TNT revenue up 11%, operating profit down 20% in 3Q2010

TNT revenue up 11.4% - financial highlights for the three months ended 30-Sep-2010:

• Revenue: EUR2766 million, +11.4% year-on-year;
  • Express: EUR1683 million, +14.7%;
  • Mail: EUR1018 million, +6.5%;
• EBITDA: EUR223 million, -17.1%;
• Operating profit: EUR143 million, -20.1%;
  • Express: EUR78 million, +23.8%;
  • Mail: EUR78 million, -31.6%;
• Underlying* operating profit: EUR157 million, -14.7%;
  • Express: EUR74 million, +8.8%;
  • Mail: EUR83 million, -27.2%;
• Net profit: EUR75 million, -24.2%;
• Net operating cash flow: EUR90 million, -7.2%;
• Total assets: EUR7845 million, +1.9% when compared with the period ended 31-Dec-2009;
• Total liabilities: EUR5569 million, -0.8%. [more]

*At constant currency and exclude the impact of the restructuring costs related to Mail (EUR5 million), Express (EUR3 million) and Group (EUR13 million separation-related and Vision 2015 one-off costs) in 2010 and the impact of various one-off charges in 2009

TNT: "TNT continues to see modest improvement in the European economy. However, given that the global economic recovery remains fragile, caution remains warranted. The focus on costs and cash will therefore continue. In Express, volumes and revenues are expected to be well above 2009 levels. The 2H2010 operating margin is expected to be in line with 1H2010's. Yield pressure in Europe and cost developments outside Europe are not expected to be offset sufficiently by efficiency gains. Specific yield-management and ongoing cost-containment actions, once fully phased in, should increase the operating margin," Company statement. Source: TNT, 01-Nov-2010.