Deutsche Post shares up 3% as it raises earnings outlook

16:39, 4 November 2021

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Operating profit at Deutsche Post in the third quarter of 2021 increased by 28.6% year on year - Photo: Shutterstock

Deutsche Post reported a strong third quarter for the current financial year with the group increasing its revenue by 23.5% year on year to €20bn ($23.1bn).

It said the results were driven in particular by the noticeable increase in global trade.

“This led to a strong demand for logistics services worldwide and a jump in earnings, particularly at the DHL divisions. Although brick-and-mortar retail has reopened, the shipment volumes in e-commerce stabilised on a higher level,” it said.

Operating profit (EBIT) for the German package delivery company in the third quarter also increased by 28.6% year on year to €1.8bn.

Earnings outlook

Against the background of positive revenue and earnings, the group has again raised its earnings outlook for the financial year 2021, with it now expecting a record result of more than €7.7bn, the company said.

For 2023, the business anticipates an EBIT of more than €8bn, having previously indicated more than €7.4bn.

“Our business continued to develop extremely positively in the third quarter of 2021. After nine months, we have already exceeded our record full-year result from the previous year,” said Frank Appel, chief executive of Deutsche Post.

“Based on this substantially higher earnings level, the prospects for Deutsche Post DHL Group's future development remain positive: Global trade returns to its old strength. Online shopping is maintaining its new higher level. With our focus on e-commerce and digitalization, we have positioned Deutsche Post DHL Group excellently. We will build on that momentum and expect an EBIT of more than €8bn in 2023,” he added.

 Shares of the company were up 2.78% on Thursday afternoon at €57.35 per share.

Read more: Pound falls as Bank of England keeps rates at 0.1%

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