PostNL (PNL) Q1 2025 earnings summary

Executive summary

• Q1 2025 revenue increased to €782 million, up 2.2% year-over-year, driven by Parcels growth but offset by a 6.9% Mail volume decline; normalised EBIT was €(15) million, reflecting cost pressures and business transformation.

• Free cash flow was negative at €(33) million, impacted by lower EBIT, working capital phasing, and higher capex.

• Strategic initiatives and efficiency measures in Parcels and Mail are progressing, including targeted yield measures, transition to two-day delivery for business mail, and automation investments.

• Emission-free last-mile delivery reached 30%, up from 26% a year ago.

• Platinum Award from EcoVadis for sustainability performance.

Financial highlights

• Q1 2025 revenue was €782 million, up from €765 million in Q1 2024.

• Normalised EBIT was €(15) million, down from €(9) million in Q1 2024, mainly due to Mail segment weakness.

• Free cash flow was €(33) million, compared to €(7) million in Q1 2024.

• EBITDA improved to €32 million from €24 million year-over-year.

• Adjusted net debt at quarter-end was €509 million, up from €474 million at year-end 2024.

Outlook and guidance

• FY 2025 outlook for normalised EBIT remains unchanged, expected in line with 2024 (€53 million).

• Free cash flow for 2025 is projected between €(10) million and €(50) million; capex will exceed 2024 due to strategic investments.

• Dividend payment intention for 2025 is maintained, subject to performance improvement and financial position.

• Medium-term financial guidance to be provided at the September 2025 Capital Markets Update.

• Cost savings of €40–50 million in Parcels and €40–45 million in Mail expected, with largest pricing impact in Q4.