Bpost estimates strike impact at at least 15 million euros
The weeks-long strike at Bpost is expected to weigh on the postal group’s operating profit (EBIT) by at least 15 million euros, parent company Bpostgroup announced on Wednesday alongside its first-quarter results.
For the past five weeks, industrial action has disrupted operations at Bpost in protest against plans to shift working hours by up to two hours later in the day, a move the company says is necessary to adapt to the changing parcel market.
Although the situation has calmed since the start of this week, no social agreement has yet been reached. Talks between unions, management and social mediators resumed on Wednesday.
The dispute hit operations particularly hard in Wallonia and Brussels, leading to a backlog of more than 16 million letters and up to 700,000 parcels. Bpost also estimates it lost around 3.2 million parcels to competitors during the strike period.
According to Bpostgroup, the estimated 15 million euro impact relates mainly to the second quarter and includes lost revenue, quality-related penalties and additional costs linked to emergency measures and clearing the backlog. The company said it has not yet included any “future indirect effects” in the calculation.
Despite the disruption, Bpostgroup maintained its full-year 2026 guidance, forecasting adjusted operating profit of between 165 million and 195 million euros. However, the group now expects results to come in towards the lower end of that range because of the strike.
In the first quarter, Bpostgroup posted revenue of 1.06 billion euros, down 5 per cent compared with the same period last year. Adjusted operating profit fell by one-fifth to 33.2 million euros, below the 36.8 million euros forecast by analysts surveyed by Bloomberg.
Mail declines, parcels grow
At Bpost itself, revenue declined by more than 3 per cent to 547.6 million euros, while adjusted operating profit dropped by 40 per cent to 16.7 million euros. Growth in parcel deliveries was offset by declining mail volumes and the loss of the federal government accounts contract to BNP Paribas Fortis.
Mail distribution volumes, including letters, advertising and newspapers, fell by 14.3 per cent in the first quarter, with around half of that decline compensated for through price increases. Parcel volumes, meanwhile, rose by 9.3 per cent, generating 5.8 per cent higher revenue.
"The recent strikes are weighing on our organisation"
At logistics division Paxon, which includes Active Ants, Radial and Staci, revenue fell by nearly 10 per cent to 390 million euros, mainly because of weaker North American activities. Adjusted operating profit nevertheless rose by almost two-thirds to 11.1 million euros, supported by growth in Europe and North America as well as cost-saving measures in the United States.
International shipments arm Landmark Global reported revenue growth of 3.4 per cent to 150.1 million euros, driven in part by higher volumes from Asia to Belgium. Adjusted operating profit, however, fell by a quarter to 14.6 million euros because of higher costs. With an operating margin of almost 10 per cent, Landmark Global remains the group’s most profitable division.
“Our results are on track, but we must remain realistic: conditions remain challenging, and the recent strikes are weighing on our organisation,” said Bpostgroup CEO Chris Peeters in a statement. “At the same time, the strong performance at Paxon and Landmark Global demonstrates that our strategic choices are the right ones. Step by step, we are building a modern, efficient, and sustainable logistics company.”
© BELGA PHOTO HATIM KAGHAT
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