Spanish Seur continues to improve
Seur’s year-on-year increase was primarily driven by the international business, which has traditionally been the company’s Achilles’ heel. Last year’s launch of a partnership with the French GeoPost has enabled Seur to improve this part of the business almost immediately with the upward trend likely to continue in 2005.
Leading Spanish express and courier company Seur has posted its 2004 financial results, although it only stated and commented upon total sales as the company is not listed on the stock market and is therefore not obliged to release complete financial statements.
The company reported revenues of E543 million, an 8.7% increase on the previous year’s figure. Seur’s outgoing president, Mr Ramon Mayo, emphasized the significant growth in international business, with sales from this segment almost doubling last year’s figures, and now representing 8% of total revenues at E43.4 million.
According to Mr Mayo and the new president Manuel Valle Lopera, the significant growth in international business is due to Seur’s alliance with the French express and courier holding company GeoPost, part of the postal group La Poste. GeoPost acquired a 12.6% stake in Seur last year.
GeoPost’s share in Seur allows the Spanish company access to GeoPost’s extensive network as well as extra funds for international expansion. In this sense, Seur opted for an industry player as a partner to solve its problems, as opposed to a financial partner, and has ruled out listing on the stock exchange for the immediate future.
GeoPost’s business model and approach to acquisitions suits Seur’s franchise structure, as it is based on respecting minority shareholders and the cultural specificities of acquired companies and joint ventures. Seur currently has 64 shareholders, whose stakes in the company are proportional to the amount of business they bring to the group and who have priority to buy a franchise if one becomes available. This is one of the reasons why it has been so difficult for the company to find an international partner. However its tie-up with GeoPost seems to be successful in enabling Seur to boost its geographical reach while staying true to its franchise structure. Assuming the partnership remains healthy, Seur should be well paced to continue on its upward trajectory.
