Deutsche Post gets global trade pick-up, raises targets

3rd August 2010, Comments 0 comments

The world's leading logistics group, Deutsche Post, posted earnings Tuesday that benefited from restructuring and the pick-up in global activity, and raised its full-year outlook.

The former postal monopoly said its second quarter net profit jumped by 22.7 percent to 81 million euros (106.5 million dollars), whereas analysts polled by Dow Jones Newswires had expected a decline of 42 percent.

Sales gained 15.6 percent to 12.8 billion euros, and operating earnings before interest and tax doubled to 503 million.

"As an enabler of global trade, we benefited significantly from the recovery of the world economy in the second quarter," chief executive Frank Appel was quoted as saying.

"This was particularly true at the DHL divisions, which have become the sustainable driver of the group's profit growth," he added.

Deutsche Post said it saved 250 million euros through restructuring in the period and had also taken advantage of favourable foreign exchange rates.

For all of 2010, the group now expects operating earnings of between 1.9 and 2.1 billion euros, compared with a previous forecast of 1.6 to 1.9 billion.

© 2010 AFP

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