; overall, volumes -10.2%, also reflecting development in cross-border activities, predominantly from and to China
- Volumes Mail in the Netherlands -8.0%, at better end of expected range
- 25% improvement in carbon efficiency
- Proposed 2022 dividend of €0.16 per share
Additional plans to solidify fundamentals in 2023
- Reduction of 200-300 FTEs in overhead and other indirect cost measures, mainly at Parcels
- €20 million costs in 2023, mainly restructuring provision
- Additional annual cost savings: ~€25 million in 2024, run rate ~€30 million as of 2025
- Additional €10 million capex in 2023 in innovation and quality to improve customer value
CEO statement
Herna Verhagen, CEO of PostNL, said: “2022 turned out to be a year in which we were navigating rapidly changing and turbulent circumstances. The global macroeconomic and geopolitical environment was extremely challenging, with record-high inflation and consumer confidence at an all-time low. This impacted our performance, as we saw a sharp increase in labour and fuel costs. At the same time, parcel volumes were under pressure as the economic developments impacted consumer spending, but also due to overcapacity in the market.
“We took firm and swift actions to improve operational efficiency and preserve our financial position, which supported our 2022 performance. As well as taking these efficiency measures, such as reducing storage capacity and route optimisation, we also adjusted our prices, to the extent possible, to reflect the higher cost base.
“As the challenging conditions are expected to continue into 2023, it is critical to invest in further strengthening of our fundamentals and to secure our position in a dynamic and very competitive market. In 2023, we will further innovate our services, and improve customer value. And in addition to a number of initiatives to improve efficiency, mainly at Parcels, we are today announcing a reduction of 200-300 FTEs in overhead and other measures to reduce indirect costs.
“Based on a longer-term upward trend in e-commerce, underpinned by fundamental growth drivers, we have full confidence in our strategy. Our pro-active approach ensures that PostNL is well-positioned to resume its growth trajectory in e-commerce, while maintaining solid performance at Mail in the Netherlands. Taking into account the benefits from all measures, including the additional plans presented today, a step-up in performance will be visible as of 2024, that should be further supported once the economic environment starts to improve.”
About PostNL
We are PostNL, here for everyone, bringing it all together for 225 years. With an extensive network of nearly 5,800 PostNL points, 11,000 letterboxes, and over 900 automated, also open to various carriers, along with millions of users of the PostNL app, we're always close by. We aim to be everyone's favourite deliverer by making it as easy as possible to send and receive parcels and mail. With nearly 34,000 colleagues working with us, we are part of society. We offer a range of services, including mail and parcel delivery, logistic e-commerce solutions, and cross-border solutions. On an average weekday in the Benelux, we deliver 1.1 million parcels and 6.9 million letters. We are commitment to customer satisfaction, providing opportunities for our employees, and generating value for our stakeholders through growth, digitalisation, and sustainability.
We optimise and support our physical networks through the use of smart digital solutions and introduce new propositions that add value for our customers. And aim for sustainable employment relationships by being a good employer to all people working with and for us. We focus on sustainability, making many journeys on foot and by bicycle, increasingly using cleaner fuels and electric vehicles, and offering innovative city logistics. PostNL N.V. is a publicly traded company with a turnover of €3.2 billion in 2023, 62% of which e-commerce related.