1 At a glance

Performance 2024

PostNL Financial performance overview
2023 - 2024

• 1 As from 1 January 2024, parcel volumes also include domestic Belgian volumes. The comparative figure for 2023 has been adjusted accordingly (+3 million items)

PostNL Sustainability performance overview
2023 - 2024

2 A letter from our Board of Management

Dear employees, customers, shareholders, and partners,

In 2024, PostNL celebrated its 225th anniversary—a remarkable milestone that inspires both pride and reflection. Few organisations can claim such a rich heritage, and this legacy reflects the resilience, adaptability, and purpose that have defined PostNL over the centuries. While we honour our past, we recognise that longevity is never guaranteed; it demands continuous evolution, particularly in a year as dynamic as 2024.

This milestone year highlights the dedication of our people in navigating shared challenges. On Cyber Monday, we processed a record-breaking three million parcels, reaffirming our vital role in the e-commerce market. The PostNL app continues to empower customers with greater control over their deliveries, with new functionalities introduced in 2024 enhancing the customer experience. Innovations such as self-service chatbots and AI-driven logistics have improved operational efficiency, enabling us to meet growing customer demands more effectively. We also presented our vision for a future-proof mail service, reinforcing our commitment to reliability and innovation.

While we focus on technological advancements to enhance efficiency and the customer and consumer experience, we remain equally committed to the people behind our operations. This is reflected in the two collective labour agreements we concluded, reinforcing our commitment to fair working conditions and job security.

In line with the Corporate Sustainability Reporting Directive (CSRD), we have further strengthened the transparency of our reporting, underscoring our commitment to measurable progress. Sustainability remains central to our strategy, with concrete steps such as expanding our electric vehicle fleet, installing charging stations, and accelerating the roll-out of parcel lockers. These initiatives support our ambition to achieve net-zero by 2040 and contribute to a more sustainable, resilient e-commerce ecosystem.

Although we celebrated significant achievements and reaffirmed our role as a vital link in society, we also faced undeniable challenges in a volatile economic environment. Rising costs, inflationary pressures, a tight labour market, shifting consumer behaviour, and client concentration tested our resilience and adaptability. Despite these difficult market conditions, we remained firmly on course, focusing on what we could control and reinforcing our foundation. However, 2024 was not a year of full financial satisfaction. Our full-year EBIT fell below expectations, yet thanks to effective cash and balance sheet management, we achieved our outlook for free cash flow. The year underscored both our strengths and the areas requiring further improvement. Strengthening margins and enhancing adaptability remain key priorities as we continue to navigate a challenging market landscape.

One area where change is urgently needed is our mail operations. For both consumers and businesses, digital communication has largely replaced physical mail, and society has embraced this shift. At the same time, mail remains essential for specific groups, organisations, and regulatory purposes. The challenge ahead is to shape a postal service that reflects today’s reality while ensuring it remains accessible and reliable where it matters most.

Mail volumes continued to decline throughout the year, with an accelerated shift towards a two-day service. For the first eleven months, our mail operations were loss-making, with the traditionally busy Christmas card season in December helping to offset some—but not all—of these losses. This seasonality further highlights the urgent need to rethink the postal framework. The current system is no longer sustainable, and without structural adjustments, essential postal services will come under increasing pressure. Outdated service regulations require a high number of delivery staff, making mail operations increasingly labour-intensive at a time of persistent structural labour market shortages.

For years, we have adapted to declining mail volumes by centralising operations, improving efficiency, and managing costs. However, the scope for further adjustments within the current regulatory framework has been exhausted. In 2024, we presented a clear vision for the future of mail in the Netherlands. This aligns with consumer research indicating that predictability is valued over speed and ensures a socially responsible transition with no forced redundancies. Meanwhile, neighbouring countries are modernising their postal services, yet political decisions in the Netherlands remain absent. Without regulatory reform, essential public services will continue to be at risk.

To ensure the continued viability of postal services, and in the absence of political decisions on structural reform, we have requested a temporary financial contribution from the Dutch government to support the statutory provision of these public services in 2025 and 2026. Under existing legislation, the provider of the universal postal service (UPD) is entitled to receive compensation for the net costs of the service if this constitutes a disproportionate financial burden. To bridge the period until the Postal Act is amended, a temporary financial contribution is necessary. A future-proof postal framework requires urgent reforms that reflect shifting consumer behaviour and economic realities. We call on policymakers to act now to safeguard a postal service that evolves with societal needs— one that serves businesses, consumers, and the thousands of employees who depend on it.

While the structural decline in mail calls for urgent reforms, the e-commerce market presents both opportunities and challenges that require continuous adaptation. E-commerce remains the cornerstone of PostNL’s strategy, and we firmly believe in its growth potential, driven by rising online consumer spending and increasing digital penetration.

In our Parcels division, market share remained stable, and volumes rebounded significantly, growing by 7%—a clear shift from the decline in 2023. This was driven by a 1.4% increase in domestic volumes and a strong 33% growth in international volumes. At the same time, the increasing impact of client concentration, particularly from large platforms and international e-tailers, put pressure on margins and was the main driver behind the deviation from expectations. The highly competitive nature of the e-commerce market demands a careful balance between capacity, network efficiency, and cost management.

The e-commerce market in 2024 was marked by volatility. Uncertain consumer spending during the summer led to lower volumes and underutilisation of our network, while the fourth quarter—traditionally the strongest period for parcels—delivered solid results but also introduced operational complexities. The sharp concentration of volumes within a short timeframe placed significant pressure on our operations, requiring meticulous capacity planning and disciplined cost management. Additionally, the structural imbalance in volume distribution—where peak demand is heavily concentrated on certain days—underscores the need for a more predictable and sustainable parcel flow throughout the week.

E-commerce logistics is inherently asset-intensive, relying on an extensive network of sorting centres, distribution hubs, vehicles, and people. Scaling operations up or down in response to fluctuating demand cannot happen overnight—it requires long-term planning, significant investment, and close collaboration across the value chain. Throughout the year, we took decisive action to mitigate the impact of market fluctuations. We implemented a range of adaptive measures to strengthen our financial position, including overhead reductions, tighter cash flow management, and more precise ramp-up schedules to ensure operational efficiency during peak periods.

As the sector evolves, new challenges continue to emerge, including rising operational costs, volatile consumer spending, and growing demands for sustainability—from emission-free delivery to the reform of labour conditions. Addressing these shifts requires continuous innovation, not only to meet customer expectations but also to ensure a fair and balanced distribution of value across the entire e-commerce chain.

Reflecting on the past year, we are reminded of the resilience and determination that define PostNL—qualities we deeply appreciate and never take for granted, especially in a year that also marked a personal transition for us. We announced that Herna will step down as CEO in April 2025 after thirteen years, passing on her responsibilities to Pim. Herna has expressed her deep gratitude for the privilege of leading this company. Having worked side by side for the past six years as a two- person Board of Management, we value the journey we have shared. It has been an honour to lead this company together, and as we look ahead, we do so with full confidence in Pim as the next CEO, supported by a strong and dedicated leadership team.

Looking ahead to 2025, we are actively working towards a future-proof and financially sustainable postal market, improving margins in e-commerce, strengthening resilience, and continuing to adapt to evolving market dynamics. As the e-commerce landscape has changed significantly, we are responding with yield measures to enhance customer value, seizing international growth opportunities by expanding our European network and presence in Belgium, and accelerating our out-of-home strategy. Additionally, we are refining key elements of our strategy where needed and look forward to sharing these developments at a Capital Markets Update after this summer.

We recognise our role in shaping the future of e-commerce logistics in the Netherlands and Belgium. As a leading last-mile provider in the Benelux, we remain committed to a strong, socially responsible, and financially sustainable postal service while enhancing our value proposition in e-commerce. Through these efforts, we continue to drive progress and sustainability, creating long-term value for all stakeholders.

To our employees: thank you for your unwavering dedication, which remains the foundation of our success. To our customers, shareholders, and partners: thank you for your trust and collaboration. As we move forward, we remain committed to innovation, adaptation, and sustainable growth, ensuring PostNL continues to serve society for generations to come.

Yours sincerely,

Herna Verhagen, CEO
Pim Berendsen, CFO
PostNL Board of Management

3 Our operating context

Our value chain

In this chapter we cover our value chain, stakeholders, external developments, and the double materiality assessment (DMA), all of which are intrinsically connected. At the heart of our value chain are our customers, consumers, and end-users, as they are both the starting and finishing points of our logistics process. This customer-centric approach relies on close collaboration with diverse stakeholders, ensuring that we address their evolving needs while fostering robust partnerships across our network.

The dynamic trends shaping our operating environment—such as macroeconomic pressures, labour market challenges, and shifting consumer expectations—highlight the necessity of proactive adaptation and innovation. Central to these efforts is our DMA, which evaluates the environmental, social, and governance (ESG) impacts on both our business and society. As well as informing our strategy, the DMA also ensures that stakeholder priorities, regulatory requirements, and societal trends are integrated into our value creation processes, reinforcing our commitment to long-term, sustainable growth.

Understanding our value chain

To create an accurate and holistic view of our value chain, we examined all direct and indirect relationships. Direct relationships refer to immediate, tangible connections within our operations, such as suppliers, employees, and partners. Indirect relationships encompass broader influences, including secondary suppliers, logistics providers, and stakeholders further removed from daily operations.

This analysis also explored our upstream and downstream activities. Upstream describes inputs that support our operations, such as raw materials, energy, and services. Downstream covers outputs, including the delivery of products and services to customers and consumers, as well as the impact of these outputs on end-users and the environment.

Integrating the outcomes of the DMA and stakeholder perspectives into our value creation model enabled us to gain a deeper understanding of our value chain across upstream, operational, and downstream activities. This comprehensive approach, outlined in the value chain infographic on the previous page, supports informed decision-making and reinforces our commitment to sustainable operations.

Our role

Our strategic objective – 'Delivering distinctive customer and consumer experience to be the leading e-commerce and postal services provider in, to, and from the Benelux' – is reflected in the focus we place on each phase in the value chain, ensuring that our services are tailored to meet their evolving needs every step of the way. The initial two stages in this process are discovery and order, followed by our three core activities that our centered around our logistic process—collect, sort, and deliver.

Discovery

Discovery represents the initial stage in the e-commerce value chain. This critical phase is where consumers first encounter and explore products or services that might address a need or actually uncover a need, consumers are unaware of. It marks the touch point at which e-tailers aim to engage with consumers, ideally leading towards a purchase decision. Optimising conversion rates presents a significant opportunity for e-tailers, with drop-out rates still high. To address this challenge, we leverage our innovative digital services to empower customers in enhancing their conversion rates, thereby driving faster and more sustainable growth. This approach enables us to support e-tailers in achieving their business objectives while simultaneously improving the end-to-end consumer experience. Our solutions include advanced offerings such as address validation services within the Benelux region, ensuring accurate and efficient deliveries, and the ‘Bekend bij PostNL’ trustworthiness solution, which bolsters consumer confidence by reducing fraud through the display of our logistic data as proof of legitimacy for webshops.

Mail plays an essential role in this discovery phase, offering a tangible and trusted medium to spark interest and engagement. Through direct mail campaigns, catalogues, and other physical communications, consumers are drawn to explore products and services that match their preferences. When consumers have a smooth purchasing experience, it reflects positively on the overall shopping experience—a win for everyone involved. We also collaborate closely with e-tailers and platforms to offer a range of delivery options.

By facilitating discovery, we aim to support a seamless transition from awareness to conversion, strengthening our role as an integrated enabler in the consumer’s journey.

Order

The order phase of the value chain involves businesses and consumers placing orders for goods or postal services. Here, our business customers—comprising e-tailers, e-commerce platforms, SME businesses, other B2B clients and institutions—rely on us to offer a reliable and accessible infrastructure that supports their operations, including fulfilment services. The smooth processing of these orders or mailings, enabled by our integrated digital systems and customer platforms, allows businesses to serve their own customers efficiently. Trust and identity play an essential role in this process. Both businesses and consumers depend on the assurance that their interactions with PostNL are secure, seamless, and protected. Our PostNL eID system, a secure digital identity platform, underscores our commitment to this principle.

Collect

In the collect phase, we collect parcels and mail from retail locations, business points, automated parcel lockers (APLs), letterboxes or directly from our business customers. This includes returns from consumers. The scale of our collection operations is expansive, handling both regular volumes from consumers and high-volume collections from businesses. Here, efficiency is key, and our fleet of collection vehicles, partnered with advanced routing technologies, ensures that we focus on reducing our environmental impact while maximising our operational effectiveness. Connecting to customer processes and delivering on our promise to consumers is central to this approach. By meeting their evolving needs – whether through late in-feed options or providing convenient collection points for SMEs – we strengthen our ability to offer reliable, flexible, and tailored solutions. Our employees and delivery partners are the face of our company during this stage, and their role in building customer relationships is essential.

Sort

Sorting is one of the most critical activities within our value chain. As parcels and letters arrive at our sorting centres, they are processed using cutting-edge automation and sorting technologies. The sort phase ensures that items are categorised accurately, so they reach their intended destinations swiftly and securely. For our business customers, precise sorting translates into reduced delivery errors, directly impacting their customer satisfaction. For consumers, this step ensures their deliveries are handled with care and efficiency.

Deliver

The final step is delivery to the consumer and end-user, and this is when we are truly able to 'deliver special moments'. Here, our deliverers and delivery partners play a vital role in bringing parcels and mail to their final destination, whether businesses, homes, retail points, or APLs, as we focus on first-time-right delivery. Our employees and delivery partners are equipped with the tools, training, and data to ensure both accurate and timely deliveries, as well as a focus on safeguarding road safety, which is our first priority. Within e-commerce, consumer expectations for next-day delivery continue to evolve and the satisfaction of both business customers and consumers is highly dependent on the reliability of our delivery services. For mail, business customers increasingly prioritise certainty and affordability over speed, prompting a significant shift in their preferences, while we also see that consumer behaviour shows a drop in the importance of next-day delivery.

By for example enhancing our app or introducing a feedback button and delivery preferences, we continue to innovate to provide customers and consumers with more sophisticated options to track their packages and control destination locations, with the goal of creating a 'happy flow'. This results in a more seamless and smooth experience for both customers and consumers. More information on how we worked to deliver a distinctive customer and consumer experience in 2024 can be found in the Customer value chapter later in this report.

Our stakeholders

As a company with a 225-year heritage in the Netherlands and firmly rooted in Belgium, we operate in a broad stakeholder environment, maintaining continuous and tailored engagement to understand their interests, assess our impact, and collaborate across our value chain, supporting our ambition to be the preferred delivery provider in the Benelux. Our stakeholders are listed below, while a detailed explanation of each stakeholder group and how we engage with them can be found in the section Interests and views of stakeholders within the General disclosures of the Sustainability statement.

• Customers and consumers

• Our people

• Business partners

• Investors and financial market

• Government bodies

• Media

• Opinion leaders and society

• Other market players.

External developments

The domestic and international e-commerce and physical communication markets in which we operate are dynamic. Macroeconomic pressures are leading to more expensive goods and services for customers and consumers, while the tight labour market is making it difficult for companies across a range of sectors, including ours, to fill vacancies. However, a range of innovations, including in the field of AI-driven solutions and robotics, generate new possibilities for how we conduct business. In light of our value chain discussed in the previous chapter, in this section we explain in greater detail how these external developments influenced PostNL in 2024.

Geopolitical and economic developments

The ongoing impact of Russia’s invasion of Ukraine and the outbreak of hostilities in the Middle East in October 2023 continued to cause terrible human suffering in 2024. At the same time, rising inflation has led to increased costs in several areas, including salary expenses. These rising costs, driven by higher energy prices, transportation expenses, supply chain disruptions, and increasing scarcity of resources, have affected businesses, their customers, and partners alike. Despite implementing adaptive measures, these challenges have significantly increased logistics expenses.

Economic trends and inflation are also influencing the purchasing behaviour of both customers and consumers, with both segments becoming more cost-conscious and displaying heightened price sensitivity. While consumer confidence is beginning to show tentative signs of improvement, it remains historically low, leading to notable changes in spending patterns within the e-commerce sector. One of the key shifts is the tendency of consumers to delay purchases, reflecting increased caution amidst ongoing economic uncertainty. Additionally, customers are placing a clear emphasis on cost control, a trend evident across both the e-commerce and mail markets.

These dynamics are accompanied by structural changes in the competitive landscape of e-commerce, including a growing presence of Asian webshops, which are reshaping market conditions. Among the most significant challenges is the accelerating trend of customer concentration, with the largest customers continuing to expand their share of the market. This has resulted in fewer but larger players wielding increased influence, which has had the greatest impact on declining margins in the e-commerce segment.

As a result of these shifts, businesses face an increasingly complex operating environment. Volatile consumer behaviour, combined with a preference for larger and more established providers, has heightened competitive pressures. The combination of these factors, alongside persistent high costs and inflation, continues to place downward pressure on profitability, underscoring the need for operational adaptability and innovation in service delivery.

In the Dutch mail market, mail volumes continued to decline, with an increasing number of customers opting for within two day delivery over traditional next-day options. Additionally, the volume of seasonal mail sent in December was lower than expected. More information on this topic, including PostNL’s request for temporary government financial support under the Dutch General Administrative Law Act to cover net USO costs for 2025 and 2026, can be found in the Future of Mail box later in this chapter.

Additionally, details of the steps we took to mitigate the issues outlined above can be found in the Risk and opportunity management chapter.

Labour market

The labour market in the Netherlands continued to remain tight in 2024, illustrated by low unemployment rates compared to the long-term average, and a high number of open vacancies. The tight labour market is caused by a number of factors, including an ageing population, greater segmentation in the labour market, and a higher percentage of the population that works part-time.

While our mail delivery jobs are part-time, we need to compete in an economy that offers a wide range of part-time opportunities in retail, hospitality, and office-based roles. This, alongside the other factors listed above, made it challenging for PostNL to recruit in some regions, with Mail in the Netherlands particularly badly affected. The labour shortage also led to delivery delays across a number of postal routes, impacting delivery quality levels.

In addition to the challenges of a tight labour market, PostNL experienced higher labour costs due to significant increases in the statutory minimum wage in the Netherlands, effective from 2023. Our collective labour agreements (CLAs), which are integral to providing sustainable employment and ensuring fair wages, benefits, and working conditions, also contributed to these rising costs. These increases in labour expenses were a key driver of the overall cost pressures faced throughout the year, necessitating corresponding adjustments to our pricing strategy.

Additionally, the composition of the workforce is evolving, with shifts in age, ethnicity, and other demographics. Alongside these changes, there is a growing societal emphasis on inclusion and equality. As a company that values diversity, equity and inclusion, PostNL embraces this trend. Our commitment to fostering a diverse workforce and an inclusive culture, as well as details on how we responded to the developments outlined above, can be found in the Social value chapter.

Ongoing digitalisation, robotisation and the rapid development and deployment of AI

Rapid advancements in technology, particularly in the field of AI, are reshaping how businesses operate, and the possibilities for leveraging data seem limitless, benefitting both customers, consumers and PostNL employees.

We use AI to optimise logistics and predict demand, improving delivery efficiency. Digital solutions help manage peaks, forecast supply and demand, and streamline routes. Innovations like robotisation in sorting centres enhance speed and efficiency, benefiting both PostNL and customers. Automation also supports employees by reducing physical strain and improving workplace ergonomics. However, a shortage of skilled staff or resources could hinder AI integration, impacting competitiveness.

Looking ahead, digitalisation will continue to elevate the entire logistics value chain—from smarter ordering and automated fulfilment to seamless payment and delivery—thereby driving greater efficiency and improving experiences for customers and consumers alike. An overview of how our digital propositions are utilised across the company can be seen in our infographic in the Our value chain section.

The increased use of data also heightens the need for robust cybersecurity measures to mitigate the rising risk of data breaches. This involves managing cybersecurity risks across the company by implementing essential protections, such as multi-factor authentication and encryption, while maintaining preparedness in case of incidents. In 2024, for example, we enhanced security by implementing an anti-phishing code in customer emails, and introduced PostNL eID for secure digital identity in the Netherlands and Belgium.

We also began preparing for the implementation of new regulations in NIS2, which are expected to come into force later in 2025. More information on NIS2 can be found in the Regulatory developments chapter. In parallel, digitalisation is driving the growth of digital alternatives to mail, including electronic invoicing, social media, and digital marketing, all of which continue to contribute to the decline in physical mail volumes. More information on our digital transformation can be found in the Customer value chapter.

Consumer in control

In e-commerce, the voice of the consumer has never been more important than it is today, and we play a vital role in connecting e-tailers with consumers. Consumer behaviour has become increasingly volatile, with preferences and expectations shifting rapidly in response to evolving market trends. Consumers today demand greater flexibility, transparency, and convenience in their online shopping experiences. They seek control over when, where, and how their purchases are delivered. To address these demands, we have introduced the option for consumers to direct their delivery to a specific PostNL point in their neighbourhood, or to a location of their choosing around their home. This added layer of convenience and flexibility empowers consumers to tailor the delivery process to fit seamlessly into their daily lives. By offering these and other delivery preferences, we put the customer in charge, ensuring we remain the favourite deliverer, trusted by consumers to provide reliable and tailored solutions that suit their evolving needs.

The multi-vendorship model, where consumers can select the logistics provider for their orders, continues to gain traction. In response, we are collaborating with e-tailers to offer more personalised and adaptive delivery options, empowering consumers to choose during checkout whether to have their parcel delivered to one of our APLs, a retail point, or directly to their home address. This approach allows us to meet their needs while ensuring a seamless and reliable delivery experience.

At the same time, we see that consumers want to have access to enhanced tracking, flexible delivery windows, and greater communication during the delivery process, and at PostNL this increasingly takes place through our app, which again saw an increase in the number of downloads in 2024. More information on how we help the consumer to remain in control can be found in the Customer value chapter.

Importance of ESG

At PostNL, we take pride in embedding sustainability at the heart of our operations, making meaningful progress across a broad spectrum of environmental, social, and governance (ESG) topics¹. This commitment is driven not only by our own convictions but also by an evolving regulatory landscape. Growing concerns about climate change, increased focus on human rights, adherence to regulatory compliance, the emphasis on diversity, equity and inclusion, and transparency in responsible business practices are all factors impacting our approach, as is our dedication to creating employment opportunities for those with a distance to the labour market.

New European sustainability regulations, such as the CSRD, present both challenges and opportunities. While they require investments and attention, they also offer PostNL the chance to enhance our sustainable value proposition by providing customers and consumers with products and services that lower our impact on the environment, while remaining reliable and accessible.

More details on how we leverage sustainability as a positive force for change can be found in the Environmental value and Social value chapters. Additionally, more information on our CSRD-related disclosures can be found in the Environmental disclosures ,Social disclosures and Governance disclosures of the Sustainability statement.

Competitive landscape

Parcels

The competitive landscape remains intense, with price pressures exacerbated by client concentration and differing strategies among market players regarding the passing on of costs. This underscores the importance of service quality and continuous innovation in maintaining market share. These dynamics are already posing a risk to the level of innovation within the sector, where adaptability and advancement are essential to sustained success.

At the same time, a tight labour market and evolving consumer behaviour are also contributing to an e-commerce sector that is changing. As the market matures, sustainability and working conditions are increasingly important. These developments are leading to a more sustainable and attractive, yet inherently more costly, e-commerce chain. Addressing these challenges and achieving a balanced distribution of value is a shared responsibility across the sector.

At PostNL, we are committed to responding proactively. We remain confident in the long-term growth potential of e-commerce, driven by increasing online penetration and the ongoing shift in market share from offline to online channels. Examples of how we continue to adapt to market dynamics and strengthen our position in a competitive environment can be found in the Customer value chapter.

International e-commerce dynamics

On the international front, competition is also increasing as traditional logistics players strengthen their positions, leveraging their global networks, expertise, and technological investments. This includes investing in new distribution centres and warehouses and connections across Europe.

The competitive landscape is further shaped by the rapid expansion of large e-commerce platforms. These players are extending their geographic presence and solidifying their role within the logistics value chain. Strategic partnerships and the creation of proprietary logistics networks highlight their ambition to dominate fulfilment and delivery services. However, challenges persist in the global marketplace. Increasing protectionism policies present a potential headwind, as trade barriers and regulatory constraints may dampen cross-border trade volumes, impacting growth opportunities for international logistics operations.

Mail in the Netherlands

The mail market continues to face significant challenges, driven by a multi-year and accelerating trend of declining volumes, primarily due to the widespread adoption of digital communication. Despite this, physical mail remains indispensable for key sectors such as government agencies, legal firms, and financial institutions, which rely on secure and private delivery of sensitive materials like contracts and bank cards. Additionally, direct mail marketing offers businesses a powerful way to create sensory customer experiences, influencing purchasing decisions and strengthening B2C connections, while millions of magazines are delivered to households across the Netherlands each year. For many consumers, physical mail also retains its value as a cherished means of communication with friends and family.

PostNL has made every effort to offset the costs associated with declining mail volumes through our strategy of cost savings and price optimisation. However, we have made it clear that these measures alone are no longer sufficient to provide the solid financial foundation needed to invest in our people, our network, and the future of postal services for our customers. More information on this, including PostNL’s request for temporary government financial support under the Dutch General Administrative Law Act to cover net USO costs for 2025 and 2026, can be found in the Future of Mail box later in this chapter, as well as in the Customer value chapter, which provides additional insights into all the topics outlined above.

The Dutch postal market has evolved into a landscape with three main types of players: niche operators that consolidate large mail volumes but depend on other postal companies for delivery; smaller, regionally or locally based postal companies connected to organisations active in offering work in the community; and PostNL. This shifting environment requires mail companies to constantly balance between adapting to digital competition and preserving the unique value of physical communication.

Regulatory themes

Compliance is vital for ethical operations, protecting rights, and meeting legal duties. We take a proactive approach, engaging regularly with governments and regulators to anticipate changes and enhance compliance. We have identified two key compliance risks:

Supply chain accountability

Working with third-party suppliers for transport and delivery carries risks. Supplier non-compliance—on labour laws, environmental standards, transport safety, or ethics—may lead to legal disputes, fines, reputational damage, and loss of trust.

Legal and regulatory developments

Regulations are becoming more complex in postal services, labour, health and safety, competition, trade, data protection, and sustainability. The Corporate Sustainability Reporting Directive (CSRD) shapes our regulatory alignment, while the double materiality assessment (DMA) helps identify key ESG standards.

Further details on our compliance strategy are in the Ethics and compliance and Risk and opportunity management chapters. Key regulatory developments are in Regulatory developments chapter, while our 2024 ESG strategy, governance, and performance are outlined in the Sustainability statement.

1. See the DMA box earlier in the chapter for details on our engagement with stakeholders to identify key ESG topics.

Double materiality assessment

At the time of publishing this Annual Report, the Corporate Sustainability Reporting Directive (CSRD) has not yet been officially incorporated into Dutch law. Nevertheless, we have taken the proactive step of voluntarily aligning our reporting with the European Sustainability Reporting Standards (ESRS) for 2024. This decision underscores our commitment to integrating sustainability into our operations and aligning with evolving regulatory standards. The CSRD emphasises that our environmental, social, and governance (ESG) responsibilities extend outside our organisation, reflecting their importance to stakeholders and society at large. Preparations for the CSRD began in 2022, focusing on understanding its scope, timelines, and requirements. During this period, we conducted an initial DMA, which provided early insights into the significance of ESG impacts both in terms of their influence on our value creation and their broader societal implications.

Building on these foundations, and the understanding of our value chain and our operating context, we conducted a detailed bottom-up DMA in 2023. Alongside, we assessed technical gaps and established a robust governance structure and implementation programme. By the first quarter of 2024, we had finalised the internal and external validation of the DMA results and agreed upon the outcomes in the second quarter. In relation to the DMA, these insights guided our activities throughout the year, including addressing identified reporting gaps, embedding the outcomes of the CSRD into relevant business processes, and integrating them into this Annual Report.

As 2024 represents our first year of CSRD implementation, we are committed to continuous learning and improvement. Looking ahead to the 2025 DMA and beyond, we will incorporate lessons learned, evolving guidelines, and the latest reporting insights to further enhance our sustainability reporting framework.

Material topics

PostNL conducted its DMA in accordance with the ESRS. This process involved evaluating two key perspectives: the impact PostNL has on society and its stakeholders (inside-out view) and the risks and opportunities posed by sustainability-related developments to PostNL (outside-in view).

To ensure a comprehensive approach, we engaged with both internal and external stakeholders across the ESG domains. Through this engagement, we identified the most relevant sustainability topics to be addressed in our 2024 sustainability statement. Building upon the value chain infographic discussed earlier in this chapter, we have plotted where these material topics present impacts, risks, or opportunities. This infographic can be found in the section Double materiality assessment, in the General disclosures of the Sustainability statement. More information on the material topics be found in the Our strategy sections within the Environmental disclosures, Social disclosures and Governance disclosures of the Sustainability statement.

4 How we create value

Our value creation model

Our value creation model illustrates our business model and our process of achieving long-term value for our customers, our people, society, and investors by providing e-commerce and postal services. This chapter includes incorporation by reference for SBM-1 in the sustainability statement.

We make use of a range of resources to carry out our business model and convert these into outputs, creating value for the company and our stakeholders. The capital categories are aligned with the International Integrated Reporting Framework of the International Integrated Reporting Council (IIRC). All capitals are interrelated and business activities often require the use of a mix of capital. We aim to allocate our resources based on these capitals effectively by maximising their potential value and minimising their negative impacts as part of our continuous drive to improve. We connect our long-term value creation with the UN Sustainable Development Goals to optimise the impact we have across society.

