PostNL misses parcel volume expectations on unfavourable mix effects
Recasts with parcel volume in paragraphs 1-2, adds outlook in paragraph 4, CEO comments in paragraph 3 and 5
Aug 5 (Reuters) -Dutch postal firm PostNL PTNL.AS reported second-quarter parcel volumes below market expectations on Monday, hit by an unfavourable shift in the price mix and weather conditions that negatively affected the e-commerce market.
PostNL delivered 92 million parcels during the quarter, around 6% more than last year, but below the 7% increase expected by analysts.
"Cost increases put pressure on our results as anticipated," CEO Herna Verhagen said in a statement.
PostNL, which delivers parcels and letters across Belgium, the Netherlands and Luxembourg, said it still expects its normalised earnings before interest and tax (EBIT) to come between 80 million and 110 million euros ($87.5 million and $120.2 million) and free cash flow between break-even and positive 40 million euros this year.
"We are continuing to adjust our operations and offerings with a consistent focus on customer excellence, strict cost control and capacity management, aiming at a step-by-step margin expansion," Verhagen said.
PostNL posted a normalised EBIT of 18 million euros for the second quarter, stable compared to a year earlier, while analysts were expecting 14 million euros on average.
($1 = 0.9148 euros)
Reporting by Olivier Cherfan in Gdansk; editing by Christian Schmollinger and Milla Nissi
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