Amsterdam, Netherlands (4E) – TNT Express NV reported Monday that its third-quarter net profit fell 25 percent on lower revenue, and the company said it will continue to take measures to boost its business amid challenging market conditions.
Net profit was 6mn euros ($8.28mn), down from the 8mn euros in the same period a year ago, as revenue dropped 6.6 percent to 1.62bn euros from 1.74bn euros amid higher provisions and pricing pressure at the company’s key European business.
On an adjusted basis, quarterly revenues fell by 1.8 percent to 1.70bn euros from 1.74bn euros a year earlier.
The Dutch parcel-delivery company said its cost-cutting efforts are bearing results as operating expenses dropped by 1.3 percent in the latest quarter. The company said it generated savings of 10mn and provisions of 38mn.
Last year, TNT agreed to be acquired by rival United Parcel Service Inc. in an estimated $7bn deal. UPS, however, abandoned its bid in January after the transaction faced objections from European antitrust regulators. After the deal broke down, TNT announced it would lay off 4,000 employees and sell its assets in China and Brazil.