Social and relationship capital

We have deep roots in society, and through our operations connect with millions of people and organisations on a daily basis. The relationship we have with our stakeholders, especially customers, consumers and end-users, our people, business partners, investors and financial markets, government bodies, media, opinions leaders and society, and other market players influences our ability to create value over time. We strive to build strong relationships by engaging on relevant topics and collaboration based on stakeholder needs. More information can be found in the Our value chain section of the Our operating context chapter earlier in the report.

Human capital

By operating and developing an inclusive organisation, we aim to help our people to grow, while providing favourable labour conditions, including a safe and healthy work environment. The collective knowledge and experience of PostNL, our intellectual capital, has been built over the course of more than two centuries and is one of our greatest assets. As part of our digital transformation, we are investing in the digital DNA and expertise of our people. At the same time, effective collaboration with our logistics partners is crucial for our success and we continually look for ways to improve our labour practices, particularly in the area of social laws and regulations.

Manufactured capital

Manufactured capital are those goods and assets that enable us to carry out our role as a logistics and postal service provider, such as vehicles, buildings and machinery. We select these goods and assets based on our specific needs and available more sustainable options.

Intellectual capital

PostNL is a people company. Our human capital refers to the expertise of our people, which is used to provide customer, social, environmental, and financial value. Intellectual capital is the knowledge and skills that are present within PostNL that we use to create value across society. Our people execute our strategy and ensure the delivery of our services. This includes our own employees and people working for us through collaboration with logistics partners.

The assets that drive digitalisation, the use of data, automation and robotisation, are our intellectual capital. They play an increasingly important role in our business, such as the process and information-related technologies that we use to improve the value of our business activities. Another example is the growing use of automation, such as the use of robots, to boost logistics and productivity while supporting 24-hour processes. Automation will perform complementary roles, assisting workers with planning, fulfilment and last-mile deliveries, while reducing the burden of physically heavy work. As a logistics expert we have created state-of-the-art networks, smart processes and management systems that have enabled us to become a front-runner in our rapidly changing markets. These are continually refined to help PostNL deliver high-quality services, optimise our operations and develop new value-adding operations.

Natural capital

Natural capital is the energy we use to provide our services. We are switching to renewable fuels and e-vehicles to reduce our environmental impact, and phasing out fossil fuels as quickly as is feasible. We use solar energy to generate electricity and natural gas to operate our buildings. Fossil fuels produce greenhouse gases (GHG) and air-polluting emissions that contribute to climate change and impact air quality.

Financial capital

Shareholders and other relevant players in capital markets, such as bondholders and banks, provide PostNL with funds used to invest in our assets and operations. We use this financial capital to operate and grow our business and generate sustainable growth and cash flow, thereby creating long-term value for us and our stakeholders.

Our networks and services

Our ambition is to be your favourite deliverer, and our business model is centred around maximising customer value through the focus we place on each element of the logistics process. This begins with discovery and order, followed by our three core activities collect, sort, and deliver. These steps are explained in greater detail in the Our value chain section of the Our operating context chapter. This chapter includes incorporation by reference for SBM-1 in the sustainability statement.

Over the years, we have developed dense networks and state-of-the-art operations across the Benelux and coverage beyond, for example through Spring, which provides global e-commerce solutions. As the market evolves, we continuously enhance our model to adapt to external changes, working closely with customers to implement increasingly digital solutions.

We have successfully transitioned from a mail-centric company to a full-service e-commerce logistics and postal provider. Digitalisation has accelerated this transformation, strengthening our business model and competitive position. Our focus is on delivering the best options for both e-commerce and mail customers, while adapting our networks to the growth of e-commerce and the decline in traditional mail.

Parcels

We are helping to shape the growth of e-commerce by building a robust network for sending and receiving parcels, ensuring convenience for consumers and customers. By providing our customers with valuable data and insights, we enable them to enhance their e-commerce offerings. For consumers, we are committed to being their favourite deliverer by making the process of sending and receiving parcels as seamless and reliable as possible. We achieve this by offering a variety of delivery options that put them in control, such as expanding our out-of-home network to provide greater convenience and flexibility.

Our parcels solutions range from delivering standard parcels to more tailored services, such as guaranteed time-critical delivery. E-commerce is shaping the future of retail, and we help drive this vital sector through IT, network and infrastructure investments, such as processing small parcels. At the same time, our digital platforms enable us to offer e-tailers and consumers greater control over sending and delivery. Together, these factors enable us to focus on optimising our revenues while creating greater customer value by providing more data and insights, helping them develop their e-commerce offerings.

Within logistics, we are broadening and strengthening the e-commerce logistics chain, and in 2024 moved our Extra@Home operations from Logistics Solutions to our Parcels operations. Extra@Home specialises in delivering large or heavy parcels and bulk transport directly to consumers. This move will create opportunities to enhance synergy and efficiency in our services.

Internationally, we provide customers with delivery solutions through CBS and Spring, a provider of global e-commerce solutions. As of 1 January 2025, we integrated the fulfilment operations of Logistics Solutions into CBS. Spring is also providing customers with more options in logistics solutions. And we are increasingly using the integrator model, which enhances and strengthens our existing physical services and involves integrating operators' services into our own. More information on all of these offerings is provided below.

Integrator

The logistics sector is increasingly shifting towards shipping platforms, particularly among SMEs, as e-commerce continues to expand. This evolution is moving customer interaction from carriers to platforms, which attract businesses by offering multiple carrier options, competitive pricing, and strong customer service. At PostNL, we operate an asset-light network outside the Benelux, partnering with others to digitally connect logistics services and meet specific customer needs, such as more sustainable, affordable, and high-quality delivery.

Through our multi-carrier platforms—MyParcel, Shops United, and CheapCargo—we cater to specific customer segments, offering flexible and tailored solutions that address diverse market needs. This strategy has proven successful, with MyParcel maintaining strong growth and a high NPS in a highly competitive market.

Out-of-home network

We continue to strengthen the e-commerce value chain and enhance our competitive position through innovation and partnerships. Central to this strategy is the accelerated expansion of our out-of-home (OOH) network and the roll-out of APLs. These initiatives are designed to make parcel collection and returns easier and more convenient for both SMEs and consumers, while improving service efficiency and supporting our decarbonisation goals.

In 2024, we witnessed a tipping point in the adoption and use of APLs. Customers increasingly chose to connect these solutions and offer them as an option at checkout, recognising the added value they bring to their operations. Meanwhile, consumers were more often willing to try APLs, benefiting from their speed, convenience, and 24/7 availability. First-time users report a high NPS, reflecting the immediate value APLs deliver to the consumer experience.

Reflecting our commitment to an open and inclusive model, which is more sustainable and cost-effective, in 2023 we began granting other operators access to our APLs. GLS Netherlands was the first to join, and since then, additional logistics carriers have started using our network.

Today, consumers can retrieve parcels delivered by multiple carriers at any of our over 1,080 parcel lockers, many strategically located at retail partners such as supermarkets and DIY stores. This collaborative model enhances accessibility, streamlines operations, and strengthens our position as the preferred deliverer for customers and consumers.

Cross Border Solutions

CBS business streamlines international e-commerce logistics with a broad range of services to support global trade. CBS aims to accelerate cross-border e-commerce within, to, and from Europe by building strong market propositions, optimising hubs, and enhancing our European network.

One of the key foundations of this European network is our subsidiary, Spring Global Delivery Solutions. Within Europe, Spring operates in 10 countries across both Western and Eastern Europe, helping customers with simplified and sustainable worldwide deliveries, customs clearance, and returns. As an international delivery company working with local experts, Spring connects customers to 190 destinations worldwide.

As we observe growing demand for cross-border e-commerce solutions in Europe, we will invest in our presence and capabilities to meet customer needs. As a first step, effective from 1 January 2025, we integrated the fulfilment operations of Logistics Solutions into CBS, enabling us to expand our fulfilment centres across key European locations. Additionally, we will start expanding our footprint in Europe by boosting Spring sales capacity in selected European markets and strengthening our network connections throughout the continent.

Looking further ahead, we are preparing for the potential impact of new European consumer protection and customs regulations on our Asian customer base. More information on CBS and Spring can be found in the Customer value chapter.

Logistics Solutions

Smart logistics plays a pivotal role in ensuring the efficient movement of goods from collection to delivery, offering businesses and consumers flexible and convenient services. In 2024, we streamlined Logistics Solutions to focus on two key areas: health & secure and night distribution. Both areas operate in niche markets outside the core focus on e-commerce, with health & secure providing conditioned transport, high-value transportation, and time-sensitive deliveries primarily to B2B customers in the healthcare, retail, and public sectors.

Our night distribution service, PS Nachtdistributie, specialises in overnight logistics within the Benelux region, serving key sectors such as optical and audiology chains, dental markets, and the installation industry. The overnight distribution model enables customers to start their operations early each morning, and we guarantee overnight deliveries before 7:00 a.m. for a broad range of customers in retail and installation services. Information on the development of logistics solutions in 2024 can be found in the Customer value chapter later in the report.

Mail in the Netherlands

Physical mail remains valuable for society, connecting people through personal letters, greeting cards, and gifts, At the same time, direct mail marketing enables businesses to focus on the sensory experience of their customers, with both look and feel impacting buying decisions and helping strengthen B2C connections, thereby unlocking a potential new customer base for e-commerce players. As the designated universal service provider (USP) in the Netherlands, we are committed to delivering reliable and affordable postal services nationwide, providing jobs to thousands.

However, mail volumes declining for more than 20 years due to digitisation, and the recent acceleration of decline in the demand for next-day delivery, means our current network has become unsustainable. More information on this, including PostNL’s request for temporary government financial support under the Dutch General Administrative Law Act to cover net USO costs for 2025 and 2026, can be found in the Future of Mail box in the Our operating context chapter.

Impact on sustainable development

Integrating UN Sustainable Development Goals into our strategy and value chain

As a large company, we create value across society in a number of ways, from our daily presence at millions of front doors, through the people who work for and with us, and the communities we serve. We believe that being a responsible business partner and a good employer—ensuring fair compensation, safeguarding labour and human rights, stimulating diversity, equity & inclusion, preventing discrimination, and protecting privacy, while focusing on the needs of all our stakeholders, including our shareholders—has helped us become the company we are today.

Our strategy emphasises creating long-term value, with the UN Sustainable Development Goals (SDGs) forming an integral part of our approach. These goals provide a global framework for addressing challenges that impact us all, and we have embedded them into how we create value, aligning them with our key material topics and broader impact. The SDGs influence our value creation model, which is detailed in the Our value creation model infographic, and demonstrates how our strategic priorities directly contribute to achieving these global goals.

SDGs and our value chain

We have identified four focus SDGs where our business activities and value chain have the greatest impact. From our own operations, decent work and economic growth (SDG 8) is our most relevant SDG, followed by climate action (SDG 13). Through collaboration along our value chain, we focus on making progress on industry, innovation and infrastructure (SDG 9) and responsible consumption and production (SDG 12).

Because all SDGs are interconnected, our focus on these four goals positively impacts other SDGs. For example, progress on SDG 13 enhances outcomes for good health and well-being (SDG 3) by reducing our negative impact on air quality, while innovations under SDG 9 contribute to quality education (SDG 4) through skill development and knowledge-sharing in emerging technologies. By embedding the SDGs into our strategy and operations, we reaffirm our commitment to sustainable, inclusive, and responsible growth. More information about our contribution to the SDGs can be found in the General disclosures later in the report.

5 Our strategy

Introduction

Our purpose is to deliver special moments and our ambition is to be your favourite deliverer. Every day at PostNL, we remain focused on delivering special moments. Whether it’s a gift for a loved one far away, the joy of your first child’s birth announcement, or a new outfit for an upcoming celebration, we are committed to making each delivery experience extraordinary. With a warm smile, a personal greeting, and the highest level of service, we aim to brighten every moment.

Being the preferred delivery partner, now and in the future, requires a clear direction and flexibility. With 225 years of experience, we are constantly evolving to do better each day. This dedication has earned us the confidence of our customers, and this lies at the heart of our existence. In a rapidly digitising world, where not everyone can keep up, our presence in every street means we remain firmly connected to society. Our orange heart beats for everyone:

• For consumers – Trust is central to everything we do. Consumers must be able to rely on us at all times

• For our customers – We are dedicated to helping our customers thrive. Every solution we bring to the market is designed to support their success

• For our people – Engaged and passionate employees are the core of our company. We take pride in what we do and strive to ensure our people feel proud to be part of PostNL, united by our orange heart

• For society – We take the world around us into account in everything we do. We are involved and take responsibility. We contribute positively to a better world.

This is how we will continue to be the delivery partner of choice. Together, we ensure that PostNL remains a company that everyone can trust—today and tomorrow. This chapter includes incorporation by reference for SBM-1 in the sustainability statement.

Our strategic objective and goals

At PostNL, our strategic objective is to deliver a distinctive customer and consumer experience to be the leading e-commerce and postal service provider within, to, and from the Benelux region. This distinctive experience is embodied in our six customer and consumer promises, which are outlined in the box below.

These promises form the foundation of our commitment to delivering a best-in-class customer and consumer experience journey.

Our ambition is to maintain our leadership as the foremost provider of e-commerce and postal services, striving for the highest net promoter score (NPS) for both consumers and business customers within our markets.

We aim to consolidate our position as the market leader in e-commerce and postal services in the Netherlands, maintain our frontrunner status in the Benelux, and lead the way in sustainability. In addition, we will drive growth through Spring in both Asia and Europe, strengthening our international presence.

A critical part of this strategy is ensuring strong employee engagement, which we recognise as being vital to our success. Achieving these strategic goals will help us create sustainable financial value. How we measure our progress, along with the initiatives we implemented in 2024 and will further roll-out going forward to achieve these goals, are outlined in the Value chapters later in the report.

Strategic priorities to achieve our objective and goals

To achieve our strategic objective and goals, we have established a clear set of strategic priorities. These priorities form a comprehensive framework that guides all actions across our organisation, based on well-defined and focused plans. Each of our business units and departments plays a crucial role in delivering these actions, contributing to both our financial and non-financial goals.

Our strategic priorities, outlined in the infographic on the next page, encompass market strategies, driving strategies, and organisation strategies. These priorities address both the e-commerce and postal sectors, while also incorporating company-wide initiatives. As a response to our financial performance and changing market dynamics, we will adjust elements of our strategy. Together, these measures are designed to ensure the long-term sustainability and future success of PostNL.

The connection between these nine strategic priorities and their contribution to customer, social, and environmental value is detailed in the Value chapters later in this report.

The e-commerce market and our strategy

The e-commerce market is projected to continue growing in the coming years. As customer concentration increases, we see platforms expanding, including global e-commerce marketplaces, regional shipment platforms that connect retailers with delivery services, and the rise of consumer-to-consumer platforms facilitating direct parcel shipments. Through our businesses MyParcel, Shops United, and CheapCargo.com, along with our fulfilment services, we support a broad range of customers. However, we do not serve all types of intermediaries, such as consolidators that aggregate volumes from smaller shippers.

From an international perspective, PostNL is uniquely positioned as a ‘local hero’ for the Benelux, supported by our robust and extensive network, and we will continue our focus on growth in Belgium. Through our hybrid network—a seamless integration of physical and digital solutions—across Europe under Spring, our global e-commerce solutions provider, we provide high-quality delivery services to and from the Benelux, connecting efficiently to the majority of European destinations. Spring is scaling up fulfilment capabilities in Europe, particularly for large customers, targeting increased trade volume. Additionally, Spring will strengthen its network connections throughout the continent. Combined, these developments ensure the best delivery service for our customers, now and into the future.

Delivering a distinctive experience within e-commerce

We are committed to providing a distinctive customer and consumer experience within the e-commerce sector, and our current #1 position in NPS in relevant markets reflects our success in this area (source: Ipsos, 2024). During the peak period between Black Friday and New Year, we achieved strong NPS scores, further increasing the gap with our competitors. This performance underscores our ability to deliver outstanding service when it matters most, reinforcing trust among customers and consumers.

To solidify this position, we focus on enhancing the e-commerce journey from checkout to final delivery. Our goal is to turn every interaction into a positive experience, particularly addressing the moments that matter most. Consumers remain at the heart of what we do. PostNL connects businesses with their customers, and consumer satisfaction is key to the success of our business customers. By delivering a trusted, reliable and distinctive service, we ensure consumers return to the same webshops, strengthening relationships across the value chain. As the most recognised and trusted delivery partner in the Netherlands, our ambition is for consumers to consistently choose PostNL when they checkout because they know they can count on us. We strive to make interactions effortless, contributing to better daily lives.

Supporting business growth with tailored propositions

In addition to a distinctive consumer experience, we also offer our business customers both digital and logistical services that address their specific needs in the e-commerce market. With a refined proposition and pricing portfolio, we are best positioned to help our customers succeed. In the digital space, for example, we develop solutions in the checkout/order process that improve the consumer experience, thereby helping customers grow, such as ‘Check Out with PostNL’, which streamlines address input, and ‘Bekend bij PostNL’, a trustworthiness solution for webshops to reduce fraud by displaying our logistic data as proof. These innovations ensure we remain ahead of market trends, continuously adapting to consumer preferences.

Security in an evolving digital landscape

To maintain trust in this evolving digital landscape, we are investing in digital security and data solutions, such as eID and the central consumer picture (CCB), to offer personalised, secure, and convenient services for consumers while providing commercial benefits to our customers. Looking ahead, we are following the developments of the EU's eIDAS 2.0, an updated European regulation that introduces a European Digital Identity Wallet to enable secure and seamless cross-border digital identity and trusted services for individuals and businesses within the EU.

The future of delivery: Out-of-home

We see a growing shift towards out-of-home (OOH) delivery solutions, driven by evolving consumer preferences for greater convenience and flexibility. A key driver of this is the expansion of our OOH network, making parcel collection and returns more convenient for SMEs and consumers alike. Central to this transition is the acceleration of our multi-year roll-out plan for parcel lockers, ensuring a seamless and accessible experience that meets evolving delivery preferences. By prioritising consumer needs and enhancing service flexibility, we strengthen our position as the preferred delivery partner in an increasingly dynamic market. At the same time, by opening our parcel lockers to other logistics providers, we foster greater sector-wide collaboration, maximising the benefits of shared infrastructure. This approach not only enhances efficiency across the network but also supports our sustainability ambitions, as OOH delivery solutions help reduce carbon emissions and contribute to a more responsible and future-proof logistics ecosystem.

Expanding our service offering

The e-commerce sector continues to evolve, driven by shifting consumer behaviours and dynamic market forces. Among the most significant challenges is the accelerating trend of customer concentration, with the largest customers expanding their share of the market. This has resulted in fewer, larger players wielding increased influence, further contributing to declining margins in the e-commerce segment.

In response to these developments, PostNL is broadening its capabilities to meet the needs of an ever-changing marketplace. In the Benelux and across key European locations, we are extending our core logistics services to include fulfilment alongside delivery, enhancing our ability to offer end-to-end solutions. At the same time, our digital business services portfolio is expanding to cover earlier stages in the e-commerce value chain, enabling us to provide added value to customers.

Through our multi-carrier platforms—MyParcel, Shops United, and CheapCargo—we cater to specific customer segments, offering flexible and tailored solutions that address diverse market needs. By broadening our offering, PostNL is well-positioned to support the growth and success of our customers at every stage of their e-commerce journey.

Network performance, efficiency and reliability

We are continually streamlining our e-commerce operations, simplifying standard delivery offerings, and cutting operational complexities and costs. Through increased automation and digitalisation, we are improving logistics efficiency, enabling faster and more accurate parcel processing. One example is the introduction of a wave network, which is explained in more detail in the Customer value chapter later in the report.

The mail market and our strategy

The mail market is expected to experience continued volume decline as communication further digitises. Additionally, the shift from next-day delivery to within two day delivery places pressure on average prices.

While we believe the intrinsic value of physical mail will remain, the current business model is no longer sustainable. More information on this, including PostNL’s request for temporary government financial support under the Dutch General Administrative Law Act to cover net USO costs for 2025 and 2026, can be found in the Future of Mail box in the Our operating context chapter.

The migration of non-USO mail to a standard service level of within two days began on 1 January 2025, and since February 2025, we are introducing daytime emptying across 75% of mailboxes.

Investing in our people and society

At PostNL, we recognise that everything we aim to achieve hinges on the dedication and commitment of our people. Our employees are the driving force behind PostNL’s success, and together, form the foundation of this great company. Our ambition is to make every PostNL employee a proud contributor to our journey. To achieve this, we are committed to continued investment in our people across all levels of the organisation, ensuring that we listen and respond to their diverse needs. Through the development of an employee journey, we aim to address potential challenges, enhance engagement, and foster a stronger connection to the company. Further details can be found in the Social value chapter.

Our role in society

We take into account the world around us in everything we do, recognising the responsibility we have to society. Our deliverers visit every street, every day, and this extensive network allows us to contribute to stronger connections within communities. By leveraging this reach, we are able to foster more interaction, attention, and care for one another in society. We work closely with social organisations on meaningful projects, such as delivering gifts for the Jarige Job Foundation.

Commitment to sustainability

We are deeply conscious of our impact on the world and are determined to remain at the forefront of sustainability. Our approach is built on reducing emissions, caring for our people, fulfilling our broader social responsibilities, and maintaining trust and transparency with all stakeholders. Through these efforts, we aim to make a positive contribution to a better world.

With the implementation of the Corporate Sustainability Reporting Directive (CSRD), we have sharpened our ESG strategy, placing greater emphasis on our material topics¹ and the value chain in which we operate. We remain committed to addressing these priorities, reinforcing our leadership in sustainability and driving progress across the industry.

How we performed on our strategic objective and goals in 2024 can be found in the Value chapters later in the report.

1. An overview of these material topics can be found in the Outcomes DMA box in the Our operating context chapter earlier in this report.

6 Customer value

How we accelerated our customers' success, ensured consumers can count on us, and worked to secure a sustainable mail business

In 2024, we remained focused on delivering seamless, high-quality services that meet the evolving needs of our customers, regardless of how they interact with us. We continue to invest in innovative solutions such as an expanded network of APLs and the PostNL app, ensuring enhanced convenience, accessibility and a seamless experience for all consumers and end-users, which will help ensure we remain the favourite deliverer, trusted by consumers to provide reliable and tailored solutions that suit their evolving needs.

Despite challenges in the macroeconomic environment, during the year we prioritised providing value to our customers across all segments. In particular, we supported small businesses with products and services that strengthen their online presence and provided e-tailers with reliable fulfilment solutions to meet their logistics needs, ensuring smooth customer experiences.

Our international operations saw growth in cross-border parcel volumes, driven by consumer demand for lower-cost goods from Asia. By optimising our hubs and processes and strengthening our European network, we continue to enhance e-commerce logistics in Europe.

Throughout 2024, we focused on streamlining our e-commerce operations, simplifying our service offerings, and enhancing logistics efficiency through automation and digitalisation. These efforts enabled faster, more accurate parcel processing, reducing costs while maintaining the reliability our customers expect. As a result, we achieved €35 million in cost savings across our e-commerce operations. Simplified delivery options and optimised services further reduced operational complexity, ensuring a consistent and efficient customer experience. However, we continued to experience limited flexibility in balancing volume and capacity, impacting operational leverage as parts of the network were either underutilised or overstretched at different times, such as during the peak Black Friday to New Year period.

PostNL’s digital transformation is central to enhancing the customer and consumer experience, as well as reducing costs through efficiency gains, and driving revenue growth by introducing new services and attracting more customers. For example, new features within the PostNL app provides greater control and flexibility for managing deliveries and communications. At the same time, by integrating advanced data analytics and automation, we are optimising delivery routes and improving tracking accuracy, so that customers and consumers benefit from more reliable and timely deliveries. We are also making it easier for customers to work with us, for example by simplifying how e-tailers connect their digital platforms to our systems.

While we remain committed to keeping mail services reliable, accessible, and affordable, our goal is to modernise our mail delivery approach to reflect current customer demand while continuing to offer valuable employment to thousands of employees. To achieve this, we have focused on further enhancing efficiency within our operations. In 2024, we achieved approximately €40 million in cost savings through targeted adjustments to processes in our current business model. These initiatives are essential as we adapt to changing market dynamics while ensuring a sustainable and customer-focused mail delivery service. More information can be found in the External developments section earlier in this report and in the Keep mail for everyone, reliably delivered and prepared for the future section of this chapter.

KPIs help assess our strategic effectiveness, ensuring we meet customer and consumer needs. Satisfaction is tracked via NPS, while parcel volume growth and delivery quality measure e-commerce and service accessibility. We also monitor corporate reputation, calculated by RepTrak based on opinions from the informed general public (18+ familiar with our organisation). In 2024, our reputation declined to an average score of 66.1 (2023: 67.0) but remained strong compared to sector peers. Reputation was impacted by products/services and financial performance, while work environment improved for the second year running. Our ISO 9001 certification (share of headcount) remained high at 98% (2023: 98%), reinforcing our commitment to quality.

To ensure that we accelerate our customers' success and ensure consumers can count on us, we are concentrating on the following focus areas:

• Deliver distinctive consumer experience in the key moments of truth in e-commerce

• Win in the e-commerce market by offering segment-specific customer value propositions

• Lower costs per item while ensuring reliable network performance

• Accelerate the digital transformation of commercial and logistics engine to improve customer experience and efficiency

• Broaden our position in the e-commerce value chain

• Keep mail for everyone, reliably delivered and prepared for the future.

Customer experience

PostNL NPS as indicated
2023 - 2024

In 2024, we continued to use NPS to measure customer experience. We obtained an average number one position in our relevant markets, which relates to post, parcels and international delivery, and our ambition is to maintain this leading position. During the peak period between Black Friday and New Year, we achieved strong NPS scores, further increasing the gap with our competitors. This performance underscores our ability to deliver outstanding service when it matters most, reinforcing trust among customers and consumers. How we worked on continuously improving our company and service offerings during the year is explained throughout this chapter.

E-commerce growth

PostNL Volume development as indicated
2023 - 2024

• 1 As from 1 January 2024, parcel volumes also include domestic Belgian volumes. The comparative figure for 2023 has been adjusted accordingly (+3 million items).

At Parcels, overall volume growth was 7%. Domestic volumes grew by 1.4%, with our market share remaining stable. Volumes from international customers continued to grow significantly, and were 33% higher year-on-year.

Accessible, reliable and affordable services

PostNL Delivery quality Share of items delivered on time
2023 - 2024

Delivery quality at Parcels reached 97% in 2024, reflecting our continued commitment to providing a reliable and high-quality service. This result is within our target range and underscores the effectiveness of our strategic initiatives to enhance operational resilience and efficiency. While unexpected volume fluctuations led to some delays, our strong performance earlier in the year, combined with proactive capacity management and network optimisation, enabled us to maintain delivery quality in line with 2023. These efforts contributed to a consistently high level of service, reinforcing our position as a trusted partner for customers.

At Mail in the Netherlands, the delivery quality of consumer mail by the next delivery day was 86%, falling short of the regulatory requirement of 95%. In 2024, we successfully attracted more workers and took active measures to optimise delivery rounds. However, despite our efforts and successes in recruiting additional workers, the extremely tight labour market and high rates of absenteeism (see the Social value chapter for more information) have had a significant impact on delivery quality.

As the labour shortage is structural and affects the entire economy, it remains a challenging issue to resolve. Until 2023, this was most evident in the shortage of mail deliverers, but last year it also became apparent in a labour shortfall at the sorting centres. Given the extensive cost-saving measures already implemented, the network has been reduced to such an extent that any further scaling down could risk a further deterioration in service quality. These developments mean that achieving the required 95% next-day delivery rate has become unattainable. This underscores the urgent need to revise service requirements to ensure a sustainable operation capable of delivering a service that meets customer expectations.

Additionally, over the years our Mail in the Netherlands division has had to implement continuous cost-saving measures to offset the impact of volume decline. While necessary, these measures have inevitably reduced organisational flexibility. By 2024, we had to acknowledge that our capacity to scale up during peak periods had become increasingly constrained. This contributed to the decline in delivery quality in 2024.

More information on this, including PostNL’s request for temporary government financial support under the Dutch General Administrative Law Act to cover net USO costs for 2025 and 2026, can be found in the Future of Mail box in the Our operating context chapter.

Focus areas

Deliver distinctive consumer experience in the key moments of truth in e-commerce

At PostNL, we are committed to providing consumers with the seamless experience they expect, no matter how they interact with us. To meet their evolving needs, we continue to develop innovative solutions that make it easier for them to send, receive, and communicate with us. Recognising that our consumers are diverse and their needs vary, we tailor our services to support them throughout their journey, from discovery to delivery, and act as the dependable link in their day-to-day lives. We constantly adapt to their preferences, whether they are ordering, receiving, or returning parcels.

A key driver of this adaptability is the growth of our out-of-home network, which significantly improves the ease with which consumers can collect and return parcels, allowing us to deliver our services more efficiently. Our retail network, developed with partners across the Benelux, plays a vital role in this process, as does the growth in the number of APLs, which offer consumers more flexibility. APLs achieve a very high NPS following their first use, reflecting the immediate value they bring to the consumer experience. As part of our ongoing commitment to service excellence, we regularly assess consumer feedback to understand where we can improve. Below, we outline several initiatives implemented in 2024 aimed at enhancing the overall customer experience.

