Tag: UK Mail

Business Post is planning further growth in its letters division to handle unsorted mail after announcing a steady rise in turnover across its various delivery operations. The mail delivery company yesterday reported a rise in group pre-tax profit to Pounds 20m for the year to March 31 compared with Pounds 18.7m a year earlier. Turnover increased 21 per cent to Pounds 233.3m.
Paul Carvell, chief executive, said he expected the company to meet forecasts of a 25 per cent increase in profit for the coming year. Business Post was increasing sales in part by packaging together its different services for big customers, particularly those in the electronics and computer sectors, Mr Carvell added.

Business Post’s letter delivery division, which competes with Royal Mail in the partially liberalised UK postal market, is set to break even during its first year of trading, ahead of expectations. UK Mail is handling the equivalent of 250 million items a year following its launch last May and has almost 1 per cent of the market, Business Post said in a trading update. The service was set up by Business Post after Postcomm, the industry regulator, gave companies the right to enter the letters delivery market in 2003. The division’s progress will enable it to break even for the year to March 31, instead of incurring a small loss as previously expected.