12.11.2013
Deutsche Post AG DE0005552004
DGAP-News: Deutsche Post DHL boosts earnings in the third quarter of 2013
DGAP-News: Deutsche Post AG / Key word(s): Quarter Results
Deutsche Post DHL boosts earnings in the third quarter of 2013
12.11.2013 / 07:00
---------------------------------------------------------------------
Deutsche Post DHL boosts earnings in the third quarter of 2013
- Consolidated revenues reach EUR 13.5 billion in the third quarter
- Operating earnings up 7 percent
- 2013 earnings guidance confirmed: Group EBIT of between EUR 2.75
billion and EUR 3.0 billion expected
- CEO Frank Appel: 'Successful performance in a volatile environment'
Bonn, November 12, 2013: Despite a slight decline in revenues, Deutsche
Post DHL boosted its earnings once again in the third quarter of 2013.
Revenues produced by the world's leading mail and logistics group fell by
2.5 percent to EUR 13.5 billion as a result of negative exchange-rate and
other inorganic effects. Adjusted for these factors, third-quarter revenues
improved 3.4 percent compared to last year's period. The driving forces of
this growth were higher volumes and revenues in the parcel business in
Germany. In addition, the underlying sales increase reflects strong growth
in the international express business and the significant increase in
revenues generated by the SUPPLY CHAIN division, improvements that are the
result of DHL's exceptional market position in the world's growth markets -
particularly in Asia. The Group's operating earnings increased by 7 percent
to EUR 646 million in the third quarter of the current year. Likewise,
consolidated net profit climbed by nearly 6 percent to EUR 399 million in
the period between July and September 2013 compared with the previous
year's level.
'With our successful performance in the still volatile environment, we have
demonstrated the fundamental strength of our business model once again and
are reaping the fruits of the investments we have made in the past,' said
Frank Appel, the CEO of Deutsche Post DHL. 'We have a highly qualified,
dedicated workforce, an excellent market position in global growth markets
and a unique global network. We will not rest in our efforts to further
expand this outstanding competitive position and to bolster the earnings
power of the Group and its divisions over the long term.'
Third quarter of 2013: earnings improve at MAIL and DHL
After generating revenues of EUR 13.8 billion in the third quarter of 2012,
the Group reported revenues of EUR 13.5 billion in the third quarter of the
current year. This revenue decline resulted from negative exchange-rate and
other inorganic effects. Adjusted for these factors, revenues in the third
quarter of 2013 rose by nearly EUR 500 million. Even though exchange-rate
developments also negatively affected the Group's operating earnings, the
company was still able to boost its EBIT by more than EUR 40 million to EUR
646 million (2012: EUR 604 million) thanks to additional efficiency gains
at MAIL and DHL. In the MAIL division, higher labor costs resulting from
the new collective wage agreement were offset by solid revenue and volume
trends, the increase in postal rates, an additional workday and the absence
of expenditures related to the Neckermann insolvency last year. The
division's EBIT rose to EUR 261 million (2012: EUR 246 million). At DHL, a
nearly 14 percent earnings improvement at EXPRESS was the primary reason
for the operating profit increase to EUR 489 million (2012: EUR 463
million). Consolidated net profit in the third quarter of 2013 totaled EUR
399 million, exceeding the previous year's level of EUR 377 million. Basic
earnings per share correspondingly rose to
EUR 0.33 (2012: EUR 0.31).
Outlook: earnings guidance confirmed
For the full year, the Group still expects EBIT to rise to between EUR 2.75
billion and EUR 3.0 billion. The MAIL division is forecast to contribute
EBIT of between EUR 1.15 billion and EUR 1.25 billion to this figure. EBIT
at DHL should amount to between EUR 2.0 billion and EUR 2.15 billion.
Corporate Center/Other expenditures are forecast to remain at last year's
level of about EUR 400 million. At the same time, consolidated net profit
growth should exceed the growth in operating earnings in 2013. The company
also anticipates that this year's free cash flow will at least cover the
dividend for financial year 2012. Looking beyond 2013, the Group expects
that the earnings momentum will continue despite persistent economic
uncertainty. The company confirms its earnings targets for 2015: DHL is
expected to generate an annual average earnings gain of between 13 percent
and 15 percent during the period between 2010 and 2015. EBIT at the MAIL
division should stabilize at a level of at least EUR 1 billion. In
combination with the planned reduction of expenditures for Corporate
Center/Other, the Group's EBIT is expected to rise to between EUR 3.35
billion and EUR 3.55 billion by 2015.
