Dear Reader

Swiss Post once again provided a high-quality universal postal service during the last financial year. In order to ensure that we can continue fulfilling this requirement in the future, Swiss Post consistently moves with the times. The regulatory framework is changing rapidly. Our customers increasingly carry out their postal transactions wherever and whenever it suits them: after office hours, on the train or during their holidays, far away from home. We are responding to this increased requirement for mobility and flexibility. Customer proximity is our primary goal. That’s why we want to offer our customers the right service in the right place at all times.

Whether they are young or old, whether they prefer digital or more traditional channels: our customers expect our solutions to be convenient, fast and easy to understand, and to work consistently. The demand is for straightforwardness and maximum simplicity, particularly in services that connect the physical and digital worlds. With innovative, well-thought-out solutions, we want to make life easier for our customers in an increasingly complex environment. We don’t do everything that is technically possible, only the things that offer added value for people in our country. This is our vision – and what drives us to continue developing and expanding our services and the postal network.

The past year was shaped by major structural challenges. With Group profit of 558 million francs and an operating profit (EBIT) of 704 million francs, Swiss Post suffered a decline in its result compared to 2015.

While the letter, newspaper and promotional mailing business was still an essential pillar of Swiss Post in 2016, customers are increasingly replacing traditional postal products with digital products. This is having a growing impact on the core business and on the postal network. By 2020, Swiss Post therefore intends to establish a branch network with a broad range of physical and digital access points that are fit for the future. In the logistics market, online business is booming but the market environment is tough, in particular because a growing number of new competitors – including providers from outside the sector – are forcing their way into the market. For PostFinance, the challenges posed by the digital transformation in the banking sector and persistent negative interest rates are growing steadily. In the negative interest rate environment, the lending prohibition also does not make it any easier for PostFinance to find profitable investments for the customer deposits entrusted to it.

The environment is and will remain challenging for Swiss Post in all markets. The company therefore requires a regulatory framework that will allow it to continue financing a high-quality universal service from its own funds in the future.

On behalf of the Board of Directors and Executive Management, we would like to sincerely thank staff and management for the good operating result. We very much appreciate your commitment. Our staff remain the key to Swiss Post’s success. We would like to thank our customers for their confidence in us. We will continue to serve you with our accustomed high standard of quality and satisfy you with new solutions and services.

Urs Schwaller

Chairman of the
Board of Directors

Susanne Ruoff

CEO