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Deutsche Post World Net Annual Report 2007
Overview Group Management Report
Profi t target achieved
The Group continued to grow in 2007. At €3.76 billion, profit from operating
activities (EBIT) before non-recurring e ects coincided with our forecast of about
€3.7 billion. A er adjustment for non-recurring e ects, EBIT was €3.2 billion. Revenue
rose 4.9% to €63.5 billion. e main drivers of this increase were the LOGISTICS Divi-
sion, which took over the procurement logistics function for the UK National Health
Service, and the FINANCIAL SERVICES Division, which raised its revenue on the back
of dynamic development in Postbank’s new customer business.
In the MAIL Division, we recorded EBIT of €2,003 million, comfortably reaching our
target gure of around €2 billion. Falling revenue in the domestic mail business was
o set by the other business units.
Earnings in the EXPRESS Division were negatively a ected by impairment losses
of €594 million recorded on non-current assets in the Americas region and came
to €–174 million. Adjusted for this e ect, the division would have returned EBIT of
€420 million, slightly in excess of the minimum €400 million forecast. is gure al-
ready includes the construction expenditure for the new European hub in Leipzig.
e
LOGISTICS Division exceeded expectations, generating EBIT of €957 million.
Adjusted for the non-recurring income of €59 million from the disposal of Vfw AG,
this was an improvement of 19.6%. DHL Exel Supply Chain played a decisive role in
this development.
For the FINANCIAL SERVICES Division, we had forecast a 5% increase in EBIT.
anks to the outstanding performance of Postbank, EBIT in fact rose by 7.2% to
€1,076 million.
e
SERVICES Division generated EBIT of €–660 million (previous year: €–229 mil-
lion). is decrease is due to one-time factors recognised in the previous year, includ-
ing the redemption of the exchangeable bond on Postbank shares (€276 million), the
sale of McPaper AG (€10 million) and the positive outcome of arbitration proceedings
against Deutsche Telekom (€89 million, net).
Selected key indicators for results of operations
2006 2007 +/– %
Revenue €m 60,545 63,512 4.9
Profi t from operating activities (EBIT) €m 3,872 3,202 –17.3
Return on sales1) % 6.4 5.0
Consolidated net profi t excluding minorities €m 1,916 1,389 –27.5
Earnings per share € 1.60 1.15 –28.1
Dividend per share € 0.75 0.90 20.0
1) EBIT/revenue.
Overview