Nine months: revenue and earnings growth continues
In the first nine months of the year, consolidated revenues totaled EUR
40.6 billion, slightly below the previous year's level (2012: EUR 40.9
billion). Adjusted for negative exchange-rate and other inorganic effects,
revenues increased by 2.3 percent, or nearly EUR 1 billion, between January
and September. The Group's EBIT improved by 7.5 percent to EUR 2.0 billion
in the first nine months of 2013 compared with the previous year's level
(2012: EUR 1.8 billion). In addition to operational improvements, this
result reflects a number of one-time effects that impacted earnings and the
comparison with the previous year's performance - particularly in the
second quarter: One factor that had a positive impact on the comparison
with last year's figures was the EUR 50 million reversal of part of the
unused postage stamp provision in the MAIL division. Another was the
absence of one-time effects that had a negative impact of EUR 38 million on
the second-quarter results of 2012. These one-time effects stemmed largely
from the VAT settlement charge taken last year and the release of
restructuring provisions in the EXPRESS division. But also adjusted for all
these one-time effects, the company's EBIT would have risen between January
and September 2013. Consolidated net profit jumped by 20 percent in the
first nine months of the year, climbing from EUR 1.1 billion in 2012 to EUR
1.3 billion in the current year. Earnings per share rose from EUR 0.91 in
the previous year to EUR 1.09 in 2013. Adjusted for all one-time effects -
in addition to the previously stated factors, the absence of the EUR 186
million disposal gain resulting from the Postbank sale in the first quarter
of the previous year impacted the year-on-year comparison - consolidated
net profit and earnings per share would have risen around 19 percent.
Cash flow: significant improvements
The Group's intensified focus on cash flow has paid off this year: At EUR
812 million (2012: EUR 568 million) and EUR 430 million (2012: minus EUR 5
million) respectively, operating and free cash flow were significantly
higher in the third quarter of 2013 than during the same period last year,
which had been impacted by the VAT settlement payment of EUR 300 million
(operating cash flow) and EUR 455 million (free cash flow), respectively.
Between January and September, the Group generated cash flow from operating
activities of more than EUR 1.4 billion (2012: EUR 426 million). This
increase of more than EUR 1 billion primarily reflects the Group's
continued good operating earnings strength and working capital
improvements. Accordingly, free cash flow in the first nine months rose
sharply, climbing by more than EUR 1.3 billion from minus EUR 772 million
in 2012 to EUR 529 million in 2013. The Group was able to reduce its net
debt during the third quarter by more than EUR 350 million to EUR 2.5
billion.
Capital expenditures: foundation of growth reinforced
In the third quarter, capital expenditures totaled EUR 401 million (2012:
EUR 456 million). In the first nine months of 2013, a total of EUR 900
million was invested (2012: EUR 1.1 billion). The decline from the previous
year's level was primarily due to timing effects. As a result of changed
phasing for some investment projects, the Group now expects that it will
invest about EUR 1.7 billion during 2013. This would correspond to the
level invested in 2012. Until now, the company had expected that capital
expenditures would rise slightly to a maximum of EUR 1.8 billion. The focal
point of investments made this year continues to be the DHL divisions.
These investments have flowed into areas that reinforce the foundation for
future growth and long-term business success - including the continued
expansion of the network, a more efficient air fleet, state-of-the-art
warehouses, and a new IT infrastructure for Global Forwarding. In the MAIL
division, capital expenditures were increased particularly to expand the
parcel infrastructure.
