Tag: TNT

Royal Mail a global also-ran, claims rival

Posted by | Feb 27, 2007 | |

Royal Mail has left it too late to become an international business, the chief executive of its main rival said yesterday.

Peter Bakker, head of TNT, the Dutch postal business, said that it would be difficult for Royal Mail to catch up after years of expansion by other operators such as his own company, Fed-Ex and DHL.

Royal Mail has one international business, a European parcels operation, while its rivals are active across large parts of the world.

TNT said yesterday that it would accelerate its moves into developing markets such as China, India and Brazil. The group, which now deals with one billion items of UK mail a year, believes that it can provide infrastructure and mail services as the postal market develops on the back of strong industrial growth. Last year, international businesses contributed 75 per cent of TNT’s EUR10 billion (GBP6.7 billion) revenues.

Royal Mail hit back, saying there was not as much competition in comparable countries as there was in the UK, where the market was fully liberalised.

Mr Bakker also gave warning that TNT could quickly double its UK market share if Royal Mail lost its VAT exemption. The European Commission is investigating whether it is permissible for incumbent mail operators to be exempted from VAT by their governments when rivals have to charge the tax.

Mr Bakker said that TNT would be able to secure more lucrative contracts if it were able to compete on level terms with Royal Mail.

Read More

TNT set to put orange-clad postmen on streets

Posted by | Feb 27, 2007 | |

TNT is ready to roll out a door-to-door letter delivery system in cities across the UK, bringing staff in an orange uniform shoulder to shoulder with postmen and women dressed in the familiar blue and red.

TNT of the Netherlands said it would take a final decision over the next couple of months when it had gained final data from its trials in Glasgow and Manchester but was now “hopeful” that it would proceed with its plans for the biggest ever challenge to Royal Mail’s position.

Reporting an 11.3% increase in worldwide operating profits and earnings before tax and interest of EUR355m (GBP238m), TNT chief executive Peter Bakker said Britain was a key market showing healthy growth and the company was now distributing more than 1bn pieces of mail a year here. Royal Mail customers to have switched to TNT include BT, which recently signed a contract worth up to GBP90m.

Items handled by TNT – apart from those involved in the trials – are collected before being handed over to the Royal Mail for the “last mile” delivery. But that will change when TNT starts offering a complete next-day service in many locations.

TNT wants to roll out its door-to-door operation to large cities in Britain but is unlikely to offer next-day delivery to more remote rural areas, critics argue. But the Dutch company said yesterday that private companies were also working at a disadvantage, particularly from having to add VAT to services, unlike Royal Mail. The European commission is looking at this issue in Britain, Germany and Sweden.

Read More

TNT Express launches 'Mobile Worker' in Bahrain and Kuwait

Posted by | Feb 26, 2007 | |

TNT Express has launched its ‘Mobile Worker’ communication units in Bahrain and Kuwait which enable drivers to send and receive delivery information in real-time through one hand-held scanner.

Introduced as part of a global strategy for its worldwide delivery network, the ‘Mobile Worker’ units enable high speed wireless communication of large quantities of data between depots and drivers.

“Mobile Worker” consolidates seven different communication systems into one unified and multi-functional solution and enables customers across the world to track their shipments in less than five minutes of pick up or delivery. This is particularly useful for those operating time critical businesses.”

“By implementing a ‘single system’ solution, TNT can deploy this technology across its network without the need to install and maintain a server infrastructure in each country. This will help create savings of up to 70 per cent,” added Gamal.

Read More

TNT Romania expects 30% growth in 2007

Posted by | Feb 26, 2007 | |

TNT has budgeted a turnover worth about 33 million euros for this year, counting on rising international exchanges with EU countries.

“For 2007, we expect to witness a growth of at least 30% in the wake of investments we will operate and owing to the development of international delivery services, which will see spectacular growth in the following years.

At the same time, a series of multinationals are starting to develop significant production facilities in the area, which will trigger positive chain reactions for the domestic partners of these companies,” stated Bogdan Enache, country manager with TNT Romania.

TNT, part of Dutch TNT Express group, operates international and domestic courier services. However, international shipments account for 85-90% in the companies turnover.

TNT last year generated a turnover exceeding 25 million euros, witnessing growth of almost 25% year-on-year. At the same time, the companies gross income advanced by 30%, to some 5 million euros.

TNT is retaining its position on the market through massive investments in infrastructure, traffic lines and connections, and through the opening a new operations centre in Henri Coanda Airport (Otopeni).

TNT will further invest in the development of sorting centres in Timisoara, Cluj-Napoca and Brasov, and also in the development of its services network. Though it started out as a company that delivered small parcels, it has continually expanded its service network.

Read More

TNT fourth-quarter update

Posted by | Feb 26, 2007 | |

Dutch mail company TNT NV said on Monday its fourth-quarter operating profit rose 11.3 percent, but its shares fell as some analysts called the 2007 outlook disappointing.

TNT, which sold its logistics and freight management units last year, said earnings before interest and tax (EBIT) rose to 355 million euros (USD465 million), in line with an average forecast of 351 million euros in a Reuters poll of 10 analysts.

TNT group revenue rose 7.6 percent to 2.767 billion euros, compared with an average analyst forecast of 2.81 billion euros.

The company announced a new share buyback of up to 400 million euros which is due to start after a shareholders’ meeting in April and proposed a dividend of 0.73 euros per share, an increase of almost 16 percent, roughly half of which was due to past share buybacks.

TNT shares fell 1.8 percent to 33.69 euros by 1033 GMT. The DJ Stoxx industrials index was up 0.4 percent.

TNT said it expected its mail division to report revenue growth in the mid single-digit percentage range for 2007 and an EBIT margin of around 17 percent, down from 18.7 percent in 2006. Lower-margin mail operations outside of the Netherlands are expected to show 25 percent revenue growth.

Read More

Advertisement

Advertisement

Advertisement

P&P Poll

Loading

What's the future of the postal USO?

Thank you for voting
You have already voted on this poll!
Please select an option!



View ResultsHide Results

Post & Parcel Magazine


Post & Parcel Magazine is our print publication, released 3 times a year. Packed with original content and thought-provoking features, Post & Parcel Magazine is a must-read for those who want the inside track on the industry.

Subscribe to the Magazine

 

Pin It on Pinterest