Financial highlights Q2 2015

1. Revenue stable at €824 million (Q2 2014: €827 million)
2. Underlying cash operating income increased to €65 million (Q2 2014: €58 million)
3. Net cash from operating and investing activities of €(57) million (Q2 2014: €4 million)
4. Consolidated equity position improved to €(357) million (Q1 2015: €(574) million)

Operational highlights Q2 2015

1. Addressed mail volume declined by 11.2% (adjusted for working days and elections: 9.1%)
2. €22 million cost savings realised
3. Parcels volume grew by 7.1%
4. Important step towards sustainable delivery model
5. Improvement performance International

CEO statement

Herna Verhagen, CEO of PostNL: “Overall, the second quarter performance further solidified the base for delivering the full year outlook. We reconfirm that the second half year will be better than last year, helped by extra working days in the last quarter and the phasing in cost savings and volumes. We remain on track to achieve our outlook for 2015.

Let me start with summarising some recent developments. In Parcels we took an important step towards a responsible and competitive delivery model by offering all independent parcel deliverers the option to enter the company's employ or remain self-employed with increased pay. In the United Kingdom, PostNL and management of Whistl have reached an agreement on the main conditions for a management buy-out.

Then back to our results. In Mail in the Netherlands, price increases and cost savings compensated part of the volume decline. Parcels continued its solid performance with volume up 7%, helped by growth in its cross-border activities. The result in International, now reported excluding the United Kingdom, further improved, mainly explained by better performance of Germany.

The strategic review of our German and Italian operations is in progress. We note the continued satisfactory progress in our financial positon. Net cash from operating and investing activities moved in line with expectations. Furthermore, we redeemed the Eurobond that expired in June, fully from our cash position. Our consolidated equity position benefited both from the increased value of our stake in TNT Express as well as from the increase in interest rates. Our strategy update is scheduled for 3 November 2015. We will then present our view on our business developments and an outlook for the years to come.” 

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Source: PostNL