PostNL profits drops despite revenue increase

Despite the ever-declining mail market, PostNL managed to book an increase in revenue last year, De Telegraaf reports.

PostNL today reported a turnover of 1.2 billion euros in the fourth quarter, 4 percent more than the previous year. The net profit amounted to 116 million euros, 9 million less than in 2013 if the fluctuations in the shares of courier company TNT is not taken into account.

The mail market for letters and cards declined by 11 percent.  There was an increase of 12 percent in parcel delivery revenue. This is largely thanks to the growth in online shopping and e-commerce. The international activities of the company increased by 10 percent when compared to the same period in 2013.

The postal company compensated for the declining mail market with spending cuts and more expensive stamps. Cost cutting brought in 127 million euros for PostNL last year.