Yahoo Finance

• Revenue: 9.2 billion for the first nine months, up 5% year on year, 8% on an underlying basis.

• Adjusted EBITA: 2.3 billion for the first nine months, up 18% on an underlying basis.

• Net Profit: 1.6 billion for the first nine months, up 19% on an underlying basis.

• Interim Dividend: 33 per share, totaling 427 million, up 39% from last year.

• Mail, Parcel, and Distribution Revenue: 2.8 billion for the first nine months, driven by double-digit parcel growth.

• Financial Services Revenue: Over 4 billion for the first nine months, up 5% year on year.

• Insurance Services Revenue: 1.2 billion for the first nine months, up 7% year on year.

• Parcel Volume Growth: Up 24% in both the quarter and the nine months.

• Net Interest Income: 1.9 billion for the first nine months, up 13% year on year.

• Asset Management Fees: 142 million for the first nine months, up 33% year on year.

• Insurance Service Adjusted EBIT: Over 1 billion for the first nine months, up 9% year on year.

• PostePay Services Revenue: 1.2 billion for the first nine months, up 10% year on year.

• Group Costs: Ordinary HR costs up 3% to just over 4 billion for the nine months.

• Warning! GuruFocus has detected 6 Warning Signs with PITAF.

Release Date: November 06, 2024

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

• Poste Italiane SpA (PITAF) reported record nine-month revenues of 9.2 billion euros, up 5% year-on-year, demonstrating strong financial performance.

• Net profits increased by 19% on an underlying basis, reaching 1.6 billion euros, showcasing effective cost management and profitability.

• The company upgraded its full-year 2024 adjusted EBIT guidance to 2.8 billion euros, with a net profit guidance of 2 billion euros, indicating confidence in future performance.

• Parcel volumes grew robustly by 24% in both the quarter and the nine months, reflecting strong market position and customer trust.

• The interim dividend increased by 39% from last year, amounting to 33 cents per share, highlighting the company's commitment to rewarding shareholders.

Negative Points

• Mail volumes declined by 7% in the quarter, indicating ongoing challenges in the traditional mail segment.

• Non-HR costs increased by 7% to 3.2 billion euros in the nine months, driven by higher business volumes and inflationary impacts.

• The lapse rate in the life insurance business remains high at around 7%, which could impact future profitability.

• The reduction in average parcel tariffs due to a mix effect could pressure margins despite volume growth.

• There is uncertainty regarding the potential placement by the main shareholder, which could affect market perceptions and stock performance.