Improving the consumer journey

At PostNL, we collaborate closely with several of our largest customers to further enhance our shared journey, delivering an even more seamless and integrated experience. We have successfully redesigned and rebuilt several of our key consumer journeys, leveraging our proven Journey Factory methodology. One of our most critical journeys, the 'I receive' journey, is continuously enhanced to ensure ongoing improvement. One example is our 'Delivery under control' promise to consumers, where we enable consumers to choose both the location and timing of their delivery. On the day of delivery, we provide increasingly precise time slots, enhancing convenience and reliability. Additionally, by setting delivery preferences through the PostNL app, receivers can specify their preferred delivery location, ensuring a seamless and personalised experience.

These improvements have resulted in substantial cost savings and a notable increase in customer satisfaction. We are ranked #1 in 'I receive e-commerce', and improving the 'I receive e-commerce' journey ensures that every step of the process meets the expectations of customers and consumers. We achieve this by working across various departments, from managing their account to receiving their delivery. Below we list a number of innovations that further improve the consumer experience.

• Validated accounts and preferences: By validating consumer preferences and account details on both a daily and a local level, we are better able to deliver exactly when and where it's most convenient for the consumer.

• Dynamic time slot: To provide greater flexibility and transparency, we have introduced dynamic time slots that offer real-time updates, so that consumers know exactly when their delivery will arrive.

• Delivery enquiry: We have introduced an enquiry tool that lets customers check the status of their delivery or request changes, further simplifying their experience.

• Operational management on NPS: Our operational teams closely monitor and act on NPS insights to continually improve the consumer experience. This data-driven approach ensures that we address customer pain points swiftly and effectively.

• Strengthening our partnership with key customers: At PostNL, we focus on improving the customer experience for key partners. Through our NPS programme, we collaborate to identify and prioritise initiatives that enhance customer satisfaction. Together, we ensure that each improvement adds measurable value.

Enhancing our app

Our focus on enhancing the PostNL app has proven to be an important part of providing consumers with a seamless experience. We have strengthened our leadership position in consumer channels, with the PostNL app remaining the market leader, empowering consumers with greater control. We are also preparing for the next generation of self-service chatbots, enhancing customer experience, bolstering our competitive edge, and driving cost efficiencies. Throughout 2024, we implemented a number of new functionalities that have directly contributed to a higher NPS, reflecting the positive impact of these improvements on customer satisfaction. In 2025, we aim to launch delivery preferences in our Belgian app, which from 2024 was also available in French, broadening our reach and accessibility in multilingual regions.

Enhanced shipment tracking

Consumers who use the app to track their deliveries now also receive push notifications 15 minutes before the driver arrives. This real-time update allows receivers to better prepare for their delivery, reducing the chance of missed deliveries and improving convenience.

Award-winning 'contact the driver' button

In 2024, we introduced a 'contact the driver' button in the app, an innovative solution that enables direct communication between delivery drivers and consumers, strengthening relationships and improving operational efficiency. The feature was named as the PostEurop 2024 Innovation Award Winner, which is recognition of our continuing focus on innovation and communication. Whether it is acknowledging a smooth delivery or addressing an issue, the button allows us to promptly gather insights and make necessary improvements. It even enables consumers to give compliments, helping to foster positive engagement. The NPS for service when using the button is 20 points higher compared to other service channels.

Personalised delivery preferences

We have made it even simpler for consumers to set their delivery preferences, giving them more control over how and where they receive their parcels. During the year, we introduced the option for consumers to direct their delivery to a specific PostNL point in their neighbourhood, adding another layer of convenience and flexibility to the delivery process.

Highlighted banner

We introduced a new banner in the app that highlights key functionalities, including delivery preferences. This helps ensure consumers are better informed about the app's capabilities, empowering them to further customise their delivery experience.

Creating strong consumer foundations

We continue to strengthen our robust consumer base, enhancing our engagement with consumers by building on their trust and preferences. We focus on creating personalised and relevant experiences for our consumers, and leverage these insights to optimise operational efficiency and improve overall service quality. This enables us to collect valuable data on consumer delivery preferences, allowing us to efficiently match parcels with their recipients. Additionally, having all our data unified in a single database enables us to innovate quickly and effectively. By centralising our data, we gain a holistic view of our operations and consumer behaviour, enabling faster decision-making and adaption to evolving market demands. In 2024, we introduced a number of developments.

Consumer foundations

Our core consumer foundations continue to drive value across the business. Throughout 2024, we accelerated the growth of PostNL accounts, surpassing 8.9 million registered unique active accounts across the Netherlands and Belgium by year end. Additionally, we implemented a central identity validation service to secure accounts, reduce fraud, and minimise losses across our services. We also updated our consent statements to improve customer experience, boost revenue, and ensure compliance with privacy regulations.

Consumer data and analytics

During the year we developed a state-of-the-art consumer data platform (CCB), enabling comprehensive insights into all our PostNL accounts (see previous story) and 10 million receivers. This platform enhances our personalisation engine, enabling more tailored customer interactions and optimising processes in our core parcel operations.

Improving the consumer experience

Delivery options during checkout

Consumers expect control over when, where, and how their purchases are delivered, and we are working with e-tailers to offer more personalised and flexible delivery choices during the checkout process. Increasingly, consumers buying online in the Netherlands can choose to send their parcel to one of our APLs, a retail point, or to their home address if they opt for delivery by PostNL. This choice helps improve first-time-right delivery, leading to more satisfied consumers and e-tailers and reducing the number of journeys required for a successful delivery, cutting our emissions. More information on our digital solutions within the checkout process can be found in the Broaden our position in the e-commerce value chain section later in this chapter.

Products and functionalities

In 2024, we shortened our delivery window from two hours (one day in advance) to half an hour (one hour in advance on delivery day), with ongoing improvements. We have also streamlined the shipping and return process by implementing a single label for both shipping and returns.

Successful campaigns, reinforcing security

During the year, our 50+ personalised marketing campaigns achieved conversion rates of up to 26%, while we also reinforced the privacy and security of our consumers with anti-phishing codes for track-and-trace notifications. Together, these innovations have enhanced the customer experience, reduced costs, and ensured compliance with privacy regulations.

Win in the e-commerce market by offering segment-specific customer value propositions

In 2024, the Benelux e-commerce market remained resilient, supported by strong economies and robust infrastructure. However, parcel volumes were impacted by macroeconomic factors, including rising costs and market overcapacity, a tight labour market, evolving consumer behaviour, and greater client concentration. Despite these challenges, we focused on delivering value to customers, supporting growth through tailored tools for small businesses and seamless fulfilment solutions for e-tailers.

Internationally, volumes from international customers, predominantly large Asia-based web shops, grew strongly. CBS continues to strengthen its European network, optimise operations, and expand fulfilment capabilities to unlock growth opportunities and enhance supply chain coordination. Spring, our global e-commerce solutions provider, saw significant growth from increased Asian volumes. We are closely monitoring regulatory changes in Europe to ensure we continue delivering optimal solutions for global customers.

Enhancing customer journeys

As well as improving the consumer journey (see earlier story), in 2024 we redesigned and rebuilt a number of our key customer journeys to enhance the customer experience and reduce costs. This resulted in:

• The 'I become a customer' journey was improved to reduce customer effort by 25%, boosting conversion from 6% to 17% and increasing NPS by 12 points

• The 'I get updated' journey was revamped to offer better insights to customers, resulting in an NPS increase of 12 points

• The 'I get help' journey was redesigned to reduce the volume of customer calls, further streamlining the experience.

Helping SMEs realise their full potential

Within e-commerce, small and medium-sized enterprises (SMEs) are often niche players that are aiming for rapid growth and international expansion. In 2024, we began developing a distinct, SME-centric offering. Our strategy prioritises a direct approach, leveraging PostNL’s core logistics products, fortified by digital solutions tailored for SME growth. This includes new acquisition-focused SME web pages, sector-specific landing pages, and a freemium model to cater to various business needs.

Simplified customer journey

To make it easier to become a PostNL customer, we have enhanced our onboarding experience, introducing a one-day onboarding process and creating tutorial videos to facilitate self-service. With initiatives like a soft-launched business app and a dedicated plug-in strategy for webshop software, we are building a seamless experience that aligns with SMEs’ digital transformation. Additionally, we have launched a dedicated Full Funnel Marketing (FFM) team, bringing together cross-functional expertise to optimise end-to-end conversion and create a customer-centric experience that resonates with SMEs at every stage of their journey.

Full suite of tools

We also offer SMEs advanced returns management, transparent tracking, and flexible delivery options, including delivery day choice, parcel collection points, and personal dashboards. Other tools, such as address validation in the Benelux, ‘Bekend bij PostNL’, a trustworthiness solution for webshops to reduce fraud by displaying our logistic data as proof, direct customer feedback, and Track & Trace, help SMEs streamline their logistics while ensuring their own customers are satisfied. Going forward, we aim to empower SMEs to thrive, helping them realise their full potential.

Helping large customers realise their full potential

In 2024, we continued to work to develop propositions for our large customers. We provide a comprehensive, single-stop solution that ensures every delivery is handled with care and professionalism, while our network of retail points, parcel lockers, and extensive cross-border reach, including Belgium, enables seamless access to delivery and return services. Throughout the year, we focused on the following areas:

Enhanced visibility and control

We keep customers informed every step of the way. Real-time tracking, digital 'not-at-home' notifications, and time-slot selection ensure transparency from check-out to delivery, while linked return labels offer clear updates on return shipments.

Simplified customer care and returns

Returns are fast and efficient, with instant access to services and specialised recycling codes for small electronics. Businesses benefit from our easy-to-use returns dashboard, offering clear insights into returned parcels. Responsive customer support, including direct chats with delivery personnel, ensures satisfaction with a swift 2-hour response time.

Seamless integration

We offer seamless integration with e-commerce platforms. Custom delivery preferences and our address validation checker make for a smooth process, while our platform-independent approach ensures compatibility with any customer platform, enhancing operational flexibility.

Data-driven smarter insights

We empower business customers with actionable insights through data-driven tools. By analysing NPS drivers at each touchpoint, we pinpoint satisfaction influences and foster loyalty. Workshops, chain analyses, and tailored NPS reporting help businesses refine strategies, aligning internal processes with customer expectations.

The growth of letterbox packages

In 2024, the popularity of our letterbox packages continued to grow, driven by a number of benefits for both business customers and consumers. Letterbox packages can conveniently fit through a standard letterbox, streamlining delivery and enhancing customer and consumer convenience.

For webshops and e-tailers, letterbox packages reduce shipping expenses by cutting packaging size. At the same time, less packaging means less waste, which aligns with our sustainability agenda and supports our customers’ efforts to reduce their own packaging footprint. Additionally, customers, such as e-tailers, can benefit from delivery with track & trace, providing greater visibility and reliability in the delivery process. This enhances the overall customer experience while ensuring efficient and transparent logistics.

For consumers, delivery through the letterbox is particularly convenient, enabling first-time delivery. This eliminates the need to rearrange deliveries or visit collection points. This not only improves customer and consumer satisfaction but also increases the likelihood of repeat purchases. Throughout the year, the number of e-tailers and retail sectors using letterbox packages increased, from those sending books to flower retailers.

Cross Border Solutions

In 2024, Cross Border Solutions (CBS) saw strong growth in parcel volumes into Europe from platforms in Asia, with over 20% of our total parcel volume originating from abroad and delivered within the Netherlands and Belgium. Throughout the year, we focused on adapting to what is a fast-changing market, strengthening our position in itemised logistics, which is primarily B2C volumes, and strengthening our export propositions. To achieve this, we concentrated on a number of key strategic areas:

• Market growth and digital transformation
  We are refining our network to offer seamless tracking and stronger market presence through targeted marketing and lead management. Our investment in digital development is helping us enhance customer interactions, supported by a competitive, market-based pricing strategy to protect revenue.

• Operational and customer-centric growth
  By pursuing new business through e-platforms and broadening our customer base, we are focusing on stable growth in the Netherlands, into Belgium, and across the EU. Spring, our global e-commerce solutions provider, is scaling up fulfilment capabilities in Europe, particularly for large customers, targeting increased trade volume (more information on CBS and fulfilment can be found in the How we create value chapter earlier in this report).

• Customer service excellence
  We are investing in data and tracking systems to reinforce our supply chain transparency, ensuring a seamless experience for customers, especially in high-demand regions, such as Asia and Europe.

• Sustainability
  We focus on sustainability through innovations such as HVO100 fuel and circular pallet boxes, which help reduce emissions and encourage circular practices. During the year, we purchased HVO100 fuel for use across our network, blending it into the European diesel network. Our commitment extends to maintaining high social standards, ensuring a safe and supportive space for employees and partners alike. More information on our use of HVO100 fuel can be found in the Climate change section of the Environmental value chapter.

• Adapting to regulatory changes
  On an international scale, Asian platforms continue to drive volume growth. However, the anticipated implementation of the EU Customs Reform Act in 2028 may alter market dynamics, potentially reducing volumes from outside the EU while stimulating intra-EU e-commerce. We are well prepared to leverage our European network to respond to these changes.

Streamlining Logistic Solutions

In 2024, we implemented a series of strategic adjustments within Logistics Solutions, sharpening our focus on two specialised areas: health & secure and night distribution. These areas operate in niche segments distinct from our core e-commerce focus, yet remain integral to our broader strategy of service diversification and targeted sector engagement.

Health & secure

The health & secure unit—comprising Pharma & Care, Mikropakket, and PostNL Express—specialises in providing conditioned logistics solutions, high-value item transportation, and time-sensitive deliveries. This unit primarily serves business-to-business (B2B) clients across healthcare, retail, and public sector markets. These services include regulated and secure logistics for temperature-sensitive pharmaceuticals, critical healthcare supplies, and other high-value goods requiring careful handling and timely distribution. The emphasis on reliability and precision underpins our commitment to meeting stringent quality standards for B2B customers in these specialised sectors.

Night distribution

Our PS Nachtdistributie (night distribution) service focuses on overnight logistics within the Benelux region, enabling customers to streamline operations by ensuring that essential goods arrive before the start of each working day. Serving key sectors, including optical and audiology chains, dental industries, and the installation market, our night distribution model offers guaranteed delivery before 7:00 a.m., enabling businesses to start their daily operations efficiently. This model is particularly valued by retail and installation customers who depend on early-morning availability to meet demand.

These strategic refinements underscore our operational focus and adaptability in the face of dynamic market conditions. By leveraging synergies within our e-commerce network, we are uniquely positioned to enhance efficiency and deliver value, both operationally and commercially. This integrated approach highlights our dedication to providing reliable, high-quality services, designed to meet the specific and evolving needs of our customers, offering them commercial advantages while fostering deeper collaboration across our networks.

Lower costs per item while ensuring reliable network performance

In 2024, we focused on streamlining our e-commerce operations, maintaining a reliable network, and delivering high-quality services tailored to customer needs, particularly in high-volume, low-margin segments. However, the e-commerce sector has changed, marked by rising costs, a tight labour market, evolving consumer behaviour and client concentration, and has become more mature. By simplifying standard delivery offerings and investing in automation and digitalisation, we improved efficiency, reduced per-item costs, and ensured dependable service. As a result, the average costs per package have fallen significantly in 2024, reflecting the impact of our strategic focus on operational excellence and cost control.

Despite these efforts, we were unable to pass on all cost increases to customers during the year, which impacted our ability to fully offset inflationary and other price pressures. Nonetheless, our scalable infrastructure and predictive data capabilities enable us to manage growing parcel volumes more cost-effectively, strengthening our network and sustaining the reliability customers expect.

Competitive cost structure in e-commerce

In 2024, we worked to optimise our product assortment, reducing unnecessary complexity. Our primary objective is to solidify our competitive positioning by developing a streamlined product-price architecture (PPA). This PPA will allow us to better implement our strategy, deliver greater value to our customers, and respond more effectively to evolving market demands. To achieve this, we are focusing on optimising our core product and pricing structures, supported by strategic IT solutions. Together, we believe these steps will help us create a more streamlined, effective, and customer-friendly approach to e-commerce:

• Clear products: We have defined clear product fundamentals, including a robust PPA hierarchy, which simplifies product life-cycle management and aids strategic decision-making. This clear structure also establishes strong ownership and governance across PostNL.

• Simplification: By creating a well-defined product hierarchy, we have simplified performance monitoring and management of product additions or removals, enabling more agile responses to market shifts.

• Optimising base products: We are making key changes to ensure a realistic product-price system for customers. This also reduces inefficiencies related to parcel size variability and complexity in our order-to-cash processes.

• Refined service levels and pricing options: By simplifying service levels and reducing optional add-ons, we aim to eliminate distortions and unneeded discount structures, easing the configuration process and enhancing the customer experience.

• Enhanced IT solutions: We are currently evaluating shortlisted IT solutions which will be used to support our PPA requirements, with the aim of reducing internal complexity and making product and price management faster and more intuitive.

Importance of out-of-home delivery

In a fast-changing e-commerce market, we are well positioned to meet growing consumer expectations and enhance our out-of-home (OOH) network as a core pillar of strategic growth.

Benefits of OOH

Consumers now demand greater convenience, favouring options such as digital self-service for returns and flexible delivery choices. While home delivery remains popular, OOH solutions are on the rise, as consumers look for maximum convenience. At the same time, rising costs and inflation affect both PostNL and retail partners, and OOH deliveries prove to be more cost-effective, supporting an optimised, efficient network that better meets financial demands. Additionally, labour shortages continue to add pressure, and OOH, with its lower labour intensity, offers a practical solution. Sustainability for customers, consumers and PostNL is top-of-mind, and delivering to OOH points helps reduce emissions, vehicle mileage, and congestion, aligning with our environmental goals and leadership in ESG practices.

OOH progress and outlook

In 2024, we accelerated the expansion of our OOH network and the roll-out of APLs, which we grew to 1,083 across the Netherlands, from around 900 at year-end 2023. At the same time, we had over 3,400 retail points. Our goal is to achieve 20% OOH volume by 2029, which we aim to reach by accelerating the roll-out of APLs to around 600 annually and through a stable network of retail locations, which will enable us to continue offering customers and consumers the delivery options they want.

Continually enhancing logistics flow

Moving to a wave network

At PostNL, the strength of our network lies in seamless integration across all stages of the logistics chain. Our first mile plays a crucial role in supporting our customers’ success and enhancing the receiver net promoter score (rNPS) by aligning with their needs. The middle mile ensures a distinctive e-commerce experience and a reliable last-mile delivery for mail. To maintain a network that is both comprehensible and operationally sound, we design services that are efficient, sustainable, and create engaging, meaningful work. However, the need for change is pressing. Market price pressure continues to rise, sustainability remains a challenge, and we see declining order volumes within the our time-critical network. To address these challenges, we are making strategic choices to safeguard reliability and cost efficiency while ensuring our networks remain fit for the future.

One of the key transformations is the shift from a time-critical network to a wave-based model, improving efficiency and predictability. Smart planning algorithms, combined with structural stops only, will enable better scheduling, ensuring a more even distribution of workloads and optimised routes. Additionally, we are further differentiating between our bulk package network and a network designed for larger delivery stops, ensuring greater clarity and efficiency. We began implementing these changes in 2024, and aim to complete them in 2026-2027.

These changes bring tangible benefits. By optimising district operations with structured volume orders, logical routing, and improved time-slot planning, we make the work offering more attractive for employees, reduce costs per package and letter, and enhance the sustainability of our logistics network. By looking at our networks in an integrated manner, we ensure that PostNL remains resilient, efficient, and ready to meet the demands of a rapidly evolving market.

Accelerate the digital transformation of commercial and logistics engine to improve customer experience and efficiency

PostNL is accelerating its digital transformation across its commercial and logistics operations to enhance customer experience and drive efficiency. A key component of this transformation is the integration of advanced data analytics and automation into our logistics processes. By leveraging real-time insights, we are optimising delivery routes, improving parcel tracking accuracy, and enhancing inventory management. This allows customers to enjoy more reliable and timely deliveries, while reducing operational costs. The expansion of digital platforms, such as the PostNL app and online tools, has also provided consumers with greater control and flexibility, enabling them to easily manage deliveries, track parcels, and communicate with us through a seamless, user-friendly interface.

In addition to enhancing customer touchpoints, we are focusing on the digitalisation of our back-end systems to improve efficiency. This includes automating key logistics tasks, such as sorting and fulfilment. Through the implementation of digital solutions, we are able to offer tailored services to our various customer segments, from small businesses to large e-commerce players. By streamlining these processes, PostNL not only increases operational efficiency but also creates a more robust and scalable logistics network, positioning ourself to better respond to market fluctuations and evolving consumer demands.

Progress business service channels

Digital channels and interaction

At PostNL, digital channels and interaction (DC&I) plays a pivotal role in enhancing the customer experience, driving operational excellence, communicating propositions, supporting ESG targets, and engaging with communities to strengthen brand performance. Aligned with PostNL’s strategic goals, DC&I aims to create seamless, valuable digital interactions that foster customer loyalty and brand advocacy.

In 2024, DC&I strengthened digital engagement for customers and consumers, achieving significant progress across key milestones and delivering a meaningful impact on the business. For example:

• We made significant updates to the business portal, supporting the transition of 80% of customers to PostNL’s digital customer domain. Designed to empower business customers with insights, self-service tools, and seamless interaction, leading to improved tNPS (a form of NPS linked to customer feedback after a specific transaction or interaction with a company).

• We launched a beta version of the Business Customer app, targeting SME customers with real-time insights and greater control. Early feedback also yielded an improved tNPS. The app’s official launch in 2025 will include new features based on SME user feedback.

• We established a robust API landscape to ensure proactive and consistent communication. By 2025, these APIs will provide dependable, actionable information, empowering customers to manage and grow their businesses confidently.

• We redesigned the onboarding journey for SMEs, improving the Customer Effort Score from 4.3 to 5.4 and reducing onboarding from 1.5 weeks to 15 minutes.

• A new chatbot platform introduced dynamic, user-focused conversations integrated with voice and agent assist, resolving 68% of service requests—a 10% improvement.

• The SME full funnel marketing team adopted Agile methodology, emphasising data analysis and conversion rate optimisation. This outcome-focused approach has yielded measurable success, reinforcing its value for future initiatives.

Providing real-time insights

During the year, we continued to focus on customer service and operational efficiency by refining recently introduced customer dashboards. For our Extra@Home customers, we have introduced a dashboard that is integrated within the My PostNL platform. The dashboard enables customers to retrieve essential data anytime, for example to monitor processing quality or stock levels.

Additionally, we launched an external dashboarding option for our Fulfilment customers through the MyFulfillment portal, featuring both a general dashboard and an export dashboard. The general dashboard provides customers with insights into processing quality, including real-time updates on orders processed versus forecast targets and visual indicators on unprocessed, postponed, or backlogged orders. Customers can delve deeper into specific stock-keeping units (SKU), reviewing stock levels, storage duration, and sales trends over time.

The export dashboard enables data exports across seven distinct tabs, offering detailed information on orders, SKU-specific stock, and replenishments, empowering customers with deeper operational insights and customisable reporting capabilities. Through these innovations, we continue to enhance the customer experience, supporting them with tools designed to meet their evolving needs efficiently.

Broaden our position in the e-commerce value chain

At PostNL, we are broadening our position in the e-commerce value chain by expanding our capabilities and services across multiple strategic areas, enhancing our role beyond a delivery provider. We are expanding our fulfilment services within the Benelux region, providing e-commerce companies with end-to-end logistics solutions. This growth in fulfilment capabilities allows businesses to outsource critical parts of their operations, streamlining their supply chains and improving delivery times to customers.

Additionally, we are focusing on innovative digital tools that enhance the e-commerce experience. These tools include advanced data analytics, customer insights, and e-commerce platforms that help businesses optimise their online presence, find new customers, and improve conversion rates. By integrating digital services with our logistics expertise, we are solidifying our position across the entire e-commerce value chain, offering comprehensive solutions that meet the evolving needs of modern businesses.

Expanding our multi-carrier capabilities

In 2024, we successfully repositioned MyParcel as an independent, stand-alone multi-carrier platform, enhancing its ability to compete effectively in a dynamic market. MyParcel maintains strong growth and a high NPS in an increasingly competitive environment

Looking ahead

Looking ahead, our strategic focus centres on deepening relationships with external carriers, expanding our carrier library, and launching a loyalty programme to drive customer engagement. Additionally, we aim to establish MyParcel’s market presence in Italy and Germany, while progressing fulfilment by MyParcel as go-to-market offerings.

Digital solutions for smarter e-commerce

Throughout 2024, we continued to help our business customers by providing digital tools and solutions that support each stage of the e-commerce journey, from initial purchase and tracking to final return shipments. With insights from our core logistics, we address common pain points in the early stages of e-commerce, such as high discovery costs, unfamiliarity, and high dropouts during checkout.

For example, with our new Fast Check Out solutions we provide a seamless checkout experience resulting in less drop outs knowing that:

1. A complex checkout deters 33% of shoppers

2. A simplified, quick process can increase conversion by 3–6%

3. A check out longer than one-minute increases dropout by 21%

4. That 90% of shoppers prefer to avoid account creation pressure.

Our digital offerings

With a reach of over 7.4 million unique users annually and an app with 2.5 billion views, PostNL enables businesses to connect with a large and engaged customer base. The PostNL app provides extensive reach and data-driven insights, allowing businesses to connect with millions of Dutch shoppers. The app’s popularity and engagement provide an ideal platform for businesses seeking increased brand visibility and targeted shopper outreach.

Anti-phishing code to safeguard customer data

At PostNL, the security of customers’ and consumers' data is a cornerstone of our commitment to delivering trusted, reliable, and secure services. In an era where phishing schemes are becoming increasingly sophisticated, we recognise the growing need to protect consumers from fraudulent attempts to obtain sensitive information, such as passwords or account details. These schemes often exploit the trust consumers place in well-known organisations by impersonating them in deceptive emails. To address this challenge, we launched the anti-phishing code in 2024—a simple yet highly effective innovation designed to enhance security and confidence in our communications. This initiative enables PostNL account holders to set up a unique, personalised anti-phishing code, which is prominently displayed at the top of every genuine email sent by us. By offering customers and consumers a straightforward way to verify the authenticity of our messages, the anti-phishing code reinforces trust in our digital services and provides peace of mind in a rapidly evolving cybersecurity landscape. The introduction of the anti-phishing code aligns with PostNL’s broader mission to provide secure, inclusive, and accessible digital services.

Beyond protecting data, this initiative strengthens our risk management approach, addressing reputational, compliance, and financial risks associated with maintaining affordability, accessibility, and reliability standards in our digital postal services. Launched under the stewardship of the Digital & BIT Digital department, the anti-phishing code is now available to all PostNL accounts, safeguarding users across our entire value chain. To measure the success of this initiative, we actively monitor the activation rates of the anti-phishing functionality, ensuring the integrity and trustworthiness of our digital services remain uncompromised. As phishing tactics continue to evolve, measures such as the anti-phishing code underline PostNL’s enduring commitment to protecting customer data and fostering digital trust. For more information on this initiative, please see the story box on this page.

Address verification

We offer webshops and e-tailers access to our International Address Check API and postal code tables, making checkout faster and more accurate, reducing dropouts and increasing conversion rates by providing real-time, validated addresses at checkout. Our international data helps our customers to grow their business abroad. Additionally, our Company Check API streamlines form filling and lead qualification, enhancing customer relationship management with complete customer data and preventing fraud by checking the authorised signatory.

Keep mail for everyone, reliably delivered and prepared for the future

In the Netherlands, we want to keep mail for everyone, reliably delivered and prepared for the future. However, for more than 20 years we have deployed a wide range of measures to improve efficiency, cut costs, and keep our mail business financially healthy. Examples include centralising sorting locations, implementing new sorting machines capable of highly automated mail processing, using digitalisation in our processes, and introducing efficiencies to our delivery routes. We have also optimised our pricing to stay profitable while taking into account price elasticities. However, the current position of Mail in the Netherlands is untenable, with the volume of next-day mail declining significantly, while we are still obliged to fulfil next-day delivery, five days a week.

More information on this, including PostNL’s request for temporary government financial support under the Dutch General Administrative Law Act to cover net USO costs for 2025 and 2026, can be found in the Future of Mail box in the Our operating context chapter.

Efficiency projects

Logical Delivery

In 2024, we continued to strengthen our operations by further rolling out Logical Delivery, a system that constructs the most efficient mail delivery routes to optimise delivery times. This model allows for more streamlined and sustainable routes, particularly as we manage decreasing mail volumes. By the end of the year, around 90% of these routes had been integrated into the new logistical model, and we expect the remaining routes to be included by the first quarter of 2025.

Smaller footprint, greater efficiency

We also succeeded in reducing our operational footprint by centralising processes and relocating resources in 2024. This realignment enables us to operate more sustainably and effectively, positioning us well for future adjustments in the logistics chain.

Evolving mailbox network

To ensure an accessible and affordable postal network amidst a declining market, we are gradually reducing the number of mailboxes across the country, while adhering to postal law requirements. Essential mailboxes near healthcare facilities and key locations remain in place, ensuring accessibility, with mailboxes available within 1–2.5 kilometres depending on population density.

Additionally, from February 2025, we began emptying 75% of mailboxes earlier in the day, while maintaining collections after 5:00 pm at key locations such as shopping centres and stations. Mourning and medical mail services remain unchanged, ensuring continued priority and accessibility. Previously, all mailboxes were emptied between 5:00 pm and 7:00 pm. By optimising collection times, we improve efficiency in mail processing and delivery, allowing us to continue guaranteeing an affordable and reliable postal service. This approach aligns with our broader efforts to future-proof our mail network.

