Stamps.com shares dipped almost 50% in late trading on Thursday after the company said it was giving up its exclusive deal with the U.S. Postal Service reports Marketwatch.
“We will no longer be exclusive to the USPS and that’s non-negotiable,” Chief Executive Kenneth McBride said of demands his company made in negotiations to renew their revenue-sharing agreement. “The USPS has not agreed to accept these terms or any other terms of our partnership proposal. So at this point we’ve decided to discontinue our shipping partnership with the USPS so that we can fully embrace partnerships with other carriers who we think will be well-positioned to win in the shipping business in the next five years.”
Following the announcement the shares continued to dive and were recently down nearly 48% in after-hours trading.
McBride later stressed that Stamps.com will still be able to sell stamps. “Note that our decision to discontinue our exclusive partnership with the USPS does not in any way impact our regulatory relationship with them or the products and services we are able to offer our customers,” he said, stressing that the move is an effort to service other carriers such as FedEx, UPS and Amazon.comInc.
https://i1.wp.com/www.customlogistics.co/wp-content/uploads/2019/02/stamps-coms-shares-down-nearly-50-post-parcel.jpg?fit=890%2C501&ssl=1501890Adam Jameshttps://www.customlogistics.co/wp-content/uploads/2018/10/custom-logistics-1-300x93.pngAdam James2019-02-22 16:54:582019-02-22 16:54:58Stamps.com’s shares down nearly 50% | Post & Parcel
From 25 March, the price of a 1st Class stamp will increase by 3p to 70p and the price of a 2nd Class stamp will increase by 3p to 61p.
Royal Mail says “ these changes are necessary to help ensure the sustainability of the Universal Postal Service.”
The company says that Royal Mail’s stamp prices are among the best value in Europe when compared to other postal operators.
Royal Mail research shows that the European average for 1st Class letters (0-100g) is 99p. The UK 1st Class stamp price comes in at below this price. The European average for 2nd Class letters (0-100g) is 77p The UK 2nd Class stamp price remains below this.
Royal Mail is also making changes to the pricing structure of its Redirection service. From March 25, pricing will be based on the number of applicants rather than on a per-surname basis.
https://i2.wp.com/www.customlogistics.co/wp-content/uploads/2019/02/royal-mail-confirm-stamp-price-increase-post-parcel.jpg?fit=660%2C390&ssl=1390660Adam Jameshttps://www.customlogistics.co/wp-content/uploads/2018/10/custom-logistics-1-300x93.pngAdam James2019-02-22 16:48:592019-02-22 16:48:59Royal Mail confirm stamp price increase | Post & Parcel
Pakistan Post is to expand its reach across the country to provide better service and make it a more profitable entity.
Pakistani politician and Minister for Communications Murad Saeed made the announcement during a ceremony in Islamabad on Friday.
He said Pakistan Post has currently 12,000 outlets and with the collaboration of National Database and Registration Authority (NADRA) 15,000 more outlets will be established. He said this will not only enhance the revenue of the organisation but also create many job opportunties for young people. He said NADRA’s technology will be used to improve the performance of Pakistan Post.
Murad Saeed said the biggest strength of Pakistan Post is that it covers 80% of rural areas and provides a wide range of facilities including a bank and warehouse.
The Minister for Communications said the revenue of Pakistan Post has increased by 212% over the last few months.
https://i1.wp.com/www.customlogistics.co/wp-content/uploads/2019/02/pakistan-post-to-expand-its-network-with-15000-new-outlets-post-parcel.jpg?fit=750%2C369&ssl=1369750Adam Jameshttps://www.customlogistics.co/wp-content/uploads/2018/10/custom-logistics-1-300x93.pngAdam James2019-02-22 16:45:172019-02-22 16:45:17Pakistan Post to expand its network with 15,000 new outlets | Post & Parcel
La Poste has announced its results for the 2018 fiscal year. The Group’s consolidated operating profit totalled €892 million, representing an 11.8% drop of €120 million.
The company’s statement says: “Efforts by all business lines to rein in expenses have not managed to fully offset the accelerating decline in mail volumes, the costs linked to the growth of parcel activity in France, and Europe-wide pressure on express parcel margins, in Germany in particular.”
That said the Group’s consolidated operating revenue totalled €24,699 million, up 2.4% (+1.2% at constant scope and exchange rates). Key contributors were the Services-Mail-Parcels business unit and, to a lesser extent, the GeoPost and Digital Services business units.
