Slide 1: Austrian Post Investor Presentation Q1 2023
AUSTRIAN POST Investor Presentation Q1 2023 Walter Oblin, CFO Vienna, 12 May 2023 INVESTOR PRESENTATION Investor Relations Vienna, 12 May 2023
Slide 2: Austrian Post at a Glance
AUSTRIAN POST AT A GLANCE Revenue mix Q1 2023 Branch & Financial Services Parcel International 6% Letter Mail & 19% 29% Business EUR Solutions Mail Parcel & Logistics Retail & Bank – Letter Mail – Parcels and Express – Branch and Financial 665m Revenue – Direct Mail – Fulfilment and Services – Newsp
Slide 3: Economic Environment 2023 Impacted by Inflation and Currency Effects
ECONOMIC ENVIRONMENT 2023 IMPACTED BY INFLATION AND CURRENCY EFFECTS Consolidation in e-commerce Türkiye: high inflation with volatile Inflation drives costs (also in stationary trade) currency E-commerce revenue with goods in Austrian Consumer Price Index Turkish Lira exchange rate Germany (nominal
Slide 4: Overview of 2023
OVERVIEW OF 2023 Good start in Q1 Challenges Actions Δ Q1 22/23 EUR m – Volatile economic development – Processes & costs Revenue +10.5% 664.7 Improved efficiency of logistics – Staff costs Mail +3.3% 308.6 processes and cost discipline in Increase mandated by collective labour Parcel & Logistics +1
Slide 5: Ongoing Structural Change
ONGOING STRUCTURAL CHANGE Mail and parcel as strong pillars for Group revenue Δ Q1 22/23 Revenue in EUR m 664.7 +10.5% 647.0 601.4 502.9 323.7 327.1 454.1 283.1 +15.5% 64.4 174.5 Parcel & Logistics Mail Retail & Bank 348.2 311.0 298.9 308.6 317.5 +3.3% 40.9 13.2 17.7 26.4 37.5 Q1 20101 Q1 2020 Q1 20
Slide 6: Positive Development of Q1 2023 Group Revenue
POSITIVE DEVELOPMENT OF Q1 2023 GROUP REVENUE Revenue development Group: +10.5% in Q1 2023 Letter and direct mail business positively impacted by postal rate EUR m +10.5% increases, recovery of the parcel business in Austria and Türkiye, good (+5.5% excl. Parcel Türkiye) development in the interest
Slide 7: Group Earnings in Q1 2023 Supported by Improved Earnings of Retail & Bank
GROUP EARNINGS IN Q1 2023 SUPPORTED BY IMPROVED EARNINGS OF RETAIL & BANK EBIT development Group: +18.7% in Q1 2023 Positive development of Group earnings due to positive impact from EUR m Retail & Bank Division +18.7% Mail: -0.3% to EUR 41.0m – Declining letter and direct mail volumes offset by pos
Slide 8: Strategy of Austrian Post: Ahead to the Future
STRATEGY OF AUSTRIAN POST: AHEAD TO THE FUTURE INVESTOR PRESENTATION Investor Relations Vienna, 12 May 2023 8
Slide 9: Letter Mail
1 LETTER MAIL Q1 2023 Letter Mail volumes in Austria (daily items) – Austrian letter mail volumes down by 4% vs. Volumes Austria and International Q1 2022 (millions of items) – Few special mail volumes and effects in Q1 – Ongoing strong decline in international Ø -4.3% p.a. Ø -4.6% p.a. letter mail
Slide 10: Priority and Non-Priority Rates in Europe
1 PRIORITY AND NON-PRIORITY RATES IN EUROPE Nominal value of priority letter prices Denmark 4.30 1.38 3.69 Italy 2.80 1.39 3.23 Greece 1.90 1.25 2.63 Latvia - 2.57 Belgium 2.14 1.39 2.19 Romania 0.79 1.28 2.17 Estonia 1.50 1.29 2.15 Poland 1.03 1.58 1.94 Finland 2.10 1.90 Czech Republic 1.05 1.39 1.
