Jersey Post turnover up but profits take a dip

Tuesday 7th July 2009, 2:59PM BST.

Last year there was a 4.5% decrease in the traditional letter business but an increase in bulk mail deliveries

JERSEY Post had its busiest year ever in 2008, but its profits were down because of higher costs.

The company’s annual report, published yesterday, showed that turnover was up by £10 million compared with 2007 while profits fell by £200,000 to £4.3 million.

However, the States-owned utility will be making a contribution to the Island’s treasury, with £1.78 million to be paid as a dividend.

The company, which is now named Jersey Post International Ltd, saw growth in turnover of 18.5 per cent to £64 million while mail volumes went up by 14 per cent to 97.7 million.

But operating profits fell by five per cent as a result of charges from Royal Mail going up again. In the last three years the costs from Royal Mail have risen by a third. However, the report says that postage stamp prices were frozen throughout 2008 and remain among the most competitive in Europe.

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