Philippe Wahl, Chairman and Chief Executive Officer of Le Groupe La Poste, said: “The robustness of our multi-business model has enabled us to continue our development in accordance with our strategic plan. The year 2018 was a challenging one for La Poste’s various markets: decreasing mail volumes, historically low interest rates and pressure on parcel margins throughout Europe have led to a decline in our profits. We made the choice to continue to invest in our industrial and logistics facilities so as to support the growth in the parcel market and to pursue our external growth transactions. This will enable us to prepare efficiently for our Group’s future and ensure its successful transformation. We have also introduced a number of professional development programmes for La Poste employees.
In 2019, we will continue to make our customers’ lives easier and innovate to meet their needs in terms of local services, this is La Poste’s raison d’être, the main focus of our business, and how we ensure we remain useful to millions of people.
The year 2019 will see an important milestone in the strategic equity alliance between La Poste and Caisse des Dépôts. This transaction will enable us, through equity investment, to accelerate our development for the benefit of our customers and local communities.”
https://www.customlogistics.co/wp-content/uploads/2018/10/custom-logistics-1-300x93.png00Adam Jameshttps://www.customlogistics.co/wp-content/uploads/2018/10/custom-logistics-1-300x93.pngAdam James2019-02-21 20:57:142019-02-21 20:57:14La Poste’s consolidated operating profit drops by €120 million | Post & Parcel
An Post has announced that all its deliveries in Dublin City Centre will be zero emission by the end of this year.
The initiative is part of the company’s ‘Post Eco’ plan to eliminate carbon emissions by 2050.
Under the Plan, An Post will also deliver: zero emission postal deliveries in Cork, Galway, Kilkenny, Limerick and Waterford by year end 2020; 750 Electric Vehicles (delivery vans and cycles) to replace urban fleet by 2022, 200 of which will be on the streets this year.
Altogether, initiatives being introduced in 2019 will save 1,000 tonnes of carbon annually.
Announcing the Plan, Minister Bruton said:
“We must step up Ireland’s response to climate disruption. It is vital that every aspect of our society seek ways to reduce their carbon impact and the public service and our semi-state bodies must be the first to show that it takes policies for sustainability seriously, if we are to persuade the rest of society to make the step changes which we need to make.”
An Post CEO, David McRedmond said:
“As An Post moves from the old world of mail to the new world of e-commerce, sustainability has to be the guiding principle for the business. An Post is transforming for generations to come: as a major employer with a huge fleet footprint, this demands responsible climate action with this commitment to carbon-free delivery.”
An Post will be this years host of WMX Europe which will take place in Dublin from 17-18 June, for more information on the event please visit www.wmxeurope.com
https://i2.wp.com/www.customlogistics.co/wp-content/uploads/2019/02/an-post-tackles-climate-change-head-on-post-parcel.jpg?fit=500%2C350&ssl=1350500Adam Jameshttps://www.customlogistics.co/wp-content/uploads/2018/10/custom-logistics-1-300x93.pngAdam James2019-02-21 20:51:532019-02-21 20:51:53An Post tackles climate change head on | Post & Parcel
Europa Worldwide Group, has invested £2,000,000 into a reconfiguration programme at its 1Hub in Dartford as part of its preparation for Brexit. The development was already part of the leading logistics supplier’s long-term strategy to expand the site as the company experienced growth, but with Brexit fast approaching, the European Road transit hub work has been advanced.
Dan Cook, Operations Director for Europa, comments: “When we originally designed the building in 2015, we included plans to expand the site. Due to the current political situation, we’ve now decided to speed up the re-development, specifically of the European transit hub area, to ensure we can continue to deliver an efficient, quality service for our customers.”
Dan Cook continues: “The strategy to expand capacity at our 1Hub facility will create more space for freight that may become slowed down by the clearance process and also provide security against gridlock of volume post Brexit. It is just one of the many ways in which we are preparing for all possible outcomes.”
Europa’s £30 million 1Hub is the company’s largest single investment – centralising its European road freight to create the UK’s largest European groupage hub. The building is split into two areas, providing third party warehousing and European transit shed operations.
The new investment to further develop the 26,368m² facility, which is big enough to house seven football pitches, focuses on the European Road transit hub.
With an increase in short-term storage space required, the racking footprint within the site is expanding across both ground level and vertically, creating extra space for its European Road customers. Since its launch, 1Hub has increased the number of its European consignments by 64 %, from 22,000 to 36,000 per month.
https://i2.wp.com/www.customlogistics.co/wp-content/uploads/2019/02/europas-invests-2-million-in-preparation-for-brexit-post-parcel.jpg?fit=440%2C264&ssl=1264440Adam Jameshttps://www.customlogistics.co/wp-content/uploads/2018/10/custom-logistics-1-300x93.pngAdam James2019-02-21 12:31:292019-02-21 12:31:29Europa’s invests £2 million in preparation for Brexit | Post & Parcel
FedEx Express and international non-profit the Global Alliance of NGOs for Road Safety have launched the Safer Cycling Advocate Programme, a two-year collaboration aimed at improving safety for vulnerable road users in Balkan cities.
