Deutsche Post comments on proposed pricing decision
The federal network agency has sent us today for purpose of comment its draft decision on the aggregation of services as well as proposed pricing metrics (,Vorgabe von Maßgrößen`) for the price-cap regime of mail items of up to 1000 grams as of January 1st 2019. This decision is foreseen to be valid until December 31st 2021. The final decision of the federal network agency is expected for mid-March 2019.
According to the draft decision, Deutsche Post AG should be allowed a pricing headroom of 4.8% as of April 1st 2019 on the basket of products that are subject to the price-cap regime.
Should this become the final decision the allowance to increase prices over that period would be lower than expected. To achieve the profits targets of the Post & Paket Deutschland division on this basis additional cost reduction measures would be required.
Should political bodies make modifications to the regulatory framework relevant to the price-cap regime, Deutsche Post AG would be allowed to apply for the execution of a new review by the federal network agency ahead of the end of the term of the now upcoming decision.
November 6, 2018 – 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 November 6, 2018.
Selected key figures Q3 2018
|Profit from operating activities (EBIT)||€m
|Return on sales1)||%||5.8||4.5||–||5.7||2.5||–|
|EBIT after asset charge (EAC)||€m
|Consolidated net profit for the period2)||€m
|Free cash flow||€m
|Earnings per share4)||€||1.55||1.03||–33.5||0.53||0.12||–77.4|
|Number of employees5)||519,544||543,612||4.6||–||–||–|
- After deduction of non-controlling interests.
- Prior-period amount as at 31 December, for the calculation see page 7 of the Interim Group Management Report.
- Basic earnings per share.
- Headcount at the end of the third quarter, including trainees; prior-period number as at 31 December.
To complement our usual communication we have some videos on Deutsche Post DHL Group. You might find them useful to broaden your knowledge on topics relevant to us and our industry.