Posti Group Corporation Interim Report January-March 2026:
Market change intensifies - Posti accelerates its transformation
Posti Group Corporation | Stock Exchange Release | April 29, 2026 at 8:30 a.m. EEST
This is a summary of Posti Group Corporation's January-March 2026 Interim Report. The full report is a PDF file attached to this stock exchange release and available on the company website at https://www.posti.com/en/investors.
Posti Group is organizing a news conference today at 11:00 EEST, which will be audiocast live. Details of the event and how to participate in the audiocast can be found at the end of this release.
Unless otherwise stated, the figures in brackets refer to the corresponding period in the previous year.
Financial highlights in January-March 2026
• Net sales decreased by 1.3% to EUR 352.5 (357.1) million.
• Adjusted EBITDA decreased to EUR 38.1 (42.5) million, or 10.8% (11.9%) of net sales.
• Adjusted operating result (adjusted EBIT) decreased to EUR 6.5 (10.5) million, representing 1.9% (3.0%) of net sales.
• Operating result (EBIT) increased to EUR 13.9 (5.0) million, representing 3.9% (1.4%) of net sales. Operating result (EBIT) was positively impacted by special items of EUR 7.4 (negative impact of 5.6) million in total, including sales gains of EUR 12.4 million from investment property.
• Result for the period increased to EUR 6.3 (-0.2) million.
• Operative free cash flow improved significantly and was EUR 11.5 (-21.4) million.
• Net debt to adjusted EBITDA was 2.6x (2.3x).
• Earnings per share (EPS) was 0.16 (-0.01).
Operational highlights in January-March 2026
• To accelerate the strategy execution, Posti launched a renewal program to strengthen synergies. The program merges distribution networks in Finland and centralizes production, procurement, real estate, HSEQ, and ICT and digitalization functions, into a single unit. Over three-years, the program targets EUR 40.0 million improvement cost efficiency.
• Continued efficiency actions, focused on delivery model improvements, resource optimization and high-level sorting automatization, supported strong profitability in Postal Services despite accelerating volume and net sales declines. The adjusted EBIT of Postal Services remained solid, at 12.4% (12.6%) of net sales, while addressed letter volumes decreased by 24.2% (15.7%).
• Net sales of eCommerce and Delivery services increased, driven by higher parcel volumes and continued growth of Finland's consumer recommerce market. Total parcel volumes in Finland and the Baltic countries increased by 14.4% (1.6%). The positive impact of volume growth on the segment's net sales and profitability was partially offset by an unfavorable product mix.
• Posti took the first steps in divesting its investment properties by selling one property, resulting in a sales gain of EUR 12.4 million, which is recognized as special items.
Guidance for 2026 unchanged
Posti is expecting its net sales to be within the range of EUR 1,400-1,500 million, and adjusted EBIT to be within the range of EUR 63-79 million in 2026. In 2025, Posti's net sales were EUR 1,447.6 million and adjusted EBIT was EUR 69.3 million.
Background for guidance for 2026
The operating environment in the logistics sector is expected to remain challenging in 2026, shaped by a high level of uncertainty in the economy. Geopolitical tensions have increased energy and logistics costs. This is expected to continue to fuel inflation and weigh on global economic growth. The economic growth in Finland, Sweden and the Baltics is expected to continue but the outlook has weakened due to overall uncertainty.
Growth in trade and industry is expected to remain constrained by uncertainty, and consumer confidence is expected to continue to be subdued. As Posti serves a broad customer base, both GDP growth and confidence indicators have a direct impact on the Group's performance. GDP growth forecasts for Finland in 2026 are moderate, while tightening trade policies, geopolitical tensions, financial market volatility, and potential additional fiscal adjustment measures may further slow Finland's economic recovery.
Growth in ecommerce, both domestically and internationally, is expected to continue to support the expansion of the parcel market. This growth is driven in particular by increased recommerce activity and the rising number of smaller parcels. Competition in the parcel market in Finland and the Baltics is expected to remain intense.
