Ceska posta raises profit by a half at end-2005

Czech postal service operator Ceska posta raised net earnings by 50 percent to CZK 667 million last year, the second best result in the company’s history, and turnover was 8.3 percent higher at CZK 17.7 billion.

Audited results were approved by the supervisory board on Tuesday.

Karel Kettner, head of the Ceska posta CEO’s office, said the state-run company had to cope with tough conditions on a more liberal market for postal services, primarily in the segment of letter post and packages, with rivals operating in economically lucrative territories.

Real wages grew by 5 percent to an average CZK 15,563 last year, and the number of employees decreased by 500 to 38,290 staff. Collective agreement was signed with unions until the year 2010.

Ceska posta is building a new trade department which is part of its transformation from a technology-oriented to customer-oriented company so as to cope with competition on the market.

This year, the company will still hold a monopoly on delivery of all items weighing less than 50 grams.

vr/er