Estonian international postal and logistics company Omniva saw a 7% rise in sales revenue in 2014, an increase attributed in part to the growth in e-commerce related services. Consolidated net income for the year reached 1.3m (US$1.4m) and the group’s total revenue for 2014 was 59.9m (US$65m).
“The business revenues growth was most affected by the increase in the volumes of logistics services, where a crucial part was played by network expansion of the parcel machines in the Baltic States and also the increase in parcel machine services and e-commerce volumes,” said Omniva’s chairman of the board, Aavo Kärmas.
The company significantly expanded its parcel machine network in 2014, with new locations in Estonia and Latvia taking the total number of parcel machines installed in the Baltic States to 189. Parcel machine services grew in volume by 38% in Estonia, 198% in Lativia and 177% in Lithuania last year. “These numbers show that the customers have also embraced Omniva’s novel solutions,” said Kärmas.
Logistics services grew by 15% in 2014, while advertisement services turnover increased by 11% and periodical services turnover by 3%. During the last year Omniva intermediated over 11 million sales and purchases invoices and saw a rise of 40% in e-invoices from all intermediated invoices.
Despite this strong growth, the group saw domestic letter service volumes decrease by 8% in 2014, which, according to Kärmas, was due to a continuing trend toward electronic business correspondence. However, incoming and outgoing international mail volumes grew by 19% and 23% in 2014 respectively.
According to Kärmas, 2014 marked a breakpoint in the company’s history where international letters and small parcels made up a larger part of the company’s turnover than domestic shipments.
“It can be said that the national postal company became an international logistics company during the last year,” said Kärmas.
“We estimate an increase in both domestic and international e-commerce in 2015, therefore we will be further developing the logistics solutions that will enable the e-vendors to provide comfortable and fast goods delivery possibilities to the consumers.”
April 7, 2015