Royal Mail poised to expand its Sunday parcel delivery service as it posts surge in profits
Royal Mail is poised to expand its Sunday parcel delivery service as it posts a surge in profits this week.
A trial scheme delivering parcels for a handful of major retailers, including gift seller Moonpig and florist Bloom & Wild, kicked off in March. It is understood more retailers are set to sign up.
Expansion plans: A trial scheme delivering parcels for a handful of major retailers kicked off in March
Separately, senior sources said a service of ‘label-less collection’ – which has been piloted in four areas – will be rolled out across the UK. It involves postmen with pre-printed labels collecting parcels from customers without a printer.
Bernstein analyst Alex Irving said: ‘Royal Mail is making some very commercial moves because it’s been squeezed by the likes of DPD and Hermes on quality and cost.’
Royal Mail is expected to post underlying group profits of £399million for the half-year to September 26, up from £37million, aided by increased parcel revenues.