Overcast

Overcast

max temp: 10°C

min temp: 9°C

Search

Services: Parcel revenues deliver boost for Royal Mail

10:35 24 January 2014

Royal Mail handled 115million parcels in December as the newly-privatised delivery firm continued to reap the benefit of the online shopping boom.

The company’s seasonal workload, which saw a peak of 10m parcels on its busiest day, also included a rise in stamped mail volumes as Britons remained loyal to Christmas cards for passing on festive good wishes.

Letter volumes were also boosted by the high level of mailings from energy companies following a round of price rises in the sector.

Parcel revenues were up 8% on a like-for-like basis in the nine months to December 29 after the company moved to price deliveries by size rather than weight. This meant parcel volumes were flat as a result of the loss of some large uneconomic items in the wake of the price change.

Royal Mail’s parcels division now accounts for more than half of group revenues, with the company claiming it handled significantly more parcels than any other carrier in the UK market.

Revenues from UK letters were down by 3% on a like-for-like basis in the nine-month period, although Royal Mail said this was better than the rate of 4% lower seen in the first six months of the period.

Chief executive Moya Greene said: “Our postmen and women have again delivered Christmas for the UK. We were delighted to see that people continue to send seasonal good wishes, with Christmas cards underpinning a like-for-like increase in our December stamped mail volumes.”

Royal Mail shares were flat at 588p in the wake of today’s update, having jumped from their flotation price of 330p in October.

Confidence has been boosted by a deal between the company and union leaders on pay, pensions and other issues linked to the privatisation of the postal group.

0 comments

Work on one of the biggest new housing developments in Ipswich for years – creating more than 200 new homes – could get under way early next year.

A car which broke down on the Orwell Bridge this morning has now been moved by police.

A couple have thanked Ipswich Hospital for the care staff gave their premature twin nieces by ditching their wedding gift list and asking for donations for the neonatal unit instead.

Amid the maelstrom created by the Steve Wright murders in 2006 London gang violence erupted at a town nightclub and claimed the life of a young man.

Hundreds of readers have already backed the Ipswich Star’s campaign calling for a northern bypass – and it’s not too late to pledge your support.

Police are at the scene of a two-car crash in Bramford Road.

The police hunt for missing RAF gunner Corrie McKeague has been labelled “incompetent” by his mother, as an online campaign has raised more than £20,000 to hire a private investigator.

A new university course is being launched, in Ipswich, which supports people wanting to retrain in order to teach maths in schools.

A 77-year-old widow has told of the hurt and pain she has suffered after necklaces given to her by her husband were stolen from her home by the suspected gang of prolific burglars.

Suffolk children at risk of being taken into care could be offered “short breaks” away from their families to avoid more costly and disruptive long-term solutions.

Most read

Most commented

HOT JOBS

Show Job Lists

Topic pages

Streetlife

Newsletter Sign Up

MyDate24 MyPhotos24