Slide 1: Austrian Post Investor Presentation H1 2022
AUSTRIAN POST Investor Presentation H1 2022 Walter Oblin, CFO Vienna, 11 August 2022 INVESTOR PRESENTATION Investor Relations Vienna, 11 August 2022
Slide 2: Highlights and Overview
1. HIGHLIGHTS AND OVERVIEW 2. Strategy Implementation 3. Group Results H1 2022 4. Outlook 2022 INVESTOR PRESENTATION Investor Relations Vienna, 11 August 2022 2
Slide 3: Austrian Post First Half-Year 2022
AUSTRIAN POST FIRST HALF-YEAR 2022 Mail Parcel & Logistics Retail & Bank Revenue mix – Letter Mail – Parcels and Express – Branch and Financial – Direct Mail – Fulfilment and Services Branch & Financial – Newspapers and Cash Transport – Customer Services Services Magazines – E-Commerce Services Parc
Slide 4: Macroeconomic Challenges in 2022
MACROECONOMIC CHALLENGES IN 2022 Rising energy costs Inflation impacts consumption in Austria Difficult conditions in Turkey Diesel price in Austria 2.0 Austrian Consumer Price Index Turkey Consumer Price Index EUR/litre Change YOY (%) Change YOY (%) +9.2 +79.6 1.2 +2.8 +17.5 Source: Austrian Federa
Slide 5: Business Environment of Austrian Post in H1 2022
BUSINESS ENVIRONMENT OF AUSTRIAN POST IN H1 2022 – Improved business development following very challenging first quarter, focus on delivery quality and customer acquisition Q1 2022 Q2 2022 Q1 2022 Q2 2022 Austrian letter mail volumes -4% -3%/+6%1 Revenue Mail -4% +1% Austrian parcel volumes -9% -1%
Slide 6: Overview Q2 and H1 2022
OVERVIEW Q2 AND H1 2022 Revenue Q2 20211 Q2 2022 Δ H1 20211 H1 2022 Δ in EUR m 615.6 610.4 -0.8% 1,262.6 1,211.8 -4.0% Mail 297.3 300.7 +1.1% 608.2 599.5 -1.4% Parcel & Logistics 304.4 288.9 -5.1% 628.1 572.0 -8.9% excl. Parcel Turkey 226.5 231.1 +2.0% 467.4 463.8 -0.8% Parcel Turkey 77.9 57.9 -25.7
Slide 7: Group Revenue H1 2022 Down vs. 2021; Improved Trend in Q2
GROUP REVENUE H1 2022 DOWN VS. 2021; IMPROVED TREND IN Q2 Revenue development Group: -4.0% in H1 (Q2: -0.8%) Letter mail and direct mail with special and catch-up effects, EUR m -4.0% Parcel decline due to Turkish subsidiary Aras Kargo; (+0.1% excl. Parcel Turkey) Revenue excl. parcel Turkey +0.1% i
Slide 8: H1 2022 Earnings Below, Q2 Earnings Above Previous Year
H1 2022 EARNINGS BELOW, Q2 EARNINGS ABOVE PREVIOUS YEAR EBIT development Group: -12.0% in H1 (Q1: -33.7%, Q2: +17.7%) Market situation (inflation and currency effects) negatively impacted in EUR m Turkey, Group earnings after very good 2021 -12.0% Mail: +0.6% to EUR 82.9m 103.4 – Good letter mail/di
Slide 9: Strategy Implementation
1. Highlights and Overview 2. STRATEGY IMPLEMENTATION 3. Group Results H1 2022 4. Outlook 2022 INVESTOR PRESENTATION Investor Relations Vienna, 11 August 2022 9
Slide 10: Strategy of Austrian Post: Ahead to the Future
STRATEGY OF AUSTRIAN POST: AHEAD TO THE FUTURE INVESTOR PRESENTATION Investor Relations Vienna, 11 August 2022 10
Slide 11: Letter Mail
1 LETTER MAIL Austrian Letter Mail volumes Positive special effects in Letter Mail Austrian and International Volumes – Positive Q2 2022 special effects due to (millions of items) energy bonus in Austria and mailings from energy suppliers: operating -3%, Ø -4.3% p.a. incl. special effects +6% Ø -5.6
