Finland Post Group’s Interim Report for January–March 2007: International Operations Account for a Quarter of Net Sales

24.04.2007

Finland Post’s consolidated net sales for January–March totalled EUR 431.5 million (January–March 2006: EUR 384.9 million), up by 12 per cent, organic growth accounting for 8 percentage points and company acquisitions for 4 percentage points. With all business groups reporting improvements in their net sales, Logistics recorded particularly strong growth.
International operations represented 25 per cent (21 per cent) of consolidated net sales totalling EUR 106.9 million (81.6).
Year on year, consolidated operating profit rose by 22 per cent, to EUR 45.9 million (37.6). Operating margin stood at 11 per cent (10 per cent). Information Logistics and Mail Communication reported improved profitability.
The Moscow logistics centre started operating in March.
Based on the AGM's decision in March, on 1 June 2007 Finland Post Corporation will be renamed Itella Corporation, which will continue to serve its consumer customers under the Posti brand.

Finland Post Group
Key Figures	Q1/2007	Q1/2006	Change	2006
Net sales, EUR million	431.5	384.9	12.1 %	1,550.6
Operating profit (EBIT), EUR million	45,9	37.6	22.1 %	89.0
Operating margin, %	10.6	9.8		5.7
Profit before income tax	48,2	38,7	24.5 %	94,4
Return on equity, %	10,8	10.4		10.1
Equity ratio, %	63,1	65.4		65.1
Gearing, %	-24,6	-25.2		-32.1
Gross capital expenditure, EUR million	16,1	16.3	-1.2 %	69.5
Average personnel	24,787	24,482	1.2 %	25,294

FOR FURTHER INFORMATION, PLEASE CONTACT:
Jukka Alho, President & CEO, tel. +358 (0)20 451 5600, jukka.alho@posti.fi
Tuija Soanjärvi, CFO, tel. +358 (0)20 45 20907, tuija.soanjarvi@posti.fi
www.itella.fi/group/english/financials

APPENDICES
Board of Directors’ Report
Consolidated Income Statement and Balance Sheet