Slide 11: Direct Mail/Media Post in Austria
1 DIRECT MAIL/MEDIA POST IN AUSTRIA Q1 2023 Direct Mail/Media Post volumes (daily items) – 11% volume decrease in direct mail/media post in Q1 2023 after +9% in Q1 2022 Volumes – Generally declining advertising business can be (millions of items) observed with varying advertising behaviour by custom
Slide 12: Parcel Business in Austria
1 PARCEL BUSINESS IN AUSTRIA Q1 2023 parcel volumes (daily items) – 5% parcel growth YOY in Austria Volumes – Quarterly comparison impacted by pandemic (millions of items) and lockdowns – Slight increase once again after consolidation of volumes in the previous year Ø +9.8% p.a. Ø +12.5% p.a. +5% 18
Slide 13: Sustainable Infrastructure Investments
1 SUSTAINABLE INFRASTRUCTURE INVESTMENTS CAPEX (EUR m) CAPEX Q1 2023 160-180 Reduced CAPEX – 161 - Maintenance CAPEX of EUR 13.4m 152 Requirements from 143 - Growth CAPEX of EUR 10.7m 2024 onwards CAPEX forecast for 2023 - Expected level of EUR 160m-180m - Availability of vehicles and construction s
Slide 14: Expansion of Austrian Logistics Infrastructure
1 EXPANSION OF AUSTRIAN LOGISTICS INFRASTRUCTURE 2018 2019 2020 2021 2022 2023 2024 Sorting capacity (parcels/h, cumulative) LC Vienna LC Styria LC Upper Austria 138,000 129,000 Expansion LC Lower Austria LC Vienna LC Tyrol 104,000 LC Vorarlberg until 2023 LC Salzburg 91,000 LC Styria 76,000 LC Lowe
Slide 15: Staff Structure in Austria
1 STAFF STRUCTURE IN AUSTRIA Employees in the Austrian core business FTEs (average for the period) 21,926 490 17,697 -572 17,125 9,397 -348 Civil Servants -227 Employees Old CLA +4 Employees New CLA 9,866 9,870 12,039 3,486 3,259 New Collective Labour Agreement Old Collective Labour 4,345 3,997 Agre
Slide 16: Profitable Growth in Near Markets
2 PROFITABLE GROWTH IN NEAR MARKETS Focus on Parcel & Logistics CEE/SEE TÜRKIYE millions of parcels millions of parcels 198 Q1 2023 revenue 186 182 EUR 11.4m 127 127 Germany 44 52 54 34 35 44 Slovakia 14 Hungary 2018 2019 2020 2021 2022 Q1 2018 2019 2020 2021 2022 Q1 Slovenia 2023 2023 Serbia Q1 202
Slide 17: Parcel Türkiye – Aras Kargo
2 PARCEL TÜRKIYE – ARAS KARGO Turkish Lira FX rate Financial indicators (1 EUR in TRY) 20.0 21.3 – Parcel growth of 8% in Q1 2023 15.2 – Revenue up by 120% (after hyperinflation accounting) to TRY 1,743m ≙ EUR 84m 9.1 – Solid business development despite difficult market environment 2021 2022 2023 A
Slide 18: bank99: Integration Forms Solid Foundation
3 BANK99: INTEGRATION FORMS SOLID FOUNDATION Positive momentum from improved interest rate environment bank99 balance sheet total 31.3.2022 31.3.2023 as at 31.3.2023 Top issues in 2023 EUR bn Acc. Austrian GAAP 3.1 3.1 Retail & digital bank Technical integration (IT system of bank99/ING) Customers 2
Slide 19: Self-Service Solutions Are Very Popular with Post Customers
3 SELF-SERVICE SOLUTIONS ARE VERY POPULAR WITH POST CUSTOMERS Volumes 24/7 (millions of items) Ø +15% p.a. First Mile (send, return) Last Mile (receive) 23.4 21.6 17.6 11.2 715 10.4 Drop-off devices 13.8 8.4 11.3 6.6 68,567 8.3 5.2 Pick-up boxes 5.6 4.8 5.9 4.3 4.3 3.3 3.4 3.2 2.5 1.7 6.4 7.0 106,95
Slide 20: Strategy Austrian Post: Ahead to the Future
STRATEGY AUSTRIAN POST: AHEAD TO THE FUTURE INVESTOR PRESENTATION Investor Relations Vienna, 12 May 2023 20
Slide 21: From CO2-Neutral to CO2-Free in Austria
FROM CO2-NEUTRAL TO CO2-FREE IN AUSTRIA Further expansion of the E-vehicle fleet and PV facilities E-vehicle fleet ramp-up curve Photovoltaic facilities (number of vehicles) (output in cumulative MWp) >20.0 >4.600 ~15.0 >3.800 3.039 2.418 ~8.0 4.3 3.0 1.4 2011 21 22 23e 24e 2030e 2014 21 22 23e 24e
Slide 22: Our ESG Credentials Demonstrate a Leading Role
OUR ESG CREDENTIALS DEMONSTRATE A LEADING ROLE 6.6 AAA (range from AAA to CCC) 0 4.8 10 Prime Status, Top 10% Rating C+ (range from A+ to D–) A (range from A to D–), Supplier C A Engagement Leader D- A 15.7 (low risk) Top 7% (range from 0 to 50) 58 out of 100 points 48 58 0 100 Top 59 out of 100 poi
Slide 23: Ambitions of Austrian Post Are Recognised
AMBITIONS OF AUSTRIAN POST ARE RECOGNISED CEO & CFO ALC Award Included 2022 of the Year again in the ESG Reporting 2023 in the CDP A List category ESG 2nd Place 1st Place Austrian Effective Sustainability Sustainability Reporting Communicator Award 2022 2022 Austria INVESTOR PRESENTATION Investor Re
