Income affected by transition in Denmark

Income affected by transition in Denmark 

Operating income totaled SEK 138 million (189). Operating income decreased primarily due to the closure of the Danish national mail service. As a result of the closure, PostNord Denmark has lost synergy effects and been affected by increased restructuring costs for the parcel business. Initially, we are focusing on integrating the international parcels received via the postal inflows into our regular operations. At the same time, we are continuing to strive to ensure a long-term competitive parcel business in Denmark. 

PostNord TPL is affected by continued overcapacity in the market and temporarily increased costs due to business start-ups and production adjustments. Income in our other operating segments improved over the quarter. This indicates that our long-term investments are paying off and that our organization is continuing to deliver in a time of constant change. 

Win in Parcel 

During the quarter, we made important progress in the implementation of our updated strategy and new vision: Moving the Nordics forward. We are strengthening our focus on customers and consumers, and our position as a growth partner for customers. We have defined four business priorities in order to grow our long-term competitiveness: Win in Parcel, implement smart adaptation of the mail business, ensure stand-alone profitability in all segments and unlock the full potential of our Nordic network and product portfolio.  

We have deepened our efforts to develop relevant, fast and sustainable services for both customers and consumers. Our Nordic offering is appriciated among our customers. We are also continuing to expand our network of parcel lockers in the Nordics.  

Smart adaptation of the Swedish mail business 

We are still waiting for a decision about new postal regulations. To ensure a self-financed mail business that is commercially sustainable, it is crucial that the regulations are adapted to the demand. In parallel, we continue to adapt what we can influence ourselves – the organization, the offering and the prices – in order to be able to operate a self-financed and profitable mail business in the short term with an offering that is adapted to the demand we meet, with continuously decreasing volumes. 

Continued progress in climate transition with updated targets  

Our climate transition continues to progress. During the quarter, our science-based climate targets were validated by the Science Based Targets initiative (SBTi). The new targets both extend and reinforce our climate strategy. To achieve these targets, we need to continue the transition to fossil-free transportation that focuses on electrification, while biofuels are important in the short term. We also need to intensify partnerships with suppliers and other stakeholders who share our ambition and can deliver low-emission products and services. 

Contact person: Evin Khaffaf, Head of Group Brand & Communication +46 10 436 00 00