Post Danmark recorded a profit after tax of DKK 539 million in the first half of 2005
Post Danmark recorded a profit after tax of DKK 539 million in the first half of 2005. This was a DKK 13 million higher profit than in the first half of 2004. Profit before tax was DKK 758 million against DKK 760 million in the first half of 2004.
– This is a satisfactory result in consideration of the fact that it was achieved in a period with declining letter volumes and stagnant revenue from letters, says Helge Israelsen, CEO of Post Danmark.
The parcels business was more encouraging. Revenue from parcels rose by approx. 5 per cent compared with the same period in 2004. Similarly, newspapers, magazines and periodicals as well as magazine mail grew in terms of revenue.
Conversely, as a result of strong competition, Post Danmark experienced a slight fall in revenue from the distribution of unaddressed items.
Post Danmark’s total revenue went up by DKK 86 million, amounting to DKK 5,784 million in the first half of 2005.
Total operating expenses as well as depreciation and amortisation amounted to DKK 5,039 million in the first half of 2005, corresponding to an increase of 2.3 per cent. This development can primarily be explained by price and pay increases as well as delayed efficiency improvement projects.
– We expect the continued development of electronic communications to put pressure on the market for physical letters. However, total revenue is expected to improve slightly on 2004. We also expect the level of expenses to rise slightly, says Helge Israelsen.
The profit for the year 2005 as a whole will be negatively affected by non-recurring costs of DKK 90 million as a result of the costs in relation to the planned employee share programme in autumn 2005. Disregarding these costs, Post Danmark’s expectations for a slightly lower profit than in 2004, as expressed in connection with the presentation of the Annual Report for 2004 and the Interim Report for the First Quarter of 2005, are maintained.
For more information: Helge Israelsen, CEO of Post Danmark, tel. +45 33 75 40 00.
