Profit up to 622 million e dividend of €0,39 per share. Poste Italiane's Board of Directors examined and approved the 2016 accounts: the group's total revenues, including insurance premiums, increased by 7,7% compared to the previous year and amounted to 33,1 billion.
The positive performance of the Insurance Services and Managed Savings segment, whose revenues increased by 10,8% to 23,8 billion compared to the previous year, and the resilience of the Financial sector, which generates revenues of 5,3 billion, more than compensated - specifies the statement released by Poste Italiane – the expected drop in revenues from Postal and Commercial Services (-1,5% to 3,8 billion), mainly induced by the reduction in mail volumes (-10,9%), and in any case slower than in the previous year. Revenues from the parcels segment grew, up 6,4% on the previous year and amounting to 649 million.
The operating result recorded a marked increase of 18,3% compared to the previous year ( 880 million) and amounted to 1,041 billion. The increase is related to the aforementioned positive trend in revenues combined with the containment of operating costs. Net profit, as mentioned, rose to 622 million, an increase compared to 552 million in the previous year.
The Board of Directors then proposed a dividend of 0,39 euro per share, to be submitted to the approval of the shareholders' meeting, in line with the pay-out policy, defined by the Company as at least 80% of the consolidated net profit for 2016 of the Poste Italiane Group. From a short calculation, therefore, it can be deduced that the cut check for the Treasury which holds 30% of the capital, this year will be equal to approximately 165 million. Another 175 billion will go to Cassa Depositi e Prestiti which holds 35%. After the privatization started in 2015, the remaining 35,7% is on the market.
It is therefore on the basis of these results that the CEO of Poste Italiane concludes his first three-year mandate. The meeting for the approval of the financial statements and for the renewal of directors is set for April 27, but the majority lists must be presented twenty days in advance. The Treasury will therefore have to dissolve the reserve before long and let it be known whether it intends to confirm Francesco Caio at the helm of Poste or rather move it to Leonardo's vertex, as some voices claim. Certainly, "these results now form a very robust basis for continuing to implement the 2020 business plan", says the person concerned.
The Group's net financial position shows a surplus of 6,2 billion. The change, compared to the surplus of 8,7 billion as at 31 December 2015, pur benefiting from a positive cash flow from non-financial operations of over 1,4 billion, was affected by the general decrease in fair value suffered by financial instruments (by -2,3 billion) and by the reclassification (by -0,6 billion) of the financial assets and liabilities of BdM-MCC SpA and BancoPosta Fondi SpA SGR in the specific items envisaged by IFRS 5.
The industrial net financial position shows a surplus of 893 million, an improvement compared to the surplus of 307 million at the end of 2015. Industrial investments for the year amounted to 451 million and are mainly related to the computerization of telecommunications networks, as well as property modernization and renovations.
In 2016, the managed/administered assets increased by 3,7% compared to 476 billion as at 31 December 2015 and amount to 493 billion. The value mainly benefited from the growth in the technical reserves of the Life insurance segment, investment funds and BancoPosta direct deposits.
With reference to distribution networks, the process of renewing and digitizing post offices continued in 2016 through the roll-out of wi-fi connectivity in over 3.200 post offices since the start of the project and the installation of the "new waiting manager" system already present in over 1.700 offices: the average waiting time in offices with queue manager, equal to 8,6 minutes in 2016, recorded a 27% reduction compared to the previous year. With these initiatives, the project to improve the services offered to customers continues, as does the opening of multilingual branches in 23 post offices throughout the country, which simplify the approach to the Group by "new Italians".
With a view to improving the efficiency and requalification of human resources envisaged by the Business Plan, around 2016 placements took place in 1.500 (including more than 500 conversions from part-time to full-time), while the overall average workforce of the Group decreased by approximately 2.500 units compared to 2015. Furthermore, 5.700 people joined the planned early retirement program and, as of 31 December 2016, they left the Group. More than 3 million hours of training were provided to Group personnel.
“Poste Italiane – he commented the managing director Francesco Caio – closes 2016 with strong growth in turnover and margins, consolidating the path of change and development started in 2014. At a consolidated level, revenues exceed 33 billion, with a growth of 2015% compared to 7,7; the operating margin exceeds one billion (1.041 million) up by 18,3%. Net income grew by 12,7% to 622 million. As announced at the time of listing, also for 2016 the company will distribute a dividend equivalent to 80% of net profit equal to 0,39 per share, up 15%”.
“All the business sectors that effectively pursued the investment and development priorities of the Business Plan contributed to the Group's results: in postal services, the implementation of the new delivery model was launched, while in the parcels, Poste Italiane gained market share with volume growth of over 12%. The BancoPosta achieved a ROE (return on capital) level of 29% and in the insurance sector, Poste Vita grew by 9% in terms of Premiums collected. Total assets under administration and management reached 493 billion, up by 3,7%. Since 2014, the year in which the five-year industrial plan was presented, the company has increased its turnover by almost 16%, its operating margin by 50% and its net profit has almost tripled. These results demonstrate the validity of the strategic choices and the company's ability to translate them, through the managerial action of its management team and the commitment of all its people, into operational, economic and financial results; in constant dialogue and relationship with the institutions, regulators and territories in which it is strongly rooted”.
"As announced at the time of the presentation of the Poste Italiane Plan 2020 - the group's CEO continued -, Poste Italiane has been able to undertake a development path aimed at combining two aspectsi: on the one hand objectives of growth, innovation and customer orientation - on the basis of which investors, including international ones, have participated in the listing on the Stock Exchange; on the other, the confirmation of its social mission that has always characterized its profile, maintaining and strengthening its widespread presence in the territory to ensure proximity and inclusion to communities and citizens from all over the country. These results now form a very robust basis for continuing to implement the 2020 business plan”.
