Royal Mail results reflect parcels boom
Jo Francis
Thursday, May 20, 2021
The pandemic-related parcels boom has resulted in a big jump in sales and profits at Royal Mail – with parcel revenues outstripping letters for the first time in the group’s five-century history.
Royal Mail has brought in new services such as parcel collection
Overall group sales, including overseas parcels business GLS, were up 16.6% to £12.64bn in the 52 weeks to 28 March.
Adjusted operating profit more than doubled, jumping from £325m to £702m, while net debt of £46m in the prior year transformed to a net cash position of £622m.
However, Royal Mail pointed out that parcel volumes slipped slightly in April, and said that “significant uncertainties with respect to public health and economic growth cloud the outlook for the year ahead”.