The Global Alliance of NGOs for Road Safety, a network member organisation that brings together more than 220 road safety organisations, will engage its member NGO, the European Cyclists Federation (ECF), to define the safe cycling practices that have proven successful in the central European cities of Copenhagen and Amsterdam. This best practice information will later be used by community organisations looking to promote cycling culture and reduce road fatalities in cities in Croatia, Slovenia and Bosnia.
European roads are some of the safest in the world, but in 2016, the European Commission estimated the social cost of road traffic incidents to be around €100 billion. Cyclists account for 8% of all road traffic fatalities in Europe. Croatia, Slovenia and Bosnia have all seen an increase in cycling but also have a pressing need to improve cycling road safety.
Rock Sherman, vice president, European Road Network, FedEx Express said:
“As the United Nations Decade of Action for Road Safety nears to a close, this is the ideal moment to deliver a significant push towards safer roads in Europe.“ “Road safety has long been a focus area for us. By collaborating with a non-profit that connects road safety charities, we are helping to share valuable information with organisations looking to deliver positive change in their own communities.”
The Safer Cycling Advocate Program has received funding under FedEx Cares, a social responsibility program focused on investing charitably in communities around the world. This is the first FedEx-funded project to focus on improving road safety for this vulnerable user group in Europe.
The results of the project will be shared at the 26th meeting of the UN Road Safety Collaboration in Sweden, February 2020, where it is anticipated the agenda for future road safety priorities will be set.
https://i1.wp.com/www.customlogistics.co/wp-content/uploads/2019/02/fedex-to-make-european-roads-safer-with-new-programme-post-parcel.png?fit=1060%2C405&ssl=14051060Adam Jameshttps://www.customlogistics.co/wp-content/uploads/2018/10/custom-logistics-1-300x93.pngAdam James2019-02-20 21:47:302019-02-20 21:47:30FedEx to make European roads safer with new programme | Post & Parcel
Posten Norge generated NOK 23 894 million in revenue in 2018, the company has announced.
Adjusted operating profit amounted to NOK 531 million, representing a decrease of NOK 172 million from 2017.
The decrease in revenue (-3.2 %) was mainly due to the selling of subsidiaries and the decline in mail volumes. The financial results are impacted by the increasing decline in addressed mail volumes, which reached 12.9% in 2018.
Commenting on the figures, CEO of Posten Norge Tone Wille, said: “We have had a lot to celebrate in 2018. Our customers have become more satisfied and the logistics market is growing. Previous customers have returned and we have won new ones. At the same time, this is a demanding market with tough competition and low margins. The mail segment is declining sharply as a result of digitalisation.”
Mail In 2018, adjusted operating profit for the mail segment was NOK 657 million, representing a reduction of NOK 186 million compared with 2017. The mail segment is characterised by a dramatic decline in mail volumes and reduced profit, despite significant cost measures. The state’s procurement of universal service obligations that are commercially unprofitable amounted to NOK 536 million. This was NOK 193 million higher than the previous year and was mainly due to the additional cost of maintaining five-day postal distribution throughout the country.
“It has never been more important for Posten Norge to restructure its postal operations. The mail segment is characterised by a dramatic decline in mail volumes and reduced profit. The volume decline is increasing month by month. We must continue to restructure and develop our services. A transition to fewer fixed postal delivery days requires a political decision. “ says CEO Tone Wille.
Logistics The logistics segment increased its revenue by NOK 787 million in 2018. Adjusted operating profit was NOK 135 million, NOK 6 million higher than in 2017, showing a positive trend over the past six months. Organic growth was 5.9%. E-commerce for consumers, including home delivery services, showed good growth both in and outside Norway.
“An important success factor in the future is to succeed in e-commerce with industrial production and individual delivery. The logistics network in Norway is the engine of the Norwegian logistics business. When the remaining four terminals are completed in 2020, we will realise the full effect of new production processes and transport management systems, and can exploit the economies of scale,” said Wille.
https://i1.wp.com/www.customlogistics.co/wp-content/uploads/2019/02/it-has-never-been-more-important-for-posten-norge-to-restructure-its-postal-operations-says-ceo-post-parcel.jpg?fit=400%2C526&ssl=1526400Adam Jameshttps://www.customlogistics.co/wp-content/uploads/2018/10/custom-logistics-1-300x93.pngAdam James2019-02-19 16:11:212019-02-19 16:11:21“It has never been more important for Posten Norge to restructure its postal operations,” says CEO | Post & Parcel
Kerry Logistics Network Limited has announced a joint venture with E-Services Group, an international e-commerce company in Asia, to strengthen global e-commerce fulfilment capabilities, particularly in the Greater China region.
