Nordic postal and logistics group Posten Bring increased its turnover by Nkr577m (US$51.8m) to Nkr24.9bn (US$2.24bn) in 2024 compared to 2023, with operating profit boosted by Nkr190m (US$17m) to Nkr 906m (US$81.3m) compared to the previous year.
According to the company, the profit improvements were predominantly driven by growth in e-commerce volumes – the group handled 100 million parcels in 2024 – as well as good cost control.
“The logistics industry and many markets have been characterized by turmoil and uncertainty, which makes it even more important for us to be a stable and predictable supplier,” explained Petter-Børre Furberg, CEO of Posten Bring.
“Changes in the market meant that last year we changed the way we work in several areas, at the same time as we moved much of our innovation work closer to our core business to increase the pace of service development.
“We have implemented important parts of our profitability program and made cost reductions that have contributed greatly to the improvement in earnings, and which we expect to give us new gains in 2025.”
Logistics growth
Sales for the logistics segment amounted to Nkr 20bn (US$1.8bn) in 2024, an increase of Nkr 658m (US$59.1m) compared with the same period last year. The growth was mainly driven by growth in e-commerce parcels, as well as price increases. The parcel volume from B2C e-commerce increased by 3.8% in 2024 compared to last year, mainly due to increased volumes from e-commerce platforms in China, as well as growth in parcels delivered in Denmark.
Adjusted operating profit in the logistics segment amounted to Nkr 886m (US$79.5m) in 2024, an increase of Nkr 197m (US$17.6m) compared with last year. According to Posten Bring, it was mainly the positive development in e-commerce parcels that contributed to the improved result, despite high costs related to weather challenges at the beginning of the year.
Ongoing cost adjustments and the implementation of the profitability program have helped to keep costs down, despite high price growth throughout the year. An improvement in earnings from freight and specialized forwarding has also made a positive contribution.
Less addressed mail
Addressed mail volumes fell by 11.4% in 2024 compared to 2023, resulting in a decrease in revenue of Nkr 218m (US$19.5m) YoY, although this was partly offset by positive volume growth for Norway Post of 12.9% in 2024.
In 2024, 90.2% of addressed mail was delivered within three days, exceeding the license requirement of 85%.
In December, the government’s expert committee presented its report on the postal services of the future. It has now been sent out for consultation, where everyone can provide input on how the national postman network can be managed in the best possible way to create social value. Posten Bring will provide input on what it believes the postal services of the future should look like.