The boom in parcel deliveries during the Covid pandemic as people were stuck at home helped Royal Mail report soaring annual profits although volumes slowed in April.
Britain’s postal service provider said pre-tax profits in the year to March rose to £726m from £180m as parcels, rather than letters, provided it with the majority of its revenue for the first time in its five-century history. Group revenue was up 16.6% to £12.6bn.
Adjusted operating profit was slightly ahead of expectations at £702m, up 116%.
The company said Royal Mail revenue was up 24.1% in April with GLS up 22.3% year on year. Royal Mail parcel volumes were down 2% and addressed letters up 25%. Parcel volume growth at GLS remained strong until mid-April, with a subsequent slowdown given the high volumes observed last year.