Efficient digital mail solutions

We continuously look at how digital solutions can complement our physical product portfolio, ensuring we meet evolving customer needs in a more efficient and sustainable way. By integrating digital equivalents where they add value, we help customers manage their mail more effectively for the long term. This includes:

• Postal returns: All return mail items are scanned, digitised, and delivered securely

• Form and reply card processing: Forms and cards are digitised with prompt response options

• eDelivery (legally compliant mailing): eDelivery provides proof of sending and delivery, meeting European legal standards for registered mail

• Digital mail room: All incoming mail is rerouted to be scanned and then directed to the relevant departments for efficient processing.

Reduce our environmental impact by minimising our emissions and actively engaging with all our stakeholders

The logistics sector is undergoing significant transformation with an increasing focus on reducing environmental impact. As a leading parcel and postal delivery company, we are keenly aware of the significant role we play in the world around us. Each day, we facilitate thousands of connections through the delivery of parcels and mail.

With our extensive network of locations, vehicles, and dedicated employees, we are a constant presence in every street, every day, and have been for years. This long-standing role brings a responsibility that we take seriously. This is why we have established a strategic goal to reduce our carbon footprint as much as possible across all areas of our operations. And through our science-based targets, we are on track to achieving net-zero emissions by 2040, which means that we aim to have reduced our total carbon emissions by 90% validated by the SBTi.

We have undertaken a double materiality assessment (DMA), which provides a holistic view of the impact of our business processes and along the value chain, helping us to identify and address key sustainability topics. The DMA allows us to evaluate the impact, risk and opportunities on society and our stakeholders, where we contribute, and where certain issues are linked to our operations, products, and services, both upstream and downstream in the section Our value chain and material topics within the General disclosures of the Sustainability statements.

The DMA also strengthens our understanding of the expectations of our key stakeholder groups in relation to sustainability matters. Customers are increasingly looking for environmentally responsible service providers, while investors are placing greater emphasis on long-term value creation, where sustainability initiatives align with financial growth and risk mitigation. At the same time, we also observe that both consumers and business customers are often unwilling to pay for services with a lower environmental and climate impact. This creates a continuous balancing act between the costs of sustainability and the trade-off cost. Our employees are motivated to work for a company that actively contributes to a sustainable future, fostering engagement and retention. Society, along with regulators, calls for active participation in efforts to reduce carbon emissions and pollution while encouraging circularity.

At PostNL, we conduct climate-related scenario analysis aligned with 1.5°C and 2°C pathways of the Paris Agreement to assess risks over short-, medium-, and long-term horizons. We evaluate risks that can have an impact on business operations, while a four-step climate risk assessment prioritises risks and guides targeted actions like renewable energy investments. This iterative approach supports informed decisions to reduce GHG emissions across scopes 1, 2, and 3, ensuring our strategy adapts to evolving climate scenarios and aligns with global goals. More information can be found in the Climate change section within the Environmental disclosures of the Sustainability statement.

In 2024, we advanced our transition plan, outlining key decarbonisation levers, which are the strategies and measures we use to cut carbon emissions, improve air quality, and promote circularity. To reach net zero by 2040, we are investing in energy-efficient sorting centres, electric vehicles, and renewable fuels like biogas and HVO100, while optimising transport routes. By 2030, we aim to deliver emission-free from the final sorting centre to the consumer or an alternative pick-up location, deploying zero-emission vehicles and expanding parcel lockers and alternative delivery points. Our circularity goals target zero waste by 2040, supported by reusable packaging, extended equipment lifecycles, and sustainable procurement. Guided by science-based targets, we ensure measurable progress through continuous innovation.

The plan, which has been approved by our management and supervisory bodies, is central to our strategy. More information, including a list of our decarbonisation levers, can be found in Our strategy of the Environmental disclosures in the Sustainability statement.

The plan details three focus areas that we will concentrate on to achieve our strategic goal. These are:

• Climate change

• Liveability

• Circularity.

We address air and noise pollution, particularly in cities, by transitioning to electric vehicles, which are quieter, cleaner, and release zero particulate matter and nitrogen emissions from the combustion of fuel, key pollutants that affect air quality. Our environmental policy, aligned with ISO 14001 standards, focuses on reducing GHG, NO_x, and PM from logistics and transportation, contributing to sustainable cities. More on our environmental policy can be found in Our policies of the Environmental disclosures in the Sustainability statement.

Our KPIs for 2024 are explained below, and the initiatives we undertook throughout the year to achieve our strategic environmental goal are described through the rest of the chapter.

Performance summary

PostNL CO₂ efficiency as indicated
2023 - 2024, Target 2030

In 2024, our CO₂ efficiency, measured in grammes CO₂e per kilometre, improved by 6% compared to 2023. This progress was driven by an accelerated transition to electric vehicles (see below for further details ), the continued expansion of renewable fuel usage, and a reduction in diesel kilometres driven.

During the year, we continued to support our logistics partners with the shift towards electric transport, offering financial incentives and start-up bonuses to stimulate the transition from diesel to electric. Additionally, our partners benefited from access to the charging infrastructure at our parcel sorting centres.

PostNL Emission-free last-mile delivery
2023 - 2024, Target 2030

In 2024, a large portion of last-mile delivery for Mail in the Netherlands was completed by foot, bike, or e-bike, ensuring emission-free delivery. Over 86% of all mail delivery kilometres, equating to over 60 million kilometres, were emission-free in the last-mile, up from 82% in 2023. This allowed us to reach over 96% of Dutch postal delivery addresses emission free. For rural areas, where distances are longer, we are transitioning to electric vehicles and installing charging stations. By the end of 2024, we had more than 1070 electric cars in operation, reducing diesel usage for last-mile delivery by 30%. We remain committed to growing our fleet of electric vehicles and improving and expanding charging infrastructure.

From 1 January 2025, Dutch municipalities can designate urban areas as zero-emission zones, banning polluting vans and trucks. We already deliver with zero emissions in 27 city centres where zero-emission zones are in place and continue to expand our zero-emission network. This underscores our commitment to sustainability and our efforts to transform operations. Investments in e-vehicles, including light electric freight vehicles (LEFVs), and charging infrastructure at depots support this transition.

In 2024, we reduced absolute gross scope 1 carbon emissions by over 6% from 2023, driven by greater use of renewable diesel, bio-LNG, and an expanded e-vehicle fleet. Our market-based scope 2 emissions were near zero, thanks to sustainably sourced solar and wind energy. This includes our own solar power and purchased renewable electricity with Guarantees of Origin, ensuring it comes from Dutch wind farms and European renewable gas. The remaining scope 2 emissions stem from district heating.

For scope 3 emissions, were the main categories of CO₂e emissions are purchased goods & services , capital goods, upstream transportation & distribution and employee commuting, we achieved over 9% reduction compared to 2023.

For our SBTi submission, we set ambitious targets to reduce over 90% of our scope 1 and 2 GHG emissions by 2030, compared to our 2021 base year. For our total scope 3 emissions, we aim for an absolute 45% reduction. These goals are significantly more ambitious than our previous targets, which aimed for a 60% reduction in scope 1 and 2, and 10% in scope 3 by 2030 from a 2017 base year. Please see the Climate change section of the Environmental disclosures in the Sustainability Statement for more information on our SBTi submission.

Additionally, we expanded the coverage of scope 3 emissions to include new categories such as purchased goods, capital goods, and fuel-related emissions. We will report progress in future Annual Reports.

Focus areas

Climate change

Ambitious goals demand clear, measurable targets. Which is why we have set concrete targets and timelines for our sustainability strategy, ensuring transparency and accountability, enabling us to monitor our progress closely. Our goal is to reduce 90% of our own carbon emissions in scope 1 and 2 and 45% of our outsourced scope 3 emissions by 2030. Looking further ahead, we are committed to achieving net-zero emissions by 2040. By then, we aim to have reduced all our carbon emissions by 90%, significantly minimising our impact on the climate.

Shifting to emission-free logistics plays a pivotal role in the environmental aspect of our sustainability strategy. As a key player in the logistics industry, we recognise that our operations significantly contribute to greenhouse gas (GHG) emissions. By accelerating the adoption of electric vehicles, e-bikes, and alternative delivery methods, we can drastically cut emissions, especially in urban areas. This not only reduces our carbon footprint but also contributes to healthier air quality, benefiting our employees, the customers we serve daily, and society in general. To help our customers track our progress, in 2024 we continued to communicate CO₂e emissions data per parcel (319 grammes) and mail item (12 grammes) for deliveries, reflecting ‘well-to-wheel’ emissions, including large truck transport and delivery partners.

Maximising the use of renewable energy throughout our operations is equally important. From powering sorting centres with solar energy to implementing energy-efficient technologies in our facilities, our commitment to more sustainable energy reduces our dependency on fossil fuels and enhances the resilience of our operations in the face of rising energy costs and potential resource shortages.

Electrification of our fleet

By 2030, we aim to deliver emission-free from the final sorting centre to the consumer or an alternative pick-up location, which is why we currently have over 4,000 electric vehicles in our own fleet, from e-bikes to large trucks. To enhance the sustainability of our delivery services nationwide, during the year we rolled out e-vehicles across the following networks. We reached an important milestone in 2024 when we installed our 1,000th charging point across the company, and by year end had 1,180.

E-commerce

In 2024, we expanded our electric vehicle fleet with the addition of 276 e-vehicles across our e-commerce networks in the Netherlands and Belgium. This included electric vans, light electric freight vehicles, Stints, and our first large electric truck at our Nieuwegein location.

In addition to expanding our own fleet, we are actively encouraging our delivery partners to transition to emission-free vehicles. By the end of the year, a growing share of kilometres driven by delivery partners in the Netherlands and Belgium were emission-free, supporting our commitment to sustainable logistics.

Mail in the Netherlands

While we currently deliver letters and letterbox packages emission-free in the last-mile to 96% of residential addresses in the Netherlands, we continue to reduce emissions across our mail network. By the end of the year, we had added 55 e-vans to our mail fleet, bringing the total number of electric vehicles to 236. This initiative is projected to save approximately 444 tonnes of CO₂e annually, compared to traditional diesel-powered vehicles. The year also marked a key milestone: the complete electrification of our scooter fleet. We now operate 591 three-wheel e-scooters and 473 two-wheel e-scooters, totaling over 1,000 electric scooters across our mail operations.

As a result of grid congestion challenges in the Netherlands, which limit our ability to install sufficient charging points at our own locations, we have partnered with external companies that have available capacity to provide off-site charging solutions. Currently, we operate off-site charging at three locations.

Use of alternative fuels

In 2024, we continued to utilise renewable HVO100 diesel across our operations, an interim solution that bridges the gap until the market is ready for battery-electric large trucks. HVO100 has been instrumental in reducing GHG emissions by up to 90% over its lifecycle compared to fossil diesel. We applied this sustainable fuel in both last-mile delivery and collection, as well as in the middle-mile operations.

While we optimised our budget allocation mid-year, leading to a more targeted use of HVO100 from July onwards in some areas, we maintained a strong focus on minimising emissions. This approach contributed to a CO₂e emission of 219 grammes per kilometre for HVO100 transport, demonstrating our commitment to sustainability.

Additionally, on 22 April, Earth Day, PostNL and our international subsidiary Spring implemented an innovative solution to integrate HV0100 into Europe's diesel network, setting a new benchmark for sustainability in logistics. This approach enables us to purchase sufficient biofuel to cover the equivalent of all our international road transport in Europe, where HVO100 is not yet available, reducing our scope 3 emissions as effectively as if our trucks were running directly on HV0100. Since we cannot mandate our delivery partners to use renewable fuels, and availability remains limited in some regions, this solution provides a practical way to drive emissions reduction and demonstrates our commitment to making logistics more sustainable.

Investment in sustainable infrastructure

Sustainable innovations at new parcel sorting centre

In line with our strategic commitment to building a sustainable and future-proof logistics network, in 2024 we opened our 27th parcel sorting centre, in Alphen aan den Rijn. The new facility is a key addition to our growing network, enhancing our capacity to meet the increasing demand in the e-commerce sector.

This state-of-the-art sorting centre is among the most sustainable commercial buildings in the Netherlands. And like all 27 PostNL parcel sorting centres, it will be BREEAM-certified, with the highest standard for new construction, 'Outstanding', expected to be awarded in the second quarter of 2025. Every aspect of the building is designed to operate with minimal environmental impact.

It is fully equipped with LED lighting and features heat recovery systems. With 1,864 solar panels on the roof and the infrastructure in place to install charging stations, the building integrates sustainable solutions throughout. Additionally, a battery system stores locally generated energy during the day, ensuring a reliable and sustainable power source for our operations. This energy not only powers sorting machines but will in the near future also be used to charge electric vans during the evening and night. By doing so, we reduce our reliance on the grid during peak hours, contribute to a more stable energy supply, and support the transition to a cleaner, greener logistics network.

As part of the sustainability assessment, we conducted a comprehensive flora and fauna study to better understand the local ecosystem. Based on the findings, the area surrounding the building has been carefully designed to promote biodiversity. Nesting boxes have been installed to provide safe habitats for local bats, birds, and insects, addressing the specific needs of native species. In addition, a diverse range of trees, plants, and flowers known to support pollinators and other wildlife are being planted, creating a thriving green space. This initiative not only enriches the environment but also reinforces our commitment to fostering a healthy and sustainable ecosystem.

Water conservation and reuse

At our two newest parcel sorting centres in Hoogeveen and Alphen aan den Rijn, we also implemented a grey water system to enhance water conservation efforts. Rainwater is collected in dedicated basins, allowing us to reuse it for non-potable purposes such as flushing toilets. This approach significantly reduces the consumption of drinking water at these sites.

Local ecosystems

While we recognise that our direct impact on biodiversity is limited, we remain committed to minimising any potential effects. In line with this commitment, we consistently take proactive measures in our operations to support local ecosystems. For example, when constructing or renovating our sorting centres, we engage independent experts to conduct comprehensive flora and fauna assessments, ensuring that we adopt all necessary steps to protect and preserve local biodiversity. This has included introducing native plant species around our facilities, reducing the need for irrigation by promoting vegetation suited to hot and dry conditions, reliant on local rainfall. Additionally, we have installed nesting boxes for various bird species and shelters for bats, fostering local wildlife and contributing to natural habitat creation. These actions underscore our ongoing efforts to work in harmony with nature and reflect our long-term commitment to environmental stewardship.

Network efficiency

Optimising our operations remains central to our strategy for enhancing efficiency and reducing GHG emissions. As well as lowering costs and enhancing customer convenience, improving network efficiency can also contribute to our sustainability agenda. In 2024, there were two notable developments within this area:

• Expanded delivery options at APLs and our retail network: This reduces the need for last-mile deliveries to home addresses, thus cutting emissions from customer transport

• Discontinuation of Sunday deliveries: Streamlining operations by removing less efficient delivery routes associated with low parcel volumes helps cut our overall emissions.

Liveability

As a company that is present in urban areas every day, we are acutely aware of the effects our operations can have on the liveability of the environments we serve. Increasing urban congestion, air pollution, and noise pollution are growing concerns, particularly in densely populated cities. At PostNL, we are committed to addressing these challenges through sustainable practices, recognising that a healthy, liveable environment is essential for the well-being of people and the vitality of communities.

We believe a liveable environment is one where people can live, work, and move freely without being adversely affected by air and noise pollution. By reducing our negative impact on air quality, reducing noise, and supporting local biodiversity, we play an important role in making cities more sustainable and enjoyable places to live.

Nitrogen and particulate matter

To mitigate our environmental impact, we are actively transitioning to electric vehicles across our fleet. Electric vehicles are quieter and release zero particulate matter and nitrogen emissions from the combustion of fuel, key pollutants that affect air quality.

One of our ambitions is to achieve zero-emission delivery in the last-mile—the stage where parcels and letters are delivered from the sorting centre to the recipient. By 2030, we are committed to ensuring that all deliveries are emission-free. As a key milestone, we already deliver with zero emissions in 27 city centres where zero-emission zones are in place, and we continue to expand our zero-emission network. This represents a significant step toward not only reducing our environmental impact but also contributing to healthier, quieter, and more liveable cities for society

Out-of-home to improve network efficiency

The increasing volume of parcels being ordered and sent means recipients are not always home to receive them. To address this, we are rapidly expanding our OOH delivery network across the Benelux, which helps reduce the environmental impact of e-commerce by improving network efficiency and increasing first-time-right delivery, which acts as a decarbonisation lever. At the same time, it offers consumers greater flexibility and convenience.

By providing a wide array of APLs and retail locations, our OOH network enables consumers to collect their parcels at a time and place that suits their schedule. This contributes to reduced congestion in last-mile delivery routes, resulting in a less polluting logistics chain. It also minimises the risk of missed deliveries and reduces waiting times, contributing to a seamless customer experience. In 2024, we grew the number of APLs to around 1,100, and we intend to further develop our OOH delivery strategy by expanding the APL network, which will also contribute to greater customer satisfaction.

City-friendly delivery in inner cities

As urban congestion increases, we have expanded our focus from emission-free delivery to include minimising disruption. One example is increasing the use of light electric freight vehicles (LEFVs), which in 2024 we introduced in Amsterdam and Leiden. These vehicles, alongside the growing numbers of e-bikes and e-vehicles we use, is helping us reach our goal of emission-free delivery.

As well as being emission-free and quiet, LEFVs are also narrow and manoeuvrable, resulting in reduced congestion compared to vans. They also use less electricity than electric vans, and can carry up to three roll containers that can be smart-packed at the sorting centre and loaded directly onto the vehicle at the city hub. We aim to continue introducing LEFVs at other cities.

Environmental management system

Our environmental management systems help us to continuously improve our environmental performance and management across the company. In 2024, 98% of our PostNL employees (in headcount) worked in ISO14001-certified locations (2023: 98%). To the best of our knowledge, we had no environmental incident and therefore did not incur any fines in 2024, which was the same in prior years. This underscores the effectiveness of our environmental management system.

Circularity

At PostNL, we prioritise the careful use of resources. Minimising waste and maximising the lifespan of materials are key principles guiding our operations. We actively recycle our waste streams and have introduced reusable materials where possible, which helps lower our environmental footprint and foster a circular economy.

In a circular economy, materials are used for as long as possible or repurposed, following the 10R circularity ladder: R0 Refuse, R1 Rethink, R2 Reduce, R3 Reuse, R4 Repair, R5 Refurbish, R6 Remanufacture, R7 Repurpose, R8 Recycle and R9 Recover. We set a target to achieve zero waste by 2040, meaning no more than 10% residual waste. We aim to process all waste streams through repair, reuse, or recycling in a fully circular way. This is crucial, as incinerating waste generates significant CO₂e emissions.

While this is an ambitious goal, we are making progress annually. We are working to reduce our resource inflows of non-renewable or high-waste materials, which will help us lessen our environmental impact and improve efficiency.

Reducing the impact of our purchased goods and services

We want to purchase our goods and services with as little impact on the environment as possible, following the rules of the circular economy and the 10R circularity ladder. Consequently, we adhere to a number of principles:

• The longest possible lifespan of products

• The fewest (types of) waste possible at the end of a product or service's lifespan

• The reuse of products and materials.

To gain better insight into the circularity of our materials, we began asking our suppliers in 2024 to provide information on the environmental impact of the products and services we purchase. More information can be found in our procurement policy on our website.

Company clothing

Every day, thousands of our delivery people go out in our recognisable orange uniforms. However, producing these uniforms consumes significant resources and generates carbon emissions. As part of our commitment to reducing our environmental impact, we are transitioning to more sustainable company clothing. Our orange polo shirts are now made entirely from more sustainable materials, including organic cotton and recycled polyester, and come in packaging made from recycled paper. Additionally, our new outerwear collection is fully designed from more sustainable materials, eliminating the need for separate packaging.

For our technical operators and process experts, who wear dark blue polo shirts, we have adopted a circular approach. Old PostNL polo shirts are recycled and blended with BCI cotton (Better Cotton Initiative) and recycled polyester. This recycled material is then dyed and used to produce new dark blue polo shirts. Around 15% of the material in each new shirt consists of recycled fabric, sourced from worn-out PostNL orange and blue polo shirts, helping us work towards closing the loop. This initiative supports our sustainability goals and reinforces our responsibility to contribute to a circular economy.

Reusable pallet boxes

In 2024, we continued our commitment to sustainability by expanding the use of our innovative orange pallet boxes at Spring, which is a key step in replacing single-use materials within our operations. Over the course of the year, the number of reusable pallet boxes increased to 3,546, with 2,346 already in circulation and an additional order of 1,200 pending delivery.

These pallet boxes are designed to last for 7 to 10 years and can be returned to the supplier for reuse after each cycle, contributing to a fully circular system. The pallet boxes are also made from 100% recyclable materials, supporting our zero-waste ambitions.

Contributing to a circular economy together

The transition towards circularity plays a crucial role in achieving climate objectives and is expected to have a profound effect on the e-commerce sector. As the economy shifts towards more sustainable models, the move to circular business practices presents both challenges and significant opportunities. At PostNL, we recognise the importance of partnering with the market to ensure we are collectively prepared to navigate the impacts, risks, and opportunities that lie ahead.

Collaborating with waste partners to optimise waste management

In line with our commitment to sustainability, we are focused on minimising residual waste through a structured roadmap and close collaboration with our waste partners. By conducting comprehensive waste scans, we aim to improve waste separation, reduce carbon emissions in our scope 3 emissions from waste, and promote sustainable practices across our operations. In 2023, our residual waste was 38%. By the close of 2024, we had reduced this to 27% through improved waste separation and reduced residual waste volumes. In 2024, this involved the following initiatives.

Identifying improvement opportunities

At our larger locations, we collaborate with waste partners to conduct waste scans, pinpointing areas for better waste separation. One key discovery was the potential to introduce a polystyrene press at our Extra@Home locations, halving polystyrene waste transport loads. We also adapt waste collection methods to suit the specific types and volumes of waste at each location. For instance, we prioritise the efficient collection of materials such as paper, cardboard, transparent foil, and polystyrene. Press containers are installed at sites with high waste volumes, enabling us to streamline and optimise collection processes.

Promoting waste separation

Whenever we implement significant changes to our waste collection processes, we engage our employees with an informative kick-off event at the location. Additionally, we appoint waste ambassadors to raise awareness and emphasise the importance of proper waste separation. Clear labelling on waste containers helps simplify the process for employees.

Continuous monitoring and evaluation

We regularly monitor the effectiveness of waste separation practices at our locations. Process managers can oversee the separation process and discuss the results during location work meetings. We review performance together and determine if any adjustments are needed to improve the process or employee behaviour.

Dedicated waste collection

To tackle high levels of residual waste and improve waste separation, we introduced a new approach to waste management at our mail sorting facilities. Key measures were:

• Dedicated collection points: In collaboration with our waste partner, we installed 140 specialised collection devices across our mail sorting locations

• Clear instructions: The new collection points are complemented by clear and efficient waste sorting guidelines, simplifying the process for employees

• Enhanced employee engagement: These changes empower employees to make more sustainable choices in waste disposal, aligning daily practices with broader environmental goals.

This initiative has contributed to a reduction in residual waste, cost savings, and lower CO₂e emissions, reflecting our commitment to responsible waste management and sustainability. Looking ahead to 2025, we aim to further lower our residual waste percentage.

Circular Shopping 2030 programme

As a founding partner and sponsor of Thuiswinkel’s Shopping Tomorrow programme, we were proud to have co-hosted the Circular Shopping 2030 expert group in 2024 for the second consecutive year. This initiative is designed to support consumers in making the shift from a consumption-focused mindset to a usage-based approach by 2030, ensuring that products and materials retain their value for longer, fostering a more sustainable future. PostNL plays an active role in advancing this vision, working closely with industry stakeholders to drive meaningful progress and contribute to a circular economy.

Right to Repair

As part of the program, our focus in 2024 also extended to the Right to Repair initiative, which is a new consumer right adopted by the European Union, aimed at making it easier and more attractive for consumers to have their goods repaired both within and beyond the legal guarantee term. This is a significant trend influencing the e-commerce sector, and we engaged with partners to address its implications and opportunities.

Collecting for recycling

A circular economy requires everyone's participation, and every contribution matters. Which is why we aim to make it easy for people to join us. Our delivery staff help by collecting clothing and electronics for recycling. Through partnerships with Dobbi and the Salvation Army, customers can donate clothing or hand it in to have it repaired at over 800 PostNL locations, advancing our shared goal of a circular economy.

Reusable packaging

Additionally, our efforts in reusable packaging are progressing. With market input, we are defining scaling requirements. In 2025, we will launch a pilot at our fulfilment centre with a business customer and packaging supplier to explore scalable circular solutions.

Returns

Our advanced returns policy aligns with our commitment to circularity and decarbonisation, delivering both convenience and sustainability through an optimised returns platform. This platform not only streamlines the returns process for consumers but also provides valuable insights, such as identifying frequently returned items due to sizing issues. These insights enable our business customers to make data-driven adjustments, effectively reducing product waste.

Furthermore, our returns logistics are seamlessly integrated into our dense distribution network, avoiding unnecessary kilometres driven and thereby minimising fuel consumption and CO₂e emissions. This integration allows us to contribute directly to lowering our overall climate impact, while maintaining a smooth and efficient returns experience for our customers. Additionally, the inclusion of a combined shipping and return label further enhances convenience, eliminating the need for separate printed labels and reducing material usage.

We aim to enhance collaboration across the value chain, recognising the EU’s ambition to achieve 50% circularity by 2030. To meet evolving demands, both consumers and producers must adopt circular principles. We believe we are well-positioned to lead in this transition, offering reverse logistics solutions that support circular business models. Our efforts focus on customers and beyond, with medium- and long-term actions integrated into our strategy.

EU Taxonomy on sustainable activities

The EU Taxonomy on sustainable economic activities, which applies to PostNL, is a classification system introduced to promote transparency, prevent greenwashing, and guide investments towards a sustainable future. As part of this effort to support the EU's climate-neutrality goal for 2050, the taxonomy requires companies like PostNL to disclose the extent to which their business activities contribute to sustainability.

PostNL’s activities are evaluated under the Taxonomy framework based on eligibility and alignment criteria. Activities are “eligible” if they align with the EU’s Taxonomy Delegated Acts, and “aligned” when they significantly support one of six environmental objectives. Alignment also requires compliance with “Do No Significant Harm” (DNSH) principles across the other environmental objectives, alongside minimum safeguards covering human rights, anti-corruption, fair competition and taxation matters.

To provide transparency on our sustainability alignment, PostNL reports key performance indicators (KPIs) on total operating revenue (turnover), capital expenditures (capex), and operating expenditures (opex). These results under the EU Taxonomy have specific implications for the company’s alignment with sustainability objectives, which we describe below.

Total operating revenue (turnover)

With 84% of our revenue deemed eligible under the EU Taxonomy, we demonstrate a substantial alignment of our business activities with sustainable practices, primarily in parcel and mail collection, sorting and delivery. However, only 30% of this eligible revenue meets full alignment criteria, mainly because of our sorting activities, by minimising transport movements and related environmental impact. Non-eligible revenue includes segments such as the transportation of parcels and mail by air, as well as certain service provider activities and the organisation of logistics, which do not meet Taxonomy sustainability criteria.

Capital expenditures (capex)

The capital expenditures that are considered to be eligible under the EU Taxonomy include transport, infrastructure for transshipments (sorting activities) and real estate activities. However, non-eligible capex primarily covers investments in software and other necessary equipment that fall outside the EU Taxonomy’s sustainable activity classifications. Of our capex, 47% is eligible, with 25% meeting alignment criteria for Taxonomy standards.

Our capex alignment reflects our commitment to investing in sustainable transport infrastructure, sorting facilities and low-carbon technologies. In doing so, we can reduce our environmental footprint.

Operating expenditures (opex)

PostNL is a people driven and asset-light company, therefore we deem opex immaterial under EU Taxonomy standards, meaning the company is exempt from detailed alignment reporting on opex.

As PostNL applies a materiality threshold of 5%, the relative share of opex in scope of the EU Taxonomy compared to the total operating expenditures of PostNL is deemed immaterial for PostNL's business model. As a consequence, the amount of eligible opex is exempt from the calculation of the numerator of the opex KPI for the EU Taxonomy and is therefore reported as being equal to zero.

In 2024, with the introduction of the CSRD, the EU Taxonomy has become part of the Environmental disclosures and is no longer reported separately next to the sustainability statement.

Looking ahead

The current technical screening criteria offer limited scope for postal operators to achieve progress in alignment. In-depth analysis and discussions within a working group facilitated by PostEurop have demonstrated that meeting certain DNSH criteria is both practically and economically unfeasible. To address this, PostEurop, on behalf of its members, including PostNL, submitted a proposal to the European Commission for postal-specific economic activities and screening criteria. This proposal aims to establish criteria that are realistic and appropriate within the context of postal business models.

By introducing sector-specific criteria, European postal operators would be able to make meaningful investments in sustainable activities that align with their operational frameworks. Simultaneously, this would enable postal companies to achieve greater alignment in their EU Taxonomy reporting, fostering sustainable growth within the industry.

More information can be found in the EU Taxonomy on sustainable activities section of the Environmental disclosures in the Sustainability statement.

Invest in our people to enhance employee engagement, health & well-being and create positive societal impact

At PostNL, our people are at the heart of everything we do. As the backbone of our operations, investing in their growth, engagement, and well-being is essential to achieve our strategic goals and ensure long-term success. By fostering an inclusive and supportive work environment, we not only provide equal treatment and opportunities for all, but also enhance employee satisfaction and strengthen our ability to deliver high-quality services to customers across the Netherlands and beyond. Engaged employees are more motivated and productive, helping us to remain agile and resilient in an evolving market landscape.

