Q Norway Post 1

Transcription

1 Q Norway Post 1

2 Agenda Q PART 1: Highlights and developments by CEO Dag Mejdell PART 2: Results and Segment Review by CFO Tone Wille PART 3: Q&A 2

3 Agenda Q PART 1: Highlights and developments by by CEO Dag Mejdell 3

4 Q Highlights Statoil contract for supply of logistics services on the Norwegian continental shelf Organisational changes from 1 October, in which the logistics segment is organised into two divisions according to country and a separate e-commerce division is established Acquisition of "logistics company" in Sweden Major focus on e-commerce The draft fiscal budget includes MNOK 353 to Norway Post in government procurements as well as dividends from Norway Post of MNOK 217 4

5 Q Highlights Operating revenues: MNOK 16,800, the same as last year Earnings before interest and taxes*: MNOK 719, 21% up from 2011 Return on invested capital*: 19.7%, compared with 15.4% last year Impact of efficiency programme: approximately MNOK 2,670 since 2008 Delivery quality of A (priority) mail in Q3: 85.7% * Before non-recurring items and write-downs 5

6 HSE efforts produce results 10,0 % 9,0 % From 9.2% to 6.8%* 430 additional employees at work Estimated gain for society MNOK 222 8,0 % 7,0 % 6,0 % Norway Post Group (total) Labor market in Norway Sick leave as at 30 September was 0.6 percentage points lower than at the same time last year Norway Post approaching the level in the Norwegian labour market * Moving 12-month average 6

7 HSE efforts produce results months trend Significant reduction of work injuries month trend H1 value was 6.6 as of September, which is 5.2 ahead of last year

8 Operating income (MNOK) Q Q

9 Earnings (EBIT) before non-recurring items and write-downs (MNOK) Q Q

10 Operating income from foreign companies Operating income in MNOK Operating income from foreign companies accounted for 28.2% of the Group's operating income as of Q3, down 0.3% from last year YTD YTD

11 New corporate structure at Norway Post increased focus on e-commerce and Sweden Norway Post Dag Mejdell Economics/Finance/IT Tone Wille HR and HS&E Randi Løvland Communication Elisabeth Gjølme Mail Gro Bakstad E-commerce Gunnar Henriksen Logistics Norway Tore K. Nilsen Logistics Nordic Tim Jørnsen The mail segment in Norway Bring Citymail Bring Dialog Develop e-commerce services and concepts. Responsibility for the largest and most important B2C customers in the Nordic countries The logistics segment in Norway (Parcels, Cargo, Frigo, Warehousing), and logistics outside the Nordic region The logistics segment in Sweden, Denmark and Finland (Parcels, Cargo, Frigo, Warehousing and Supply Services), as well as Bring Express 11

12 Southern Sweden is becoming increasingly important as a base for distribution to the entire Nordic region Areas in southern Sweden are important distribution centres for the Nordic region Important areas for Nordic distribution centres are Stockholm Gothenburg Helsingborg/Malmö Jönköping/Nässjö Important reasons Norway, Finland and Denmark can be reached within 12 hours Baltic states can be reached in 24 hours The largest consumer market in the Nordic countries Multinational companies in various industries have established distribution centres in Sweden Consumer/retail Electronics Automotive Industrial 12

13 Norway Post acquires Ekdahls Åkeri to strengthen its domestic market position in Sweden Ekdahls Åkeri was established in 1965 A logistics company which mainly consists of transport agencies, trucks and terminal operations. Offering cargo, part and full load traffic and storage solutions Operating revenues of about MSEK 640 Approximately 520 employees The Company is located in Malmø, Landskrona, Borlänge, Eskilstuna, Gøteborg, Halmstad and Ljungby Ekdahls Åkeri has a strategic position in the domestic market in Sweden. Together with Bring s resources and network in Sweden, the logistics services to Swedish industrial customers will be enhanced. 13

14 E-commerce is the Group's main growth area E-commerce is todays shopping E-commerce used to be for the minority, now "everyone" shops on-line. 9 of 10 say they shop online today, regardless of age, gender and location An increasingly cross-border market - Nordic and global Norway Post is investing in this market and is now stepping up its efforts Rapidly growing market, > 15% per year The proportion of Norwegian consumers who buy physical goods on-line has grown from about 20% in 2002 to 80% in

