As we near the completion of the Royal Mail management restructuring programme announced in June 2020, the charge associated with this is now anticipated to be c. £90 million compared to the original estimate of £140 million. We will deliver the targeted savings of £130 million annually, with around £15 million realised in the current financial year FY2020-21.
GLS performance remains in line with prior expectations.
As a result, if the current trading performance in Royal Mail continues for the remainder of March, we would expect Royal Mail revenue for FY2020-21 to be more than £900 million higher year on year.
For the Group, adjusted operating profit for FY2020-21 is now expected to be around £700 million.
Royal Mail plc will issue a pre-close announcement on 30 March and a business update on GLS will also be provided at that time, followed by an update on Royal Mail in the UK alongside FY2020-21 results on 20 May.
Source: Royal Mail Group