/Growth in on-line procuring orders

Growth in on-line procuring orders

Frankfurt (dpa) – Booming online mail orders and express delivers by DHL Express boosted profits at German postal service Deutsche Post in 2017, and the trend is expected to continue this year.

Deutsche Post’s earnings before interest and taxes (EBIT) grew by 7 per cent year on year in 2017 to 3.74 billion euros (4.64 billion dollars), the company announced from its headquarters in Bonn on Wednesday.

The result was in line with company targets and analyst forecasts.

Because of higher taxes, net profits grew by 3 per cent over the same period to 2.7 billion euros. Dividends are expected to rise as a result from 1.05 to 1.15 euros per share.

Chief executive Frank Appel said he expects the company will achieve operating profits of 4.15 billion euros in 2018; by 2020 that figure should reach 5 billion euros, he predicted.

The 2018 figures are expected to be boosted not only by better business prospects, but also because a change to reporting rules will add 150 million euros to the company’s bottom line.