Austrian Post continues strong growth in parcel logistics

Parcel delivery for Deutsche Post DHL Group in Austria and trial operations at the new parcel logistics centre in Hagenbrunn have been started

Austrian Post continues strong growth in parcel logistics Bild: Österreichische Post AG, Werner Streitfelder

Austrian Post can look back at a very good first half-year 2019. Driven by a robust mail business and strong growth in the parcel segment, revenue increased to EUR 981.1m, implying an increase of 2.7 %. Both the Mail & Branch Network Division (+1.3 %) and the Parcel & Logistics Division (+7.8 % to EUR 283 million) showed a positive development in the reporting period.

Austrian Post has benefited from the dynamic market growth in the parcel business attributable to the ongoing online shopping trend, resulting in steady growth of parcel volumes. The related competitive intensity and price pressure remain high. The Austrian parcel market is expected to show upper single-digit growth in the 2019 financial year.

Following the competition authorities’ approval of the cooperation with Deutsche Post DHL Group, parcels have been delivered by Austrian Post since the beginning of August 2019. Forecasted future parcel volumes provide a strong incentive for Austrian Post to work with high intensity on extensively expanding its parcel logistics capacities in Austria.

“Since July 2019 trial operations have been underway at the new parcel logistics centre in Hagenbrunn in the north of Vienna, which will become fully operational in September 2019 and will increase current capacities by 25 %”, says Austrian Post CEO Georg Pölzl. Construction of the second parcel logistics centre in Kalsdorf near Graz is proceeding on schedule, with completion expected by mid-2020.

In the medium term, both total transport and sorting capacities should be doubled. Moreover, Austrian Post is continuously pressing ahead with the expansion of its service offering of self-service and online solutions, making it even easier and more convenient to send and receive parcels.