Strong growth in its mail business and good parcel volumes helped British firm Business Postgenerate a double-digit rise in group revenues in the third quarter covering October to December
2007.In an Interim Management Statement released yesterday, the company said its Q3 group revenuesincreased by 13% on the equivalent period last year. Excluding the revenues from the FedExcontract, which terminated on 30 April 2007, the underlying group revenue increase was 20%, itpointed out.
“We have achieved a good revenue performance during the third quarter, trading performance isin line with management expectations and overall the Board expects good progress for the year,”Business Post stated.
Underlying parcels revenues in the period were up 6% on the previous year. B2B expressparcels, its core business accounting for around 80% of parcels revenues, continued to see goodgrowth, the company stated. In B2C, representing 15% of the parcels business, Business Post saidthe performance was “consistent” with the first half. In that period, its B2C revenues dropped 8%due to strong competition.
The mail business, UK Mail, continued to achieve strong growth with revenues in the period upsome 60% on last year. Significant new contracts included MBNA and Norwich Union. “With thesenew contracts, we now handle some 10% of all mail collected in the UK,” Business Post stated.Revenues in Specialist Services for the period were in line with last year.
Business Post will report its preliminary results for the year ended 31 March 2008 on 21 May2008.
* In a further indication of a gradual re-branding to UK Mail, Business Post has re-launchedits corporate website under the address “ukmail.biz”. Its delivery vans already carry the “UK Mail”name.