By promoting physical and mental well-being, offering flexible working arrangements, and encouraging a healthy work-life balance, we aim to ensure that our workforce remains engaged and committed while reducing absenteeism. This investment in well-being not only improves individual performance but also contributes to a positive and collaborative work culture that directly benefits our customers and our partners in the value chain.

But our commitment extends beyond our people in the workplace. By investing in initiatives to help our delivery partners, employing people with a distance to the labour market, and through the PostNL Special Moments Fund, we work to create a positive societal impact while minimising negative impacts, contributing to a more sustainable and socially responsible business.

Internally, the PostNL Staff Foundation plays a vital role in supporting our employees, from organising events such as running a marathon with colleagues, to providing advice and (financial) assistance when needed. We believe we have a moral obligation to contribute positively to society. This holistic approach aligns with our purpose-driven strategy, ensuring that PostNL continues to grow while making a meaningful difference in society.

An important tool in identifying and addressing those areas that are most relevant to us is our double materiality assessment (DMA). Among other topics, the DMA helps us understand the broader social implications of our business activities and their related impacts, risks and opportunities. Key performance indicators (KPIs), such as employee engagement and absenteeism, are vital metrics that allow us to monitor the effectiveness of our initiatives and ensure that we are addressing the needs of our workforce, contributing to a more resilient and sustainable business. More information on how we tackled absenteeism and worked to improve engagement in 2024 can be found in the Our workforce section of this chapter.

Additionally, our focus on employee engagement and absenteeism links directly to our commitment to uphold human rights through our human rights policy and additional due diligence, as shown in the picture on the next page. We are dedicated to creating a safe, respectful workplace, in line with international standards such as the ILO Declaration on Fundamental Principles and Rights to Work, the OECD Guidelines and the UN Guiding Principles on Business and Human Rights.

In 2024, we strengthened our human rights policy to reflect our updated governance on human rights across our operations, subsidiaries, and value chain, including delivery partners, consumers, and end-users and address key social sustainability issues. PostNL has been a signatory to the UN Global Compact since 2012, and our focus lies on the impact we have along our entire value chain and the way we work with our partners to tackle a broad range of topics. More information can be found in the Our policies of the Social disclosures in the Sustainability statement.

To better understand the role our people and PostNL play in the e-commerce business and postal value chain, and where we impact society, please see the Our value chain section earlier in this report.

To realise our social strategic goal, 'Invest in our people to enhance employee engagement and health & well-being and create positive societal impact', we are concentrating on the following four focus areas:

• Our workforce

• Workers in the value chain

• Positively impact society

• Consumers and end-users.

More information on our strategic goals can be found in the Our strategic objective and goals section of the Strategy chapter earlier in this report.

At year end, we employed 32,405 people. While our ongoing efforts to improve organisational efficiency and advance process automation remain key priorities, the reduction in headcount was largely a consequence of the ongoing tight labour market, which has made recruiting and, for certain roles, retaining the right people increasingly challenging. For instance, at Mail in the Netherlands, we had over 750 vacancies at year end, despite filling over 4,900 vacancies across the company during the year. This underscores the scale of our recruitment efforts. However, dedicated programmes have been instrumental in addressing this issue, helping us reduce the number of vacancies and strengthen our workforce in critical areas.

People attraction, development and retention

PostNL Employee engagement Share of engaged employees
2023 - 2024

At Mail in the Netherlands, the tight labour market led to employee shortages in operational functions, increasing work pressure. Additionally, the ongoing high absenteeism levels and the reorganisations that we are undertaking to adapt to a changing postal market influenced the engagement of our people. We intensified our focus on these points throughout 2024.

At Parcels, engagement levels presented a more varied picture across departments. We were encouraged by the positive results from Commerce, where we saw a 2 percentage point increase in engagement between October 2023 and October 2024.

Health, safety and well-being

PostNL Absenteeism Percentage
2023 - 2024

The physical and mental well-being, as well as the safety of our employees and those working indirectly for us, remained a key priority throughout 2024. Absenteeism of our employees increased to 8.5% in 2024. In response, we continued several targeted actions to better understand the underlying causes of absenteeism. These initiatives aim to not only reduce absenteeism but also create a healthier, safer, and more supportive work environment for all our people. Full details can be found in the Our workforce section below.

Focus areas

Our workforce

At PostNL, we actively manage and mitigate negative impacts, risks and opportunities on our workforce by continuously improving our processes and fostering an open environment for employee concerns. We have established clear channels for workers to raise issues, including our whistleblowing procedure, confidential reporting systems, and direct engagement opportunities with management.

At the same time, we create positive impacts on our employees' well-being through initiatives such as health and safety programmes and the health and safety policy, our career development opportunities, efforts to promote diversity, equity and inclusion, our human rights policy, and governance. We measure the effectiveness of these actions through employee surveys, paying close attention to retention rates, and tracking health and safety performance indicators. More information can be found in the Own workforce section of the Social disclosures in the Sustainability statement.

Safe and healthy working environment

Tackling absenteeism

In 2024, absenteeism levels remained elevated, and we dedicated significant efforts to better understanding the underlying causes and addressing them effectively. This ensured that the short- and middle term absenteeism remained low throughout the year. Unfortunately, long-term absenteeism remained high and even increased, primarily due to the combination of an ageing workforce and the physical demands of long-term labour. Our workforce has a higher-than-average age distribution (see Our performance for a breakdown of PostNL's headcount), which may contribute to higher absenteeism linked to age-related health factors. Our approach to tackle this included several key initiatives across the company aimed at supporting both employees and managers in reducing absenteeism, which we outline below.

Redesigned structure

At Mail in the Netherlands, we redesigned the leadership structure to address absenteeism more effectively. Management roles were divided into logistics-focused and people-focused teams to ensure that employee management receives dedicated attention. While we have identified a number of challenges, we continue to refine the concept. This iterative approach ensures that we adapt the structure to better meet the needs of both employees and operational processes, aligning with our commitment to continuous improvement.

Establishment of an absence management team

A new absence management team has been created to address absenteeism comprehensively. The team includes case managers, reintegration specialists, and absenteeism advisors, who work alongside direct supervisors to support employees. This team is responsible for managing all aspects of absenteeism, from handling immediate cases to coordinating long-term reintegration efforts. Their work aligns with our broader health and safety objectives, ensuring a consistent and proactive approach to reducing absenteeism.

Improved oversight and monitoring

We have implemented enhanced oversight mechanisms to monitor absenteeism and ensure strategies are delivering results. An absenteeism board, composed of business unit and HR directors, regularly reviews data and provides strategic direction. Additionally, targeted meetings—such as the absenteeism steering group in Mail in the Netherlands and bi-weekly sessions within Parcels—combine data analysis with individual case insights to develop tailored responses for each unit.

Targeting retention of parcel deliverers

Turnover among newly hired parcel deliverers remains high, reaching 60% in 2024, translating to an annual cost of approximately €5 million. While comprehensive external benchmarks on this topic are limited, industry reports indicate that workforce turnover in logistics roles tends to be higher than in other sectors. Given the absence of detailed external benchmarking, we leverage internal data by analyzing depots that consistently achieve lower turnover rates. By applying best practices from these locations, alongside enhanced onboarding, tailored training, and improved management communication, we strive to reduce turnover toward 50% by 2025. By doing so, we aim to enhance job satisfaction among our deliverers and manage costs more effectively.

Departing parcel delivers highlight a number of key challenges that impact job satisfaction and retention, including:

• Demanding work and low support: Many feel unsupported when facing difficulties, leading to stress and absenteeism

• Route changes: Sudden route changes disrupt personal plans, often without consultation or recourse

• Career growth: Employees express frustration over wages and limited growth opportunities

• Communication challenges: Clearer communication with management can help reduce uncertainty and improve understanding.

Improvement, actions and vision

We have identified several areas for improvement to enhance our ability to attract, retain, and engage talent effectively. High turnover among students and younger employees highlights the need to adapt work structures to align with the preferences of younger generations, emphasising flexibility and purpose-driven roles. Furthermore, we acknowledge the importance of enabling people managers to dedicate sufficient time to effective people management, free from distractions caused by secondary tasks.

To address these challenges, we have outlined several strategic actions aimed at improving retention and engagement. From March 2025, we will enhance onboarding and training programmes to provide new employees with better support and a stronger sense of connection to their roles, contributing to a targeted 5% reduction in turnover by 2026. By mid-2025, we will implement a strategic workforce plan designed to ensure consistent and fair work schedules, as well as route stability, fostering greater satisfaction and reliability. Additionally, we will prioritise addressing clearer communication between people managers and parcel deliverers, ensuring workload-related issues are resolved promptly and effectively.

People coaches pilot at Parcels

One of the initiatives we have already introduced to tackle absenteeism and turnover while boosting engagement and retention of parcel deliverers was the people coaches pilot, which in 2024 demonstrated positive developments across nearly all measured metrics, with turnover as the sole exception.

The programme showed reductions in work pressure and gains in job satisfaction, as well as gains in engagement scores and NPS. As part of the pilot, all people coaches have now transitioned to people manager roles, with fortnightly sessions scheduled with participants.

A welcoming place to work

Everyone who wants and is able to work is welcome at PostNL, regardless of their unique challenges, which is why we continued to use job coaches at Mail in the Netherlands in 2024. Job coaches provide personalised support to those with a distance to the labour market and who may otherwise struggle to work independently. This tailored guidance is designed to meet each person’s unique needs and working style, enabling them to thrive in roles such as mail delivery. By focusing on ways to leverage an individual's strengths and develop their potential within our organisation, job coaches help them maintain and enhance their ‘work fitness’, focusing on their well-being and comfort on the work floor.

During the year, our job coaches provided guidance and support across Mail in the Netherlands, helping to make PostNL a welcoming workplace where everyone has a fair opportunity to thrive. In 2024, 176 individuals were offered employment opportunities with the support of our job coaches. These initiatives are designed to improve working conditions, provide enhanced support, and offer meaningful rewards, ensuring that employees feel valued, motivated, and secure in their roles at PostNL.

Talent acquisition

Addressing the shortage of mail deliverers

We face a shortage of mail deliverers in certain regions, which increases the workload for some colleagues, leads to higher absenteeism, and impacts the quality of our services. During the year, we launched a job fulfilment programme at Mail in the Netherlands, which is successfully reducing the number of mail deliverer vacancies as we work towards our target of 500 or fewer vacancies by 2025, down from 1,024 at the beginning of 2024. However, this figure does not fully reflect the scale of the challenge or the programme’s success. A significant proportion of our delivery operations had been outsourced to commercial partners, effectively masking a higher need for additional mail deliverers. As we bring more of this outsourced work back in-house, the demand for recruitment has grown considerably.

We are tackling this issue from multiple angles, across the entire Mail in the Netherlands organisation. Key initiatives include the national campaign "Blijf jezelf, word bezorger" and regional trials encouraging employees from sorting and preparation to take on delivery roles alongside their current duties. In addition to running national campaigns, we also significantly increased our investment in regular recruitment efforts. These initiatives are now more targeted and specific, leveraging data models and new insights to enhance their effectiveness.

We are addressing the reduction of vacancies not only by increasing recruitment but also by improving staff retention. To gain deeper insights into why deliverers choose to leave, we conducted a supplementary exit survey involving 1,300 participants. This initiative, which we are now establishing as a regular practice, enables us to identify specific reasons for outflow and implement targeted actions to address them.

The programme is delivering results, with vacancies dropping to 750 by year end, a significant improvement from the 1,000 in January. The programme focuses on the annual net inflow (new hires minus leavers) of mail deliverers, amounting to a net inflow of 125 mail deliverers in FTE.  

Collaboration with specialised recruitment agency

During the year, we also partnered with a recruitment specialist to trial new approaches for recruiting mail deliverers in Limburg and Amsterdam—areas where our current campaigns have been less effective. Together, we are testing innovative campaigns across new online and offline channels, building on our existing efforts. This collaboration will help us improve our own recruitment in these specific locations and increase the number of new mail deliverers.

Alongside reducing vacancies, we are focused on creating a more flexible employment model to better attract, deploy, and retain diverse target groups. Using new research and insights, we have identified four key target groups. A detailed analysis of their needs, using journey mapping to align policies, procedures, and processes—including contract options, training, and deployment—with their preferences, is performed to identify areas of improvement. This tailored approach aims to enhance engagement and retention.

Attracting digital talent

We successfully developed customer experience, digital, agile, and data capabilities across the organisation, and attracted new top digital talent in a competitive labour market. As a result, 33% of our workforce now operates in IT and digital roles. We also created a network of over 80 passionate frontrunners and ambassadors who drive transformation forward, gathering monthly to share knowledge on digital topics and use cases. Additionally, we fostered 'communities of practice, where experts and engineers collaborate to share the latest trends and innovations through hackathons, data science initiatives, and innovation days.

PostNL’s digital recruiter takes prize at Recruitment Tech Award 2024

In 2024, PostNL’s commitment to innovation was recognised thanks to Charlie, our AI-powered digital recruiter, which was awarded second prize at the Recruitment Tech Award 2024. During the year, Charlie helped cut recruitment costs and increase candidate satisfaction rates, highlighting our focus on enhancing the candidate experience and improving recruitment processes through strategic technological investments.

Steering on people engagement

In 2024, employee engagement, as measured by our independent service provider, was 67%, slightly less than our target of 68%. The very tight labour market has impacted certain areas of our operations significantly, notably in Mail in the Netherlands, where we have experienced mail deliverer vacancies in various regions.

To improve employee engagement, during the year we introduced a series of business changes at Mail in the Netherlands, including further optimising delivery routes to enhance efficiency. We believe these developments have had a clear impact on overall engagement levels, with employee engagement within MailNL increasing by 6 percentage points between October 2023 and October 2024. Looking ahead, while Mail in the Netherlands will need to continue adapting to external and operational challenges, we have recognised that we need to pay more attention to involving our operational staff in the changes we carry out. This includes ensuring that we avoid introducing too many initiatives simultaneously.

Safeguarding occupational health and safety

The safety and well-being of our employees remain a key area of attention for PostNL. During the year we implemented various measures aimed at fostering a safe and healthy work environment, which are outlined below.

Implementation of OHSAS management system

We introduced a new occupational health and safety working conditions (OHSAS) management system aimed at better identifying, documenting, and addressing risks and incidents in the workplace. This structured, automated system supports our commitment to employee well-being by aligning with OHSAS regulations and ISO 45001 standards, ensuring continuous improvement in health and safety. The system empowers our workforce by creating clear action plans for each identified risk, outlining responsibilities, timelines, and progress tracking to effectively mitigate or eliminate risks. As part of PostNL's ongoing dedication to a safe work environment, this tool helps monitor the effectiveness of safety measures, ensuring they are continually improved upon in line with global standards.

Employee health and well-being initiatives

To enhance employee health and well-being, in 2024 we piloted a digital health survey within one part of the organisation. The aim is to identify long-term health risks and promote better health awareness. By gathering health data via questionnaires, we can implement targeted preventative actions to reduce absenteeism and improve vitality, ensuring the well-being of our workforce. This effort complements our commitment to meeting regulatory standards, such as the Periodic Occupational Health Examination (PAGO), while also providing the opportunity to further strengthen health support across departments. The results of the pilot will be studied and further acted upon in 2025.

Reducing physical labour risks

Fostering a safe and health-conscious working environment is central to our operations. In 2024, we intensified our focus on reducing physical labour risks across all parcel depots. This initiative is not limited to specific tasks, but encompasses a holistic approach aimed at minimising physical strain across the entire workflow. Our comprehensive action plan integrates risk evaluation, alignment with health and safety objectives, and close monitoring of implemented measures, ensuring both immediate and long-term improvements.

A significant milestone was achieved in September 2024 with the initial roll-out of the smart electric tug across all depots operating the evening sorting process. The full implementation was successfully completed in December (see story box and separate photo on this page). This innovation has dramatically reduced the physical demands of moving roll containers, underscoring our commitment to employee well-being.

This step is part of a broader set of measures, which also includes revised lifting protocols, task rotation, ergonomics training, and the introduction of specialised equipment to create a safer and more ergonomic work environment. Building on the findings of recent in-depth risk assessment and evaluation reports, we have introduced several targeted measures designed to address physically strenuous tasks. These include:

1. Updated lifting protocols
   For parcels over 23kg, the non-machine-suitable parcels (NMSP) process now require two-person lifts to mitigate strain.

2. Staff planning and task rotation
   Redesigned schedules ensure that workers in different processes are not exposed to repetitive or over-strenuous tasks and rotate on a regular basis during the working day.

3. Ergonomic tools and training
   The deployment of ergo coaches has reinforced safe lifting techniques and the proper use of ergonomic equipment, addressing critical gaps in posture and awareness of health risks.

4. Enhanced equipment
   Introduction of trolleys and other specialised tools has reduced repetitive strain during evening sorting and internal transport.

5. Customer delivery conditions
   Introduction of the Heavy Duty label and maximising stacking height. This makes employees aware of heavy parcels so they can take appropriate measures to minimise physical strain. By optimising the stacking height of roll containers, the need for lifting beyond healthy working limits is reduced.

As we continue to transform our operations, we are making fundamental changes to improve workplace safety and well-being. By combining targeted operational strategies with new equipment and enhanced training, we are significantly reducing tasks that exceed health limit values. Processes involving lifting weights over 23kg, working above shoulder height, or moving parcels from floor level are being systematically redesigned through ergonomic interventions. A key milestone in this transition is the introduction of tilters in 2025, further reducing the physical strain on our employees and improving efficiency. These measures not only enhance workplace safety but also ensure compliance with health and safety regulations, reinforcing our commitment to creating a healthier and more sustainable working environment.

Next steps

We conducted extensive research to identify ways to reduce physical strain by further mechanising our processes. Building on these insights, we developed plans for additional research, prototyping, development, and testing in close cooperation with technical manufacturers. In addition, we carried out thorough tests and pilot projects to eliminate the need to lift parcels from roll containers. As a result, we decided to introduce tilters in controlled phases across our depots in 2025 and prepared for the implementation of thirteen tilters at about half of our parcel sorting locations that operate an evening sorting process. Building on the successes achieved so far, our next steps will place greater emphasis on automation and mechanisation to further reduce physical strain. Key developments include:

• Smart electric tug integration: With its full implementation already completed, we continue to monitor the impact of smart electric tug and explore ways to maximise its benefits.

• Tilters: We plan to phase in tilters across our depots, eliminating the need to lift parcels from roll containers. By mid-2025, we aim to have 13 tilters operational in about half of our parcel sorting locations that operates the evening sorting process.

• (Un)loading & Lifting Tools: Development of parcel (un)load and lifting tooling to reduce lifting of parcels in the Feeding and Sorting Process.

• Auxiliary equipment trials: Ongoing improvements of innovative tools such as tippers, baggage unloaders, and roll container adjusters to further support our workforce.

• Continuous development: In collaboration with technical manufacturers, we continuously explore and develop additional forms of robotisation and automation for various process components.

Traffic safety programmes

PostNL actively promotes traffic safety through comprehensive driver education and awareness initiatives. Annual training ensures our drivers stay current with safe driving practices, while partnerships with national campaigns like 'Onze scholen zijn weer begonnen' (Our schools have started again) raise awareness about traffic risks, especially near schools.

By implementing training programmes and community initiatives, including teaching children about blind spots on trucks that hinder the driver's view, we emphasise safety for both employees and the public. These efforts reflect our commitment to fostering a safe and responsible driving culture within our workforce.

Recordable accidents

For information on our number of recordable accidents and fatal accidents as well as our ongoing commitment to further strengthening safety measures across all aspects of our operations, please see Social disclosures in the Sustainability statement.

Actions to address workplace harassment

To protect and support our employees, we have implemented a range of measures against violence and harassment in the workplace. Using insights from the Employee Engagement Monitor and Diversity Monitor, we identified key areas for action on undesirable behaviour. And in our business principles, which are the cornerstone of our operations, we outline the standards we uphold and which our stakeholders can expect from PostNL.

In the event of undesirable behaviour, we will take immediate action to address the situation decisively, ensuring that our response goes beyond process and reflects our dedication to protecting our employees and fostering a positive work environment. In 2024, we focused on two main initiatives to address workplace harassment: the continuation of our e-learning on integrity and the launch of a dedicated action plan addressing workplace behaviour.

E-learning on integrity

In October 2023, we launched a mandatory in integrity e-learning programme for management and office personnel, aimed at reinforcing the PostNL Business Principles and addressing undesirable behaviour, including harassment and violence. By January 2024, nearly 99% of the target group—2,850 employees—had completed the course, which is also integrated into our onboarding process to foster a safe and respectful workplace. The programme will be reviewed in 2025 to ensure it remains relevant to employees’ needs. More information on how we institute and monitor integrity e-learning can be found in the Our policies and Our performance of the Governance disclosures in the Sustainability statement.

Action plan on workplace behaviour

In 2024, we initiated a comprehensive action plan to prevent and address undesirable behaviour, focusing on promoting positive conduct, improving incident management, and raising awareness among all employees, including non-permanent staff. Continuing into mid-2025, this plan enhances our processes and governance, underscoring our commitment to a safe, respectful, and inclusive workplace that prioritises employee well-being.

Equality and opportunity for everyone

Advancing diversity, equity and inclusion

At PostNL, our diversity, equity and inclusion (DEI) progress is anchored in a comprehensive diversity policy built around six key themes: gender equality, multicultural diversity, LGBTIQ+ acceptance, age differentiation, diversity in cognitive abilities, and supporting access to the labour market. We remained committed throughout the year to fostering a workplace that reflects society, leveraging the full potential of our diverse workforce and ensuring an inclusive environment at every level of the company.

DEI survey

Every four years, we conduct our company-wide DEI survey, which provides essential insights into whether our employees feel accepted and are given equal opportunities. The DEI survey centres on the following two themes:

• Diversity: This theme examines the visibility of diversity within the workplace, including factors such as age, background, and varied perspectives

• Equity: This theme focuses on equal treatment and equal opportunities for everyone.

• Inclusion: This theme focuses on fostering an environment where individuals feel empowered to be themselves, with their unique differences recognised and appreciated.

In 2024, 5,400 employees participated in the survey. The results showed that we scored lower than 2020, with significant differences between business units. While this trend aligns with a broader hardening in societal attitudes, we want to improve and have therefore launched the following targeted initiatives:

CBS

To further support managers in effectively dealing with diverse behaviours, we introduced two targeted training programmes: Dealing with Aggression and Professional Behaviour on the Work Floor, fostering a safer and more inclusive workplace environment.

Mail in the Netherlands

We introduced a programme focusing on collaboration and listening.

E-commerce

We rolled out projects to strengthen engagement and social safety, including the ‘Attention’ and ‘I work as a parcel deliverer’ (IWAP) initiatives. Through the Attention project, we aim to listen better and give even more attention to our employees, while IWAP focuses on reducing turnover among parcel deliverers.

Additionally, in partnership with the central works council, we developed a procedure to address undesirable behaviour, including a reporting point, guidance on behaviour standards, and training for leaders. We appointed two internal confidential advisors.

Based on the survey findings, we have also evaluated and updated our DEI policy to reflect a new DEI framework. This policy guides us in taking focused steps towards a safer and more inclusive work environment across the company.

Promoting DEI across the company

Throughout the year, we continued to promote DEI both within PostNL and across our value chain. PostNL meets the binding diversity quota for the Supervisory Board and has set ambitious diversity targets for the Executive Committee (EC) and senior leadership.

Under our DEI policy, we aim to ensure balanced representation within our Board of Directors. For a two-member Board, we aim to appoint at least one woman and at least one man, reflecting our commitment to gender diversity. In alignment with the legal framework governing Board composition, we adhere to the requirement that the Board should consist of no less than one-third men and one-third women. We are also driven by an ambitious long-term vision: to achieve 36% female representation in senior management, including members of the Executive Committee, by 2030.

In 2024, the share of females in operational management positions was 24% (2023: 28%), in middle management 35% (2023: 34%) and in senior management 35% (2023: 33%). One example of how we achieve this is through our Women Inclusion Network (WIN, detailed below), which has carried out a vertical mobility study to understand perceptions of the ‘glass ceiling’ and explore how PostNL can better support the advancement of women into senior management roles. One such initiative is the WIN mentoring programme, which fosters the personal and professional growth of women by connecting them with senior management mentors. These efforts are key to strengthening gender diversity at all levels of the organisation, ensuring we continue to create an inclusive and equitable workplace.

We also collaborate with partners to uphold these values throughout our operations, encouraging others to adopt similar standards using our Diversity Index as a benchmark. To further our commitment, we train recruiters and managers on unconscious bias and provide tools to work effectively with diverse cultural backgrounds. This inclusive approach is embedded in our recruitment and selection processes.

To make our diversity themes a reality, we focus on four key areas, outlined below. Each of these is sponsored by members of the EC, who provide regular updates to the Supervisory Board on our progress. This structure ensures that DEI remain a strategic priority, fully supported by PostNL’s leadership at the highest level.

PRIDE POSTNL - LGBTIQ+ network

Our LGBTIQ+ network champions the acceptance and inclusion of the LGBTIQ+ community across PostNL, actively campaigning for greater awareness and understanding.

Women Inclusion Network (WIN)

WIN is dedicated to empowering women within PostNL by supporting their professional growth. The network’s mentoring programme, involving senior management as mentors, helps talented women develop the skills and confidence to take on leadership roles within the company.

Young PostNL

The Young PostNL network nurtures young talent within the company, organising events and initiatives aimed at fostering professional development and engagement among younger employees.

Multicultural diversity

Focusing on attracting, retaining, and developing multicultural talent, this area emphasises creating a rich and diverse workforce that reflects the global community we serve.

Each of these networks and areas is sponsored by members of the EC, who provide regular updates to the Supervisory Board on our progress. This structure ensures that DEI remain a strategic priority, fully supported by PostNL’s leadership at the highest level.

Inclusive employment

Another important aspect of our commitment to equality and opportunity for all is our focus on inclusive employment, particularly for individuals with a distance to the labour market. Currently, 8% of our total mail delivery hours are carried out by people from this group. In 2024, we continued working with social organisations and specialist agencies to employ over 3,300 individuals with a distance to the labour market, over 1,426 of whom were directly employed by us. These employees are supported by job coaches and work in close collaboration with sheltered workplaces.

Our PSO certification (Performance Ladder for Social Entrepreneurship) signifies our dedication to helping persons with disabilities or in need of guidance accessing the labour market, going beyond standard practices to promote social inclusivity. This certification, widely recognised in the Netherlands, reflects our structured efforts to create employment opportunities for people with a distance to the labour market. Maintaining level 3 of this certification is part of our ambition, demonstrating that we meet the highest standards of social entrepreneurship. It reinforces our commitment to creating a more inclusive workplace, contributing to societal well-being while strengthening our position as a socially responsible organisation.

Equal pay for equal work

PostNL is committed to the principle of equal pay for equal work, regardless of gender or background. We advocate for equal opportunities for all and ensure compliance with statutory minimum wage levels. Our payment policy is designed to avoid any form of discrimination and to promote fairness. As a socially responsible organisation, we believe it is vital to lead by example in ensuring fair and equal pay, while making a positive impact on society. Our pay policies are built on the principles of equality, transparency, and consistency, which are embedded in our job grading system and salary structure. These policies are primarily governed by CLAs, developed in collaboration with trade unions.

The unadjusted gender pay gap highlights the difference between the average gross hourly earnings of male and female employees in the Netherlands. By contrast, the adjusted gender pay gap provides a more detailed and balanced measure, taking into account factors such as CLAs, job levels, and age groups. This adjusted figure offers a clearer picture of how we address the principle of equal pay for equal work.

Results 2024

In 2024, our unadjusted gender pay gap stood at 6.67%, a notable improvement compared to 2023 (9.27%). This reduction reflects progress in closing the gap, which primarily arises because a higher proportion of male employees occupy roles in higher salary scales. Meanwhile, our adjusted gender pay gap for 2024 was 0.15% (2023: -0.05%), demonstrating that men and women continue to receive nearly equal pay for equivalent roles.

Further analysis confirms that pay differences between men and women within the same salary scale remain minimal. While we are encouraged by this outcome, we are not complacent. We will continue to analyse our gender pay gap and integrate the insights gained into our standard processes. In addition, we are actively fostering a diverse working environment through various initiatives, such as an updated recruitment and selection process for senior management roles.

Next steps

Looking ahead, the EU Pay Transparency Directive is set to come into effect in mid-2026, requiring implementation into national law. In preparation for this, we have already begun aligning our processes with the forthcoming legislation, ensuring they are consistent with our commitment to equal pay for equal work.

Training and talent management

At PostNL, we are committed to fostering the growth and development of our employees. By offering comprehensive training programmes, we empower our workforce with the skills needed to thrive both in their current roles and in the future. Our approach centres on three key pillars: license to operate, license to perform, and shaping a learning culture.

License to operate

Through our license to operate trainings, we ensure employees possess the necessary certifications, skills and knowledge to perform their roles safely and effectively. This boosts productivity, reduces operational risks, and enhances job satisfaction.

We are committed to equipping our workforce with the necessary skills and knowledge to operate safely and efficiently. For example, the 800 drivers who work within our time-critical network (TGN) receive structured training through a combination of on-the-job sessions and online e-learning via the Mijn Leerplein learning platform. To ensure compliance and safety, all drivers must complete mandatory training—including hazardous materials training—within two months of starting their role. Additionally, new drivers undergo a foundational training programme to build essential skills from the outset.

