Australia Post Profit Up 41%
Australia Post has reported a whopping 41% jump in full-year profit to $134 million, driven by continued online shopping growth and a record holiday season.
The government-backed company claims parcel delivery growth has continued to offset a decline in domestic letters.
Commentators affirm the growth of Amazon Australia has further boost results, with research revealing broader e-commerce spending has spiked since entry.
As per Australia Post’s Inside Online Shopping Report, Aussies spent $21.3 billion online shopping last year – a notable 18.7% YoY increase.
Earlier this year, Executive General Manager E-Commerce Delivery, Bob Black, revealed an extra 2000 staff were on-boarded to meet its record holiday season:
“We made more than 37 million parcel deliveries in the four weeks leading up to Christmas,” said Black.
“That’s around three million more than last year, and almost 20 per cent more deliveries on our busiest days in the lead-up to Christmas, making it our biggest festive season ever.”
For the year ending June 30th, Australia Post generated total revenues of $6.88 billion – a marginal 1% increase.
Parcel revenue notched $3.5 billion – with an 11% lift in volume – whilst letter revenue hit $2.4 billion, with a 10% volume slump.
Australia Post Chef Executive, Christine Holgate, claims increased uptake of online bill payment, coupled with the withdrawal of large organisations from regional towns has further pressurised the business.
As previously reported, Australia Post has continues to revamp its parcel processing equipment, recently upgrading major facilities with a $300 million investment.
The company plans to increase this investment to ~$500 million next year.
Ms Holgate has recently made headlines for urging Australia’s big 4 banks to aid its loss-making post office banking business.