News and press releases

  • Royal Mail Group
    Cover of Royal Mail Group Interim report 2012-13 - postman delivering mail to a house
    13 November 2012
    Interim Report for the half year ended 23 September 2012

 

Individual business highlights

                                              Revenue

Operating profit/(loss) after
transformation costs

 

Half year ended
23 September
2012 (£m)

Half year ended
25 September
2011 (£m

Half year ended
23 September
2012 (£m)


Half year ended
25 September
2011 (£m)
 

UK Parcels, International and Letters (UKPIL) 3,635 3,426 99 (41)
General Logistics Systems (GLS) 712 778 45 58
Other businesses 8 12 - (5)
Royal Mail Group 4,355 4,216 144 12

 

Profits and margins

  • At £144 million, Group operating profit after transformation costs increased from £12 million last year. This is the second consecutive year of profit growth in the first half at the Group level.
  • The Group margin after transformation costs increased from 0.3 per cent to 3.3 per cent.
  • UKPIL posted a profit of £99 million (September 2011 £41 million loss). Its margin was 2.7 per cent (2011 minus 1.2 per cent).

Revenue and volumes

  • Group external revenue increased by 3.3. per cent to £4,355 million (September 2011 £4,216 million). UKPIL, our core UK business, delivered a 6.1 per cent revenue increase to £3,635 million (September 2011 £3,426 million).
  • Group parcel revenue of £2,059 million increased by 4.6 per cent (September 2011 £1,969 million); UKPIL parcel revenue was up 13 per cent to £1,347 million. Group parcel volumes were 4.2 per cent higher with UKPIL volumes up 5.6 per cent.
  • UK letter revenue (including unaddressed letters) was 2 per cent higher, following price increases in April. In line with expectations, traditional addressed letter volumes in the UK declined by 9 per cent.
  • At GLS, underlying revenue was broadly unchanged (September 2012 €886 million; September 2011 €884 million). It was lower when converted to Sterling, due to the weaker Euro. Volumes were broadly level at 182 million items.
     

Cash flow and balance sheet

  • Free cash inflows of £218 million (September 2011 £237 million), were generated. In the last six months, net debt5  reduced by £214 million to £972 million.

5

Net value of our financial liabilities (excludes derivatives, includes borrowings) against our cash and other liquid assets.

Note to editors:

View key sections of the Interim Report:

Highlights

Business Performance

Group Chief Executive Officer's Review

Media Contacts

Mish Tullar
Director of Media Relations
Tel: 020 7449 8239
Mobile: 07423 524154
Email: mish.tullar@royalmail.com     

Candice Macdonald
PR Manager - Corporate
Tel: 020 7449 8261
Mobile: 07436 267324
Email: candice.macdonald@royalmail.com