Business Post, the British parcels and mail company, saw its parcel revenues drop in the peak finalthree months of 2008 against the background of the slowing UK economy but continued its
double-digit mail growth.In an interim management statement for October-December 2008 issued yesterday, the companysaid group revenues increased by 3% for the three-month period compared to the same period one yearearlier. “Performance has continued in line with the board’s plans, and despite the difficulteconomic backdrop, the group is on track to deliver results for the year in line withexpectations,” it commented.
Business Post said it aims to generate moderate overall revenue growth which combined with astrong focus on operational effectiveness should deliver increased profit.
Parcel revenues showed a decline on the same period last year reflecting the currenteconomic situation, the company said. But it did not disclose the level of revenue decline. “Parcels operations over this period achieved high levels of efficiency as we continue to reduceour operating costs. These efficiency gains have compensated for the lower revenue we haveexperienced,” the company said.
Revenues in Specialist Services were up significantly between October and December, drivenby a continued strong improvement in the courier business.
The mail business, UK Mail, again achieved good double-digit growth through new businesswins and the securing of further mail volumes from existing customers. Its market share increasedto 15%. However, the rate of mail revenue growth will in future moderate from the exceptionallyhigh levels previously achieved, the company noted.
Business Post also said it welcomed the findings of the Independent Review Panel’s report onthe UK postal services sector, and it looked forward to continuing the relationship with the morecommercial Royal Mail that would result.
