May 26, 2022

Taylor Daily Press

Complete News World

Bpost collapses on the Brussels Stock Exchange after inflation warning and quarterly figures |  Capital

Bpost collapses on the Brussels Stock Exchange after inflation warning and quarterly figures | Capital

bpost’s share is trading more than 9 percent on the Brussels Stock Exchange around 11am on Friday. Investors are disappointed with the quarterly report that the Postal and Parcel Corporation delivered after the closing bell the day before. Bpost, among other things, has warned of a “potential downside risk” of 40 million euros this year and has seen a significant drop in parcel volumes in its country.

Although Bpost kept its annual adjusted operating profit (EBIT) forecast of €280-310 million for the whole of 2022, that has now followed a “but”. The company spoke of a “potential downside risk” of up to 40 million euros this year due to high inflation and unstable consumer behaviour.

This uncertain consumer behavior is related to the normalization of volumes after the Corona pandemic and the effect of inflation on demand. The company also indicated a decline in consumer confidence.

Bpost also talked about the “element of uncertainty” that still exists, especially regarding peak volumes in the fourth quarter.

The volume of parcels in Belgium decreased by 14.8 percent compared to the first quarter of 2021. This decrease is due, on the one hand, to the fact that the giant of online stores Amazon is taking parcel delivery into its own hands in our country and is therefore less and less dependent on bpost. On the other hand, consumer spending is declining after the parcel boom in times of Corona.