Slide 12: International Comparison: Priority and Non-Priority Postal Rates in Europe
1 INTERNATIONAL COMPARISON: PRIORITY AND NON-PRIORITY POSTAL RATES IN EUROPE Denmark 1.38 3.34 Italy 1.39 3.23 Finland 1.76 3.12 Greece 1.25 2.63 Estonia 1.29 2.15 Belgium 1.22 1.94 Latvia 1.87 Poland 1.46 1.82 Rate Letter National Romania 1.15 1.72 adjustment in EUR NEW Czech Rep. 1.22 1.67 Croatia
Slide 13: Direct Mail/Media Post in Austria
1 DIRECT MAIL/MEDIA POST IN AUSTRIA Direct Mail/Media Post volumes – Advertising market under cost pressure due Volumes to price rises for paper and energy (millions of items) – Current catch-up effects after decline in lockdown periods of previous years Ø -1.8% p.a. – Increase of 7% in H1, +5% in Q
Slide 14: Parcel Business in Austria
1 PARCEL BUSINESS IN AUSTRIA Parcel volumes – Q1 behind high comparable in 2021 Volumes – Parcel volumes with improving trend in Q2: (millions of items) Down by 5% in H1, -1% in Q2 Ø +9.8% p.a. Ø +20.4% p.a. +20% 184 166 -5% 127 +36% 108 97 EUR 81 716m +51% 74 80 REVENUE 65 70 57 59 50 2009 2010 201
Slide 15: Investments in Sustainable Infrastructure
1 INVESTMENTS IN SUSTAINABLE INFRASTRUCTURE Paketlogistikzentren Brieflogistikzentren CAPEX (EUR m) CAPEX H1 2022 - Maintenance CAPEX of EUR 26.1m 161 153 - Growth CAPEX of EUR 32.5m 139 143 ~80 Growth CAPEX CAPEX forecast 2022e - Expected total of about EUR 180m - Prerequisite: availability of vehi
Slide 16: Expansion of Austrian Logistics Infrastructure
1 EXPANSION OF AUSTRIAN LOGISTICS INFRASTRUCTURE 2018 2019 2020 2021 2022 2023 Sorting capacity LC Vienna (parcels/h, cumulative) LC Upper Austria LC Styria 140,000 131,000 LC Lower Austria LC Vorarlberg LC Tyrol 106,000 LC Salzburg 93,000 LC Styria 78,000 LC Lower Austria LC Lower Austria LC Upper
Slide 17: Staff Structure in Austria
1 STAFF STRUCTURE IN AUSTRIA Employees in the Austrian core business FTEs (average for the period) 21,926 21,003 490 20,218 20,064 -196 19,417 1,891 18,790 18,233 2,490 17,692 17,463 17,644 17,444 17,698 17,815 17,619 3,350 3,858 9,397 4,374 4,775 7,883 5,127 7,247 5,881 7,095 6,788 8,041 9,058 9,55
Slide 18: Profitable Growth in Nearby Markets
2 PROFITABLE GROWTH IN NEARBY MARKETS Focus on parcel business in Southeast Parcel markets and Eastern Europe and Turkey (millions of parcels) Germany EUR ~470m REVENUE P.A. Austria Turkey1 CEE/SEE Slovakia 115 Hungary 90 86 91 Slovenia 83 Serbia 75 Croatia Bulgaria Bosnia and 25 27 Herzegovina 21 M
Slide 19: Parcel Turkey – Aras Kargo
2 PARCEL TURKEY – ARAS KARGO Turkish lira exchange Financial indicators rate 18.2 – 20% parcel volume decline in (1 EUR in TRY) H1 2022 after very sound previous year – H1 2022 revenue after hyperinflation +23% to TRY 1,875m (≙ EUR 108m) 6.1 – Strong balance sheet, no loan obligations Parcel volumes
Slide 20: Parcel CEE/SEE