Slide 24: Financial Indicators at a Glance
FINANCIAL INDICATORS AT A GLANCE Q1 2022 Q1 2023 Revenue (EUR m) 601.4 664.7 Positive revenue development (+10.5%) EBITDA margin (%) 13.5 14.3 EBITDA margin improves to 14.3% EBIT margin (%) 6.6 7.1 EBIT margin develops solidly at 7.1% Earnings/share (EUR) 0.46 0.46 Earnings per share stable YOY Cas
Slide 25: Key Income Statement Indicators
KEY INCOME STATEMENT INDICATORS EUR m Q1 2022 Q1 2023 % ∆ Revenue 601.4 664.7 10.5% 63.3 Positive revenue development in all divisions: Mail +3.3%, Other operating income 28.4 18.6 -34.5% -9.8 Parcel & Logistics +15.5%, Raw materials, consumables and services used -175.6 -197.6 -12.5% -22.0 Retail &
Slide 26: Mail Division: Revenue Development in Q1 2023
MAIL DIVISION: REVENUE DEVELOPMENT IN Q1 2023 Letter Mail & Business Solutions (EUR m) Direct Mail/Media Post (EUR m) – 4% decline in Austrian letter mail volumes – Direct mail and media post volumes down by 11% – Ongoing decrease in international letter mail volumes – Advertising market continues t
Slide 27: Mail Division: Key Income Statement Indicators
MAIL DIVISION: KEY INCOME STATEMENT INDICATORS EUR m Q1 2022 Q1 2023 % ∆ Revenue 298.9 308.6 3.3% 9.7 • Letter Mail & Business Solutions 187.6 198.2 5.6% 10.6 Revenue increase due to postal rate measures in 2022 • Direct Mail 81.5 79.2 -2.8% -2.3 Direct Mail business remains • Media Post 29.8 31.2 4
Slide 28: Parcel & Logistics Division: Revenue Development in Q1 2023
PARCEL & LOGISTICS DIVISION: REVENUE DEVELOPMENT IN Q1 2023 Revenue development Parcel & Logistics: +15.5% EUR m Positive revenue development in all regions; lack of special +15.5% pandemic-related logistics services (+4.6% excl. Parcel Türkiye) Parcel Austria: +8.3% (EUR +14.2m) – Volume increase a
Slide 29: Parcel & Logistics Division: Key Income Statement Indicators
PARCEL & LOGISTICS DIVISION: KEY INCOME STATEMENT INDICATORS EUR m Q1 2022 Q1 2023 % ∆ Revenue 283.1 327.1 15.5% 44.0 Positive volume and revenue • Parcel Austria 170.9 185.0 8.3% 14.2 development • Parcel Türkiye 50.4 83.6 65.9% 33.2 Revenue strongly impacted by • Parcel CEE/SEE 42.4 43.4 2.3% 1.0
Slide 30: Retail & Bank Division: Revenue Development in Q1 2023
RETAIL & BANK DIVISION: REVENUE DEVELOPMENT IN Q1 2023 Revenue development Retail & Bank Division: +41.8% EUR m Continuation of positive revenue development due to +41.8% improved interest rate environment for banks Income from Financial Services: EUR 37.5 +10.2m – Rising net interest income followi
Slide 31: Retail & Bank Division: Key Income Statement Indicators
RETAIL & BANK DIVISION: KEY INCOME STATEMENT INDICATORS EUR m Q1 2022 Q1 2023 % ∆ Revenue 26.4 37.5 41.8% 11.1 Rising net interest income supports bank99 revenue • Income from Financial Services 17.4 27.6 58.5% 10.2 development • Branch Services 9.0 9.9 9.7% 0.9 Revenue intra-Group 46.6 47.4 1.8% 0.
Slide 32: Solid Balance Sheet and Financing Structure
SOLID BALANCE SHEET AND FINANCING STRUCTURE EUR m 5,376.0 5,376.0 31.03.2022 Cash, money market/securities investments 142.0 118.1 584.4 Other financial liabilities Financial assets, investment property Loans of EUR 150m and lease liabilities of EUR 415m (IFRS 16) 519.2 Liabilities/Other Financial a
Slide 33: Operating Free Cash Flow at a Solid Level
OPERATING FREE CASH FLOW AT A SOLID LEVEL EUR m Operating free cash flow Free cash flow before money markets and of EUR 75m securities investments of EUR 52m 87.5 +1.0 75.1 -13.4 -10.7 51.5 -12.9 Cash flow from operating Maintenance Other Operating Growth Acquisitions/ Free cash flow before activiti
Slide 34: Outlook for 2023
OUTLOOK FOR 2023 Market environment – Inflation as the decisive factor (energy costs, staff costs) – Economic environment and purchasing power of consumers are difficult to forecast – Limited visibility of volume development – Importance of active product design and pricing Revenue – Targeted mid-si
Slide 35: Contact
CONTACT Austrian Post Financial calendar 2023 Investor Relations 10 August 2023 Half-Year Report 2023 Rochusplatz 1, 1030 Vienna 14 November 2023 Interim Report Q1-3 2023 Website: post.at/ir E-mail: investor@post.at Phone: +43 57767-30400 Disclaimer This presentation contains forward-looking stateme