Royal Mail sees parcel boost over Christmas as £3.6bn takeover nears completion

For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Sign up to our free breaking news emails SIGN UP I would like to be emailed about offers, events and updates from The Independent. Read our privacy policy The owner of Royal Mail said it remains on track to return to annual profit after a parcel boost over Christmas as its £3.6 billion takeover by Czech billionaire Daniel Kretinsky nears completion. International Distribution Services said Royal Mail delivered more than 99% of items that were posted on or before the recommended cut off date in time for Christmas. “Successful execution of our union agreements is bringing increased operational flexibility, which together with increased automation, and thousands of new vehicles, is leading to improved reliability.” He added: “Whilst the market backdrop remains difficult, we are focused on strategic delivery and mitigation of inflationary pressures.” The group warned in November that it was facing a £120 million hit from the incoming national insurance tax hike and that it could not rule out job cuts or price hikes to offset the blow. Its latest update showed that total group revenue rose 0.8% to £3.6 billion as Royal Mail outperformed its international parcel arm GLS, where revenues fell 2% but rose 2.5% with acquisitions and disposals stripped out.