Austrian Post announced today that it increased revenues by nearly 30% and improved operatingprofits by 28% in the first half of 2007. Stable mail results and acquisitions and organic growth
in parcels and logistics were the main growth drivers.The listed postal operator increased its total revenues by 29.6%, to EUR 1,116.8 million fromJanuary – June 2007. In Q2, revenues grew by 29.8% to EUR 541.3 million. The revenue growth isprimarily due to the initial consolidation of German express operator trans-o-flex, acquired at theend of 2006.
In the first half-year, EBIT increased by 28.2% to EUR 85 million, resulting in an operatingprofit margin of 7.6%. In Q2 2007, Austrian Post achieved an EBIT of EUR 29.9 million, up from EUR17.3 million in Q2 2006.
The “cash-cow” mail division increased H1 revenues by 2% to EUR 663.3 million while its EBITwas up by 1.6% to EUR 133.4 million. In Q2, Austrian Post mail revenues grew 2.2%, and EBITimproved to EUR 59 million.
The Parcel & Logistics division generated strong growth due to the consolidation oftrans-o-flex. Its H1 revenues soared by 220.7% to EUR 357.2 million, with Q2 revenues up to EUR174.2 million. The division improved H1 profits by 56.9% to EUR 14.9 million, while Q2 EBIT was upto EUR 5.3 million.
Trans-o-flex generated H1 revenues of about EUR 240 million, Austrian Post noted in its H1report. Revenues also increased organically and from subsidiaries in Slovakia and Croatia, whileacquisitions were made in Hungary and Austria.
In its outlook for the full year, Austrian Post said it expects a stable mail market. But itwarned that it anticipates a decline in parcels volumes and revenues in the second half of 2007 dueto the market entry of Hermes Logistik. In all, revenue growth will be driven by consolidation ofits new subsidiaries.
Austrian Post said it maintains its original forecast that earnings before interest and tax(EBIT) will be 20%-25% higher in 2007 in comparison to 2006.
