According to preliminary data, Posta Romana had revenues of RON1.166 billion and expenses of RON1.193 billion last year.
Results are preliminary as they lack certain end of the year expenses, provisions and other adjustments that will be settled following an independent financial audit to be performed by Deloitte Audit, company officials said.
In the postal operator’s budget for 2013, approved by government decision, exploitation revenues were estimated at RON1.231 billion, while expenses were seen at RON1.234 billion. The company’s total revenues were estimated to reach RON1.256 billion and Posta Romana was expecting to break even.
The company amassed loses of RON532.9 million in 2009-2012 although it estimated to turn a profit each year. The last time Posta Romana turned a profit was 2008, when its gross profit was on the plus side but still ten times lower than estimated in the budget.
With total revenues of RON1.459 billion, Posta Romana ended 2008 with a gross profit of RON4.56 million, but had estimated RON44.2 million at the beginning of the year.
According to the draft budget the Government approved in February, Posta Romana targets total revenues of RON1.194 billion this year and total expenses of RON1.184 billion. It expects a gross profit of RON10 million. Exploitation revenues in 2014 are seen at RON1.178 billion and exploitation expenses ta RON1.163 billion.
With a budget described as austere, Posta Romana will invest RON54.76 million this year to endow its car fleet, computerize its network, opening new business offices and security systems.
The postal operator expects to end the year with 27,000 employees from 27,451 at the end of 2013. In 2013, Posta Romana cut its staff numbers by 16%, laying off around 5,400 people.
The postal operator switched to an operating profit of RON15.1 million in the last quarter of the year following reorganization measures.
Posta is Romania’s largest postal operator with 5,700 offices throughout the country. It is owned 75% by the Romanian state and 25% by investment fund Fondul Proprietatea. It is set to be privatized this year and the Government expects bids by June 30. Romania tried to privatize its postal operator in the first part of 2013 but there were no interested investors.