2 PARCEL CEE/SEE Ongoing positive development of parcel volumes in Southeast and Eastern Europe – Positive parcel volume development +10% in H1 2022 – 6% revenue increase in H1 2022 Parcel volumes (millions of items) Revenue (EUR m) 52 163 27 25 82 80 84 7 2009 2021 H1 H1 2009 2021 H1 H1 2021 2022 2
Slide 21: bank99: Continuous Progress After Acquisition of ING Retail Business
3 BANK99: CONTINUOUS PROGRESS AFTER ACQUISITION OF ING RETAIL BUSINESS 30/06/2021 30/06/2022 We are growing… Complementary strengths MILESTONES of bank99 in the product structure Retail & digital bank Customers New financial product in Current 80,000 250,000 preparation accounts Employees − vermögen
Slide 22: Self-Service Zones: Further Increase in Usage
3 SELF-SERVICE ZONES: FURTHER INCREASE IN USAGE 62,730 pick-up boxes 100,743 compartments in pick-up 512 shipping stations H1 2022: >2.4m items stations H1 2022: >4.9m items H1 2022: >3.0m items June 2012 June 2022 November 2013 June 2022 January 2012 June 2022 H1 2022 vs. H1 2021 Q2 2022 vs. Q2 202
Slide 23: Austrian Post Builds NFT-Universe
3 AUSTRIAN POST BUILDS NFT-UNIVERSE Crypto stamp art enables digital collecting Crypto stamp art 1st Edition Special stamps release date: 1 July 2022 Stamp block with edition: 150,000 pieces Artist: PR1MAL CYPHER New edition of the Merkur newspaper stamp CSA Mystery Boxes Release date: 22 July 2022
Slide 24: There's a Lot of Green at the Yellow Post
THERE‘S A LOT OF GREEN AT THE YELLOW POST Develop and operate real estate eco-efficiently, Post relies on e-vehicles for delivery in Austria 10 photovoltaic facilities already installed Installed photovoltaic plants E-vehicle fleet ramp-up (accumulated output in MWp) (vehicles in Austria) 8.7 >3,000
Slide 25: Group Results H1 2022
1. Highlights and Overview 2. Strategy Implementation 3. GROUP RESULTS H1 2022 4. Outlook 2022 INVESTOR PRESENTATION Investor Relations Vienna, 11 August 2022 25
Slide 26: Financial Indicators at a Glance
FINANCIAL INDICATORS AT A GLANCE H1 2021 H1 2022 1 Revenue drop dominated by Parcel business Turkey Revenue (EUR m) 1,262.6 1,211.8 decline EBITDA margin (%) 14.6 14.8 Sound EBITDA margin of 14.8% EBIT margin strongly impacted by developments in EBIT margin (%) 8.2 7.5 Turkey business Earnings per s
Slide 27: Key Income Statement Indicators
KEY INCOME STATEMENT INDICATORS EUR m H1 20211 H1 2022 % ∆ Q2 20211 Q2 2022 Revenue 1,262.6 1,211.8 -4.0% -50.9 615.6 610.4 Positive revenue development Other operating income 43.1 59.2 37.4% 16.1 20.9 30.8 in the Retail & Bank Division. Decline in Mail/Parcel & Raw materials, cons. and services use
Slide 28: Mail Division: H1 2022 Revenue Development
MAIL DIVISION: H1 2022 REVENUE DEVELOPMENT Letter Mail & Business Solutions (EUR m) Direct Mail/Media Post (EUR m) – Positive Q2 special effects on letter mail volumes in – Advertising market under cost pressure (price increase Austria (-3% excl./+6% incl. special effects) for energy and paper) – In
Slide 29: Mail Division: Key Income Statement Indicators
