JSC Ukrposhta in January-September 2021 received UAH 131 million of net profit, which is twice as much as in the nine months of 2020 (UAH 60.9 million).
As the company’s press service reported on Monday, the company increased its net income by 23%, to UAH 8.1 billion.
Ukrposhta notes that the company has increased its volumes and revenues in the main areas of business – remittances, written correspondence, payments. The largest increase occurred in parcels. Thus, among domestic shipments, customers most often chose Ukrposhta Express – here volumes increased by 40% and revenues by 50%. In addition, there was a significant increase in international shipments – volumes increased by 55%, revenues – by 66%.
The company’s labor costs for the specified period increased by 17% and amounted to UAH 4.5 billion. The average salary of employees in full-time equivalent compared to nine months of last year increased by 16.5% and amounted to UAH 9,949.
In addition, Ukrposhta paid UAH 2.4 billion in taxes, single social security tax, fees and mandatory payments in January-September.
“The increase in revenue and profit to UAH 131 million [twice as much as in the same period last year] was due to the growth in the level of trust and business volumes from our customers, especially in the segment of parcels that showed the best dynamics. Given the state of the postal infrastructure, profit is not an end in itself. But it allows us to confidently continue the investment projects that we have already begun, which next year will improve the quality of services for customers and will be a powerful impetus in the development of the company,” Ukrposhta CEO Igor Smelyansky is quoted as saying.
Escher Group Ltd (Ireland) will supply a new front-office system instead of the old software in stationary offices, as well as fully automate the work of mobile offices and postmen of Ukrposhta.
The signing of the agreement between Ukrposhta and the winner of the tender of the EUR opean Bank for Reconstruction and Development (EBRD), the Irish company Escher Group Ltd, took place in Kyiv on October 26, 2021, Interfax-Ukraine reports.
Director General of Ukrposhta Igor Smelyansky emphasized that the Escher Group software works in more than 30 postal operators around the world.
The contract value is EUR 7.8 million.
In accordance with the terms, it is envisaged to supply 43,000 software licenses, as well as technical support services during four years and software revision if necessary.
As reported, the Verkhovna Rada on October 21 ratified the guarantee agreement for the Ukrposhta Logistics Development project between Ukraine and the EBRD.
The Korea Post resumes deliveries to Ukraine, the parcels will be delivered by Air Astana flights through the mediation of GlobalAirCargo, the press service of Ukrposhta said on Wednesday.
Ukrposhta, in particular, informs that EMS delivery will be resumed first, and then all other categories.
The Ukrainian postal operator also said that most of all in the structure of Korean exports to Ukraine is the share of EMS shipments from Korean online stores.
According to the company, before the pandemic, Korea was included in the list of the top 10 delivering countries in all categories of shipments, and in the category of EMS shipments it was in the top three delivering countries of Ukrposhta. In 2020, with the spread of the coronavirus, the Korea Post imposed restrictions on its work: due to the rapid growth in air transportation costs, it closed the reception of parcels that could be delivered to most European countries, including Ukraine.
JSC Ukrposhta plans to digitize 100% of its services in 2021.
“Ukrposhta is facing an ambitious task – during this year to make 100% digitalization of services,” Minister of Infrastructure Vladyslav Krykliy said during the “Ukraine 30. Infrastructure” forum.
According to Krykliy, this will be implemented due to the support of Ukraine’s international partners and almost 2,000 mobile rural branches that will be able to deliver parcels and will be involved in the e-commerce system.
According to Krykliy’s presentation, construction of five automated postal hubs and ten sorting depots is also planned this year.
The national postal operator Ukrposhta begins cooperation with the Kasta marketplace.
As reported by Ukrposhta on Tuesday, in December, the companies opened 50 partner offices.
Fitting rooms will be installed in co-branded post offices, where customers can check if the goods ordered on the Kasta marketplace fit them.
Partner offices will operate in Kyiv, Odesa, Lviv, Kharkiv, Poltava, Lutsk, Vinnytsia, Mariupol, Kramatorsk, Mykolaiv, Severodonetsk, Kryvy Rih, Nikopol, Khmelnytsky, Zhytomyr and other cities.
Delivery of goods purchased on the Kasta website to Ukrposhta partner offices will be free for holders of KastaBlack loyalty program cards, and in the absence of a card, the delivery will cost UAH 25 regardless of the amount and size of the order.
“According to payment systems, in Ukraine in the first quarter of 2020, the volume of e-commerce increased significantly, and merchants began to use digital channels for sales even more actively: the number of online payments in grocery retail increased by 12%, and in certain categories, such as appliances and electronics, the number of purchases on the Internet increased by 44%. We see this tendency in accordance with the increase in the volume of parcels. Therefore, we continue to expand the circle of our cooperation with the largest online stores,” Deputy Director General for business development of Ukrposhta Olena Stopina said.
“For our customers, the coverage and, accordingly, the delivery speed will expand. We do not plan to stop at 50 offices, we will actively develop this area of cooperation,” Head of the delivery service and the network of KastaPost offices Oleksandr Bilousov.
Ukrposhta has the largest office network in Ukraine, almost 11,000 post offices. The national postal operator delivers items even to the most remote settlements and covers 100% of the territory of Ukraine.
Kasta is a marketplace for clothes, shoes and accessories in Ukraine.
Ukrposhta expects to sign an agreement with the European Bank for Reconstruction and Development (EBRD) and the European Investment Bank (EIB) in October to raise a EUR 100 million loan for the construction of new sorting centers.
“I really hope that on October 1 we will sign the first EUR 100 million agreement in the history of Ukrposhta for the construction of a new logistics network with the EBRD and the EIB and, in fact, we will start building a new Ukrposhta,” its CEO Igor Smelyansky said on the air of KSE Business Transformation Week “Transformational Leaders. Public Sector.”
He also recalled that Ukrposhta built the last sorting center in 1980 and noted that it is very difficult to compete with the market players such as Nova Poshta using such outdated equipment.
At the same time, according to Smelyansky, despite the quarantine, the company continues to grow in the volume of services provided.
As reported, in the spring, Ukrposhta hoped to attract EUR 100 million for the construction of new sorting centers by summer. The company later clarified to the Interfax-Ukraine agency the funds raised are planned to be used for the design and construction of three or four terminals, as well as for the automation of about 30 depots.
