Why bpost?

Successful and focused strategy based on 4 pillars

bpost’s management consistently implements its proven strategy which combines 4 crucial and interlinked cornerstones:

  • Defending physical mail as an effective communication tool
  • Generating productivity gains through continuous efficiency improvement programs
  • Developing additional activities for growth on the backbone of its core business using its key assets: the last mile and the retail network. Parcels are the fastest growing activity in this area.
  • Keeping stakeholders on board while implementing the above

This leads to value creation for our stakeholders and to compelling shareholder returns.

Balanced regulatory framework in a resilient mail market

bpost is the leading mail operator in Belgium, a market characterized by relatively moderate levels of volume decline compared to other European countries.

In addition, Belgian postal regulation requires a license for performing letter mail services falling in the scope of the USO and allows for semi-automatic regulated yearly mail price increases.

Proven performance track record

bpost’s management team has proven its ability to deliver strong financials in a declining mail volume environment by fostering a culture of continuous improvement and operational excellence.

Since 2003, the management embarked on a modernization program in anticipation of the full liberalization of the Belgian postal market. bpost’s transformation has continued on an ongoing basis since then, leading to best in class profitability levels in the postal sector.

Strong financial performance supporting a high level of cash flow generation and dividends

bpost’s strong financial performance over the past years has improved cash conversion and has significantly increased normalized operating free cash flow. bpost also has a strong balance sheet with low levels of debt and no pension liabilities. Management expects to be able to maintain a strong and stable cash flow profile.

In addition, bpost has a clear policy with respect to dividends. The company’s ambition is to pay out a minimum of 85% of its Belgian GAAP annual net profit on an unconsolidated basis.