Poste closes 2018 meeting and even exceeding, for net and operating profit, the targets of the business plan Deliver 2022. For 2019-20, the group led by Matteo Del Fante has news in store: drones and robots for the delivery of parcels, fully operational with the new Joint delivery model (letters and parcels together) with deliveries every other day but even in the evening and during the weekend. Any hypothesis of entry into Alitalia is rejected. And on the front of the agreements between Sia (of which Poste is a shareholder with 15%, together with Cdp) and Nexi, if now everything is at a standstill pending the IPO of Nexi in April, nothing can be excluded for the future. These are the essential innovations that emerged during the presentation of the 2018 financial statements, during which the CEO Matteo del Fante and the CFO Guido Maria Nola did not rule out a further impact of the new rules on the 100 quota on early retirement and hiring compared to plan defined so far.
POSTE, PROFIT DOUBLE AND DIVIDEND RISES FOR 2018
The 2018 financial year closed with 10,8 billion in revenues (+2,2%), a reduction in operating costs to 9,3 billion (-1,5%) despite the 619 million set aside for the early retirement plan agreed with the trade unions together with 3200 hires expected in 2019. These are numbers - explained Del Fante - which do not take into consideration the new rules on the 100 quota introduced by the government since, "given the size of Poste Italiane, the potential estimates available at the moment could give rise to important fluctuations: we therefore took some time to better evaluate the numbers. There may be additional budget needs to be set aside.”
THEnet profit is close to 1,4 billion also considering non-recurring transactions for 385 million (+709 million on 2017). In practice, a doubling compared to 2017. The dividend proposed at the May shareholders' meeting is 44,1 cents, up 5%. CDP is thus preparing to cash a check for 201 million, while another 168 will arrive at the Treasury. In total, therefore, double check for 369 million for the state.
Last year's numbers, which saw the solvency ratio rise to 211% at the end of December, brought the operating result at 1,49 billion (+33,5%). 2018 also marks a turning point: the decline in mail - constant over the last ten years - "has stabilized thanks to the strong growth in parcel delivery", observed the CEO. The payments sector is confirmed as more than solid with revenues of 592 million (+11,4%) and an increase in fixed and mobile telephony "despite the entry of new foreign operators" specified Del Fante with a clear reference to the arrival of Iliad. Assets under management reached the monstrous figure of 514 billion, net inflows in 2018 reached 1,6 billion.
"Poste Italiane achieved all the financial targets outlined for 2018 thanks to a more incisive efficiency-enhancing action and a strong growth in operating profit. In 2019 there will be a constant increase in revenues, margins and profits”, concluded Del Fante.
POSTAL, GUIDANCE 2019
After 2018, 2019 will go even further: the group expects revenues of 11 billion, an operating result of 1,6 billion and a net profit of 1,1 billion. The dividend per share is estimated to grow by 5% compared to 2018, in line with the business plan. In the mail, parcels and distribution sector, turnover was down by 1%, with revenues from parcel delivery activities (+12% compared to the previous year) offsetting the decline in mail. The payment area will still be the driving force with a strong increase in card revenues (+25% year-on-year) while in financial services the estimated revenues of the operating sector are equal to 5,1 billion. Insurance is also growing with the offer in the life branch of new multi-class products (which combine a guaranteed return with solutions indexed to the market).
POSTAL, THE PACKAGE ARRIVES WITH DRONES AND ROBOTS
The Joint delivery plan - mail and parcels - agreed with the unions, has now reached around 50% of its territorial potential. In 2019, it is expected to be 100% fully operational and, in 2020, the use of more modern systems could come into play. “We are working on the distribution system with drones – Del Fante specified again but without going into details – and also with depersonalized deliveries with driverless vehicles who park under the recipient's house, notify him with a text message, he gets out, opens a drawer of the vehicle with a code and collects the package".
POSTAL SERVICE, M&A AND STAND ALONE GROWTH
Sia, the digital payments company of which Poste holds 15% and CDP 35%, does not leave Poste's plans for the future. “All possible valorisation hypotheses are being studied in a sector that is undergoing an important transformation, through large mergers and acquisitions. We are very attentive to the strategic profiles that this company of national excellence may have and therefore we support any mergers or the growth of the company on a stand-alone basis". This is how Matteo Del Fante replied on the Sia dossier. The Cfo Nola added that in any case the pole hypothesis with Nexi is now suspended in consideration of the IPO scheduled for April. "It will be an important opportunity - he said - to arrive at a precise valuation of Nexi". In the future, anything can happen.
On the Stock Exchange, the stock closed on Tuesday at 8,6 euros, up 2,58%. Tested by the market, on Wednesday morning, Poste Italiane shares reached an all-time high since their quotation, which took place in October 2015, and were listed at 8,45 euros, up 1,10% at 11:36 am.
Updated Wednesday March 20, 2019 at 11:36am
