Poste Italiane board approves strategic plan

Poste Italians’s Board of Directors have approved a four year 2024 ‘Sustain & Innovate’ strategic plan to improve the postal operator’s profitability from €1.5 billion this year to €2.2bn by 2024. This is to be achieved through revenue growth and cost discipline across all of its business segments.

2024 Sustain and Innovate is to deliver coordinated growth opportunities. Poste Italiane aims to retrench its position as a strategic pillar in its home country. It aims to deliver responsible and sustainable growth that is in full alignment with the UN’s Sustainable Development Goals (UNSDG). One of its core interests is to better benefit from the growth of e-commerce parcels with the plan for Mail & Parcels to generate 50% of its business from 20% in 2017 and to drive efficiencies into the business using technology.

There are to be pragmatic and clearly defined KPIs and achievable financial targets. Commenting on the new plan, Matteo Del Fante, Chief Executive Officer and General Manager, said: “With our ‘24 Sustain & Innovate’ (‘24SI’) Plan, we are able to build and grow on the solid foundations put in place with Deliver22 with achievable targets across all our four businesses. Revenues will grow steadily throughout the plan, with EBIT and Net Profit increasing 5% and 6% CAGR respectively, generating €0.4 billion of incremental EBIT between 2019 and 2024. After a step up of 14% in 2021, the dividend per share will benefit from a 6% annual growth. The turnaround in mail and parcels is fully underway and it is the first time parcels will represent a higher revenue proportion than mail, while we will become a fully-fledged logistics player with a sustainable business. In financial and insurance services, the priority is to become the main reference point for all customers’ needs, from savings to insurance and loans, attracting them with data driven advisory across all Poste’s distribution channels. We will leverage cross and up selling expertise in Payments & Mobile, confirming the leadership in digital payments, introducing broadband connectivity and entering the power and gas market in 2022 with a fair, competitive and customer friendly offering.

“Our strategic foresight in creating a cloud-based architecture, leads the Group to be Italy’s number one cloud services user. We are delivering new products and services that will help our customers, businesses, the Public Administration and the country as a whole for years to come, with the commitment in creating significant value for all stakeholders.

“Confirming the relevance of the environmental topics for our strategy, Poste Italiane will become a net zero emission company by 2030.

“Our people have proved to be a cornerstone of our success and we will continue to invest in their skills. We are proud of our key role in the countrywide vaccination plan, with about 2 million vaccine doses already delivered supporting the Italian Army’s operations thanks to our cloud native technological platform.”

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