Czech Post generated a CZK 241 million profit before tax in 2014. 2014 was the second year Czech Post had to operate on a fully liberalised market. Its operations were mostly affected by the continuing decline in the volume of letters, by the annual 10% of domestic letters. The decline with the related reduction of income from these traditional postal services was partially compensated by revenues from new business opportunities as well as by saving measures across all categories of costs.

Martin Elkán, Czech Post’s Director General, said in connection with the reported profit: “An important factor for the next period of time will be the final decision to cover the net costs of the provision of basic services ordered by the government from Czech Post. At present, we have not been paid for the universal services provided in 2013 and 2014. If these costs are not paid, the year 2014 would likely be the last year when Czech Post would be able to post a profit.”

Czech Post had 31,742 employees as of 31 December 2014. Personnel costs amounted to CZK 11,6 billion and again became the largest category of costs contributing to almost 62% of its total costs. The other significant categories of costs included management and maintenance of buildings, transportation, and IT and telecommunication costs.

On the other hand, agency services, money order services, collaboration with alliance partners, and payment of pensions were among the profit-generating segments. The biggest savings were gained from a reduction of marketing costs.

Matyáš Vitík
Spokesman
Česká pošta, s.p.
vitik.matyas@cpost.cz