Slide 1: Posti Group January–December 2023
Posti Group Profitability increased as a result of significant improvements in operational excellence. Weak consumer demand in Q4 affected sales. January–December 2023
Slide 2: Responsibly delivering on what matters to you on your terms
Responsibly delivering on what matters to you your terms
Slide 3: Posti in figures 2023
Group’s net sales, EUR million and change, % Posti in figures 2023 Net Sales Q4 Q4 EUR 1,586.1 million (EUR 1,651.6 million) Adjusted EBITDA Group’s adjusted EBITDA, EUR million EUR 197.7 million and as a percent of net sales (EUR 183.8 million) Adjusted EBITDA-% Q4 Q4 12.5% (11.1%) 3 * Continuing o
Slide 4: Financial highlights 2023
Financial highlights 2023 • Net sales decreased by 4.0% to EUR 1,586.1 (1,651.6) million. • Adjusted EBITDA increased to EUR 197.7 (183.8) million, or 12.5% (11.1%) of net sales. • EBITDA increased to EUR 188.6 (178.2) million, or 11.9% (10.8%) of net sales. • Adjusted operating result increased to
Slide 5: 2023 operational highlights – profitability increased during the year
2023 operational highlights – profitability increased during the year • Net sales decreased due to challenging macroeconomic situation, especially in Sweden. Weak Swedish Krona, compared to reporting currency, had a negative effect on net sales. • Group profitability increased mainly due to the incr
Slide 6: Combined external sales of eCommerce and Delivery, and Fulfillment and Logistics
The combined external sales of eCommerce and Delivery Services, and Fulfillment and Logistics Services represented 60.5% (62.0%) of the Group’s net sales in 2023 Fulfillment and Logistics Services 20% (21%) Postal Services 39% (38%) eCommerce and Delivery Services 41% (41%) 6
Slide 7: Posti in figures 10-12/2023
Group’s net sales, EUR million and change, % Posti in figures 10-12/2023 Net Sales Q4 Q4 EUR 429.7 million (EUR 453.6 million) Adjusted EBITDA Group’s adjusted EBITDA, EUR million EUR 64.2 million and as a percent of net sales (EUR 63.5 million) Adjusted EBITDA-% Q4 Q4 14.9% (14.0%) 7 * Continuing o
Slide 8: Q4 2023 financial highlights – profitability increased
Q4 2023 financial highlights – profitability increased • Net sales decreased by 5.3% to EUR 429.7 (453.6) million. • Adjusted EBITDA increased to EUR 64.2 (63.5) million, or 14.9% (14.0%) of net sales. • EBITDA increased to EUR 64.2 (61.2) million, or 14.9% (13.5%) of net sales. • Adjusted operating
Slide 9: Q4 2023 operational highlights
Q4 2023 operational highlights • Group net sales decreased which was affected by low consumer and customer demand in all segments. • Despite declined sales, effective improvements in operational efficiency in all segments increased Group’s adjusted EBITDA to a good level, especially in the eCommerce
Slide 10: Parcel volumes increased and postal volumes continued to decline in Q4 2023
Parcel volumes increased and postal volumes continued to decline in Q4 2023 Parcel volumes (million units) and change, % in +3% Finland and in the Baltics Parcel volumes in Finland and in the Baltics 10-12/2023 -12% Freight volumes* 10-12/2023 * Measured in waybills -12% Addressed letter volumes 10-
Slide 11: Addressed letter volumes continued to decrease in Q4 2023
Addressed letter volumes continued to decrease in Q4 2023 Addressed letter volumes (million units) and change, % • Altogether 99 million addressed letters were delivered in Q4. Decrease from previous year 13 million items. • During the peak season Posti delivered about 12 million Christmas cards. •
Slide 12: Financials
wnneti ve Financials
Slide 13: Posti Group’s 2023 net sales and adjusted EBITDA change
Posti Group’s 2023 net sales and adjusted EBITDA change Net sales decreased by 4.0% to EUR 1,586.1 (1,651.6) million. Adjusted EBITDA improved to EUR 197.7 (183.8) million. 2023 vs 2022 change of net sales by segment, 2023 vs 2022 adjusted EBITDA change by segment, EUR million EUR million 13
Slide 14: Posti Group’s Q4 2023 net sales
Posti Group’s Q4 2023 net sales Net sales decreased by 5.3% to EUR 429.7 (453.6) million. Group’s net sales, 2023 Q4 vs 2022 Q4 change of net sales by segment, EUR million and change, % EUR million 14
Slide 15: Posti Group’s Q4 2023 adjusted EBITDA
Posti Group’s Q4 2023 adjusted EBITDA Adjusted EBITDA increased to EUR 64.2 (63.5) million, or 14.9% (14.0%) of net sales. Group’s adjusted EBITDA, 2023 Q4 vs 2022 Q4 adjusted EBITDA change by EUR million and as a percent of net sales segment, EUR million 15
Slide 16: Posti Group’s key figures Q4 2023
Posti Group’s key figures Q4 2023 10-12 2023 % 10-12 2022 % 1-12 2023 % 1-12 2022 % Net sales, EUR million 429.7 453.6 1,586.1 1,651.6 Adjusted EBITDA, EUR million 64.2 14.9% 63.5 14.0% 197.7 12.5% 183.8 11.1% EBITDA, EUR million 64.2 14.9% 61.2 13.5% 188.6 11.9% 178.2 10.8% Adjusted operating resul
Slide 17: Outlook and long-term financial targets
Outlook and long-term financial targets
Slide 18: Outlook for 2024
Outlook for 2024 In 2024, Posti is expecting its net sales and adjusted EBITDA to be on the previous year’s level. • In 2023, Posti’s net sales from continuing operations were EUR 1,586.1 million and adjusted EBITDA was EUR 197.7 million. • Current macroeconomic and market conditions bring uncertain
Slide 19: Long-term financial targets
Long-term financial targets Continuously increasing ordinary dividend, Adjusted EBITDA 13% but not exceeding annual net profit, EUR million Net debt / Adjusted EBITDA less than 2.5x * Continuing operations ** Board of Directors' proposal to the Annual General Meeting 19
Slide 20: Segments
wnneti ve Segments
Slide 21: Q4 2023: eCommerce and Delivery Services key figures
Q4 2023: eCommerce and Delivery Services key figures EUR million 10-12 2023 10-12 2022 1-12 2023 1-12 2022 • The net sales decreased by 2.6% to EUR 175.8 million Net sales 175.8 180.5 651.5 679.9 • Decreased net sales was mainly due to overall low spending Net sales change, % -2.6% -2.3% -4.2% -0.2%
Slide 22: Q4 2023: Fulfillment and Logistics Services key figures
Q4 2023: Fulfillment and Logistics Services key figures EUR million 10-12 2023 10-12 2022 1-12 2023 1-12 2022 • The net sales decreased by 13.2% and were EUR 82.6 Net sales 82.6 95.2 328.4 366.1 million Transval 53.1 60.7 219.5 232.0 • The low consumer demand, especially in Sweden had a negative imp
Slide 23: Q4 2023: Postal Services key figures
Q4 2023: Postal Services key figures EUR million 10-12 2023 10-12 2022 1-12 2023 1-12 2022 • The net sales of Postal Services decreased by 3.4% to EUR 178.1 million Net sales 178.1 184.4 631.4 630.2 • Decreased volumes impacted net sales negatively whereas various price increases, reflecting the inc
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