Annual revenue that Russian Post derived from financial services dropped 1.8% to Rub 46.5 bln in 2016, the national postal services provider said in a press release.
As the provider reported, "Russian Post's financial services have partly turned into the banking format in line with the strategy". Pochta Bank, which was set up jointly with VTB Group, opened over 6,700 outlets to provide services at 5,690 post offices within less than twelve months of operation. "The postal services provider's financial revenue fell 1.8% to Rub 46.5 bln, but in the meantime Russian Post generated income through Pochta Bank's infrastructure payment (Rub 750 mln, including VAT)," runs the press release.Overall, Russian Post's operating revenue jumped 10.7% to Rub 164.8 bln in 2016. Revenue derived from postal business grew 9% to Rub 76 bln, and earnings from delivery business climbed 36.1% to Rub 40.6 bln. Russian Post's FY16 net profit totaled Rub 1.73 bln, or up 10% y-o-y.