TNT reports 4% increase in revenues for Q4 in 2015

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Post, parcel and logistics firm TNT has reported revenues of €1.9bn (US$2.1bn) for the fourth quarter (Q4) of 2015, up 4.1% compared to the previous year. The company also reported operating income of €57m (US$63m) for the same period, compared to an operating loss of €53m (US$59m) in 2014.

TNT has attributed the improvement to higher overall parcel volumes, particularly from SMEs. Revenue growth in Europe managed to offset any decreases in Brazil and China.

Excluding one-off charges, TNT’s adjusted operating income almost doubled from a year earlier to €96m (US$107m). Profitability was supported by revenue growth and successful efforts to reduce indirect costs.

The company’s net cash position at the end of December 2015 was €231m (US$257m) compared to €449m (US$500m) one year earlier. The decrease reflects the investments made as part of the company’s Outlook strategy.

Tex Gunning, CEO for TNT, said, “I am very pleased with our Q4 2015 results. The implementation of the Outlook strategy is gaining momentum. We saw growth accelerating, particularly in our International Europe express business, and we realized a significant improvement in operating income. Service has improved noticeably, as evidenced by record customer experience scores. We are quickly making up for the lost ground in operational excellence by accelerating capital expenditure and outsourcing our Global Business Services and IT infrastructure.

“We expect further year-on-year improvements in adjusted operating income in full year 2016. Good progress has also been made towards closing of the FedEx offer to acquire TNT. Pre-integration planning is well on track and we are all looking forward to a bright future with FedEx.”

February 18, 2016

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Helen has worked for UKi Media & Events for nearly a decade. She joined the company as assistant editor on Passenger Terminal World and since progressed to become editor of five publications, covering everything from aviation, logistics and e-commerce to meteorology. She has a love for travel and property and has redeveloped three houses in three years. When she’s not editing magazines, she’s running around after her two boys and their partner in crime, Pete the pug.

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