Czech Post announces transformation plan to address financial losses

Czech Post is launching a strategic transformation to reverse deep financial losses and return to profitability within two years. The state-owned enterprise, which employs approximately 17,000 people, aims to implement over 30 much-needed measures, including automation, digitalization, and the expansion of service offerings.

As part of the restructuring, the company plans to modernize its branch network, starting with a new concept pilot in Děčín in the first quarter of next year. These new locations may feature self-service zones and improved environments for both customers and staff. While the company intends to maintain its nationwide network of nearly 3,000 branches, some underutilized locations may be relocated, potentially to retail parks.

To boost revenue, Czech Post intends to expand its services, including providing assistance with official administrative tasks and forms. However, management has indicated that service price adjustments may be necessary to reflect actual costs. The company seeks to generate between 5 and 6 billion CZK through these changes, targeting stabilization of operations and a broader service portfolio to offset the 57 percent decline in traditional mail delivery seen over the last five years.