In 2024, 20 participants successfully completed a comprehensive driver training programme, while all 800 drivers refreshed their knowledge through targeted training sessions. Additionally, 800 employees took part in essential work instruction training, reinforcing safety and operational best practices. To enhance job-specific learning, we utilise Knowingo, an innovative platform that leverages gamification and artificial intelligence to make training engaging, personalised, and effective. Through interactive quizzes accessible via smartphones, Knowingo adapts the learning experience to each user’s knowledge level and learning needs, ensuring maximum retention and impact. This platform enables us to efficiently train employees across various roles, including mail deliverers, sorters, and call centre staff, by reinforcing factual knowledge and increasing awareness.

During the year, a total of 6,018 employees from seven different departments—5,129 of whom were mail deliverers—engaged with Knowingo, completing an average of 46 quizzes each. Collectively, this amounted to 4,588 hours of training, underscoring our ongoing commitment to continuous learning and professional development.

License to perform

Our license to perform trainings are designed to prepare employees for future job demands, ensuring sustainable employability and organisational growth. in 2024, 72 employees completed leadership development programmes, including tertiary vocational education (MBO) for logistics supervisors. Additionally, Mail in the Netherlands restructured its operations in the Netherlands, leading to the creation of new roles based largely on existing roles. To support this transition, 381 employees across various organisational levels completed relevant training, with a strong emphasis on fostering a culture of change.

PostNL Recruitment and career development as indicated
2023 - 2024

During 2024, training hours per FTE increased from 21 to 25, driven by more new hires in operational roles. Average training costs per FTE rose from €711 to €828, mainly due to higher wage costs.

Shaping a learning culture

At PostNL, we cultivate a learning culture by providing employees with easy access to development opportunities through our learning platform, Mijn Leerplein. This fosters an agile, adaptable workforce. In 2025, we will pilot Mijn Leerplein access for segments of the value chain, starting with e-commerce. By enhancing platform usability and integrating tools like Goodhabitz, we have tailored learning experiences to individual needs, increasing engagement across the workforce.

We also continued to expand our training offerings with new Digital Learning Labs, informed by the latest industry trends and developments. These labs focus on three strategic pillars: elevating the customer experience, accelerating our digital transformation, and embedding an agile way of working. In 2024, our employees completed an impressive 330 Digital Learning Labs. Additionally, we also hosted an AI Hackathon, attracting 75 enthusiastic participants. This underscores the increasing interest and commitment to developing AI-driven solutions while equipping our workforce with vital digital skills for the future.

By delivering such targeted initiatives, we empower our people to stay innovative, adaptable, and aligned with our strategic ambitions, ensuring we consistently deliver exceptional value to our customers and stakeholders.

Collective labour agreements

New CLA for PostNL mail deliverers

In April, we signed a new collective labour agreement (CLA) with trade unions BVPP and CNV that covers around 15,000 mail deliverers. The CLA runs from 1 January 2024 through 31 December 2025, and provides mail deliverers with improved employment conditions and a pay rise of at least 19%. The CLAs are an important element in maintaining the human rights of all PostNL employees. More information on the policies that uphold the human rights of our people can be found in the Our policies section of the Social disclosures in the Sustainability statement.

Rising pay and improved employee benefits

A key element of the new CLA is the new pay structure, where we have introduced an option allowing mail deliverers to receive higher pay that reflects their level of experience, as well as the increase in the legal minimum wage. There will be multiple pay increases in the course of the new CLA, the first of which – the legally required raise of 9.9% – came into force on 1 January 2024, while the last will take effect on 1 July 2025. By that date, pay will have increased by between 19% and 25% relative to 31 December 2023. In addition to these pay rises, other agreements include higher pay for 16- and 17-year-olds, an end to youth wages from age 18, a bonus payment for mentors, higher bike allowances and monthly payment of the holiday allowance for new mail deliverers.

New CLAs for PostNL and Saturday deliverers

In 2024, we finalised new CLAs for PostNL and Saturday deliverers, which came into force on 1 April 2024 and extend through to 30 June 2026. These agreements outline a structured total pay increase of 7%, implemented as follows: a 2.5% increase effective from 1 July 2024, 1.5% from 1 January 2025, a further 1.5% from 1 July 2025, and an additional 1.5% from 1 January 2026. The initial increase from July 2024 was paid retroactively in December.

Additionally, as of 1 January 2025, youth wages from age 18 have been discontinued. To reflect these adjustments, the salary structure has been revised accordingly in the new CLAs. The agreements will also incorporate other employment conditions, including provisions for the individual RVU (early retirement scheme), the bicycle scheme, and special leave for prospective parents.

Social plan

In January 2025, we reached an agreement with trade unions on a new social plan, applying to all employees covered by the PostNL collective labour agreement. The social plan took effect on 1 January 2025 and will run until 31 August 2027.

Changes to the minimum wage in the Netherlands

As of 1 January 2024, the minimum wage increased by 22%-29% compared to 31 December 2022. For PostNL, and depending on the applicable collective labour agreement, this resulted in higher wages paid of €40 million - €45 million compared to 2023. We expect 18,000 employees from across the company to benefit from this.

Workers in the value chain

We engage proactively with workers along the entire value chain to address material impacts and ensure responsible business practices. Through regular dialogue with delivery partners and suppliers, we address working conditions and promote ethical standards across the value chain. Our approach to managing material risks and opportunities for value chain workers includes implementing strict supplier codes of conduct, conducting audits, and promoting fair labour practices.

We also assess the effectiveness of these actions through audits, feedback mechanisms, and compliance tracking, while setting clear targets to mitigate negative impacts, enhance positive outcomes, manage risks, and develop opportunities. These targets include improved working conditions, ethical sourcing, and sustainability initiatives throughout the supply chain.

Several of our key policies are also applicable to employees across our value chain, including our business principles, the health and safety policy, and the PostNL Group whistleblowing procedure. These policies are structured to foster a work environment where the well-being, safety, and rights of all individuals within our value chain are upheld and safeguarded. More information can be found in the Workers in the value chain section of the Social disclosures in the Sustainability statement.

Updated delivery partners' guideline

In 2024, we introduced a new delivery contract and the Guideline for Delivery Partners to enhance working conditions and safety across our value chain. The implementation of the contract and guidelines for all delivery partners at Parcels in the Netherlands took place between January and April 2024, while at Parcels in Belgium, it commenced on 1 February 2024 and addresses regulated working hours, workplace safety, and the prevention of violence and harassment. Regular audits, feedback systems, and partner engagement ensure compliance, reducing risks such as overwork and workplace violence while fostering employee well-being. Aligned with our commitment to diversity, equality, and inclusion, this initiative supports equal treatment and protection across all levels of our organisation.

Rolling out a third-party risk management tool

Building on the introduction of third-party risk management (TPRM) in 2023 to ensure compliance with PostNL’s business principles and OECD guidelines, in 2024 we piloted a TPRM tool in the Netherlands and Belgium. The tool enhances oversight of health and safety, addressing compliance issues such as working-time violations and harassment, while reducing operational and reputational risks, and enables us to both monitor and intervene on incidents. Aligned with our ISO:45001-certified health and safety management system, this initiative reinforces our commitment to responsible value chain management and worker well-being. More information on this can be found in the Workers in the value-chain section of the Social disclosures in the Sustainability statement.

Compliance with the Belgian Postal Act

As from January 2024, PostNL Belgium introduced measures to strengthen compliance with the Belgian Postal Act, which was amended by the new Parcel Delivery Act. More information on this can be found on pages 322-323 in the Workers in the value-chain section of the Social disclosures in the Sustainability statement.

PostNL Belgium acquitted in case involving delivery partners

In Belgium, the labour inspectorate filed several criminal cases against (among others) PostNL Belgium in 2022, regarding alleged breaches of applicable social laws and regulations of delivery partners. In 2024, PostNL Belgium and its directors were acquitted of all charges. For more information on the cases please see page 107. PostNL will continue to foster strong, sustainable partnerships.

Introduction of external audits to improve supply chain oversight

In 2024, we enhanced oversight of delivery partners in the Netherlands by introducing an external audit step for flagged irregularities, complementing the existing requirement for PayChecked certification to ensure compliance with wage and contract regulations. This measure, implemented in the first quarter, strengthens supply chain oversight, mitigates risks related to working hours and payment issues, and supports our commitment to high labour standards. Issues identified during audits must be resolved within a set timeframe, with continued non-compliance potentially resulting in contract termination. These efforts reinforce worker protections and align with our strategic goals.

Monitoring satisfaction of delivery partners

Since 2016, PostNL has monitored the satisfaction and working relationships with delivery partners through our annual Collaboration Barometer. The 2024 study assessed feedback from 183 delivery partners (56% response rate) and 1,041 parcel deliverers (34% response rate) to identify strengths and improvement areas in collaboration.

In the Netherlands, 62% of delivery partners said they were (highly) satisfied with PostNL as a customer (2023: 65%). In Belgium, 80% of delivery partners said they were satisfied with PostNL as a customer (2023: 69%). The main strengths were identified as clear expectations in daily work, satisfaction with depot contact and general information, and improvements that were made in accessibility and information provision. However, it was felt that there was room for improvement in depot atmosphere, responsiveness to questions, and timely updates on rate and process changes. Going forward, we will use the feedback to improve our processes and how we collaborate.

PostNL Collaboration barometer percentage
2023 - 2024

Positively impact society

At PostNL, we take pride in actively contributing to the well-being of the neighbourhoods and communities we serve, enhancing our presence through community engagement and positive involvement. We foster strong relationships by supporting local initiatives, including via the PostNL Special Moments Fund, which helps people celebrate meaningful events, supports children's charities, and strengthens community bonds. By aligning our business with neighbourhood needs, we aim to support and enrich the communities where we operate, fostering goodwill and long-term connections. And we also take pride in our sponsorship activities, for example of professional cycling team Team Picnic PostNL.

Proud partner of cycling team - Team Picnic PostNL

In 2024, PostNL proudly continued its sponsorship of the cycling team Team Picnic PostNL, celebrating the team’s remarkable victory in the opening stage of the 2024 Tour de France, to secure the yellow jersey. Reflecting our commitment to equality and progress, we are equally proud to support the announcement that from 2025, both the men’s and women’s Team Picnic PostNL WorldTour programmes will operate under the same minimum wage.

This partnership exemplifies our values and identity, as cycling is at the heart of PostNL’s operations. Every day, our mail deliverers rely on bicycles to ensure timely deliveries across the Netherlands, even in the most challenging weather conditions. As a company deeply rooted in both the Netherlands and Belgium—countries where cycling is much more than a sport but a way of life—this collaboration represents a natural synergy. Team Picnic PostNL embodies the spirit of community, determination, and sustainable mobility, all of which resonate with our purpose. Together, we go beyond delivering parcels and mail: we celebrate the victories, large and small, that connect people, inspire communities, and move us forward.

The partnership also underscores our commitment to promoting sustainable practices, as cycling aligns seamlessly with our broader sustainability goals. Whether on the podium of the Tour de France or in the streets of towns and cities across the Netherlands and Belgium, we share a passion for helping society.

PostNL Special Moments Fund

The PostNL Special Moments Fund collaborates with charities and social organisations to foster stronger connections within society. Through the active involvement of our employees, we focus on enhancing the well-being of local communities and their residents.

Our initiatives are designed to provide meaningful support to those who need it most, reflecting our commitment to building a more inclusive and connected society. For example, in a survey of 2,300 postal and parcel deliverers, 95% of deliverers said they feel a strong connection to the neighbourhoods where they work, while 80% said that the Special Moments Fund projects enhance their sense of pride in their role as deliverers. These initiatives are centered on three main areas, which we highlight below along with key projects we were involved in during the year.

Paying attention to the community

Every day, our parcel and mail deliverers visit every street across the country. Through their regular presence, they build a connection with local communities, often exchanging a wave or a friendly word with residents at their doors. When a new baby is born in the neighbourhood or someone is celebrating a birthday, our deliverers may go the extra mile by leaving a card with a personal message in the letterbox, adding a thoughtful touch to their delivery. In 2024, over 250,000 cards were requested by our deliverers to place in the mailboxes of local residents, fostering personal connections and community spirit. Among these, the Christmas card stood out as a favourite, with 50,000 requests recorded.

Our research shows that more than 70% of mail and parcel deliverers say they have occasional concerns about someone to whom they deliver a letter or parcel. More than 90% of delivery staff indicated that they find it appropriate to keep an eye on things in the neighbourhood. If our deliverers notice something concerning, such as a resident who may not be doing well, they have the option to voluntarily and anonymously report this to local welfare organisations, providing an additional layer of care for the community. To achieve this, we work together with the trade association Sociaal Werk Nederland, and in 250 municipalities delivery staff can now report their concerns about a local resident to a local welfare organisation. In 2024, our people made more than 550 reports.

Ensuring a visible presence in neighbourhoods

Our delivery staff visit every street, every day. This daily presence enables us to deliver special mail and packages for charitable causes with care and dedication, while playing an active role in many community initiatives. These include:

Stichting Jarige Job

In 2024, we continued our partnership with Stichting Jarige Job, a foundation that ensures children from low-income families in the Netherlands receive a gift box to celebrate their birthdays. We play an active role by delivering these birthday packages directly to families' homes. We delivered tens of thousands of packages for Jarige Job during the year, ensuring that children across the country enjoyed a special birthday thanks to the foundation's support. In January, gifts were collected as part of the 'Mooi Gebaar' (Nice Gesture) campaign. Additionally, throughout the year, around 200 PostNL employees volunteered to pack gift boxes during team outings, an initiative designed to give back to society.

Stichting Kinderpostzegels Nederland

In 2024, we proudly celebrated the 100th anniversary of Kinderpostzegels under the inspiring motto, “Every child deserves a superpower.” The initiative began in 1924 with the issuance of stamps bearing a surcharge to support disadvantaged children, a response to the aftermath of the Spanish flu. We are honoured to continue our unique partnership with Stichting Kinderpostzegels Nederland. In 2024, the mission remains as vital as ever: creating opportunities for children in need.

National Foundation for the Elderly

The National Foundation for the Elderly works to prevent loneliness, reduce vulnerability, and promote self-reliance among the elderly. Each year, in collaboration with PostNL and Kidsweek, they organise the Great Christmas Card Campaign. Through this initiative, together with schoolchildren, in 2024, we delivered 220,000 Christmas cards to the elderly, helping them feel a little less alone during the holiday season, supported by an extra card campaign run in a Dutch magazine and with a national retailer.

King's Games

With the King’s Games, we demonstrate that being active is both healthy and fun. The day starts with a communal breakfast, followed by a series of sports and activities. PostNL delivers the sports and party packs for the King’s Games to all participating schools. In 2024, more than 1.3 million students from round 6,300 primary schools participated, supporting a nationwide initiative to promote an active and healthy lifestyle among young people.

Salvation Army

The Salvation Army’s community living rooms offer a warm welcome to everyone for a cup of coffee and a chat. To help raise awareness for these spaces, since 2022 we have been placing APLs at their locations, and now have nine across the country. For every parcel placed in these lockers, we make a donation to the Salvation Army, and in 2024 the number of parcels collected at these locations led to a donation of 10,000 cups of coffee.

Deepening engagement with local residents

Many of our PostNL employees are dedicated volunteers alongside their regular work. Each year, they have the opportunity to request a donation for the association or foundation they support through their volunteer efforts, and in 2024 a total of 200 local associations and foundations were helped with a donation. These donations can go toward initiatives such as new sports uniforms or organising a celebratory lunch. By providing these contributions, we help make things possible that might not otherwise happen. In doing so, we offer a helping hand to those who need it most.

Consumers and end-users

As the designated universal service provider (USP) in the Netherlands, we are committed to delivering reliable and affordable postal and parcel services to consumers and users alike. Our core responsibility is to ensure these services remain accessible to all, fostering inclusivity and maintaining affordability, thereby enhancing social cohesion across the country. This section highlights the vital role we play in connecting communities and supporting society through equitable and consistent service delivery. This dedication underpins our efforts to make our products and services available without discrimination, ensuring everyone can benefit. More information can be found in the Consumers and end-users section of the Social disclosures in the Sustainability statement..

Accessible products and services

In alignment with our human rights policy, we have committed to improving the accessibility of both our physical and digital services, particularly for individuals with disabilities or impairments. This reflects our ongoing focus on inclusivity. Our commitment spans multiple areas: accessibility, affordability, and cybersecurity, which are integral to our operations. These commitments align with the results of our double materiality assessment (DMA), ensuring that we address the needs and expectations of all stakeholders.

While there is no single group-wide policy focused solely on access to products and services, relevant elements are embedded in various documents, such as our human rights policy and business principles. Our cybersecurity policy, in particular, reflects the critical importance we place on privacy and safeguarding customer data and services (more information on how we address privacy can be found in the Protecting data and privacy section of the Corporate governance chapter).

In 2024, we prioritised making our services more accessible, secure, and reliable through various initiatives focused on digital and physical access, affordability, and cybersecurity. These efforts ensure that all consumers, groups with digital and physical accessibility challenges, benefit from an inclusive and secure experience.

Digital accessibility

To improve accessibility and ensure a seamless digital experience for all users, we focused on two key initiatives: aligning our digital platforms with the European Accessibility Act (EAA) requirements and introducing a refreshed branding strategy that prioritises usability and inclusivity.

European Accessibility Act (EAA) compliance

We formalised policies to ensure our digital platforms are accessible to everyone, including people with disabilities, ahead of the 2025 EAA requirements. Our approach includes an in-depth investigation into the accessibility of our digital channels and ongoing research to better serve user groups with digital accessibility challenges, such as those with low literacy.

New digital branding

We rolled out a new branding strategy that aligns with accessibility standards, ensuring a consistent and user-friendly experience across all digital communication channels. These actions will lead to better customer experiences, higher accessibility standards, and compliance with regulatory requirements, making our services easier to use for all.

Improved service accessibility

To better meet the evolving needs of our customers, we continued to expand our physical network in 2024. We increased the number of PostNL points in Belgium and increased the number of APLs in the Netherlands, including in locations that are close to hospitals and homes for the elderly. These expansions improve the ease and reliability of accessing our services, providing more convenient options for consumers to send and receive parcels, ultimately contributing to greater social inclusion and customer satisfaction.

Cyber security

To protect our consumers' data and build trust in our services, we implemented two major initiatives in 2024: an anti-phishing code integrated into e-mail communications and the launch of the PostNL eID system. PostNL eID is a secure digital identity system aimed at providing enhanced protection for consumers managing personal services, such as setting delivery preferences, re-routing parcels, and accessing Mijn PostNL. The PostNL eID is integral to our broader objectives of offering secure, inclusive, and accessible digital services. By validating user data through secure methods, such as transaction data, physical mail, or iDIN verification, we significantly mitigate the risk of unauthorised access.

These measures play a crucial role in safeguarding consumer information, reducing the risk of unauthorised access, and reinforcing the security of PostNL’s digital platforms, ensuring that customers can interact with us safely and confidently.

We also strengthened our cyber security programme, with key improvements including the introduction of an information security management system (ISMS) and the enhancement of third-party risk management. These initiatives are essential to protecting consumers from security threats, ensuring the safety of their data, and providing a seamless, secure digital experience across all of PostNL’s services. More information can be found in the Our policies of the Consumers and end-users section in the Sustainability statement.

Generate sustainable growth and cash flow

The challenging macroeconomic and geopolitical environment continued to impact the company. The uncertainty surrounding macroeconomic developments and client behaviour makes it difficult to determine short-term developments in the e-commerce market, where volume projections are becoming increasingly volatile, both for our customers and thus for us. At the same time, the company continues to deal with further cost pressure, mainly related to our main financial risk of total cost of labour, due to a tight labour market, high levels of sick leave, and rising wages.

The effect of severe inflationary pressure, as main explanation for organic cost increases of €137 million, was largely offset through €129 million in price increases. PostNL is taking all necessary adaptive measures and is focusing on strict cost control in the near term. In 2024, we announced additional cost-saving measures. Some measures were implemented immediately but most of them will contribute to our results in 2025. €41 million of cost savings for PostNL were achieved in 2024. Thanks to well-executed cash and balance sheet management, we achieved our outlook for free cash flow and normalised comprehensive income.

In current challenging circumstances, we put in relentless effort on adapting our operations and offerings with ongoing attention for our customers, while improving efficiency and capacity utilisation. Nevertheless, as a response to the financial performance and changing market dynamics we will adjust elements of our strategy.

We aim to capture value through smart yield management, for example by driving value through smart services and delivery options, enhancing pricing strategies based on data and insights, and balancing volumes and value for effective margin management.

We continue to invest in the performance of our operations, both in terms of network capacity, synergies and digitalisation, while enhancing cost efficiency and delivering high-quality services. At Parcels, we worked to balance volume, value and capacity.

At Mail in the Netherlands, the sharp decline in result compared to 2023 underlines that, if we want to keep mail reliable, accessible and affordable for everyone in the Netherlands, we need to look at changes to the current service framework, and both the universal service obligation (USO) and the entire mail business need to evolve with this. More information on this, including PostNL’s request for temporary government financial support under the Dutch General Administrative Law Act to cover net USO costs for 2025 and 2026, can be found in the Future of Mail box in the Our operating context chapter.

Our goal remains to provide short- and long-term financial value to allocate our financial resources to optimise our value creation model and to enable our financial stakeholders to obtain an attractive return.

Throughout this chapter we provide detailed insights into how we performed on our strategic objective to generate sustainable growth and cash flow in 2024.

Performance summary

Revenue and normalised EBIT

PostNL Business performance in € million
2023 - 2024

• 1 Note: Normalised figures exclude one-offs in 2024 €15 million and in 2023 €7 million.
• 2 As from 1 January 2024, parcel volumes also include domestic Belgian volumes. The comparative figure for 2023 has been adjusted accordingly (+3 million items)

PostNL applies the key performance indicators (KPIs) of revenue, normalised EBIT and free cash flow in its management analyses and reports on profitability performance. Normalised EBIT gives a reflection of the operating income performance, adjusted for the impact of project costs and incidentals. Free cash flow gives a reflection of our ability to generate cash available for dividend distributions, acquisitions, and/or debt repayments.

Normalised EBIT and free cash flow represent non-GAAP financial measures and should not be viewed in isolation as alternatives to the equivalent IFRS measures, which are presented in the consolidated financial statements, but should be used in conjunction with the most directly comparable IFRS measures. Non-GAAP financial measures do not have a standardised meaning under IFRS and therefore may not be comparable to similar measures presented by other issuers.

Group

In 2024, revenue increased by 2.7% to €3,252 million (2023: €3,165 million). The global macroeconomic and geopolitical environment as well as customer behaviour impacted growth in domestic volumes at Parcels, while international volumes grew strongly. The structural volume decline continued at Mail in the Netherlands.

In 2024, normalised EBIT amounted to €53 million (2023: €92 million). The resulting margin, being normalised EBIT divided by total operating revenue, was 1.6% in 2024 (2023: 2.9%). Compared to 2023, normalised EBIT decreased by €39 million in 2024.

Normalised EBIT in 2024 includes €137 million in organic cost increases, of which around €118 million is explained by pressure on labour costs due to collective labour agreement increases, minimum wage increases and indexation of delivery partners. The remaining €19 million is caused by higher inflation and international transportation costs.

PostNL Normalised EBIT development in € million

Normalised EBIT excludes exceptional items, which amounted to €(15) million in 2024 (2023: €(7) million). Further information on the bridge from operating income to normalised EBIT can be found in note 2.7 Segment information to the Consolidated financial statements.

Parcels

In 2024, we delivered 371 million parcels (2023: 346 million, including domestic Belgian volumes, the comparative figure for 2023 has been adjusted: +3 million items). This resulted in a 7.2% volume growth compared to 2023.

PostNL Volume development Parcels in million

Revenue grew to €2,370 million (2023: €2,260 million) driven by volume growth. However, the shift in product and customer mix was unfavourable while prices increased. Revenue at Spring was up, mainly driven by Asia.

PostNL Normalised EBIT Parcels in € million

Normalised EBIT increased by €2 million, from €47 million in 2023 to €49 million in 2024.

Organic costs increased by €62 million due to collective labour agreement increases, higher wage costs as the minimum wage increased and indexation of delivery partners. Other costs decreased by €34 million, mainly caused by efficiency improvements.

Other results increased by €10 million, amongst others caused by higher normalised EBIT from Logistics Solutions and Spring, driven by higher revenues.

Mail in the Netherlands

In 2024, we delivered 1,605 million items of mail (2023: 1,745 items). This resulted in a reported volume decline of (8.0)% compared to 2023, mainly due to ongoing substitution. The impact from elections was (1.1)%.

PostNL Volume development Mail in the Netherlands in million

Revenue at Mail in the Netherlands decreased to €1,338 million (2023: €1,373 million), mainly showing the impact of the ongoing volume decline in addressed mail. The volume decline, combined with a positive price effect that was partly offset by a negative mix effect due to a shift in products, had an impact of €(29) million on the result of Mail in the Netherlands.

PostNL Normalised EBIT Mail in the Netherlands in € million

Normalised EBIT decreased by €31 million to €19 million (2023: €50 million). The net volume/price/mix effect of €(29) million was partly compensated by lower volume-dependent costs of €18 million. Organic costs increased by €47 million mainly due to collective labour agreement increases, increases to the minimum wage and inflation.

Other costs improved by €20 million, as cost savings of €41 million were partly offset by additional costs related to illness rates, staff shortages and some other, partly non-recurring, effects. Other results were up €7 million, mainly explained by international mail.

PostNL's position on the Future of Mail in the Netherlands can be found in the Our operating context chapter.

PostNL Other

Revenue at PostNL Other in 2024 amounted to €240 million (2023: €245 million). This revenue is mainly inter-company revenue related to IT. Normalised EBIT decreased from €(5) million in 2023 to €(16) million in 2024. The decline, amongst others, reflected organic costs increases and higher other costs, for example related to the co-title partnership with the cycle team dsm-firmenich PostNL (now: Picnic PostNL).

Personnel expenses

Salaries, pensions and social security contributions amounted to €1,120 million (2023: €1,100 million). An increase in costs due to collective labour agreement increases, increases to the minimum wage and higher additions to the WGA provision following a high rate of absenteeism, was partly offset by lower costs due to a decrease in FTEs from 20,851 in 2023 to 20,151 in 2024. The reduction of FTEs in 2024 related mainly to cost-savings initiatives within operations in Mail in the Netherlands. Additionally, the tight labour market impacted PostNL’s ability to maintain adequate staffing levels during 2024. Furthermore, absenteeism increased from 7.7% in 2023 to 8.5% in 2024.

Financial income and expense

In 2024, the net financial expense amounted to €8 million (2023: €2 million). The increase of €6 million was mainly due to higher interest expenses from the new sustainability-linked eurobond that was issued in June 2024, which replaced a bond with a lower coupon that matured in November 2024.

Income taxes

In 2024, the income tax expense amounted to €6 million (2023: €24 million). The decrease of €18 million is predominantly explained by the decrease in operating income.

Profit from continuing operations

In 2024, the profit from continuing operations amounted to €19 million (2023: €54 million). On top of the increase in normalised EBIT as explained earlier, including income tax impact, the profit of continuing operations mainly includes a lower result on financial expenses and income.

Discontinued operations

In 2024, the result from discontinued operations was €(1) million (2023: €1 million) mainly relating to our former activities in Italy.

Key figures

PostNL Key figures in € million
2023 - 2024

Free cash flow

PostNL Free cash flow in € million
2024

We prioritise capital allocation based on a sound financial framework, taking into account developments in our results, return on invested capital and cash conversion, to fund further growth and provide sustainable shareholder returns. Throughout the year we continued to invest in our business and digital transformation to strengthen our competitive position.

Free cash flow is defined as cash flow before dividend, acquisitions, redemptions of bonds and other financing activities, and after payment of leases. The repayment of leases and related cash flows, reported as cash used in financing activities following the adoption of IFRS 16, are as such included in our calculation of free cash flow.

Our free cash flow decreased by €40 million to €12 million in 2024 (2023: €52 million). This decline is mainly caused by the lower business performance and a less favourable working capital development, only partly compensated by lower capital expenditure in 2024 compared to 2023. The strong focus on capex as well as strict working capital management contributed to the cash flow performance.

Return on invested capital

Our aim is to generate a positive spread of the return on invested capital (ROIC) over the post-tax WACC (8.4% for the Group). PostNL defines ROIC as net operating profit less adjusted tax (NOPLAT) divided by invested capital. For 2024, the ROIC for the Group was 2.4% (2023: 5.3%). The negative spread over the WACC in 2024 was (600) basis points. The decrease of the ROIC compared to 2023 is for a large part explained by a decrease in the NOPLAT. Invested capital slightly decreased versus 2023 due to a lower level of excess cash (redemption of a bond of €353 million versus issuance of a new bond of €297 million).

PostNL Return on invested capital in € million, unless indicated otherwise
2023 - 2024

Adjusted net debt

As at 31 December 2024, adjusted net debt amounted to €474 million (2023: €462 million). The increase of €12 million was mainly explained by the inclusion of the WGA self-insurance provision of €38 million, new leases and lease modifications/reassessments of €65 million in total and dividend payments of €22 million, partly offset by positive net cash from operating and investing activities of €107 million. See note 4.1 Adjusted net debt to the Consolidated financial statements for more information.

In June 2024, PostNL issued a €300 million sustainability-linked bond with a term of seven years, maturing on 12 June 2031. The annual coupon is 4.750%. The transaction highlights the company’s commitment to sustainability and accelerates its transition into a sustainable e-commerce logistics provider. The net proceeds will be used for general corporate purposes.

