Posten Norge: We operate in a market characterised by uncertainty and weakened purchasing power
Posten Norge has increased the volume of parcels from online shopping in the last 12 months by 7.1 % despite weak market development for online shopping, record high transport and energy prices.
Organic growth so far this year was 5.0 %. The group’s turnover was NOK 17,006 million as of the 3rd quarter of 2022. Adjusted operating profit for the 3rd quarter was NOK 422 million, a decrease of NOK 789 million compared to the same period in 2021.
“The result reflects that we operate in a market characterised by uncertainty and weakened purchasing power. In such a situation, customers see us as a safe and attractive logistics partner and this has resulted in a growth in parcels from online shopping of 7.1 per cent,” says Group CEO Tone Wille of Posten Norge.
The geopolitical tension combined with the energy crisis and weakened purchasing power mean that Norges Bank, among others, sees that parts of the economy are in the process of cooling down and expects greater uncertainty in the future.
“We expect challenging market conditions going forward. Therefore, we must be sober and have a continued high cost focus. At the same time, we must think long-term and take advantage of the opportunities that open up in a troubled market. We will invest for future growth,” says Wille.
The speech of numbers
For the third quarter in isolation, organic growth was 5.9 %. The group’s turnover in the third quarter of the year was NOK 5,556 million. Compared to the 3rd quarter of 2021, this was a reduction of 6 % as a result of Frigoscandia Sweden being sold at the end of last year. Adjusted operating profit in the 3rd quarter of 2022 was NOK 134 million, a decrease of NOK 268 million compared to the 3rd quarter of 2021.
The logistics segment had a turnover to date in 2022 of NOK 13,681 million. Organic growth was 9.3 %. Adjusted operating profit was NOK 641 million so far in 2022, a reduction of NOK 449 million compared to the same period in 2021.
The postal segment had a turnover so far in 2022 of NOK 3,887 million, which is a reduction of NOK 198 million compared to the same period last year. This was mainly due to a continued fall in the volume of addressed mail. Adjusted operating profit was negative by NOK 75 million so far in 2022, a reduction of NOK 261 million compared to the same period in 2021.
In the 3rd quarter, 91.8 % of addressed mail arrived within three days. This was well above the license requirement of 85 %.
Sickness absence as a 12-month trend was 6.7 % in September, much of which was corona-related absence. The number of personal injuries decreased, and the injury rate as a 12-month trend continues its positive development to 7.3 in September.
Key figures until 2022 per 3rd quarter (2021 in brackets)
- Operating income (MNOK): 17,006 (17,939)
- Adjusted operating profit (MNOK): 422 (1,211)
- Operating profit (EBIT) (MNOK): 66 (1,222)
- Equity ratio: 31.2 (37.7)
- Return on invested capital/ROIC: 7.1 (19.5)
- Return on equity (after tax): 1.6 (18.5)
Key figures 3rd quarter 2022 (2021 in brackets)
- Operating income (MNOK): 5,556 (5,913)
- Adjusted operating profit (MNOK): 134 (402)
- Operating profit (EBIT) (MNOK): 121 (402)