The performance in the first nine months of 2018 has resulted in consolidated operating profit of €1,509 million, an increase of 28.3% compared with the same period of the previous year (€1,176 million). This primarily reflects reductions in operating costs and personnel expenses.
CONSOLIDATED STATEMENT OF PROFIT AND LOSS AS OF 30 SEPTEMBER 2018
|For the nine months ended 30 September|
|Results of operations|
|Mail, Parcels and Distribution||2,589||2,661||(72)||-2.7%|
|Payments, Mobile and Digital||470||422||48||11.4%|
|Total personnel expenses||4,151||4,241||(90)||-2.1%|
|of which personnel expenses||4,122||4,229||(107)||-2.5%|
|of which early retirement incentives||29||12||17||n/s|
|Other operating costs||1,886||2,063||(177)||-8.6%|
|Depreciation, amortisation and impairments||405||413||(8)||-1.9%|
|Finance income/(costs) and profit/(loss) on investments accounted for using equity method||43||(69)||112||n/s|
|Profit before tax||1,552||1,107||445||40.2%|
|Income tax expense||496||383||113||29.5%|
|Earnings per share||0.809||0.554||0.255||45.9%|
n/s: not significant
TOTAL REVENUE BY OPERATING SEGMENT FOR THE NINE MONTHS ENDED 30 SEPTEMBER
(DATA IN MILLIONS OF EURO)
The Group’s total revenue amounts to €8 billion, marking growth of €58 million (0.7%) compared with the same period of the previous year.
- Mail, Parcels and Distribution services: total revenue from Mail, Parcels and Distribution services amounts to €2,589 million, a reduction of 2.7% compared with the first nine months of 2017. This reflects a decrease in traditional letter post, partially offset by the performance of parcels, where volumes were up 9.2% from 81 million items in the first nine months of 2017 to 89 million, resulting in a 5.2% increase in revenue from €501.7 million to €527.7 million.
- Payments, Mobile and Digital segment: contributed €470 million to total revenue, up 11.4% on the first nine months of 2017. This figure includes revenue from payment services, card payments and PosteMobile SpA’s telecommunications services.
- Financial Services: amounts to €3,844 million, an increase of 1.7% compared with the €3,779 million of the same period of the previous year. Alongside an improvement in the interest margin and a 14.6% increase in commission income on the collection of postal savings deposits, reflecting the mechanisms established in the new Agreement with Cassa Depositi e Prestiti, the figure reflects a reduction in realised gains, in line with the Group’s new strategy of reducing the dependence of its results on non-recurring items, and a decrease in revenue due to the sale of Banca del Mezzogiorno–MCC, completed on 7 August 2017.
- Insurance Services: contributed €1,048 million to total revenue, marking an increase of €17 million despite a reduction in gross premium revenue compared with the previous year (a decline of €3.7 billion). The improvement reflects the increase in the net investment result which, in contrast, benefitted from the greater volume of assets under management. As anticipated, total costs are down from the €6.3 billion of 2017 to €6.0 billion, marking a decline of 4.2%.