Digitalization of letter mail is expected to continue to accelerate, and postal volumes are expected to decline further. Posti continues to develop its delivery models for paper mail and offers digital mail solutions to support customers in their transition to digital services. In April 2026, the legislation of the digital priority of official government mail came into effect, which is expected to further negatively impact addressed letter volumes. Despite these changes, Posti remains committed to customer centricity and continuously develops its services in response to evolving customer needs.
Demand in the warehousing market is expected to be influenced by ongoing economic uncertainty. Companies are expected to continue focusing on inventory optimization and cost efficiency, which is likely to keep the demand at a moderate level.
The Group's business is characterized by seasonality, and net sales and adjusted EBIT are not accrued evenly throughout the year. The fourth quarter is typically the strongest quarter. Posti continues to improve its operational efficiency to support profitability. Concrete examples, among others, the renewal program to strengthen our synergies and the further development of self-service points.
Mid-term financial targets
The Board of Directors of Posti Group has set the following mid-term financial targets 2026 onwards:
• Average organic net sales growth (3-5-year period) of at least 2% at Group level and at least 5% outside Postal Services compared to 2025
• Baseline for 2025 at Group level of EUR 1,447.6 million
• Baseline for 2025 outside Postal Services of EUR 917.1 million
• Average adjusted operating result (adjusted EBIT) growth (3-5-year period) over 5% compared to 2025
• Net debt to adjusted EBITDA less than 2.5x
Posti Group's target is to pay continuously increasing ordinary dividends, and a payout ratio of at least 60 percent of net income based on Board of Directors approved dividend policy.
Key Figures of Posti Group
EUR million | 1-3 2026 | 1-3 2025 | 1-12 2025 |
Financial development and profitability | |||
Net sales, EUR million | 352.5 | 357.1 | 1,447.6 |
Change in net sales, % | -1.3% | -6.5% | -4.8% |
Adjusted EBITDA, EUR million | 38.1 | 42.5 | 196.4 |
Adjusted EBITDA margin, % | 10.8% | 11.9% | 13.6% |
EBITDA, EUR million | 45.5 | 37.9 | 180.4 |
EBITDA margin, % | 12.9% | 10.6% | 12.5% |
Adjusted operating result (adjusted EBIT), EUR million | 6.5 | 10.5 | 69.3 |
Adjusted operating result (adjusted EBIT) margin, % | 1.9% | 3.0% | 4.8% |
Operating result (EBIT), EUR million | 13.9 | 5.0 | 52.3 |
Operating result (EBIT) margin, % | 3.9% | 1.4% | 3.6% |
Result for the period, EUR million | 6.3 | -0.2 | 23.5 |
Financial position | |||
Equity ratio, % | 25.0% | 21.9% | 24.6% |
Return on capital employed (12 months), % | 8.2% | 8.1% | 7.8% |
Net debt, EUR million | 495.4 | 454.0 | 517.0 |
Net debt / adjusted EBITDA | 2.6x | 2.3x | 2.6x |
Financial net debt / adjusted EBITDA | 1.0x | 0.9x | 1.1x |
Other key figures | |||
Operative free cash flow, EUR million | 11.5 | -21.4 | -37.0 |
Investments, EUR million | 28.8 | 40.6 | 175.1 |
Personnel, end of period | 13,243 | 13,905 | 13,751 |
Personnel on average, FTE | 11,017 | 11,792 | 11,845 |
Earnings per share, basic and diluted, EUR | 0.16 | -0.01 | 0.59 |
Dividend per share, EUR | 0.84* | ||
Dividend, EUR million | 34.0* |
*The Board of Directors' proposal to the Annual General Meeting held on April 15, 2026.
Antti Jääskeläinen, President and CEO's Review
Our first quarter result was in line with our plans and expectations. The operating environment in the first quarter was characterized by economic uncertainty, accelerating digitalization, changes in consumer behavior, and intensifying geopolitical tensions. As anticipated, the government's Digi First legislation entered into force in April, which had an upfront impact on the operations of many public sector entities and reduced demand for traditional postal services during the quarter. At the same time, growth in parcel volumes accelerated as recommerce volumes continued to increase. The war in Iran that began in February, together with disruptions in the energy markets, increased uncertainty in the outlook for the Finnish economy. This uncertainty indirectly affected logistics chains and our customers' decision-making.
