Omniva reports 23% Q1 revenue growth
Omniva has reported that its revenue for the first quarter (Q1) of 2016 was up 23% on last year at €20.6m. Omniva said that the growth came from its logistics and international e-commerce business, as it saw a further decrease in the traditional letter service segment. Revenues from postal services decreased by 7%.
In a statement sent to Post&Parcel today (4 March), Omniva commented: “The volume of Omniva’s parcel business services grew by 26% compared to the first quarter of the previous year. Growth was especially remarkable in the other Baltic states, particularly in Latvia, where the volume of parcel services grew by 86% in Q1 in a year-on-year comparison.”
The company said that its network of parcel machines played an important role in boosting volume.
“Omniva’s 205 parcel machines make up the largest network of parcel machines in the Baltic states, and this number will further increase by approximately a third in 2016,” said the company. “At the same time, Omniva’s parcel machine service will become more and more available in smaller towns and settlements too.”
Omniva added that the decrease in the volume of letter services “is mainly caused by the fact that invoices are now sent through electronic channels”.
Commenting on the results, Aavo Kärmas, the Chairman of the Board of Omniva, said: “In a situation where the volume of letter services is decreasing and most customers visit post offices to send or receive parcels, we must prioritise the needs of our parcel business in the development of our network.
“Therefore, we also need to update the requirements for our postal network. These requirements were established ten years ago primarily considering the needs of our letter service.”
The Omniva group comprises AS Eesti Post as the parent company, AS Maksekeskus, UAB Omniva LT in Lithuania and SIA Omniva in Latvia as its subsidiaries, and the affiliated company OÜ Post11.
