PostNL revenue is declining due to the disappearance of the effects of corona

PostNL’s revenue fell in the first quarter. This is partly due to the fact that several parcels were sent in the same period last year as a result of the corona pandemic, the Dutch postal company stated on Monday.

In addition to the disappearance of the effects of the corona, fewer packages were sent due to the war in Ukraine, according to PostNL. The number of letters also dropped because many invitations for a corona vaccination were still being delivered to people’s homes last year.

The number of packages sent dropped to 87 million from 108 million a year earlier. In addition to the corona effect, package volume is still increasing, top woman Herna Verhagen explains. PostNL expects to feel the impact of the war in Ukraine and corona lockdowns in China in the near future. These lead to further general economic uncertainty and price increases.

PostNL’s revenue fell by 16 percent to 806 million euros in the first quarter. Net profit fell by 88 percent to 16 million euros. It will be a “more challenging year for the postal company than previously anticipated”, according to Verhagen. PostNL has therefore lowered its profit expectation to EUR 170 million to EUR 210 million. Previously, the company had expected a profit of between 210 million and 240 million before deduction of, among other things, tax.

In Belgium, PostNL was discredited for the sometimes awful working conditions, often with subcontractors who allegedly also employed minors. Minister of Public Works Petra De Sutter is working on an amendment to the Postal Act, which will require courier companies to have 80 percent of their packages delivered by their own staff by 2025.

Verhagen could not say anything new about the alleged assaults in the Belgian branch of the company. The top woman reiterated that it is ‘something that touches us a lot’ and said she did not recognize herself in the messages. ‘It makes it even more painful,’ says Verhagen. The company already carries out ‘100 percent checks’, and only minor irregularities are found, such as an employee not having his passport or identity card with him, it says. Of the approximately 53,000 PostNL employees, almost 2,400 are employed in Belgium.

In addition to the disappearance of the effects of the corona, fewer packages were sent due to the war in Ukraine, according to PostNL. The number of letters also dropped because many invitations for a corona vaccination were still delivered to people’s homes last year. The number of packages sent dropped to 87 million from 108 million the year before. In addition to the corona effect, package volume is still increasing, top woman Herna Verhagen explains. PostNL expects to feel the impact of the war in Ukraine and corona lockdowns in China in the near future. These lead to further general economic uncertainty and price increases. PostNL’s revenue fell by 16 percent to 806 million euros in the first quarter. Net profit fell by 88 percent to 16 million euros. It will be a “more challenging year for the postal company than previously anticipated”, according to Verhagen. PostNL has therefore lowered its profit expectation to EUR 170 million to EUR 210 million. Previously, the company had expected a profit of between 210 million and 240 million before deduction of, among other things, tax. In Belgium, PostNL was discredited for the sometimes awful working conditions, often with subcontractors who allegedly also employed minors. Minister of Public Works Petra De Sutter is working on an amendment to the Postal Act, which will require courier companies to have 80 percent of their packages delivered by their own staff by 2025. Verhagen could not say anything new about the alleged abuses in the Belgian branch of the company. The top woman reiterated that it is ‘something that touches us a lot’ and said she did not recognize herself in the messages. ‘It makes it even more painful,’ says Verhagen. The company already carries out ‘100 percent checks’, and only minor irregularities are found, such as an employee not having their passport or identity card with them, it says. Of the approximately 53,000 PostNL employees, almost 2,400 are employed in Belgium.

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