TNT reports 60% fall in 4Q profits
Dutch mail and express company TNT reported a 60 per cent fall in profit for the fourth quarter this week citing restructuring charges and worsening business conditions, especially in its express delivery arm. Net profit at Amsterdam-based TNT was â‚¬207 million, down from â‚¬250 million in the same period a year earlier. Sales fell 2.4 […]
March 1, 2009
Net profit at Amsterdam-based TNT was â‚¬207 million, down from â‚¬250 million in the same period a year earlier. Sales fell 2.4 per cent to â‚¬2.93 billion. The company took â‚¬146 million in charges during the quarter to restructure both its mail and express divisions, where it had earlier said it would cut 1,000 jobs.
TNT said it expected revenues at its Express delivery unit to decline in 2009 due to volume declines and lower fuel surcharges.
“The extremely tough trading conditions we saw for our express business in the second half of 2008 are continuing into 2009 so far,” chief executive Peter Bakker said in a statement.
“2009 looks set to be a very challenging year: predictability in today’s economic environment and the express markets in particular is very limited and pressure on volumes is expected to remain high.”