Royal Mail owner IDS' Q3 revenue inches higher on busy Christmas (updated)

International Distribution Services

15/01/2025 07:26

(Adds detail on Royal Mail outlook in paragraph 2, background
on deal and costs)
       Jan 15 (Reuters) - Britain's International Distribution
Services  IDSI.L  said on Wednesday its revenue inched 0.8%
higher during the busy Christmas period as its Royal Mail
business handled more international parcels.
    Royal Mail remains on track to return to adjusted operating
profit before voluntary redundancy costs this fiscal year,
despite difficult market conditions in the UK, the company said.
    Separately, IDS said in a statement late on Tuesday that its
3.57 billion pound ($4.35 billion) takeover by Czech billionaire
Daniel Kretinsky received regulatory clearance by Europe and the
United States.
    The deal was approved by the British government in December
and is expected to close in the first quarter of this year.
    IDS, which will be delisted from the London Stock Exchange
after the deal closes, said in November it expected costs to
rise following the UK budget, saying it could not rule out price
hikes and increased automation to cut costs.
    Group revenue in the three months ended December rose 0.8%
to 3.62 billion pounds, as strength in Royal Mail offset
weakness in GLS, its international unit.

($1 = 0.8212 pounds)

 (Reporting by Yadarisa Shabong in Bengaluru; Editing by Varun H
K)
 ((Yadarisa.Shabong@thomsonreuters.com; +91 9742735150;))