Thirdquarter 2022results
Analystcall
November10th,2022
Investor presentation
Interim financial report 3Q22
Financial Calendar
23.02.2023 (17:45 CET)
Quarterly results 4Q22
16.03.2023
Annual report 2022
04.05.2023 (17:45 CET)
Quarterly results 1Q23
10.05.2023
Ordinary General Meeting of Shareholders
More on bpostgroup.com/investors
2
3Q22
Disclaimer
This presentation is based on information published by bpost group in its Third Quarter 2022 Interim Financial Report, made available on November 9th, 2022 at 5.45pm CET on bpostgroup.com/investors. This information forms regulated information as defined in the Royal Decree of November 14th, 2007. The information in this document may include forward-looking statements1, which are based on current expectations and projections of management about future events. By their nature, forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties, assumptions and other factors because they relate to events and depend on circumstances that will occur in the future whether or not outside the control of the Company. Such factors may cause actual results, performance or developments to differ materially from those expressed or implied by such forward-looking statements. Accordingly, no assurance is given that such forward-looking statements will prove to have been correct. They speak only as at the date of the Presentation and the Company undertakes no obligation to update these forward-looking statements contained herein to reflect actual results, changes in assumptions or changes in factors affecting these statements. This material is not intended as and does not constitute an offer to sell any securities or a solicitation of any offer to purchase any securities.
1 as defined among others under the U.S. Private Securities Litigation Reform Act of 1995
Highlights of 3Q22 | 3Q22 |
Results continue to track towards guidance range in seasonally softer quarter, driven by underlying parcels volume growth and pricing measures, mail price increase offsetting volume decline and continued efforts to mitigate unfavorable macro headwinds
Group operating income
€ 1,021.9m
Group adjusted
EBIT
€ 26.0m
2.5% EBIT margin
down -33.5% compared to prior year
Belgium
€ 18.9m
3.7% EBIT margin
- Total operating income at € 507.2m (+1.6%1)
- underlying mail volume decline of -7.7% nearly offset by positive price/mix impact
- parcels volumes -3.8% (or +7.8% excl. Amazon impact) and price/mix impact of +4.7%
- OPEX1 increase driven by
(i) 5 recent salary indexations mitigated by FTEs reduction, and (ii) higher energy costs
E-Logistics Eurasia
€ 4.4m
2.8% EBIT margin
- Total operating income at € 155.3m (+12.9%)
- continued expansion of Radial EU and Active Ants (+22.3%)
- cross-bordersales increase supported by IMX integration
- OPEX increase (+12.2%) from
(i) higher transport costs in line with volume development and IMX integration and (ii) higher payroll costs
E-Logistics N. Am.
€ 10.5m
2.8% EBIT margin
-
Total operating income at
€ 376.5m (+20.2%2, or +2.9% at constant exchange rate), reflecting normalisation of Radial' sales post recent customer onboardings - EBIT improvement (+19.6%) when excluding last year's cyber insurance recovery
3 | 1 | Excluding impact of Ubiway Retail (UBR) sold on February 28th, 2022 | 2 Excluding impact of The Mail Group (TMG) sold on August 5th, 2021 |
When including deconsolidation impact: -5.3% in Total operating income (UBR 3Q21: €36.5m) and -3.5% in OPEX (UBR 3Q21: €33.2m) | When including deconsolidation impact: +17.5% in Total operating income (TMG 3Q21: €7.2m) | ||
Key financials 3Q22
€ million
Total operating income
Operating expenses
EBITDA
Depreciation & Amortization
EBIT
Margin (%)
Financial result
Profit before tax
Income tax expense
Net profit
FCF
Net Debt at Sept 30
Capex
Average # FTEs and interims
1 Unaudited figures
3Q21 977.6 871.6 106.0 68.7 37.3 3.8% -8.7 28.6 12.5 16.1 99.0 457.8 31.4 40,495
Reported | ||
3Q22 | ||
1,021.9 | ||
923.6 | ||
98.3 | ||
1 | 75.5 | |
22.8 | ||
2.2% | ||
6.3 | ||
29.1 | ||
1 | 4.4 | |
24.7 | ||
2 | -32.1 | |
670.9 | ||
47.0 | ||
38,768 |
3Q21 976.2 871.6 104.6 65.5 39.1 4.0% -2.4 36.7 13.3 23.4 125.8 457.8 31.4 40,495
Adjusted | 1 |
1
1
2
3Q22 1,021.9 923.6 98.3 72.3 26.0 2.5% 6.3 32.3 5.2 27.1 3.9 670.9 47.0 38,768
% ↑ 4.7% 6.0% -6.1% 10.3% -33.5%
-12.1% -61.1%15.7% -96.9%46.6% 49.8% -4.3%
3Q22
- Amortization and impairments of intangibles recognized during PPA are adjusted, leading to increase in EBIT (€ +3.2m) and income tax (€ +0.8m)
- Adjusted FCF excludes the cash Radial receives on behalf of its customers for performing billing services
4
Belgium pricing levers in both Mail and Parcels
3Q22 - Belgium
Strong parcel volume and price/mix development excluding Amazon
Belgium external operating income, € million
3Q21 | 523.7 | |||||||||
Domestic | ||||||||||
1 | -1.4 | |||||||||
Mail1 | ||||||||||
Parcels | ||||||||||
2 | 1.0 | |||||||||
Belgium | ||||||||||
3 | Proximity and | |||||||||
convenience | 5.6 | |||||||||
retail network |
Domestic Mail
Stable operating income from:
- € -18.9m volume (-7.7% underlying volume decline against -7.5% in 3Q21)
- € +18.3m price/mix impact
- € -0.7m working days impact
In Transactional Mail:
Parcels Belgium
Parcels Belgium revenue up € +1.0m (+0.9%): | -4% | |
- Improved price/mix of +4.7%
- Parcels volume decline of -3.8%
+50%
Underlying Parcels volume growth
of +7.8% excl. Amazon's insourcing (-50.5%) vs. -8.1% and -2.9% in 1Q/2Q22
3Q19 | 3Q20 | 3Q21 | 3Q22 | 2 |
4 | Value added | |||||
2.5 | ||||||
services | ||||||
3Q22 | ||||||
531.5 | ||||||
DECONSOLIDATED | ||||||
3 | Ubiway Retail 2 | -36.5 | ||||
3Q22 494.9
-
Admin mail supported by COVID-19 communication in 3Q22
(est. € 5m vs. € 4.5m in 3Q21) - No change in known structural trends of continued e-substitution
1
Proximity and convenience retail network
Revenue up € +5.6m (+8.9%) mainly from new Management Contract, excl. deconsolidation of Ubiway2
3
Value added services
Higher revenues from fines solution
4
5 | +7.8 |
1 Domestic mail is the sum of Transactional, Advertising and Press
2 deconsolidation impact of Ubiway Retail as of March 1st, 2022 (3Q21: €36.5m)
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Bpost SA published this content on 09 November 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 09 November 2022 17:20:07 UTC.