Soaring profits: Deutsche Post profits at record high
Deutsche Post World Net has reported record revenues and profits for 2000 and said it is on track to become the globe’s top logistics provider.
Yet less and less of the operator’s revenue is coming from its traditional mail with the division’s contribution to revenues falling sharply to just 34 per cent compared to 50 per cent in 1999. The contribution to overall profits is also lessening, falling to 74 percent in 2000 from more than 90 per cent in 1999.
However, Deutsche Post continues to generate the bulk of its earnings from mail and the division boosted revenues slightly to Euro11.7 billion.
The mail, express and logistics giant lifted corporate revenue by 46 per cent to Euro32.7 billion, mainly as a result of acquisitions, while net profits jumped 48 per cent to Euro1.53 billion. Earnings before interest, tax and amortisation rose 158 per cent to Euro2.38 billion, in line with expectations.
“The corporate figures speak of the group’s extraordinarily dynamic development into a global player,” said Klaus Zumwinkel, a chairman of the post. The record figures and the increase in foreign revenue to 29 per cent last year from two per cent in 1998, “show what we are on track to becoming the number one global player in the logistics industry,” he said.
These results were marred though, by a six per cent drop in the post’s profits for the first quarter of this financial year. Deutsche Post put the fall down to increased tax payments.
