CTT presented this Tuesday the review of its business plan, with the ambition of expanding annual revenue from 1.2 billion euros in 2024 to a level of 1.6 to 1.7 billion euros in 2028, achieving average annual growth of 7% to 9%.
On Tuesday’s Capital Markets Day, the postal company also set the objective of increasing its operating earnings by 13% to 17% per year, making the recurring EBIT (earnings before interest and taxes) increase from 103 million euros in 2024 to 170 to 195 million in 2028. A quarter of this result should come from Banco CTT.
CTT’s business plan also includes an increase of around 50% in the company’s investment, going from an annual average of 34 million euros in the period from 2022 to 2025 to an annual average of 50 to 55 million between 2026 and 2028.
In its statement to the Securities Market Commission (CMVM), CTT indicates that the focus of the investment will be on increasing operating capacity in the Iberian market, “capturing cost synergies and reinforcing quality”, as well as expanding locker capacity and investing in digital channels.
In its presentation to investors, the company led by João Bento committed to distributing annual dividends over the next three years equivalent to 35% to 50% of each year’s profit.
CTT’s management also aims to maintain the debt ratio (net debt compared to EBITDA, earnings before interest, taxes, depreciation and amortization) below a multiple of 2.5 times.