Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


New Zealand Post Group improves half year result

New Zealand Post Group improves half year result as strategic changes start to take effect 

24 February, 2014

The New Zealand Post Group recorded an improved result for the half year ended 31 December 2013, boosted by a strong focus on expenditure reduction. 

The Group posted an after-tax profit of $71 million compared with $60 million in the same period the year before.

The directors declared an interim dividend of $2.5 million for the period, the same as for the first half of the last financial year. 

New Zealand Post Group Chief Executive Brian Roche said the overall improved result was largely attributed to a reduction in expenditure of $32 million, which more than offset a $12 million decline in revenue.

The steps taken were in line with the Group’s refreshed strategy introduced in November, Mr Roche said.

“It’s encouraging that the strategic decisions we made last year are already starting to yield results.

“It’s a good start and we are determined to build on it. We will balance ongoing cost reduction with a strong focus on growing new and profitable revenue and developing new ways to serve customers and meet their changing demands.”

The transformation plan, for the next three to five years, focuses the Group on finding lower cost ways of working to manage the falling volume of mail coming into the network as well as growing its logistics, parcels and financial services businesses and delivering new products and services.

Mr Roche said growing the parcels and logistics business is a top priority. Work is underway to develop new opportunities from the growing e-commerce parcels market domestically and internationally. The business has a pipeline of new products and is winning new customers.

Kiwibank continues to perform strongly in a highly competitive market, amid tight lending margins.

The Group will continue to invest in Kiwibank’s infrastructure to support its strategy for profitable growth, which includes offering different types of products such as insurance and fund management to its customers. 

Mr Roche said preparations to start the delivery of standard mail to urban households on alternate days starting from the middle of 2015 are underway and different modes of delivery will be trialled during the next six months.

New Zealand Post will continue to reduce its property footprint, including owning fewer corporate PostShops in its network of 880 service points, with more services being hosted by local businesses.

The New Zealand Post Group full year financial outlook is expected to be close to plan.    

“The result achieved over the last six months gives us confidence that we can adapt and respond to the challenges and opportunities that we face,” Mr Roche said. 


Click for big version.

ENDS

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Cosmetics & Pollution: Proposal To Ban Microbeads

Cosmetic products containing microbeads will be banned under a proposal announced by the Minister for the Environment today. Marine scientists have been advocating for a ban on the microplastics, which have been found to quickly enter waterways and harm marine life. More>>

ALSO:

NIWA: 2016 New Zealand’s Warmest Year On Record

Annual temperatures were above average (0.51°C to 1.20°C above the annual average) throughout the country, with very few locations observing near average temperatures (within 0.5°C of the annual average) or lower. The year 2016 was the warmest on record for New Zealand, based on NIWA’s seven-station series which begins in 1909. More>>

ALSO:

Farewell 2016: NZ Economy Flies Through 2016's Political Curveballs

Dec. 23 (BusinessDesk) - New Zealand's economy batted away some curly political curveballs of 2016 to end the year on a high note, with its twin planks of a booming construction sector and rampant tourism soon to be joined by a resurgent dairy industry. More>>

ALSO:


NZ Economy: More Growth Than Expected In 3rd Qtr

Dec. 22 (BusinessDesk) - New Zealand's economy grew at a faster pace than expected in the September quarter as a booming construction sector continued to underpin activity, spilling over into related building services, and was bolstered by tourism and transport ... More>>

  • NZ Govt - Solid growth for NZ despite fragile world economy
  • NZ Council of Trade Unions - Government needs to ensure economy raises living standards
  • KiwiRail Goes Deisel: Cans electric trains on partially electrified North Island trunkline

    Dec. 21 (BusinessDesk) – KiwiRail, the state-owned rail and freight operator, said a small fleet of electric trains on New Zealand’s North Island would be phased out over the next two years and replaced with diesel locomotives. More>>

  • KiwiRail - KiwiRail announces fleet decision on North Island line
  • Greens - Ditching electric trains massive step backwards
  • Labour - Bill English turns ‘Think Big’ into ‘Think Backwards’
  • First Union - Train drivers condemn KiwiRail’s return to “dirty diesel”
  • NZ First - KiwiRail Going Backwards for Xmas
  • NIWA: The Year's Top Science Findings

    Since 1972 NIWA has operated a Clean Air Monitoring Station at Baring Head, near Wellington... In June, Baring Head’s carbon dioxide readings officially passed 400 parts per million (ppm), a level last reached more than three million years ago. More>>

    ALSO:

    Get More From Scoop

     
     
     
     
     
     
     
     
    Business
    Search Scoop  
     
     
    Powered by Vodafone
    NZ independent news