MAIL division: parcel business remains dynamic
In the third quarter of 2013, revenues of the MAIL division rose by 5.0
percent to EUR 3.4 billion (2012: EUR 3.3 billion). In addition to revenue
gains in the domestic mail business - the result in particular of the
postal rate increase, an additional workday and a rise in mail volume
related to Germany's parliamentary elections - the dynamic growth in the
German parcel business was the driving force behind this increase. As
online retailing continues to grow, the company is proactively seizing the
opportunity by offering innovative products and delivery services. This
effort includes the significant increase in the number of drop-off points
for private parcel shipments to more than 50,000 by the end of next year
and the expansion of evening deliveries to additional metropolitan areas.
Supported by these ongoing service improvements, parcel revenues increased
by nearly 9 percent to EUR 868 million between July and September 2013. The
parcel business is now generating more than one-fourth of total revenues in
the MAIL division. In the third quarter of 2013, operating earnings in the
division climbed by 6.1 percent to EUR 261 million (2012: 246 million). The
company was able to offset the higher labor costs resulting from the new
collective wage agreement with the solid revenue and volume trends, the
increase in postal rates, the additional workday and the absence of
expenditures related to the Neckermann insolvency last year.
EXPRESS division: international express business grows rapidly
The EXPRESS division continued to boost revenues and earnings in the third
quarter. Reported revenues produced between July and September totaled EUR
3.1 billion, slightly below the previous year's level (2012: EUR 3.2
billion). However, this dip was largely the result of significant negative
exchange-rate effects. In addition, the previous year's quarter included
revenues produced by the domestic express business in Romania that was
later sold. Adjusted for these factors, EXPRESS revenues in the third
quarter rose by more than 5 percent. Once again, the main factor fueling
this gain was the division's international time-definite shipments. This
positive development reflects significant, above-market-growth increases in
volume in all regions. At the same time, the operational improvements
produced by extensive investments made in the expansion of the network, the
training of employees and the range of services were reflected in the
significant rise in the operating margin from 7.3 percent last year to 8.5
percent in the third quarter of 2013. The division's EBIT jumped by 13.9
percent in the past quarter to EUR 263 million (2012: EUR 231 million).
GLOBAL FORWARDING, FREIGHT division: selective market strategy
Third-quarter revenues in the GLOBAL FORWARDING, FREIGHT division fell by
7.6 percent to EUR 3.7 billion (2012: EUR 4.0 billion) as a result of the
continued weak market environment. Adjusted for negative exchange-rate
effects, the decrease - just above 2 percent - would have been much smaller
and also a lower decline than in the first half of the year. Volume and
revenues in air freight fell below the previous year's level primarily
because of weakening demand of some major customers in the Technology and
Engineering & Manufacturing sectors. Ocean freight volumes and revenues
also decreased during the past quarter. Routes within Asia continued to
generate the strongest volume, but fell below the previous year's level. In
contrast, demand on north-south routes rose slightly. Revenues from
European overland transport increased slightly during the third quarter.
Thanks to the selective market strategy and continued strict cost controls,
the division was able to increase its operating margin despite the decline
in revenues and increased spending for the new IT infrastructure. In the
third quarter of 2013, the division's operating earnings climbed to EUR 127
million (2012: EUR 122 million).
SUPPLY CHAIN division: significant new business
In the SUPPLY CHAIN division, third-quarter revenues fell to EUR 3.5
billion (2012: EUR 3.7 billion). This decrease was caused by strong
negative exchange-rate effects and small divestitures earlier in the year.
Adjusted for the negative exchange-rate effects and the impact of the
disposal of three subsidiaries that were not part of the core business,
revenues climbed by more than 6 percent, or nearly EUR 250 million, in the
past quarter. This increase was fueled primarily by strong growth in the
Asia-Pacific region as well as in the Life Sciences & Healthcare,
Automotive, Consumer and Technology sectors. At
EUR 350 million, the volume of new contracts with new and existing
customers rose sharply from the previous year's level and highlighted once
again the strength of the division's business model. Operating earnings
generated by the division in the third quarter totaled EUR 100 million, the
highest level reached this year. The decline from last year's total (2012:
EUR 110 million) mainly reflects the weak market environment in Europe.
