Press release -
Post Office reports third consecutive year of trading profit for 12 months ending 31 March 2019
- Post Office increases year on year trading profit in 2018/19 to £60 million. A £25 million increase on the previous financial year.
- A 2% increase in turnover to £972 million. Up from £956 million in 2017/18
The Post Office has reported that its trading profit for 2018/19 was £60 million, an increase of £25 million compared with the previous financial year. This was its third consecutive year of trading profit.
The results for the 12 months ending 31 March 2019 show that the Post Office increased its trading turnover by 2% to £972 million. This compares with £956 million in 2017/18.
- Over a third of revenue came from its ‘Mails’ division where home shopping returns accounted for 35% of this revenue.
- Insurance revenue grew by £7 million to £55 million driven mainly by growth in over 50s Life Insurance and Travel insurance business.
- Telecoms revenue increased by £6 million to £153 million.
The Post Office undertook a number of measures during the previous financial year to innovate and improve its customer offering both in branch and online.
- Over 700 branches now offer a Passport Digital Check and Send service.
- A new ‘Labels to Go’ service for online shoppers to print a returns label at their local Post Office was launched.
- Over 300,000 customers are now using the Post Office’s new travel app.
- Post Office acquired Payzone Bill Payments Limited resulting in nearly 25,000 locations at which customers can pay their household bills quickly and conveniently.
Looking back at the financial results for the 12 months ending 31 March 2019 Post Office Chairman Tim Parker said:
“These results show another year of steady progress. Our focus continues to be on creating stronger foundations to provide better services to our customers and to support postmasters who run our branches. Our results show that we are effectively transforming the business to remain relevant, easily accessible and the first choice for customers. We believe we are on the right track.
“As ever, it is our people, whether working in branches across the country, in our supply chain or in our support centres, who are making these changes happen and I would like to thank them for their continued support and their dedication to making this business successful.”
Overview of revenue
| 2019 | 2018 | Variance | Variance | ||
| £m | £m | £m | % | ||
| Retail | |||||
| Mails | 350 | 334 | 16 | 5 | |
| Retail & Lottery | 42 | 45 | (3) | (7) | |
| Payment Services | 27 | 27 | - | - | |
| Cash & Banking Services | 161 | 158 | 3 | 2 | |
| Financial Services & Telecoms | |||||
| Financial Services | 113 | 127 | (14) | (11) | |
| Telecoms | 153 | 147 | 6 | 4 | |
| Insurance | 55 | 48 | 7 | 15 | |
| Identity | 58 | 54 | 4 | 7 | |
| Other | 13 | 16 | (3) | (19) | |
| Revenue | 972 | 956 | 16 | 2 |
Ends
The Post Office’s 2018/19 Annual Report is available to see on this link
Categories
About Post Office:
- With over 11,500 branches, the Post Office network is the biggest retail network in the UK, with more branches than all the banks and building societies combined.
- 98% of Post Office branches are run with retail partners on an agency or franchise basis.
- The Post Office provides services central to peoples’ everyday lives; 99.7% of the population lives within 3 miles of a Post Office.
- We offer the UK’s largest fee free cash withdrawal network through our 11,500 branches and over 2000 ATMs and 99 per cent of UK bank customers can access their accounts at the Post Office.
- Thousands of Post Office branches are now open longer, with 4000 open 7 days a week, making it even easier for customers to access vital services.
- We sell 170 different products and services spanning financial services including savings, insurance, loans, mortgages and credit cards; Government services; telephony; foreign currency; travel insurance and mail services.
- Post Offices branches remain highly valued and trusted, and are the focal point of many communities. For more information; visit www.postoffice.co.ukand to find out about a Post Office business opportunities; visit www.runapostoffice.co.uk
