Q4/FY 2018 Reporting

March 7, 2019 – Conference Call

Dr Frank Appel (CEO) and Melanie Kreis (CFO) presented and explained the Group financial results for the reporting period during a conference call on March 7, 2019.

Deutsche Post DHL Group was able to increase consolidated revenue in financial year 2018, although strong currency effects had a significant negative impact. After we had adjusted our earnings forecast for the full year in June 2018 for the PeP division from around €1.50 billion to around €0.6 billion and for the Group from around €4.15 billion to around €3.2 billion, EBIT was in line with our adjusted expectations. In the Post - eCommerce – Parcel division, restructuring expenses, in particular, had a significant negative impact on earnings. Express continued to grow strongly and Global Forwarding, Freight made visible progress in its operational business. Supply Chain earnings were impacted by negative one-off effects. Capital expenditure was again higher than in the previous year, whilst free cash flow fell below the prior-year figure, as expected since June. All in all, the Board of Management views the Group’s financial position as being sound.

Selected key figures financial year 2018

    2017
2018
+/–% Q4 2017
Q4 2018
+/–%
Revenue
€m
60,444 61,550 1.8 16,109 16,926 5.1
Profit from operating activities (EBIT) €m
3,741 3,162 –15.5 1,181 1,134 –4.0
Return on sales1) % 6.2 5.1 7.3 6.7
EBIT after asset charge (EAC) €m
2,175 716 –67.1 796 509 –36.1
Consolidated net profit for the period2) €m
2,713 2,075 –23.5 837 813 –2.9
Free cash flow €m
1,432 1,059 –26.0 975 1,307 34.1
Net debt3) €m
1,938 12,303 >100
Return on equity before taxes % 27.5 19.3
Earnings per share4) 2.24 1.69 –24.6 0.69 0.66 –4.3
Dividend per share   1.15 1.155)
Number of employees6)   519,544 547,459 5.4
1)
EBIT/revenue.
2)
After deduction of non-controlling interests.
3)
Calculation see Group Management Report, page 49.
4)
Basic earnings per share.
5)
Proposal.
6)
Headcount at the end of the year, including trainees.

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