bpost strategy & challenges

Transcription

1 8 October 2016 bpost strategy & challenges Koen Van Gerven, CEO VFB Dag van de Tips

2 bpost at a glance

3 bpost at a glance 3 A modern and diversified mail operator 2015 figures, normalized One integrated domestic distribution network International player 2.4bn revenues 583.6m 24.2% EBITDA 494.4m 20.5% EBIT 328.1m net profit 24,703 average # FTE & interims Parcels 14% 61% 25% Domestic Mail Additional sources of revenues

4 bpost strategy & challenges

5 strategy - challenges 5 Our focused and successful strategy in action Focus on core mail business Continued productivity gains Innovation/ growth Value creation & rewarding of shareholders Keep stakeholders on board

6 strategy - challenges 6 Our focused and successful strategy in action Focus on core mail business Continued productivity gains Innovation/ growth Value creation & rewarding of shareholders Keep stakeholders on board

7 Mail volumes remain under pressure, partly compensated by a price increase Volumes -3.8% 2Q16 7 E-subsitution Cost cutting Switch to cheaper products +1.5% price increase in 2016

8 8 Focus on 6 key sectors Strategic tests in unaddressed mail We succeed to convince customers to invest in Advertising Major accounts invest in the mailbox

9 9 We keep the Government s trust Press distribution secured until end th management contract until end 2020

10 strategy - challenges 10 Our focused and successful strategy in action Focus on core mail business Continued productivity gains Innovation/ growth Value creation & rewarding of shareholders Keep stakeholders on board

11 Domestic parcels, we build on our unique selling proposition 11 Home delivery 7d/7d & in evening ~1,250 pick-up drop-off points 2Q16 volumes +18.3% driven by e-commerce ~145 parcel lockers Click & Collect at brick-andmortar stores

12 International parcels, we further strengthen our service offering 12 New management structure New lanes from the US Mainly flows from US & positive contribution from acquisitions Strategic focus on margin improvement Bolt-on acquisitions to offer extensive services

13 New solutions, we continue to innovate and add value 13 Sustainable urban distribution CityLogistics and CityDepot joined forces in May 2015 Operational in 8 cities CityDepot Operational in 3 cities

14 Convenience & Proximity We signed an agreement to acquire 100% of the Belgian activities of Lagardère Travel Retail 14 Travel retail Convenience distribution Pre-paid services (Alvadis) Impulse products (Buronville) Convenience & Proximity retail Non- Press Parcels & Logistic Services Logistics to POS Press Newspaper Magazines International press Key figures 2014 Sales: 440.0m, EBITDA: 15.6m, FTE 15: 598

15 strategy - challenges 15 Our focused and successful strategy in action Focus on core mail business Continued productivity gains Innovation/ growth Value creation & rewarding of shareholders Keep stakeholders on board

16 16 We continue to roll out Vision 2020 Full-time distribution tested and validated Central mailbag preparation in pilot Implementation over 2016 & 2017 All postmen equipped with mobile device 4 extensions completed & construction of new BXL X started 16 Mixed Sorting Machines installed

17 strategy - challenges 17 Our successful and focused strategy in action Focus on core mail business Continued productivity gains Innovation/ growth Value creation & rewarding of shareholders Keep stakeholders on board

18 bpost cares Customer satisfaction Customers 88% in 2015 Environment Employees #1 on IPC Environmental Ranking Carbon Disclosure Project 99B Recognize experience 231 graduates Work accidents -12% vs. 2014

19 strategy - challenges 19 Our successful and focused strategy in action Focus on core mail business Continued productivity gains Innovation/ growth Value creation & rewarding of shareholders Keep stakeholders on board

20 Our share performed well since the IPO 20 Stock price evolution until 30 September % jun-13 dec-13 jun-14 dec-14 jun-15 dec-15 jun-16 bpost Bel-20 (re-indexed)

21 and we reward our shareholders with a higher dividend % +2% Final gross DPS ( ) Interim gross DPS ( )

22 Financial Results 2Q16

23 2Q16 23 Highlights of 2Q16 Revenues down 1.0% 591.9m Resilient underlying Domestic Mail volume evolution Excellent domestic parcels volumes, continued growth from international parcels Domestic parcels International parcels Cost savings on track Underlying average FTE reduction of 707 for the quarter -3.8% +18.3% + 1.8m - 6.6m EBITDA in line with last year, fully absorbing the reduced SGEI compensation BGAAP net profit of bpost SA/NV down 2.4m 159.4m 81.4m

24 2Q16 24 Outlook for 2016 (excluding acquisition of Lagardère Travel Retail Belgian activities) Top line Underlying Domestic Mail volume decline around 5% Compensation for SGEI: -26.8m lower vs Domestic Parcels: double digit volume growth International Parcels: continued growth supported by acquisitions Costs Productivity improvements: low end of 800 to 1,200 FTE/year range Strong focus on all cost items and factor cost levers Recurring EBITDA and dividend payment AT LEAST at the same level as 2015

25 8 October 2016 bpost strategy & challenges Koen Van Gerven, CEO VFB Dag van de Tips