International Distribution Services (IDS) has announced the appointment of Martin Seidenberg as the new Chief Executive Officer, effective from August. Seidenberg, who currently serves as the CEO of GLS, will be responsible for appointing CEOs for both Royal Mail and GLS in the near future.
During the first quarter, IDS achieved a 0.3% increase in group revenue compared to the previous year. The company reported a total revenue of £3.01 billion ($3.90 billion) for the quarter ending June 30. This growth can be attributed to a stronger volume of addressed letters than anticipated, pricing adjustments, and revenue growth in the GLS unit.
Despite a 10% decrease in parcel volume and an 8.8% decrease in parcel revenue compared to the previous year, IDS saw a 1.7% increase in total letter revenue. The addressed letter volume, excluding elections, experienced an 8% decline due to the long-term structural decline in letters. However, this decline was offset by pricing actions.
In its GLS general logistics systems business, IDS saw a 4% improvement in volumes compared to the previous year. The revenue also rose by 7.4% in sterling, slightly surpassing expectations.
Looking ahead, IDS reaffirmed its guidance of achieving an adjusted operating profit in fiscal 2024.
