Chairman Joseph Said: MaltaPost ‘resilient’ amid global disruption as profits climb to €6.4 million

MaltaPost Chairman Joseph Said has described financial year 2025 as a period of “meaningful progress” for the Company, despite mounting pressures across the global postal and logistics sector.

In his Chairman’s Report, Mr Said highlighted how postal operators worldwide continue to transition from traditional letter mail to parcels, driven by accelerating e-commerce demand, automation and digitalisation. Against this backdrop, MaltaPost delivered an improved performance, recording a pre-tax profit of €6.4 million, up from €4.7 million in the previous year.

“We successfully navigated a rapidly evolving international postal and logistics environment where global economic pressures, combined with new US tariff measures, technological advances and changing consumer behaviour continued to reshape the traditional postal industry,” Mr Said wrote.

Earnings per share rose to €0.05, allowing the Board to propose a final net dividend of €0.024 per nominal share, payable in cash.

Tariffs and cost pressures

The Chairman pointed to the first full year of the Automated Tariff Revision Mechanism covering all services under the Universal Service Obligation (USO) as a key milestone, supporting improved financial planning and returns. However, no tariff revisions were implemented during the year for USO services, and Malta’s domestic entry-level postal tariffs remain among the lowest in Europe.

“Consequently, we continue to carry the financial burden of subsidising the single-piece local postal service,” Mr Said noted.

E-commerce activity remained central to MaltaPost’s growth strategy, with continued investment in last-mile delivery operations. Two new regional hubs were commissioned to handle parcel and letter volumes, while the fleet was expanded with 28 large and medium-capacity vehicles, alongside 40 additional electric vehicles.

Mr Said stressed the importance of sustained investment in information technology to keep pace with Universal Postal Union developments, customs regulations and rising customer expectations.

“This investment ensures that MaltaPost remains connected, efficient, resilient and competitive in an increasingly digital environment,” he said.

The Chairman also underlined MaltaPost’s strategic commitment to diversification, particularly in life and general insurance, as well as document management services. He highlighted the tenth anniversary of the Tanseana Document Management Services Centre in Xewkija, Gozo, noting its strong focus on inclusivity and employment of persons with disabilities.

“Over the past decade, the Centre has successfully delivered quality document management solutions to a wide range of clients, contributing to our business and equally important to our social impact initiatives,” Mr Said wrote.

Employee wellbeing and ESG responsibilities featured prominently in the Chairman’s remarks. MaltaPost employs around 800 staff, with a new Collective Agreement in place from January 2025, involving continued annual investment in human capital.

“We also remain steadfast in our commitment to building a strong, sustainable foundation that meets our Environmental, Social, and Governance responsibilities,” Mr Said stated.

Looking ahead, he said MaltaPost will continue to focus on sustainable growth, digital transformation and accessible tariffs, while remaining open to new opportunities that add shareholder value.

“The resilient structure of MaltaPost, combined with its agility to respond to new opportunities, positions it to continue delivering sustainable growth and value,” Mr Said concluded.