Changing minus into plus: Ukrposhta turned its loss into profit of UAH 607 million in 2019

SC “Ukrposhta” gained net profit of UAH 607 million before taxation in 2019 compared to losses of UAH 627 million in 2018. Thus, the Company's financial results for the year improved by more than UAH 1.2 billion.

The net income from the sale of goods, works and services of SC “Ukrposhta” in 2019 amounted to approximately UAH 8.1 billion. It increased by almost UAH 1.3 billion or 18.7% compared to 2018.

Last year, income from letter post and small packages increased by 23.9%, from parcels - by 22.8%, from payments - by 20.5%, from periodicals - by 6.5%. In 2019, the Company also gained income of UAH 69 million from real estate leasing, which is twice as much as in 2018.

Compared to the same period of the last year, labour costs increased by UAH 411.3 million and amounted to UAH 4.7 billion. Along with the accruals, they amounted to UAH 5.8 billion or more than 70% of the Company's income.

More than 80% of SC Ukrposhta's payroll is spent on operating staff and increased by UAH 400 million last year. These funds were used to pay salaries to employees of industrial specialities, financial incentives for operators, postmen, heads of post offices and their deputies. The average salary of full-time equivalent employees in 2019 increased by 18% to UAH 7,443.1.

Moreover, last year SC “Ukrposhta” paid almost UAH 2.5 billion as taxes, fees, contributions and mandatory payments to budgets and state target funds, which is 14.4% more than in 2018.

“2019 was a crucial year for the Company. Despite the business conditions which were often unequal, restricted investment program and difficult competitive conditions, SC “Ukrposhta” increased its business volume, gained record-breaking profit and was recognized as the best post in the world in terms of export development, and it was the first time when the Ukrainian trademark became the best trademark of Europe and the world. All these achievements have been gained due to the joint work of over 65,000 members of Ukrposhta team, and this is a reason to be proud. Not only quantitative results, but also the changes and the foundation that we have laid for the future with the help of our shareholder (the Ministry of Infrastructure), the Cabinet of Ministers and the Verkhovna Rada are important to me. It is a tariff for the delivery of pensions, the opportunity to sell property and involve investors. As a result, the investment program in 2020 will amount to over UAH 1.6 billion for the first time in the history of the Company. This is the first step to move to modern services, computerization and digitization of the whole Ukraine within 2 years. It will be possible due to the introduction of mobile offices and the creation of new modern sorting centres for the first time since 1980”, said Ihor Smilianskyi, General Director of SC “Ukrposhta”.

The final results of Ukrposhta's performance for 2019 will be presented after the international financial audit.