German postal and logistics firm Deutsche Post DHL (DPSTF.PK) reported that its fourth-quarter net earnings was 542 million euros, up from 175 million euros in the same quarter last year. On a per share basis, net earnings for the quarter increased to 0.40 euros from 0.14 euros in the year ago quarter.
Basic earnings per share rose from 0.14 euros in the previous year to 0.45 euros for the period between October and December 2012, a reflection of both the operating improvements and a sharp improvement in the financial result. The latter was largely due to negative valuation effects related to the Postbank transaction included in last year's figures.
Operating earnings for the quarter climbed by 38.1 percent to 827 million euros from 599 million euros in the prior year quarter.
Revenues for the quarter increased 3.2 percent to 14.6 billion euros from 14.1 billion euros last year.
The company stated that the Supervisory Board and the Board of Management will propose a dividend of 0.70 euros per share to the Annual General Meeting on May 29, as in the previous year.
For 2013, the Group's EBIT is projected to increase to between 2.7 billion euros and 2.95 billion euros. While the MAIL division is expected to contribute between 1.1 billion euros and 1.2 billion euros to this figure, DHL should generate operating earnings between 2.0 billion euros and 2.15 billion euros. Corporate Center/Other expenditures are forecast to again total about 400 million euros. The Group's consolidated net profit is projected to grow in line with the operating business in 2013. In addition, the company expects to further increase cash generation and, as a result, to generate sufficient free cash flow to at least cover this year's dividend payment for 2012.
Looking beyond the current year, the company remains optimistic and expects the positive earnings trend to continue: at DHL, the Group expects that earnings will rise by an annual average of between 13 percent and 15 percent between 2010 and 2015. In combination with the planned reduction of expenditures for Corporate Center/Other, the Group expects operating earnings to increase to between 3.35 billion euros and 3.55 billion euros by 2015.
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