Ottawa - In its 2007 Annual Report tabled today in Parliament, Canada Post Corporation reported its thirteenth consecutive year of profit for its Group of Companies. The Corporation recorded a consolidated net income of $54 million for the fiscal period ended December 31, 2007.
"The continued dedication of the 70,000 employees at Canada Post has enabled the corporation to maintain an impressive record of profitability", said the Honourable Lawrence Cannon, the Minister Responsible for Canada Post. "I am confident that the on-going efforts of the management and employees at Canada Post will ensure Canadians will continue to receive the service they have come to expect."
The return on equity for 2007 was 3.8 per cent. The corporation will make an annual dividend payment at the rate of 40 per cent of net income to its shareholder and is expecting to pay a dividend of approximately $22 million to the Government of Canada in 2008. The total dividends paid over the last five fiscal periods amount to $267 million.
"I am pleased with the results of the corporation during 2007," said Marc Courtois, Chairman of the Board of Directors. "I am convinced that we have the committed management team and dedicated employees needed to continue to operate successfully."
Canada Post Corporation's consolidated net income of $54 million was down 54.3 per cent from $119 million in 2006. Consolidated revenues reached $7.5 billion, an increase of 2.5 per cent trading day adjusted or $210 million over the comparative period a year ago, while the cost of operations increased by 3.2 per cent to $7,346 million. Canada's population growth added some 200,000 new points of delivery during the year.
On a consolidated basis, Canada Post Corporation processed 11.8 billion pieces during the 12-month period, even as Transaction Mail volumes decreased by 1.6% year over year adjusted for trading days. In 2007, Canada Post met the corporate on-time service performance target of 96 per cent for the delivery of Lettermail.
Moya Greene, President and Chief Executive Officer for Canada Post said, "As a Modern Post, our people are the heart and soul of our company; their commitment to deliver the best products and services to Canadians is truly the foundation of our success. Looking forward, we will continue to strive to create a successful, sustainable future for our employees, our customers and all Canadians. It is clear, however, that 2008 will be equally as challenging as 2007, if not more so."
Canada Post's Annual Report is available at www.canadapost.ca/annual_report.
