Strong growth in financial services and logistics helped Swiss Post to improve profits by 34%over the first nine months of 2010, the company announced today.
Swiss Post’s group profit rose by 34% to CHF 741 million from January to September 2010 whileEBIT rose by 33% to CHF 746 million. Operating revenues went up by 2.9% to CHF 6,383 million andoperating expenses were reduced slightly.
The increase in earnings is due primarily to the success in the retail financial market and thepositive trend in the logistics market but good results were generated in all four markets that itoperates in, the company said.
In the communications market, Swiss Post’s various businesses generated an overall 20% rise inoperating profits to CHF 91 million. The domestic mail operator, PostMail, saw EBIT drop slightlyto CHF 134 million while revenues fell 6.5% to CHF 1,913 million on a 2.8% fall in addressed lettervolumes. The Post Office network reduced its operating loss to CHF 84 million and increased salesby 29% to CHF 1,245 million.
Swiss Post International had a slightly lower EBIT of CHF 39 million while its revenues dropped13% to CHF 570 million. Swiss Post Solutions moved into profit with EBIT of CHF 4 million andincreased revenues fractionally to CHF 489 million.
In the logistics market the operating result improved more than fourfold from CHF 26 million toCHF 110 million. Here, PostLogistics benefited from the economic recovery and a revival inelectronic trade, which was reflected in a 3.8% increase in parcel volumes. Its revenues increasedslightly to CHF 1,089 million. A number of efficiency-enhancing measures also had a positive effecton the improved results in this market.
Once again, the retail finance market (PostFinance) made the largest contribution to groupprofits, rising to CHF 455 million from CHF 351 million last year. The continued growth in customerdeposits was the main factor behind this increase.