The Group's performance in the first quarter reflected developments in the market environment. At the same time, we leveraged our strengths and systematically implemented measures to support profitability. Posti Group's net sales decreased slightly by -1.3% to EUR 352.5 (357.1) million, driven by a 24% decline in mail volumes due to the legislative changes and accelerated digitalization. The comparison period volumes included election materials distribution. In contrast, both of our growth businesses, eCommerce and Delivery Services as well as Fulfillment and Logistics Services, continued to grow. The Group's adjusted operating result (adjusted EBIT) was EUR 6.5 (10.5) million.
General economic uncertainty made consumer and business customer behavior more subdued compared to the previous year. The increase in oil prices, primarily reflected in fuel costs, had a neutral impact on Posti's results during the review period. The quarter's performance was as expected, and we are confident in our execution plans for the remaining of the year. Our operating cash flow was strong and improved significantly from the comparison period. In addition, the first phase of the divestment of our investment properties was successfully completed, further contributing to the cash flow and net profit.
Parcel volume growth in eCommerce and Delivery Services accelerated in the first quarter, driven particularly by rapid growth of recommerce. The B2B parcel market remained subdued due to general economic uncertainty. These changes in the product mix weighted on the segment's profitability. In Fulfillment and Logistics Services, our commercial performance remained solid. In Postal Services, we continued to improve operational efficiency, for example, through changes in delivery models.
Despite the challenging market environment, we achieved several significant customer wins across our businesses. These strengthen our position as a leading logistics partner in Finland. Our portfolio is developing in line with our strategy, and the combined share of eCommerce and Delivery Services and Fulfillment and Logistics Services in the Group's net sales has increased to over 64% (62%).
To accelerate the execution of our earlier started synergy initiatives and operational efficiency improvement, we launched a major renewal program in March. As part of the program, Posti plans to combine the delivery networks of Postal Services and eCommerce and Delivery Services into a single unit in Finland, and to integrate production, procurement, real estate and HSEQ operations, as well as ICT and digitalization, into one organizational unit. The program ensures that Posti continues to be the competitive and customer-centric leader in logistics and postal services in Finland. The three-year program targets cost-efficiency improvements of approximately EUR 40.0 million and will comprise several initiatives over the program period.
During the first quarter, we systematically advanced our sustainability agenda. Occupational safety developed positively, with the number of accidents decreasing by 13% from the comparison period. We published Group-wide occupational safety standards to harmonize operating practices and to further prevent accidents. We initiated an update of our SBTi targets, building on the previously achieved 50% SBTi-emissions reduction target for our own emissions by 2030.
We are developing our operations with a long-term perspective and continuously improving our day-to-day work. The first employee survey of the year showed positive developments across our key businesses, and our leadership index improved further. Common direction is a key success factor in the midst of change, and our committed and talented personnel are at the heart of this development.
Posti Group Corporation
Audiocast for investors, analysts and media
Everyone interested in Posti Group is welcome to follow the audiocast on the result publication day at 11:00 Helsinki time (EEST). In the audiocast, Posti Group President and CEO Antti Jääskeläinen and CFO Timo Karppinen will present the results and after the presentation there will be time for questions. The event can be followed at https://posti.events.inderes.com/q1-2026.
A recording of the event will be available after the event on the company's website, https://www.posti.com/en/investors.
Further information for investors and analysts: Marja Mäkinen, Head of Investor Relations, tel. +358 40 671 2999, marja.makinen@posti.com
Further information for the media: MediaDesk tel. 020 452 3366, viestinta@posti.com
Posti Group Corporation in brief
Posti is one of the leading delivery and fulfillment companies in Finland, Sweden, and the Baltics. We make our customers' everyday lives smoother with a wide range of services, which include parcels, freight, and postal services as well as warehouse, fulfillment, and logistics services. Our goal is to transport completely fossil-free throughout the value chain by 2030 and zero our own emissions by 2040. Our net sales in 2025 amounted to EUR 1,447.6 million and we have approximately 13,700 employees. Posti Group's shares are listed on the Nasdaq Helsinki official list in Finland. www.posti.com
