DHL 2002 Annual Report Download - page 33

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revenue from private customers declined. In connection with the changeover to the
euro, customers initially used up their supplies of stamps denominated in DM in the
first half of 2002. However, they did not build up new reserves to a corresponding
extent in H2/2002 because of the price cuts announced for January 1, 2003.
The Direct Marketing Business Division recorded a slight decrease in sales in
2002. This decline was planned in the area of unaddressed advertising mailings in
order to increase the average price. Overall, the Business Division recorded revenue of
€2,066 million and thus largely maintained the prior-year level (€2,072 million). The
continuation of the difficult situation at many newspaper and magazine publishers
caused a 3.9% drop in sales in the Press Distribution Business Division to 2.2 billion
mailings (previous year: 2.3 billion mailings). As a result, the Business Division’s
revenue decreased by 2.1% to €823 million (previous year: €841 million).
At €1,658 million, the MAIL Corporate Division’s profit from operating
activities (EBITA) was below the prior-year level (€1,960 million). The return on sales
of 14.2% was in line with our expectations.
We reduced our staff count by 6,100 employees in the year under review as a
result of rationalization and the outsourcing of transport services, among other things.
However, the resulting outsourcing costs led to an increase in materials expense for
transport and a subsequent rise in other operating expenses, which was compounded
by a rise in both fuel costs and maintenance costs. In addition, we intensified our
marketing and sales activities in the business customers segment and expanded our
IT infrastructure.
DHL moves into positive territory
In the EXPRESS Corporate Division, we increased revenue by 94.5% to €12,489 million
in the year under review (previous year: €6,421 million). This rise is primarily due to
the first-time consolidation of DHL. On a like-for-like basis, revenue underwent a
slight year-on-year decrease in fiscal year 2002. At €2,796 million, revenue in the Express
Germany Business Division remained at almost exactly the prior-year level (€2,795 mil-
lion). The Express Europe Business Division recorded a 5.5% decrease in revenue to
€1,941 million (previous year: €2,054 million). This reflects a one-time effect that arose
in 2001 due to a change in the Securicor group’s fiscal year. In 2001, the end of the
group’s fiscal year was changed from September 30 to December 31, which meant that
the results for 2001 contained revenue generated over 15 months instead of 12. The
Guipuzcoana group was fully consolidated for the first time in fiscal year 2002.
The 5.8% decline in revenue to €1,239 million (previous year: €1,315 million)
in the Global Mail Business Division is primarily due to a decline in the area of cross-
border mail services to Germany. The was only partially offset by the positive develop-
ment at Infopost (addressed advertising mailings) from international customers as
well as the expansion of the product range with DHL’s former “World Mail” product.
The Worldwide Express Business Division, which is represented by DHL, contributed
€6,162 million to the Group’s revenue in the year under review.
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