15 Norway Post is focusing on e-commerce and strengthening its services People who shop online want small parcels delivered to their mailbox and large items delivered to their door. Therefore Norway Post will offer: A new offer of "small parcels" in the mailbox from 2013 Extended offer of "Home delivery" of parcels, cargo and letters that are too large for the mailbox One day faster delivery of the Service Package in large parts of southern Norway and Helgeland Automatic notification by SMS/ once a Service Package is ready for collection at the post office/instore post office Small parcels that go in the mailbox - i.e. less than 7 cm Customers will be notified directly about delays by SMS People want small parcels in their mailboxes and larger items delivered to their doors 15

16 Statoil chose Bring - Norway's biggest logistics contract ever An expansion of Bring Cargo's 30-year long collaboration with Statoil. Bring has now been given the main responsibility for the oil logistics along the Norwegian coast. The Statoil contract has given Bring an even better and broader platform for further investment in this growth industry. Bring has provided, and will provide, customised transportation and forwarding solutions for Statoil by road, rail, air and sea. Bring's so-called "oil express" consists of 60 modern semi-trailers that serve Statoil's oil bases along the Norwegian coast 16

17 Systembolaget has chosen Bring Express for home delivery of wines and spirits in Sweden Bring Express in Sweden has won the prestigious contract to supply home delivery of Systembolaget's products in a pilot scheme The Swedish government has licensed a pilot scheme for home delivery of alcoholic drinks in up to 6 counties. The trial will be implemented in stages There are strict requirements for social controls in the deliveries The trial starts 6 November in Sollentuna, with deliveries three days a week. Johanneshov, Bromma and Nacka will follow 17

18 Q Agenda PART 2: Results and Segment Review by CFO Tone Wille 18

19 Result Q Q Change MNOK YTD 2012 YTD 2011 Change The year Operating revenues EBITDA EBIT before non-recurring items and write-downs Write-downs Non-recurring expenses/(income) EBIT before share of profit from associates Share of profit from associates EBIT Net financial items Earnings before tax Taxes Profit after tax

20 Norway Post's Segment Structure group mail logistics 20

21 Segment distribution of external revenues Change in MNOK and % Percentage of external revenues in % 0.3% 31 59% 58% % 42% -1.6% Mail Logistics 21

22 Segment MAIL Letter Products Banking services Dialogue services 22

23 Key figures mail logistics Operating revenues Operating revenues at the end of Q3 were lower than last year Volume decrease, addressed mail - 7.5% Volume decrease, unaddressed mail - 1.7% Volume growth, Bring Citymail, Sweden Growth (%) Q Q Q EBITDA Earnings before write-downs and non-recurring items at the end of Q3 were 8% higher than last year Spinnaker programme and other profitability improvement measures 800 Q Q Q Conversion of 149 post offices to in-store post offices launched EBITDA margin (%)

24 Segment LOGISTICS Parcels Express Cargo Frigo Warehousing Supply Services 24

25 mail logistics Key figures Operating revenues Operating revenues at the end of Q3 were in line with last year Acquisitions in 2011 and 2012 Volume decrease for parcels - 4.6% Decrease in domestic volumes Growth in cross-border parcels Strong competition and movement towards low cost products in parcels operations Growth (%) Q Q Q Operating revenues outside Norway amounted to MNOK 4,019, the same level as last year EBITDA Earnings before write-downs and non-recurring items at the end of Q3 were 27% higher than last year Revenue growth in most areas other than the parcel market The Spinnaker programme and other profitability improvement measures 300 EBITDA margin (%) Q Q Q Purchase of Fredrikstad Transport & Spedisjon AS in April

26 Future prospects Continued Growth - new contracts and acquisitions E-commerce - important growth market, e-commerce division created Efficiency Programmes - focus on improving profitability, common improvement- and performance culture throughout the company Digipost - adapt services offered to new user needs. Recommendation from Difi on public use of digital solutions The third EU Postal Directive - further reservation process and potential impact still unclear 26

27 Q Agenda PART 3: Q&A 27

28 Q Norway Post 28