The joint venture, Kerry ESG Company Limited (Kerry ESG) will combine Kerry Logistics’ global supply chain capabilities with ESG’s technology platform, global marketplace networks, and e-commerce expertise to offer etailers cost-efficient solutions internationally.
Kerry ESG, set to debut in March 2019, aims to become one of the leaders in global e-commerce fulfillment solutions, enabling etailers to deliver products to customers anywhere in the world quickly and cost-effectively. Through direct integration with leading shopping carts and global marketplaces, etailers using Kerry ESG’s services will be able to seamlessly manage their order fulfillment, inventory, and returns to and from multiple logistics centres through one platform
William Ma, Group Managing Director of Kerry Logistics, said: “With Kerry ESG, we are creating a unique platform with total solutions from upstream marketing to downstream logistics that will capitalise on the booming international marketplace model to facilitate the exports for our international brand customers. Combining forces as industry leaders, Kerry Logistics and ESG are well-positioned to unlock the potential in the market with this new joint venture.”
Alan Lim, Founder and CEO of ESG, said: “Winning at e-commerce means getting every piece of the puzzle right, and fast, reliable fulfillment is a critical component of success. This partnership gives etailers access to an extensive distribution network to support e-commerce fulfilment in every market and with every online channel. With Kerry Logistics we have found a great partner, whose capabilities complement ours and whose culture and vision matches that of our team. I am excited about how we can grow this business together.”
https://i0.wp.com/www.customlogistics.co/wp-content/uploads/2019/02/kerry-logistics-strengthens-links-in-greater-china-with-new-joint-venture-post-parcel.png?fit=480%2C480&ssl=1480480Adam Jameshttps://www.customlogistics.co/wp-content/uploads/2018/10/custom-logistics-1-300x93.pngAdam James2019-02-19 14:17:022019-02-19 14:17:02Kerry Logistics strengthens links in Greater China with new joint venture | Post & Parcel
Australia Post has published its financial performance for the six months to 31 December 2018.
The company’s profit before tax was $154 million, down 36 % year-on-year. Underlying profit before tax was $124 million, down 38 %. Group revenue was flat at $3.6 billion. Profit after tax $118 million, down 45 %.
The largest business segment, domestic parcels, performed strongly with revenue growing by 10 %, up $147 million. Group parcels profit grew by $25 million to $127 million. In December, Australia Post delivered a record 40 million parcels, up 12 %.
Group Chief Executive Officer and Managing Director Christine Holgate said she was pleased with the continued strong performance of the parcels business, however significant challenges remain for Australia Post with letters revenue now declining at the fastest rate in its history.
“Although we delivered 10 % growth in domestic parcels, well in excess of the growth rates of the economy and in a period of very strong competition, this could not make up for the profit decline in the letters business,” Ms Holgate said. “Letter revenues are down 10 % or $125 million, which reduced profit by $102 million in the half. This is after saving an estimated $50 million in delivery costs as posties carried 40 % of our parcels. “Since the last increase in the Basic Postage Rate in January 2016, more than three years ago, our costs to deliver letters are up 10 per cent. The number of new delivery addresses has increased by 500,000, yet letter volumes have declined by 800 million.
“Australia Post will deliver more than two billion letters to almost 12 million homes and businesses this year. Although it is shrinking, letters is still viewed as a critical service by the overwhelming majority of Australians.”
Australia Post is an entirely self-funding business. Last financial year, Australia Post incurred an estimated cost of $404 million in delivering the letters service in accordance with its legislated community service obligations.
Group expenses were held at 2 % growth in the first half, underpinned by total productivity savings of $121 million.
https://i1.wp.com/www.customlogistics.co/wp-content/uploads/2019/02/australia-post-reveals-profit-after-tax-down-45-in-the-first-half-but-parcels-performing-strongly-post-parcel.jpg?fit=435%2C295&ssl=1295435Adam Jameshttps://www.customlogistics.co/wp-content/uploads/2018/10/custom-logistics-1-300x93.pngAdam James2019-02-19 11:32:132019-02-19 11:32:13Australia Post reveals profit after tax down 45 % in the first half but parcels performing strongly | Post & Parcel