MAIL DIVISION: KEY INCOME STATEMENT INDICATORS EUR m H1 2021 H1 2022 % ∆ Q2 2021 Q2 2022 Sound volume development for Austrian Letter Mail due Revenue 608.2 599.5 -1.4% -8.7 297.3 300.7 to special mailings; • Letter Mail & Business Solutions 391.9 375.3 -4.2% -16.7 186.4 187.7 declines in the intern
Slide 30: Parcel & Logistics Division: H1 2022 Revenue Development
PARCEL & LOGISTICS DIVISION: H1 2022 REVENUE DEVELOPMENT Revenue development Parcel & Logistics Division: -8.9% EUR m Substantial decline in Turkey (inflation and currency effects), -8.9% sound revenue development in Southeast and Eastern Europe (-0.8% excl. Parcel Turkey) 628.1 Parcel Austria: -1.9
Slide 31: Parcel & Logistics Division: Key Income Statement Indicators
PARCEL & LOGISTICS DIVISION: KEY INCOME STATEMENT INDICATORS EUR m H1 20211 H1 2022 % ∆ Q2 20211 Q2 2022 Revenue 628.1 572.0 -8.9% -56.0 304.4 288.9 1.9% drop following strong • Parcel Austria 350.3 343.7 -1.9% -6.7 167.1 172.8 performance in 2021 • Parcel Turkey 160.7 108.2 -32.6% -52.4 77.9 57.9 R
Slide 32: Retail & Bank Division: H1 2022 Revenue Development
RETAIL & BANK DIVISION: H1 2022 REVENUE DEVELOPMENT Revenue development Retail & Bank Division: +49.3% EUR m Acquisition of retail business of ING at the end of 2021 +49.3% led to revenue increase in H1 2022 54.2 Income from Financial Services: EUR +20.6m – Positive customer ramp-up and acquisition
Slide 33: Retail & Bank Division: Key Income Statement Indicators
RETAIL & BANK DIVISION: KEY INCOME STATEMENT INDICATORS EUR m H1 20211 H1 2022 % ∆ Q2 20211 Q2 2022 Revenue 36.3 54.2 49.3% 17.9 18.6 27.7 Growth due to acquisition of the ING retail business • Branch Services 21.5 18.7 -12.7% -2.7 10.9 9.7 • Income from Financial Services 14.8 35.4 >100% 20.6 7.6 1
Slide 34: Solid Balance Sheet and Financing Structure
SOLID BALANCE SHEET AND FINANCING STRUCTURE EUR m 5,157.8 5,157.8 ASSETS 126.9 Liquid financial resources EQUITY & 4,792.6 of EUR 127m 4,792.6 Includes lease liabilities of Cash, money 92.0 LIABILITIES 558.4 market/securities 117.2 EUR 392m (IFRS 16) Other financial investments 90.1 liabilities 404.
Slide 35: 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 market and of EUR 106m securities investments of EUR 76m 134.3 105.8 -26.1 -2.3 +2.3 75.6 -32.5 Cash flow from operating Maintenance Other Operating Growth Acquisitions/ Free cash flow before activit
Slide 36: Outlook 2022
1. Highlights and Overview 2. Strategy Implementation 3. Group Results H1 2022 4. OUTLOOK 2022 INVESTOR PRESENTATION Investor Relations Vienna, 11 August 2022 36
Slide 37: Outlook 2022
OUTLOOK 2022 Market environment – Economic environment in 2022 characterised by inflation and restrained consumer behaviour – Entrenchment of inflation due to shortages of raw materials and retail goods as well as higher staff costs – Forecast under the condition that energy and gas supply is provid
Slide 38: Contact
CONTACT Austrian Post Financial calendar 2022/2023 Investor Relations 11 November 2022 Interim Report Q1-3 2022 Rochusplatz 1, 1030 Vienna 15 March 2023 Annual Report 2022 Website: post.at/ir 20 April 2023 Annual General Meeting E-mail: investor@post.at 02 May/04 May 2023 Ex-day/Dividend payment day