PostNL Adjusted net debt in € million
2023 - 2024

• 1 The lease liabilities (off balance) are the net present value of the Off balance sheet commitments relating to leases from note 3.9 of €11 million (2023: €10 million).
• 2 The deferred tax assets relate for €10 million to the WGA self-insurance provision, for €69 million (2023: €74 million) to on balance lease liabilities, see note 3.7 Deferred income taxes and for €2 million (2023: €2 million) to off balance lease liabilities.

Leverage ratio

The leverage ratio, being adjusted net debt divided by adjusted EBITDA, deteriorated from 1.70 in 2023 to 1.95 in 2024, below our target to not exceed 2.0.

PostNL Leverage ratio in € million, unless indicated otherwise
2023 - 2024

Consolidated equity

Total equity attributable to equity holders of the parent company increased to €202 million at 31 December 2024 (2023: €198 million). The increase in 2024 is mainly explained by net profit for the year of €18 million and other comprehensive income of €8 million mainly related to gains on cash flow hedges and an increase in value of our investment in Whistl, partly offset by the payments of cash dividends of €22 million.

PostNL Consolidated equity development in € million

Liquidity and solvency

Prudent liquidity risk management implies maintaining sufficient cash, the availability of funding through an adequate amount of committed credit facilities and the ability to close out market positions. Due to the dynamic nature of the underlying businesses, PostNL attempts to maintain flexibility in funding by keeping available a committed multi-currency revolving credit facility of €200 million, which expires in 2028.

As at 31 December 2024, the company’s current assets and current liabilities amounted to €915 million and €933 million respectively. The current assets contained €453 million of cash and cash equivalents. This position does not contain any restricted cash. Bond repayments are not due until 2026. Based on its ability to realise its assets and its proven cash flow-generating capability, the company expects to be able to discharge its liabilities in the normal course of business. Should the need arise, the company has (re)financing options available, backed by its committed credit facility of €200 million and an investment grade credit rating.

As mentioned, PostNL has a €200 million revolving credit facility in place. With the facility, PostNL secures the availability of future financing at updated terms and lower costs, in line with its financial policy. PostNL wants to be the driver of sustainable logistics in the Benelux. Therefore, the margin PostNL pays is partly dependent on the successful execution of its emission-reduction strategy. As at 31 December 2024, the committed credit facility of €200 million (maturity date: December 2028) was undrawn (2023: undrawn).

Our current S&P Global Ratings credit rating is BBB with negative outlook. The terms and conditions of PostNL’s material long-term and short-term debts, as well as its material drawn or undrawn credit facilities, do not include any financial covenants. There are no obligations to accelerate repayments of these debts and committed facilities in the event of a credit rating downgrade.

Subsequent events

There are no subsequent events to report.

Dividend proposal 2024

In 2024, PostNL's normalised comprehensive income amounted to €38 million (2023: €52 million).

PostNL Normalised comprehensive income in € million
2023, 2024

Our dividend policy states that dividend distribution is conditional on being properly financed in accordance with our financial framework. PostNL is steering for a solid balance sheet with a positive consolidated equity, aiming at a leverage ratio not exceeding 2.0 and applying strict cash flow management. This condition was met at the end of 2024. As a result, PostNL will recommend to the Annual General Meeting of Shareholders, to be held on 15 April 2025, a pay-out of 80% of normalised comprehensive income for 2024. This results in a proposed dividend of €0.07 per ordinary share (2023: €0.09). €0.03 was paid as an interim dividend, so the final dividend to be paid in May 2025 will be €0.04 per share.

Dividend

PostNL Dividend in € million

Introduction

This section provides an overview of our approach to risk and opportunity management, including internal control, integrity, asset protection and loss prevention, privacy and cybersecurity. For the disclosures required by the Dutch Corporate Governance Code and chapter 5.1a of the Dutch Financial Markets Supervision Act (Wet op het financieel toezicht) please see the chapter Statements of the Board of Management. This chapter includes incorporation by reference for GOV-5 and IRO-1 in the sustainability statement.

Our enterprise risk management framework has been designed to identify and prioritise our main risks and related opportunities and develop appropriate responses. This framework is based on COSO ERM 2017 and is in line with the principles of the Dutch Corporate Governance Code 2022.

Understanding strategic, operational, compliance, financial reporting and sustainability reporting risks is a vital element in our management decision-making process. Our risk management and control systems are designed to reduce the likelihood of errors, incorrect decisions and unforeseen circumstances as much as possible. They provide reasonable, but not absolute, internal assurance against material misstatement or loss. Management of the business segments and head office departments are responsible for the effectiveness of the local risk management and opportunity process, including timely identification and assessment of significant risks and opportunities and the development of appropriate risk and opportunity response plans.

Our risk management framework operates on the basis of the Three Lines Model:

1. The first line involves operational management, which is responsible for identifying, assessing, managing and controlling risks and opportunities at the operational level.

2. The second line includes risk management and compliance functions that provide oversight, support, feedback and guidance to ensure that the first line effectively manages risks and opportunities.

3. The third line is the internal audit function, which independently evaluates the effectiveness of the risk management and internal control processes implemented by the first and second lines.

Risks and opportunities are identified in our structured risk management process by means of both a bottom-up (line management) and a top-down (executive management) approach, covering the entire business. For those risks deemed material, management develops and reviews comprehensive risk-response plans, taking into consideration our risk appetite. When management decides to mitigate a risk by implementing an internal control, these controls are formalised in our internal control framework and assessed regularly by means of internal control management self-assessment. For opportunities, line management is required to develop comprehensive action plans.

All business segments and head office departments are engaged in this company-wide risk management process, which includes:

• Mandatory participation in risk management workshops by relevant management team members

• Assessing risks and opportunities on impact and likelihood of occurrence

• Developing appropriate risk and opportunity response plans, including risk mitigating actions for the significant risks in the outcome of the entity risk assessment

• Inclusion of the key mitigating risk actions in the internal control framework, including management self-assessment

• The key compliance risks identified in the risk workshops are covered by our compliance risk management system

• Mandatory e-learning on integrity for management.

We have built a comprehensive portfolio of group policies and controls, ensuring discipline in our business processes. These support the Board of Management in its statutory and fiduciary obligations to stakeholders in developing and achieving its strategic, operational, compliance, financial and reporting objectives.

The Board of Management and the Supervisory Board monitor the effectiveness and efficiency of the enterprise risk management and internal control framework. They are supported by Internal Audit.

In 2024, we initiated improvements to our risk management and control systems, with a particular emphasis on integrating the Corporate Sustainability Reporting Directive (CSRD) standards and associated reporting obligations. A key focus area is strengthening the management of sustainability risks, particularly by embedding the double materiality assessment (DMA) into our enterprise risk management (ERM) framework.

In line with the Dutch Corporate Governance Code, starting from 2025, we are required to include the Risk Management Statement (‘Verklaring Omtrent Risicobeheersing’ (VOR)) in the Statements of the Board of Management chapter. To ensure compliance, we began the implementation of VOR requirements in 2024, proactively aligning our risk management and internal control processes with these new standards. Throughout 2025, we will continue to assess and refine our existing frameworks, further enhancing our ability to meet these obligations and maintain robust risk management practices.

Integration of DMA with ERM, IC, and our strategic plan

At PostNL, we are working towards integrating the DMA with ERM, internal control (IC), and the organisation’s strategic plan—an annual process—to ensure ESG considerations are embedded in our decision-making. Guided by material topics, we aim to align our strategy, KPIs, and risk appetite with ESG priorities.

As part of this effort, the ERM team collaborates periodically with the CSRD Programme Manager to identify and assess ESG-related risks, initiating structured processes that involve the risk management and internal control (RMIC) team in facilitating workshops in line with CSRD requirements. Stakeholder input is gathered for each material topic to design targeted workshops, coordinated by the CSRD Programme Manager and RMIC. These workshops, typically completed in a single round but occasionally requiring a second, produce a consolidated list of material ESG risks and opportunities.

The outcomes of these workshops are aligned with ERM risks and opportunities, identifying key drivers and categorising risks and opportunities to assess their enterprise-wide impact and potential financial implications. For risks and opportunities that exceed the organisation’s appetite threshold, action plans and controls are developed to mitigate impacts and enhance business resilience. These action plans and controls are integrated into the annual strategic planning, forecasting, and budgeting processes, ensuring appropriate management attention and timely budget allocation to drive these initiatives forward.

The strategic plan can only be finalised following approval from the Supervisory Board and the Board of Management. Embedding ESG action plans within the strategic plan ensures sufficient oversight and monitoring by the boards. The ERM team supports the management and integration of these action plans within the organisation’s systems, ensuring alignment with strategic priorities and contributing to the sustainable growth and resilience of the organisation.

Risk appetite

Risk appetite is the level of residual risk we deem acceptable to achieve our objectives. The risk appetite is set per main risk topic by the Board of Management in close cooperation with the Executive Committee, based on our strategic goals, our business principles, our policies and procedures, and taking into consideration the highly regulated markets we operate in.

The risk profile is compared with PostNL's established risk appetite after each risk management workshop. Where there is a difference between the actual risk level and the risk appetite bandwidth, management is required to initiate an action plan. The risk appetite is discussed with and endorsed by the Audit Committee.

When determining the risk appetite per risk, we take into account factors such as geopolitical uncertainties, the tight labour market, and economic rationalisation.

Internal control framework

Senior management is accountable for the effectiveness of the internal control environment within their area of responsibility. They are required to perform self-assessments on the design and operating effectiveness of our internal control environment. This is regularly measured and monitored by the RMIC, and the results are discussed in the Internal Control Committee (ICC) meetings.

The ICC is composed of the CFO, the director Audit & Security, the director Group Finance, and the director Accounting & Reporting. The external auditor also attends the ICC meetings. The ICC met five times in 2024. Risk management and internal control reports are discussed with the Board of Management and the Audit Committee of the Supervisory Board. As part of this process, management is required to follow up on risks deemed to be inadequately mitigated by internal controls. In some cases, this may require additional actions, including performing and evaluating compensating controls and activities, to reduce the risks of a misstatement in the reporting.

During the year, we continued to invest in improving the design and effectiveness of our internal controls related to reporting, aiming for a good balance between preventive and detective controls.

In 2024, our primary focus was on the implementation of the CSRD. The RMIC function played a pivotal role in supporting the business by documenting the design and existence of operational processes tied to the data points required for disclosure on material topics, as identified through the DMA.

We also took active steps to establish and revise internal controls, ensuring the robustness and reliability of these processes. Looking ahead to 2025, our efforts will be directed towards further optimising the existing controls related to the identified material topics and other mandatory disclosures under the European Sustainability Reporting Standards (ESRS).

The implementation of SAP4Hana, our new ERP system, has impacted several IT automated controls within our internal control framework. This transition required the revision and replacement of many IT automated controls previously associated with SAPbyDesign. While significant progress has been made, efforts are ongoing to ensure that the updated control framework fully aligns with the functionalities and requirements of SAP4Hana.

Looking ahead, we will continue to work closely with the business to evaluate the need for additional controls and assess the implications of these changes on the design and effectiveness of the newly established automated controls. This ongoing collaboration ensures that our control environment remains robust and aligned with evolving business needs.

Main risk events

We identify main risk events as specific scenarios or occurrences that could trigger those risks identified in the risk assessment. In the External developments section, we identify and describe the external developments that had the greatest impact on PostNL in 2024, including challenging geopolitical and economic conditions and the tight labour market. These key risk events adversely impacted on our performance and led to a strategic focus on reducing operational costs, optimising our network capacity, and managing our workforce challenges. Below, we outline how these events materialized and the measures we implemented in response.

Rising labour costs

Wage indexations in 2024 resulted in a substantial increase in operational expenses, driven by collective labour agreements and statutory minimum wage hikes. Persistent inflation further amplified labour cost pressures, constraining the company’s ability to fully absorb these increases through regular price adjustments. To mitigate the financial impact, PostNL implemented cost-control measures, including optimising delivery and sorting routes and improving transportation efficiency, which partially offset the operational cost burden.

Economic volatility

The challenging economic environment in 2024 created significant market uncertainty, resulting in PostNL’s normalised EBIT falling short of expectations and the guidance previously communicated to the market. Shifts in consumer behaviour, client concentration, labour shortages, and rising labour costs further pressured already narrow margins.

PostNL recognises that urgent action is required to adapt the USO obligations and secure a financial contribution from the government, both during the transition and beyond. Even after adjustments to the USO, including the move to delivery within two days, this financial support will remain essential to ensure a future-proof and financially viable postal service that continues to serve Dutch society. To address these challenges, the company is implementing measures such as transitioning non-USO mail to a two-day service and optimising mailbox collection. More information on this, including PostNL’s request for temporary government financial support under the Dutch General Administrative Law Act to cover net USO costs for 2025 and 2026, can be found in the Future of Mail box in the Our operating context chapter.

Additionally, PostNL remains focused on strengthening customer value through pricing model reviews, yield management enhancements, and strategic initiatives, including international growth and the acceleration of its out-of-home (OOH) strategy to better align with the evolving e-commerce landscape. At the same time, recognising the need for cost savings in e-commerce, PostNL continues to improve operational efficiency and optimise its parcel network, ensuring a sustainable balance between service quality and financial resilience.

Regulatory delays and universal service obligation (USO) challenges

Delayed decision-making by the Ministry of Economic Affairs on necessary reforms to the USO framework hindered PostNL’s ability to adjust its postal network to accommodate declining physical mail volumes. This regulatory uncertainty exacerbated financial and operational constraints, particularly as the company struggled to balance fixed costs with reduced mail revenues. To address this, PostNL engaged with the government to advocate for a modernised USO framework that reflects evolving market realities. While these discussions continue, financial support from the Dutch government is needed to sustain the USO, as PostNL actively pursues efficiency improvements to sustain a reliable, accessible, and affordable postal service.

More information on these topics can be found in the Social value , Financial value and Regulatory developments chapters of this Annual Report.

Main risks and opportunities

Strategic risks

PostNL Strategic risks

Operational risks

PostNL Operational risks

Compliance risks

PostNL Compliance risks

Reporting risk

PostNL Reporting risks

Emerging risks

Emerging risks are risks we do not expect to materially impact the company in the short term, but which do require prompt mitigation actions to prevent them from exceeding our risk appetite in the mid to long term. In 2024, we pinpointed two such risks: 'Labour shortage and ageing workforce' and 'Reliance on technological advancements for a sustainable energy transition'. These are seen as exacerbating our main operational strategic risks, namely 'Employee attraction, development, and retention' and 'Availability of energy resources', respectively.

Introduction

PostNL operates in a highly regulated environment. This is, amongst other reasons, due to the fact that PostNL is designated as the provider of the universal service obligation (universal service provider, USP) in the Netherlands. PostNL is also a transport company and a labour-intensive company, both areas in which there are many rules and regulations at local, national, EU and international level. Politicians, public authorities, and other relevant stakeholders have a major impact on rules and regulations that affect our sector and our business.

Consequently, PostNL maintains contacts with policymakers and stakeholders on developments in the sector and the development and implementation of rules and regulations. We strongly believe that advocacy by stakeholders is crucial in the creation of qualitative and meaningful new rules and regulations that will benefit all stakeholders in society. PostNL is always available to share its sector-specific knowledge and market experiences.

As many regulatory issues do not only affect PostNL but also other companies in our sector or region, we work closely with different industries and trade associations. These associations work on various issues of relevance to our sector from a different perspective (a list of associations and contributions can be found in the "Content Index").

Within these associations, we do not only develop common positions towards future regulation, but we also exchange knowledge and best practices and create voluntary sectoral initiatives. PostNL holds different board positions and actively participates in working groups and events organised by these associations. Furthermore, we have a continuous dialogue to discuss positions and developments, ensuring associations’ strategic priorities, objectives and activities are in line with our business principles and ESG-priorities. We do not make any financial contributions to political parties or politicians’ election campaigns. We are registered at the EU Transparency register and apply its code of conduct.

Our policy priorities are directly derived from our strategic objectives and are centered around sectoral postal legislation, the labour market, and sustainability. On all these issues, we inform policymakers of developments and changing expectations in the market and share challenges and obstacles we are faced with in our daily operations.

For postal regulation, we advocate a flexible regulatory framework that enables us to carry out our postal and parcel services in a future-proof way, taking into account declining postal volumes and the even more declining next day delivery volumes, a highly competitive parcel market, changing consumer and client expectations and changing markets due to digitalisation.

On social issues we proactively share and discuss the challenges we experience as a large employer with stakeholders such as social partners, industry associations and policy makers. This among other things with regard to challenges we encounter in recruiting, hiring and retaining people from different segments of the labour market.

In order to meet our ambitious sustainability goals, we need underlying supporting policy regulations and incentives. We therefore plea for sufficient capacity on the electricity network to build adequate charging infrastructure and removing further boundaries for the deployment of smaller electric vehicles to deliver mail and parcels; and unambiguous sustainability frameworks and definitions in e-commerce and mail operations.

Main regulatory developments

Postal regulations

In 2024, policy discussions regarding the Dutch legislation on postal services have been reopened, after our call for the need for adjustments on the USO in February 2024. This led to a letter by the Minister of Economic Affairs, acknowledging that the situation regarding the USO worsened since July 2023 and that additional steps need to be made in order to safeguard the USO for the future, indicating that measures and studies on short and long term including underlying studies by the regulator ACM are needed, as well as finalizing the ongoing legislative changes on the Postal Law, focusing on a clear division of roles between the ministry and the ACM regarding the continuity of the USO, the protection of end-users, and the access conditions for other postal operators.

In October 2024, the Minister sent his proposal on adjusting the USO to Parliament, but retracted his proposal because Parliament want to await the outcome of the ACM studies to get more insight into the postal market and the developments. Given the economic developments, structural labour shortage and the ongoing volume decline, it is necessary that parliamentary proceedings continue.. In the meantime, PostNL has to take additional actions. In addition to the previously communicated migration of non-USO business mail to a standard service level of within two days as of 1 January 2025, PostNL has started to empty mailboxes on the streets during the daytime instead of in the evening as of 3 February 2025. We are now also considering potential further price increases for sending mail.

In December 2023, amendments to the Belgian Postal Act were introduced by the new Parcel Delivery Act. Key changes include a presumption of joint liability for contractors if subcontractors violate laws, a minimum fee for drivers, mandatory business activity notification to the BIPT and the introduction of a time registration system for parcel deliverers. Companies must also report on their distribution activities, appoint a coordinator to inform parcel deliverers of their rights and obligations and draw up a vigilance plan. The new rules came gradually into effect as from January 2024 and by 1 July 2026 all legal provisions will apply.

As of January 2024, PostNL Belgium implemented measures to ensure compliance. This included the appointment of a coordinator who acts as the primary point of contact for delivery partners and drivers to raise concerns and informs them about their rights and obligations. As mandated by the legislation, the coordinator drafted a vigilance plan by mid November, describing measures taken to prevent violations of the Parcel Delivery Act as well as transport, labour and social security law. The guidance document developed by the sector associations – PostNL actively participated in the process – and validated by social partners and government officials during the social dialogue in November 2024, served as our guiding framework in drafting our plan. The vigilance plan was fully operational by the end of 2024, demonstrating our due diligence process and marking a significant milestone in supporting ongoing compliance. The plan is an important instrument to rebut the presumption of liability, also a new measure in the Postal Act.

We also introduced an addendum to our delivery contract and compliance checklists for delivery partners. This reinforces compliance with the new legal requirements and ensures registration of parcel delivery companies with the BIPT. As from August we provide a temporary time registration system for our own delivery drivers and review the time registrations done by our subcontractors for their deployment. The legal compliance deadline for the permanent system, originally scheduled for launch before April 2025, has been postponed at the request of the sector associations, as the tool's development will not be completed on time. Time tracking in trucks is managed securely through a tachograph. Additionally we ensure parcel delivery workers receive at least the mandatory minimum remuneration by continuously monitoring payments and, when necessary, refining our pricing model. We work closely together with sector associations to develop common understanding of the regulation and prepare discussions with the government.

The European Commission (EC) finalised a study at the end of 2024 on the postal sector which elaborates on future USO , competition in the sector, environmental and social issues and digitalization. The study contains possible policy options for future postal regulation and based on this study the EC could decide to make adjustments to the PSD (Postal Service Directive). Among the possible solutions in the study are adjustments to the PSD to grant more flexibility with regards to service levels and the possibility for member states to subsidize (parts of) the USO services. We contributed to this process by participating in several workshops and a survey on identifying megatrends that impact developments in the sector.

Universal Service

The Dutch Postal Act 2009 prescribes requirements for the Universal Service, for example a next day delivery level of 95% for consumer mail, funeral announcements and medical mail and a required number of mail boxes across the Netherlands.

Not being able to meet the requirements results in potential financial exposure to an ACM fine. Because of the declining postal volumes and the even more declining next-day delivery volumes, the high fixed costs and increasing autonomous costs, it is becoming infeasible for PostNL to meet the stringent service requirements.

In 2019, 2020, 2021, 2022, 2023 and 2024 next-day delivery was below the 95% target, due to circumstances beyond our control, such as the Covid pandemic and the impact of the tight labour market. For 2019, PostNL paid a fine to the ACM. This fine is under appeal at the CBb. For 2021, 2022 and 2023, the (re)assessment of facts and circumstances and the decision to impose a fine lies with the ACM.

For next-day delivery, we achieved a performance level of 86% in 2024, with 95% of mail delivered within two working days. Delivery of funeral announcements and medical mail fell slightly below target, reaching a rounded level of 94% in 2024. Despite our efforts and successes in recruiting additional workers, the exceptionally tight labour market and high absenteeism rates (see the Social value chapter for more information) have had a significant impact on delivery quality.

The labour shortage remains a structural issue affecting the entire economy and continues to pose challenges. Until 2023, the most noticeable impact was a shortage of mail deliverers, but in the past year, staff shortages have also become evident at our sorting centres. In addition to labour market tightness, absenteeism rates have risen beyond previous levels, further affecting delivery performance. As a result, not all mail can be delivered within one day. These labour shortages are particularly severe in certain regions due to economic factors, making recruitment of postal workers increasingly difficult and exacerbating delivery challenges in those areas. More information can be found in the table below, where D+1 refers to USO mail delivered within one working day, while D+2 refers to USO mail delivered within two working days.

Over the years, our Mail in the Netherlands division has implemented continuous cost-saving measures to mitigate the impact of declining mail volumes. As a result, the postal network has downsized, reducing its resilience to unforeseen events and limiting organisational flexibility. By 2024, this had led to increasing constraints in scaling up operations during peak periods and greater difficulties in deploying postal workers during flu waves.

In September 2023, ACM decided PostNL is violating the Postal Act and imposed an order for a penalty (“last onder dwangsom”) according to which PostNL needs to deliver 99% of the registered mail correctly per 1 March 2024. PostNL has appealed this decision. In December 2024, the CBb stated that the Postal regulation does not provide a basis for ACM to set standards for the quality of registered mail. Such standards must be laid down in a general administrative measure, which is the government's responsibility. Consequently, the order for a penalty has been cancelled.

To keep mail affordable and to save further costs, PostNL makes small adjustments to the nationwide letterbox network within the legal requirements. Mail boxes which are not needed for the required coverage are removed. For instance, sometimes there are two within a 100-meter radius.

Due to the structural decline in mail volumes, evolving customer needs, and rising autonomous costs, postal services, including the USO, are no longer profitable. As a result, further adjustments to the postal network are necessary. However, within the current legal framework, PostNL can no longer adapt its postal operations. Without adjustments to the USO requirements, we are unable to take the necessary steps to transition towards a financially sustainable postal service.

More information on this, including PostNL’s request for temporary government financial support under the Dutch General Administrative Law Act to cover net USO costs for 2025 and 2026, can be found in the Future of Mail box in the Our operating context chapter.

UPU

The Universal Postal Union (UPU), a specialized agency within the United Nations, regulates cross-border postal services. Nearly all nations are UPU member states, adhering to common rules outlined in the UPU Convention and its regulations. The UPU has established an international system for mutual payments for cross-border letter mail delivery, also known as the terminal dues system. This system compensates the destination country's designated operator for delivering international letters, packets, and parcel post.

Since the 2021 Abidjan UPU Congress, designated operators have collaborated to evolve the terminal dues system further to adapt to changing market conditions. An integrated remuneration proposal for the 2026-2030 period will be presented at the upcoming UPU Congress in Dubai, United Arab Emirates in early September 2025. A global round table led by delegates of PostNL will be held in early 2025 to explain and seek support for the proposed new Integrated Remuneration system. Final proposals are expected by the first quarter of 2025. The Dubai Congress in 2025, will also address various other topics, including the contribution system for the members, budget principles, product development, quality improvement and sustainability ambitions. A significant focus will be on enhancing the role of Proof of Delivery (POD) beyond simple signature collection.

Competition

Consolidation / Sandd

After the decision of ACM (September 2019) not to grant a license for the acquisition of Sandd, which PostNL has appealed, the state secretary of Economic Affairs and Climate Policy approved the acquisition by PostNL in September 2019, after which the acquisition took place in October 2019. The appeal of PostNL against ACM’s decision of September 2019 has been continued after the annulling on appeal by the CBb in June 2022 of the decision of the state secretary.

In September 2023, the court declared PostNL’s appeal unfounded. PostNL has started an appeal against the court decision at the CBb. The decision of ACM and the court’s ruling contain a number of deficiencies that may be relevant in the future. PostNL wants to get more clarity on these matters. The court date has been set in June 2025.

Spotta

PostNL and Kiesjefolders submitted enforcement requests to ACM against Spotta, following Spotta’s decision to start its own delivery service of personalised flyer packages. PostNL and Kiesjefolders argued that Spotta is a postal transport company and should register with ACM. As a registered postal transport company Spotta would be required to adhere to specific obligations under the Postal Law, for example that 80% of delivery personnel must work based on an employment contract. ACM concluded Spotta is not a postal transport company and does not need to register, because it delivers items on the instructions of receivers. PostNL is in appeal against the decision of ACM at court to the activities of Spotta which are comparable with other postal transport companies. PostNL wants to keep mail for everyone, reliably delivered and prepared for the future. It is therefore important, especially in a shrinking postal market, that there is a level playing field. The court session is planned for April 2025.

Labour

Creating a safe and healthy working environment is at the heart of PostNL’s strategy. PostNL continuously improves working conditions. In 2024 the labour inspectorate conducted a research in the parcel sector and found that improvements within the sector as a whole are necessary.

The inspectorate imposed a ‘requirement for compliance’ to PostNL including measures to reduce the physical load in 2024. PostNL has taken several major measures to ensure a safe and healthy working environment, such as new electric towing devices for roll containers, new working instructions with the introduction of task-rotation, and new delivery instructions for customers to reduce physical load. In 2025, PostNL will implement more measures based on ongoing investigations and tests and will continue to further investigate possibilities to automise and robotise the process.

A few years ago, the Dutch labour inspectorate found several breaches of the Foreign Nationals Employments Act (Wet Arbeid Vreemdelingen) at some of PostNL’s delivery partners. Based on the findings, the labour inspectorate imposed several fines on PostNL, stating that through the chain of responsibility, PostNL is also accountable. This is despite PostNL not being the legal employer of the employees concerned. In October 2024, the State Council took a decision in the first case, that dated back to 2018-2019. The State Council underlined that PostNL qualifies as responsible within the chain, but also found that for some persons, the employment at PostNL could not be proven. Other more recent cases are still ongoing. PostNL has introduced a set of new measures. The measures concern correct registration of new workers via a digital external check, followed by a physical on-site check. After these checks are concluded and the worker is eligible to work, on-site checks via the employee pass are conducted, before the start of a working day, on a regular basis. PostNL has finished the implementation of these measures but will continuously evaluate these processes and will improve in case necessary.

In Belgium, the labour inspectorate filed several criminal cases against (among others) PostNL Belgium in 2022, regarding alleged breaches of applicable social laws and regulations of delivery partners. In June 2024 the court in Antwerp acquitted PostNL Belgium, its managing directors and PostNL Holding of all charges and condemned the delivery partners involved. The court has thereby among others ruled that PostNL has not acted as an employer to the deliverers involved in the case and has not abused its position as relative to its delivery partners. As the labour inspectorate has not filed an appeal, for PostNL these court cases are now closed. We are still conducting daily checks at the entrances of our facilities and regularly review the compliance of delivery partners on several relevant social laws regarding their company and parcel deliverers.

Environmental

PostNL is committed to reducing the environmental impact of its activities. Our main focus is on climate change mitigation by significantly reducing emissions from our own operations and our outsourced activities. We also aim to make a significant contribution to the transition to a circular economy and to deliver with minimal impact on the living environment, protecting nature as much as possible in the process. Because governmental policies at all levels can help or hinder our efforts in reaching our sustainability goals, we maintain regular contact with different governmental stakeholders on the impact and effect of these measures aimed at stimulating the green transition.

We are increasingly using electric vans and trucks. Because of the weight of the electric vans, due primarily to the heavy battery, drivers of some of our electric vans used in the Netherlands would normally need to be in possession of a truck driver's license and these vans should have a tachograph. However, a temporary exemption on both these obligations is in place and has been prolonged until July 2025, under some preconditions, until a permanent exemption will be implemented via legislation.

PostNL further clarifies its objectives and outcomes on sustainability, endeavouring to better inform consumers and customers about the sustainability choices PostNL is making. As part of this drive, PostNL adjusts gradually its sustainability claims, which also fit with new European legislation that will come into force by 2026 at the latest. PostNL clarifies its communications on sustainability after discussing the matter with the ACM.