- End -
Third quarter Third quarter Change in million euros 2012 2013 in % Revenues 13,839 13,498 -2.5% - of which international 9,805 9,396 -4.2% Profit from operating activities (EBIT) 604 646 7.0% Consolidated net profit1) 2) 377 399 5.8% Basic earnings per share1) (in euros) 0.31 0.33 5.8% Diluted earnings per share1) (in euros) 0.31 0.32 3.2%Divisional revenues in the third quarter 2013 Share of Share of Third Third quarter total quarter total Change in million euros 2012 revenues 2013 revenues in % MAIL 3,276 23.7% 3,439 25.5% 5.0% EXPRESS 3,172 22.9% 3,112 23.1% -1.9% GLOBAL FORWARDING, 4,018 29.0% 3,712 27.5% -7.6% FREIGHT SUPPLY CHAIN 3,670 26.5% 3,532 26.2% -3.8% Corporate Center / -297 n/a -297 n/a 0.0% Other and consolidation Consolidated revenues 13,839 100% 13,498 100% -2.5%Divisional EBIT in the third quarter of 20131) Third quarter Third quarter Change in million euros 2012 2013 in % MAIL 246 261 6.1% DHL 463 489 5.6% - EXPRESS 231 263 13.9% - GLOBAL FORWARDING, FREIGHT 122 127 4.1% - SUPPLY CHAIN 110 100 -9.1% Corporate Center / Other and -105 -105 0.0% consolidation Consolidated EBIT 604 646 7.0%1) Prior-year amounts adjusted. 2) After non-controlling interests. Group financial highlights for the first nine months of 2013 9M 9M Change in million euros 2012 2013 in % Revenues 40,935 40,591 -0.8% - of which international 28,639 28,126 -1.8% Profit from operating activities (EBIT) 1,838 1,976 7.5% Consolidated net profit1) 2) 1,102 1,319 19.7% Basic earnings per share1) (in euros) 0.91 1.09 19.7% Diluted earnings per share1) (in euros) 0.91 1.05 15.4%Divisional revenues in the first nine months of 2013 Share of Share of 9M total 9M total Change in million euros 2012 revenues 2013 revenues in % MAIL 10,121 24.7% 10,484 25.8% 3.6% EXPRESS 9,436 23.1% 9,386 23.1% -0.5% GLOBAL FORWARDING, FREIGHT 11,677 28.5% 11,049 27.2% -5.4% SUPPLY CHAIN 10,607 25.9% 10,565 26.0% -0.4% Corporate Center / Other and -906 n/a -893 n/a 1.4% consolidation Consolidated revenues 40,935 100% 40,591 100% -0.8%Divisional EBIT in the first nine months of 20131) 9M 9M Change in million euros 2012 2013 in % MAIL 676 866 28.1% DHL 1,480 1,420 -4.1% - EXPRESS 830 813 -2.0% - GLOBAL FORWARDING, FREIGHT 347 344 -0.9% - SUPPLY CHAIN 303 263 -13.2% Corporate Center / Other and -318 -310 2.5% consolidation Consolidated EBIT 1,838 1,976 7.5%1) Prior-year amounts adjusted. 2) After non-controlling interests. End of Corporate News --------------------------------------------------------------------- 12.11.2013 Dissemination of a Corporate News, transmitted by DGAP - a company of EQS Group AG. The issuer is solely responsible for the content of this announcement. DGAP's Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Media archive at www.dgap-medientreff.de and www.dgap.de --------------------------------------------------------------------- Language: English Company: Deutsche Post AG Charles-de-Gaulle-Straße 20 53113 Bonn Germany Phone: +49 (0)228 182 - 63 100 Fax: +49 (0)228 182 - 63 199 E-mail: [email protected] Internet: www.dp-dhl.de ISIN: DE0005552004 WKN: 555200 Indices: DAX Listed: Regulierter Markt in Berlin, Düsseldorf, Frankfurt (Prime Standard), Hamburg, Hannover, München, Stuttgart; Terminbörse EUREX End of News DGAP News-Service --------------------------------------------------------------------- 239227 12.11.2013
|
Weitere Ad-hoc und Unternehmensrelevante Mitteilungen zu
Deutsche Post AG ISIN: DE0005552004 können Sie bei EQS abrufen
Logistik/Verkehr , 555200 , DHL , XETR:DHL