Royal Mail keeps costs in focus after flat first quarter
Britain's postal firm Royal Mail posted flat revenue in its first quarter and said it would continue to focus on cost controls this year as letter volumes fall and competition holds back growth in the parcels market.
Royal Mail, privatised in 2013, said on Tuesday parcel volumes grew 3 percent in the three months to June 28, with revenue - worth half of group turnover - up 2 percent. UK letter volumes declined 5 percent with revenues down 4 percent.
The performance marked an improvement in parcels, due to its expansion into new parts of the market, and a deterioration in letters.
Overall group revenue was boosted by strong trading at Royal Mail's European parcels arm, GLS.