Slovenia: Postal Company Posts Best Results Ever

The boss of Posta Slovenije told the press on Friday the national postal company generated EUR 20.88 million in net profit in 2006, or some EUR 5.8 million more than a year before. Operating revenues increased nearly 10 per cent to EUR 229.78 million.

The results have never been better, Ales Hauc told the press in Ljubljana, upbeat about the future of the company that employed 6,723 people at the end of 2006.

The general manager said the figures were particularly good considering that 75 per cent of revenues were generated in sectors that were not under state control. According to him, Posta Slovenije has long ceased to be a monopoly.

Good operating results are attributable to 12-per-cent growth in services, productivity, efficient cost management and streamlined operations. The bulk of revenues was made in standard mail services (42 per cent), direct mail delivery (16 per cent) and cash transactions (23 per cent), followed by retail (6 per cent) and parcel delivery (8 per cent).

The projection for this year is an 8-per-cent increase in revenues and 5-per-cent growth in expenditures and a drop in profit as growth is expected to slow down compared to trends over the past few years.

According to Hauc, the postal company has always been conservative in its operating plans. Investment totalled EUR 12.8 million last year, and was spent mainly on new buildings and furnishings, means of transport, capital investments and IT. This year the company is to invest a total of EUR 37.69 million.

Hauc also commented on the liberalisation of the postal services in Europe. “We welcome liberalisation, even as early as 2009. We believe competition is good.” Nevertheless, caution is needed, which is why he urged the government to ensure that the same rules apply to all players on the market.

Posta would like to become a modern European logistics company, placing considerable attention on development of e-services, while also expanding the range of services on offer at the counter. The sale of advertising area in postal offices is also planned for this year, according to Vinko Filipic of the management.

The postal company also plans to issue – for the first time this year – a stamp that is glowing in the dark, and mark the beginning of Slovenia’s stint as EU president on January 1st 2008 with a hologram stamp.