bpost NV/SA

Group operating income for Q2 was EUR 1.046 billion, down EUR 46 million or 4% year over year. Adjusted EBIT was EUR 29.4 million, with the April strike impact now estimated at EUR 25.5 million versus about EUR 15 million previously. Adjusted net profit benefited from a EUR 19 million improvement in financial results. On a segment basis, Bpost revenue fell EUR 43 million to EUR 493 million and adjusted EBIT declined EUR 23 million; Paxon adjusted EBIT rose EUR 2 million to EUR 23 million; and Landmark Global adjusted EBIT declined by EUR 6 million to just under EUR 17 million. For 2026, management revised full-year adjusted EBIT outlook to approximately EUR 140 million, citing the strike and a roughly EUR 15 million net EBIT shortfall from slower Paxon commercial development after about EUR 5 million of corporate savings. For the second half, management expects Bpost parcels to return to low single-digit growth and said Landmark Global is now targeting low single-digit top-line growth, while profitability remains within guidance, likely toward the low end.

Chris Peeters said the April strike caused significant operational disruption, but he emphasized that the transformation toward a parcel-led model remains firmly on track. He highlighted progress in distribution timing changes, locker expansion toward 3,500 locations, retail partnerships, and transport pilot scaling, framing these as evidence that the group’s Reshape2029 strategy is advancing. On the international side, he said Landmark Global is resilient despite trade barriers, while Paxon’s commercial development is progressing more slowly than planned and needs more time to convert pipeline into revenue.

Philippe Dartienne focused on the numbers behind the quarter: operating income of EUR 1.046 billion, adjusted EBIT of EUR 29.4 million, and a EUR 25.5 million estimate for the strike impact. He noted that the underlying year-over-year EBIT decline excluding the strike was about EUR 3 million, and that adjusted net profit improved because of a EUR 19 million better financial result, partly offset by higher interest expense on the June 2025 bonds. Cash flow was also covered: net cash outflow was EUR 90 million, operating cash flow before working capital was EUR 107 million, working capital and provisions used EUR 95 million, investing cash outflow was EUR 30 million, and financing cash outflow was EUR 73 million, including a EUR 26 million annual coupon payment.

Analysts pressed management on whether Paxon’s slower growth was a delay or a more structural issue. Management said the Europe slowdown, especially in France, is mainly a delay in onboarding new services and customers, while the U.S. Fast Track slowdown reflects a smaller-than-expected pipeline after early tariff-driven demand and weaker same-store sales. Questions also focused on whether the strike impact would create delayed penalties or market share losses; management said most of the EUR 25 million strike cost is now captured and does not expect new penalties, though some customers took time to return. On Landmark Global and de minimis, management said June was strong before the EU import fee, but the second-half impact of the new fee and later handling charges is still uncertain, though they remain relatively optimistic. On the management contract, CFO Philippe Dartienne said it ends at year-end and the current EUR 150 million revenue base is being negotiated down by EUR 50 million, with no expectation that it goes to zero.