Ukrposhta reports UAH 1.26B loss for 2022

This was announced by CEO Ihor Smelyansky, Ukrinform reports citing the postal operator's press service.

It is noted that in 2022, Ukrposhta saw an actual loss of UAH 1,258.1 million, of which UAH 216.9 million was due to lost assets in the temporarily occupied territories of Kherson, Donetsk, and Luhansk regions, and UAH 402.1 million – due to foreign exchange losses amid forex fluctuations.

Ukrposhta completed the year 2022 with net income from the sales of goods and services in the amount of UAH 10.3 billion, which is 7.7% below the 2021 figure.

In 2022, the volume of domestic and export parcels remained at the level of the previous year. Trade revenues increased by 41.9% against 2021. For objective reasons, the volume of written correspondence in 2022 decreased by 53.4% compared to last year with a gradual recovery by the end of 2022. Therefore, revenues in this area decreased by 18.3% compared to 2021. Also, due to the closure of a large number of print media and migration, revenues from the distribution of periodicals were down by 22.4%.

Thanks to the profits of previous years and measures undertaken to preserve cash, Ukrposhta maintained a strong liquidity position in 2022, which allowed it to maintain operations without a cash shortage, meet its financial obligations on time, and restart its capital investment program.

"Despite the huge war-related losses, we were able to retain the team in 2022, fulfill all financial obligations, and even continue to invest in previously launched projects. And all this – without subsidies from the state budget because we understand that it should be primarily aimed at supporting our Armed Forces. Ukrposhta recorded losses in 2022, but given the measures taken, we are confidently looking forward to 2023 and will do everything to return to profit while continuing to support the state," Smelyansky said.

As reported, as of April 10, Ukrposhta suffered losses of more than EUR 34 million due to Russian aggression. Approximately 30% of the branches are beyond repair, and part of the vehicle fleet has been lost.

In 2021, Ukrposhta JSC reported UAH 183.58 million in net profit.