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[BUSINESS] · Czechia · 4 sources

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Czech Post to reintegrate Balíkovna division amid financial losses

The Balíkovna division, previously spun off as a separate subsidiary of Czech Post, will be fully merged back into the state‑owned postal operator. Interior Minister Lubomír Metnar said the director of Czech Post, Richard Hodul, will oversee the integration and no new Balíkovna chief will be appointed.

The earlier plan under former Prime Minister Petr Fiala’s government to turn Balíkovna into a commercial company and sell it was abandoned after the change of government. A contract with Chinese online marketplace Temu, negotiated by former Balíkovna head Martin Kment, increased parcel volumes but is now criticised by Czech Post as a legal, economic and reputational risk, according to an internal audit and independent advisors.

Czech Post reported a loss of more than 1 billion CZK last year, with its parcel services losing 2.5 billion CZK, and projected a loss exceeding 2 billion CZK for the current year, prompting mass lay‑offs. The new supervisory board has adopted measures to stabilise the enterprise, aiming to keep the branch network and roughly 19 000 employees.

Entities

Balíkovna · Czech Post · Lubomír Metnar · Richard Hodul · Temu

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