In Belgium, three legislative initiatives around the greening of the parcel sector are introduced. The first is an executive decree which imposes additional reporting obligations on postal operators on several environmental indicators, such as the average (carbon) footprint of each delivery mode. Secondly, a bill aims to give consumers as from September 2024 more choice by offering them various delivery options when purchasing goods online. The obligation was imposed on webshops that distribute parcels to Belgian territory. The provision seeks to create a 'level playing field' by imposing the same choice option and transparency obligation on all sellers. PostNL offers several delivery options that enable webshops to comply with this new legislation. Thirdly, new regulations were introduced regarding private parcel boxes. These rules aim to reduce failed deliveries, which can increase emissions associated with last-mile delivery. In case a private parcel box is installed and accessible for deliverers, PostNL will deliver parcels in these private boxes.

The EC has put forward several new legislations as part of their ongoing efforts to make Europe climate-neutral by 2050, boost the economy through green technology, create sustainable industry and transport, and cut pollution. New rules on reporting and due diligence are introduced to foster sustainable and responsible corporate behavior. PostNL reports according to the CSRD (Corporate Sustainability Reporting Directive) and is preparing for the implementation of the CSDDD (Corporate Sustainability Due Diligence Directive) which requires human rights and environmental due diligence. In 2024, PostNL has to report under the CBAM (Carbon Border Adjustment Mechanism directive) on the CO₂ emissions of specific products imported into the EU.

The EC also put forward rules on the use of sustainability claims which focuses on how to use claims such as ‘CO₂ neutral’ or ‘sustainable’, introduces specific bans on misleading advertising practices and proposed rules concerning environmental integrity mandating that claims must be (scientifically) substantiated. Rules on circularity are also proposed concerning new targets on re-use, refill, recycled content, labelling, and packaging minimisation. As PostNL is offering packaging and packaging materials to its customers, we are working on integrating these new standards into our packaging solutions. A new regulatory framework came also into force on the basis of which concrete product rules will be decided over time. This regulation also introduces a ban on the destruction of unsold textiles and footwear and opening the way for similar bans in other sectors. PostNL is looking into implementation.

Other regulatory developments

Customs

The EC has proposed significant changes to the Union Customs Code (UCC), aimed at modernising customs processing across Europe to better deal with the significant increase in e-commerce, a fast-growing number of EU standards that must be checked at the border, and shifting geopolitical realities and crises. PostNL is currently examining the impact of the proposal, but welcomes the modernisation of these rules while asking for recognition of the differentiated nature of postal traffic and USPs within the EU, operating as part of a single global postal territory, governed by the UPU. Aim is that most of the new rules will have to be implemented from January 1st 2028 onwards. The more complicated new requirements, like the EU Customs Data Hub and the Trust & Check Trade status will have to be operational in 2037 according to the current proposal which is still under discussion.

Cybersecurity

NIS2, which aims to enhance the cybersecurity of critical infrastructure and digital service providers in the EU, must be implemented into national law by October 2024. In the Netherlands the Minister of Justice and Security has informed the House of Representatives that this deadline will not be met and expects that the new law will come into force in Q3 2025. Since the European directive has already been transposed in Belgium, PostNL is also in the Netherlands proactively preparing to align with forthcoming regulatory obligations and ensuring cybersecurity measures are in place. In recent years PostNL invested heavily in cybersecurity across the organization and has taken extensive measures, both on technical and governance perspective, intensified reporting protocols and has a detailed security roadmap, to comply with the NIS2 directive prior to the conversion into Dutch and Belgian law.

External developments, strategy and outlook

As we move further into 2025, we are actively working towards a future-proof and financially sustainable postal market, improving margins in e-commerce, strengthening resilience, and continuing to adapt to evolving market dynamics.

We anticipate rising operational costs, volatile consumer spending, and increasing demands for sustainability—ranging from emissions-free delivery to the reform of labour conditions. These challenges require continuous innovation, not only to meet customer expectations but also to ensure a more balanced distribution of value across the industry. Despite these pressures, we remain committed to strengthening our financial performance while maintaining a customer-centric approach. Our strategic objective is to deliver a distinctive customer and consumer experience, positioning ourselves as the leading e-commerce and postal service provider within, to, and from the Benelux.

In e-commerce, we are seeing increasing client concentration, necessitating yield measures to enhance customer value and improve margins. The growing impact of AI and other technological advancements presents opportunities to meet evolving customer demands more effectively while enhancing operational efficiency through automation in route optimisation and sorting. In 2025, we will further integrate our solutions into checkout processes, reinforcing our role as a key enabler of seamless delivery experiences.

To support the continued growth of e-commerce, we will optimise our network to ensure more efficient and reliable parcel deliveries, enabling customers to scale through both digital and physical services. Accelerating the expansion of our out-of-home (OOH) network remains a priority, with further additions to our 1,080 strategically placed APLs. These enhancements will provide consumers and SMEs with greater convenience while advancing our decarbonisation goals.

Our international strategy includes accelerating cross-border e-commerce through Spring, our global e-commerce solutions provider. With the integration of Logistics Solutions’ fulfilment operations into CBS from 1 January 2025, we will expand across key European locations, strengthening our presence in Belgium and other markets across Western and Eastern Europe. By enhancing Spring’s sales capacity and reinforcing network connections, we aim to simplify and support sustainable international deliveries while maintaining our position as a leading last-mile provider in the Benelux. As consumer expectations evolve, we are adapting by offering greater flexibility, transparency, and digital solutions.

Our people remain at the heart of our success. We will continue to prioritise employee motivation and engagement while intensifying efforts to reduce sick leave and foster a safe, inspiring work environment. Attracting and retaining committed employees remains essential to delivering on our strategy.

Financial outlook 2025

We acknowledge that the external operating environment remains challenging and that the pace of client concentration is difficult to predict due to changing consumer behaviour.

We assume volume growth at Parcels of between 1% and 3%, below the assumed growth (4%-5%) of the Dutch e-commerce market. The announced yield measures are expected to result in a slight loss in market share, mainly international. The positive price/mix is expected to be between €55m and €60m, almost fully explained by pricing. Ongoing adaptive measures are expected to result in efficiency improvements of between €40 million and €50 million.

At Mail in the Netherlands, we assume a volume decline of between 8% and 10% and expect to achieve between €40 million and €45 million in cost savings.

In 2025, organic cost increases are expected to amount to around €125 million, mainly related to rising labour costs, and to be fully absorbed by price adjustments. Capex is expected to be above last year's number, primarily due to additional strategic investments (~€15 million). The investment programme is flexible to ensure that resources are used efficiently.

PostNL emphasises its intention to pay a dividend over 2025 and holds on to its aim to be properly financed, taking into consideration the anticipated improvement in performance going forward and the progress towards a future-proof postal service.

For 2025, PostNL assumes:

PostNL Financial outlook in € million
2024 - 2025

In the following sections, we present our non-financial outlook for 2025 by value domain.

Customer outlook 2025

PostNL Sustainability performance and outlook as indicated
2024 - 2025

The following table summarises our non-financial key performance indicators actual results for 2024 and outlook for 2025.

In 2025, we will continue to build on our commitment to deliver seamless, high-quality services tailored to evolving customer needs. Our investments in digital innovation, logistics optimisation, and e-commerce solutions ensure we remain the preferred delivery partner for customers and consumers alike. To better align with market dynamics and our strategic ambitions, we will refine the scope of our net promoter score (NPS), shifting our focus from maintaining the #1 position in relevant markets to #1 in the e-commerce sector. This adjustment reflects our dedication to strengthening our position in a rapidly evolving landscape while continuing to deliver for customers and consumers.

Strengthening e-commerce and logistics

We will further enhance our network by accelerating the roll-out of APLs while making continuous improvements to the PostNL app, providing greater flexibility, accessibility, and convenience. These efforts ensure a frictionless experience for our customers and consumers, reinforcing trust in our services. As cross-border e-commerce demand grows, particularly from Asia, we are optimising our hubs and processes, strengthening our European network to streamline international parcel flows, and ensuring efficient fulfilment solutions for e-tailers and SMEs.

Driving operational efficiency and cost reduction

To meet rising parcel volumes while maintaining efficiency, we are advancing automation and digitalisation across our logistics operations. Enhanced sorting and routing capabilities are reducing processing times and operational costs while improving reliability. In 2025, we aim to achieve further cost savings across e-commerce operations by refining our network flexibility and balancing capacity throughout peak and off-peak periods.

AI and agile transformation

Innovation remains at the heart of our strategy, which in 2025 will continue with a strong focus on AI and digital enhancements that improve the customer experience and operational efficiency. The PostNL app continues to evolve, offering greater personalisation and control over deliveries for consumers, and in 2025 we aim to launch delivery preferences in our Belgian app. At the same time, data-driven logistics and advanced analytics are optimising delivery routes, improving real-time tracking, and reducing delays. Additionally, by integrating digital platforms more seamlessly with e-tailers, we make it easier for businesses to connect with our systems and benefit from our logistics solutions.

Future-proofing mail services

For over 225 years, PostNL has proudly connected people and businesses across the Netherlands with accessible, reliable, and affordable postal services. However, the mail market continues to face significant challenges, and urgent action is required to adapt the USO to align with market realities, evolving consumer needs, and the economic sustainability of the postal network.

More information on this, including PostNL’s request for temporary government financial support under the Dutch General Administrative Law Act to cover net USO costs for 2025 and 2026, can be found in the Future of Mail box in the Our operating context chapter.

Focus areas for 2025

To accelerate our customers’ success and ensure consumers continue to rely on our services, we are realising the following priorities in 2025:

• Improve our customer value propositions to SMEs

• Continue implementing our mail services to counter declining volumes

• Optimise our collection networks to balance cost and quality

• Increase out-of-home and first-time delivery by working with customers to improve check out options and stimulate consumer delivery preferences

• Improve the consumer and end-user experience.

As we move through 2025, these priorities will shape our strategy, ensuring we continue to provide high-quality, innovative, and customer-centric services in a rapidly evolving market.

Environmental outlook 2025

As the logistics sector continues to evolve, sustainability remains at the forefront of our strategic agenda. In 2025, we will continue our commitment to reducing environmental impact while maintaining operational excellence. At the same time, building on the progress made in 2024, we will further embed sustainability into our operations through the following three core focus areas.

Climate change mitigation

In 2025, we will continue our efforts to reduce GHG emissions across our operations and supply chain. Our approach focuses on the continued expansion of our electric vehicle fleet, and increased adoption of renewable fuels.

Investments in 2025 to drive sustainable change:

• €5.3 million allocated to support delivery partners in expanding their electric vehicle fleets and charging infrastructure.

• €10.6 million in lease additions to further decarbonise our own fleet and reduce operational emissions.

• €1.3 million investment to increase the use of HVO100 in our large truck fleet (scope 1), raising adoption from 77% to 80% and further lowering carbon intensity.

• €200,000 dedicated to expanding HVO100 use in last-mile delivery, ensuring that all feasible fossil fuel vehicles operate on HVO100 to maximise environmental benefits.

Sustainability remains a core priority, but we recognise the need to balance these ambitions with financial considerations. While customers and investors increasingly value sustainable business practices, aligning affordability with environmental responsibility requires continuous innovation. We remain committed to embedding sustainability into every aspect of our operations, ensuring it drives long-term value creation for all stakeholders. Through ongoing investment, strategic adaptation, and transparent reporting, we are dedicated to building a resilient, low-carbon future. As we progress through 2025, our focus will be on achieving measurable advancements in our environmental targets, reinforcing our leadership in sustainable logistics.

Social outlook 2025

From March 2025, we will enhance onboarding and training to improve support and engagement with new employees, targeting a 5% reduction in turnover by 2026. By mid-2025, a strategic workforce plan will ensure fair work schedules and route stability, enhancing satisfaction and reliability. We will also improve communication between people managers and parcel deliverers, ensuring prompt resolution of workload-related concerns.

Building on our 2024 initiatives to reduce physical labour risks, we are accelerating automation and mechanisation across parcel depots. In 2025, we will roll out tilters at 13 parcel depots operating evening sorting to eliminate heavy lifting from roll containers. We will also advance (un)loading and lifting tools, auxiliary equipment trials, and further robotisation and automation, ensuring a safer and more efficient working environment.

Beyond our workforce, we remain committed to creating a positive societal impact. In 2025, we will expand initiatives supporting delivery partners, provide employment opportunities for those with a distance to the labour market, and continue our work through the PostNL Special Moments Fund. The PostNL Staff Foundation will remain a key pillar in supporting employees through financial assistance, guidance, and community-building activities.

In line with the CSRD, we will annually reassess material topics to ensure their continued relevance. In 2025, using the DMA 2024 as a baseline, we will refine our approach through peer reviews, NGO discussions, feedback analysis, and a structured DMA process cycle.

To achieve our strategic goal—‘Invest in our people to enhance employee engagement and health & well-being and create positive societal impact’—we will focus on four areas:

• Our workforce – fostering a supportive and inclusive workplace

• Workers in the value chain – upholding fair and safe working conditions

• Positive societal impact – strengthening our role in the communities we serve

• Consumers and end-users – ensuring responsible, and accessible customer-centric service.

This Report of the Supervisory Board sets out the manner in which the Supervisory Board fulfilled its duties and responsibilities in 2024. PostNL's organisational structure and remuneration report forms part of the Report of the Supervisory Board and is disclosed in the Corporate governance and Remuneration report chapters. This report includes incorporation by reference for GOV-1 and GOV-2 in the sustainability statement.

Reflecting on 2024 with Jan Nooitgedagt

Supervisory Board chair Jan Nooitgedagt reflects on 2024.

Looking back on 2024, how do you feel about the year and PostNL’s performance and financial position?

As anticipated, the external environment remained difficult in 2024, and 2024 turned out to be a disappointing year from a financial perspective. The company had to deal with severe cost pressures in a tight labour market with rising wages. As Supervisory Board we feel the Board of Management has taken all necessary steps and put in relentless effort on adapting operations and offerings with ongoing attention for customers, while improving efficiency and capacity utilisation. Nevertheless, as a response to the financial performance and changing market dynamics we support the Board of Management in adjusting elements of our strategy.

Despite the difficult circumstances, there were opportunities and many things to be proud of, including the progress made in areas such as ESG. PostNL successfully priced €300 million sustainability-linked notes with a term of seven years, and together with trade unions FNV, CNV and BVPP signed an agreement on a new pension scheme for PostNL. Furthermore new collective labour agreements had been reached, a further roll-out of the automated parcel lockers has been implemented and the acceleration of the company's digital transformation continues and is accretive to the results. Also, thanks to well-executed cash and balance sheet management, the outlook for free cash flow and normalised comprehensive income was achieved, and due to the dedication and commitment of our staff, the company had a strong Q4 operationally. The favourable NPS scores reaffirm PostNL's strong position versus competition and show commitment to customers, supporting the strategic direction.

We remain confident in the long-term growth potential of the e-commerce market. PostNL maintained the strong market position. Yet, client concentration was accelerating faster than expected and put further pressure on margins. The record-high number of parcels in the very short peak period came with a less favourable volume distribution than anticipated. Combined with locked-in costs, necessary to absorb peak-day volumes, this put pressure on operational leverage. The results of Mail in the Netherlands clearly show the urgent need to transform the current unsustainable business model at Mail in the Netherlands.

Given the challenging macroeconomic environment, the Supervisory Board fully supports the Board of Management in securing the company’s robust financial position, the measures taken to mitigate the impact from cost increases, a softer-than-anticipated volume development, and the adjustment to investments to align with volumes and strictly manage working capital. Throughout the year we had in-depth and thorough discussions with the Board of Management, in particular on the business and financial performance. The balance sheet as a whole, and as such the financial resilience of the company, was a recurring discussion topic, in conjunction with the company’s credit rating. Naturally, the issuance of the €300 million sustainability-linked notes was discussed with the Supervisory Board.

These were among the topics the Supervisory Board focused on in 2024, and which have had an influence on PostNL’s strategic direction and the sustainable long-term value it creates for stakeholders. And as a Supervisory Board, we were particularly proud of our people and our partners, working day and night to ensure we can deliver mail and parcels responsibly.

What is the Supervisory Board’s view on the future of mail?

The urgent need to transform the current unsustainable business model at Mail in the Netherlands is clearly shown by the results of the segment, whereby the performance in December has to fully offset the losses of the previous months. Underlying trends in volume decline, the shift towards within two day delivery and cost increases are continuing. The future of mail has been the topic of discussion in several Supervisory Board meetings. As Supervisory Board we fully support the Board of Management that actions are inevitable to safeguard a future-proof and financially viable postal service that ensures predictable delivery for everyone in the Netherlands, while also providing job security to tens of thousands of people. More information on this, including PostNL’s request for temporary government financial support under the Dutch General Administrative Law Act to cover net USO costs for 2025 and 2026, can be found in the Future of Mail box in the Our operating context chapter.

How is the Supervisory Board involved in ESG developments?

ESG is an important topic with a number of different dimensions that cover the environment, the responsibility companies have for their employees and their impact on society, and governance. The Supervisory Board believes ESG is a vital element in our strategic development, and will continue to be so. 2024 has been the first full year the ESG Committee has been up-and-running. More information on the scope of the ESG Committee and the meetings held in 2024 can be found in the section Meetings of the committees of the Supervisory Board.

In terms of environmental progress during 2024, PostNL continues to steadily reduce its environmental footprint, and improved the average carbon efficiency of its own fleet compared with 2023. The Supervisory Board discussed the importance of tackling climate change and the environmental goals set by the company with the Board of Management and senior management, including the underlying plans on how to reach those goals. At the same, the Supervisory Board also acknowledges the challenging circumstances the company faces which leads to adjustments in the investments to further reducing the company’s environmental footprint.

With PostNL one of the largest employers in the Netherlands, offering thousands of people the certainty of having a job, a stable income, security and opportunities for personal development and growth, the importance of the social dimension of ESG is clear. The Supervisory Board was closely involved in developments connected to the company’s employment model, as well as the scarcity of labour and absenteeism, the actions taken by the company and the impact these issues have on the company’s operations, such as delivery quality within Mail in the Netherlands. The Supervisory Board was very happy with the outcome of the legal proceedings in Belgium, where PostNL Belgium and its directors were fully acquitted of all charges. As the Belgian labour inspectorate did not file an appeal, the court case is now closed. The Supervisory Board also discussed compliance as a whole, labour conditions along our value chain, employee engagement, and diversity, equity and inclusion, PostNL's culture, and negotiations on and conclusion of the PostNL CLA and CLA for Saturday deliverers.

On the governance side, we remained focused on being transparent, responsible and accountable. PostNL has clear business principles and acknowledges the importance of stakeholder dialogue. The growing prominence of ESG signals a broader societal development in which companies are accountable, directly or indirectly, for more than just their financial performance or only to their shareholders. They are accountable to society itself. This means engaging with stakeholders to find the right balance. This is a process that will take time and will not always be easy.

Through the Audit Committee, the Supervisory Board is continuously updated on the progress the company is making in relation to the reporting obligations of the EU Taxonomy and the CSRD. In relation to the latter, we are very pleased that we can present our stakeholders this first CSRD-proof annual report. A big compliment to many people within the company who worked very hard to achieve this!

Additionally, the Supervisory Board discussed the ambitious and appropriate targets for the Board of Management and senior management to promote gender diversity, as well as succession planning through the Nomination Committee. Furthermore, several members of the Supervisory Board met with the daily management of the Central Works Council, and regular informal sessions were held between members of the Supervisory Board and PostNL employees and senior management, to get their view on the company. The Supervisory Board members also regularly met with the members of the Executive Committee. And, of course, performance reviews were held with Herna and Pim.

Mentioning Herna and Pim, can you reflect on the change in leadership in 2025?

When Herna informed us of her intention to step down as CEO, our succession plan was put into action. Herna is an exceptional leader in a challenging industry undergoing transition. She has transformed PostNL into a leading player in e-commerce logistics, without losing sight of the societal importance of maintaining quality postal services. Under her leadership, PostNL has developed into an engaged and responsible employer for tens of thousands of employees, including deliverers, transport drivers and sorters.

We regret Herna's decision and at the same time we are delighted to have Pim as her successor. Over the past six years, Herna and Pim have jointly, as PostNL’s Board of Management, led this transformation further – focusing on an acceleration in digitalisation, network expansion and growth of our international customer base. Pim brings extensive knowledge of the international market, considerable experience with various stakeholders, and proven focus and expertise in strategy, logistics and commerce. That’s why the Supervisory Board after careful consideration unanimously, and with full confidence, appoints Pim as CEO of PostNL.

In parallel to the appointment of Pim, we have also engaged an executive search agency for the procedure for appointing a new, female CFO. The Supervisory Board in this regard is happy to appoint Linde Jansen as new CFO. With Linde, PostNL again gains an inspiring leader who will form a strong Board of Management together with Pim. She combines strategic expertise with business acumen, executional strength and a people-focused approach. Her proven track record in transformation processes is critical for operating effectively in a sector in transition. The change in leadership will take place after the Annual General Meeting of shareholders on 15 April 2025. Until that date, Herna and Pim will continue their duties as CEO and CFO, allocating additional time for a smooth handover. At the same time, Linde will already join PostNL as a member of the Executive Committee in March 2025, also allowing for a smooth handover of the CFO role.

As Supervisory Board we again stipulate that we regret Herna’s decision, it is truly the end of an era. At the same time, we are delighted to have Pim and Linde and are confident that they will form a strong Board of Management, capable of successfully advancing the company's strategy.

Will the change in leadership impact the company’s strategy?

The decision to appoint Pim – from withing PostNL’s ranks – as successor of Herna reflects the Supervisory Board’s commitment to stability and continuity in the company’s strategy, to be the leading e-commerce and postal service provider, by delivering a distinctive customer experience. As a leading player in last-mile delivery in the Benelux region, the Board of Management is committed to further investments and innovation will remain high on the agenda to support the growth of the e-commerce market. However, the ecommerce sector has changed, marked by rising costs, a tight labour market, evolving consumer behaviour and client concentration, and has become more mature. At the same time, sustainability and working conditions are becoming more important. These developments will result in a more attractive and more sustainable, yet more costly, e-commerce chain. It is a joint responsibility of all players in the chain to address these challenges and strive for a more balanced distribution of value. The company will respond through yield management improvements to enhance customer value, and pursue strategic initiatives such as further building on international opportunities and accelerating the Out-of-Home strategy. As a Supervisory Board, we fully support the Board of Management in the execution of these actions.

The company’s competitive position, competition, and market share were discussed regularly with the Board of Management. In June, we held our regular strategic plan update with the Board of Management and the Executive Committee, with deep dives held on the Out-of-Home and Ecommerce network strategy and the strategy in relation to the large Asian web shops in conjunction with ESG. The Supervisory Board's role is to challenge the establishment of the strategy in a constructive and critical manner. Furthermore, the Supervisory Board was further involved on the integrator proposition, the future of mail as mentioned above and the investor relation strategy. In light of our digital transformation, accelerating digitalisation across the company will enable us to strengthen our competitive position and further develop customer satisfaction, as well as reducing our cost base and attracting new customers. Consequently, PostNL's IT strategy, the speed of digitalisation, (the impact of) artificial intelligence, and cyber security were discussed regularly and fully with the Board of Management, the Executive Committee, and management, and we acknowledge the importance of compliance with the GDPR and digital ethics.

Furthermore, the change in customer and consumer demands and expectations, as well as the speed of change, are regular discussion topics in the Supervisory Board. In 2024 the Supervisory Board was kept up to date and had regular discussions on initiatives initiated by PostNL to further develop customer value and provided with updates on the development of the digital KPIs and investments in digitalisation. An important aspect for PostNL is the net promoter score (NPS), which is used as a key client satisfaction indicator and an important KPI for PostNL. The Supervisory Board was updated on NPS and the NPS measurements within PostNL, and will be kept informed on the outcome of the NPS measurements. And, of course, the Supervisory Board was updated on the potential and the use of AI within PostNL. In relation hereto, a deep dive was organised with internal and external speakers to get a view on the development of artificial intelligence both within and outside of the company.

How do you see the future?

We saw that 2024 was a year of continuing challenging circumstances with rising costs, a tight labour market, geopolitical volatility, evolving consumer behaviour and client concentration. And a further pressure on postal services. 2025 will be about executing on the strategic actions as mentioned above, and taking further actions to safeguard a future-proof and financially viable postal service whilst awaiting the decision from government. We are convinced that the Board of Management will continue to take the right decisions and actions to steer the company forward, and that we have talented, motivated people and management teams in place to tackle any issues that come our way. We continue to learn and adapt and, more than ever, PostNL is ready to deliver.

In closing, I would again like to thank our people for their hard work and commitment in 2024, and to compliment them for the way they are working together to succeed in today's fast-changing environment. I also want to thank our other stakeholders for their trust in PostNL and for their constructive feedback. It helps us to continuously improve the way we deliver on our purpose and our strategy.

Board structure, composition and responsibilities

At the Annual General Meeting of Shareholders held on 16 April 2024, the shareholders reappointed Ad Melkert and Jeroen Hoencamp as members of the Supervisory Board for a period of four years. For the Annual General Meeting of Shareholders in April 2025, the Supervisory Board has nominated Nienke Meijer and Koos Timmermans for reappointment as Supervisory Board member for a period of four years. At year-end 2024, the Supervisory Board consisted of eight members, of which 7 members (i.e. 88%) qualify as independent within the meaning of the by-laws of the Supervisory Board and the Dutch Corporate Governance Code and of which three members are woman (i.e. 37.5%).

Jan Nooitgedagt (1953, Dutch, male) – Chair Supervisory Board

Jan Nooitgedagt was appointed member of the Supervisory Board on 17 April 2018 and chair of the Supervisory Board on 19 June 2018, and reappointed as member of the Supervisory Board per 19 April 2022 for a period of four years. His current term expires in 2026. He is chair of the Supervisory Board of Invest-NL. Jan qualifies as independent within the meaning of the by-laws of the Supervisory Board and the Dutch Corporate Governance Code.

Jan Nooitgedagt was formerly chair of the Supervisory Board of TMG and SNS Reaal, vice-chair of the Supervisory Board of Rabobank, Robeco and Bank Nederlandse Gemeenten, chair of the board of VEUO (Association of listed AEX companies), chair of the Nyenrode Foundation board, member of the executive board and CFO of AEGON and held different positions at EY, ultimately as managing partner for the Netherlands and Belgium.

Jan Nooitgedagt holds one position as referred to in article 2:142a of the Dutch Civil Code. This article is described as "number of supervisory positions" in Appendix Glossary and definitions.

Marike van Lier Lels (1959, Dutch, female) – Vice chair Supervisory Board

Marike van Lier Lels was appointed member of the Supervisory Board on 16 April 2019 and reappointed as member of the Supervisory Board per 18 April 2023 for a period of four years. Her current term expires in 2027. Marike qualifies as independent within the meaning of the by-laws of the Supervisory Board and the Dutch Corporate Governance Code.

Marike van Lier Lels was amongst others a member of the Supervisory Board of RELX, Dura Vermeer, NS, Eneco, Imtech, KPN, USG People and Connexxion, Vice-chair of the Supervisory Board of TKH Group, Executive vice president and Chief Operating Officer of Amsterdam Airport Schiphol, member of the executive board Deutsche Post Euro Express and Director Van Gend & Loos Benelux.

Marike van Lier Lels holds one position as referred to in article 2:142a of the Dutch Civil Code. This article is described as "number of supervisory positions" in Appendix Glossary and definitions.

Jeroen Hoencamp (1966, Dutch, male)

Jeroen Hoencamp was appointed member of the Supervisory Board on 14 April 2020 and reappointed as member of the Supervisory Board per 16 April 2024 for a period of four years. His current term expires in 2028. Jeroen qualifies as independent within the meaning of the by-laws of the Supervisory Board and the Dutch Corporate Governance Code

Jeroen Hoencamp was CEO of VodafoneZiggo, the Dutch joint venture of Vodafone the Netherlands and Ziggo. Prior to that, for over 20 years Jeroen Hoencamp fulfilled various senior management positions within Vodafone, such as CEO of Vodafone Netherlands, Ireland and Great Britain.

Jeroen Hoencamp holds one position as referred to in article 2:142a of the Dutch Civil Code. This article is described as "number of supervisory positions" in Appendix Glossary and definitions'.

Nienke Meijer (1965, Dutch, female)

Nienke Meijer was appointed member of the Supervisory Board on 20 April 2021. Her current term expires in 2025. Nienke is Cofounder and partner of Foundation De Buitenboordmotor, chair of the National Citizens' Assembly on Climate, member of the supervisory board of Achmea, and chair of the board of Foundation De Volkskrant. Nienke qualifies as independent within the meaning of the by-laws of the Supervisory Board and the Dutch Corporate Governance Code.

Nienke previously was Chair of the board of Fontys Hogescholen, member of the Advisory council for science, technology and innovation, member of the supervisory board of the LUMC and Deloitte, and held several commercial and managerial roles within Wegener and VNU.

Nienke Meijer holds two positions as referred to in article 2:142a of the Dutch Civil Code. This article is described as "number of supervisory positions" in Appendix Glossary and definitions.

Ad Melkert (1956, Dutch, male)

Ad Melkert was appointed member of the Supervisory Board on 14 April 2020 and reappointed as member of the Supervisory Board per 16 April 2024 for a period of four years. His current term expires in 2028. His positions include chair of the Dutch Association of Hospitals, the supervisory board of Florence and the supervisory board of De Alliantie, and Extraordinary Councillor at the Council of State. Ad qualifies as independent within the meaning of the by-laws of the Supervisory Board and the Dutch Corporate Governance Code

Previously Ad Melkert served as Dutch Member of Parliament, Minister of Social Affairs and Employment, Executive Director at the World Bank and Under-Secretary-General of the United Nations.

Ad Melkert holds one position as referred to in article 2:142a of the Dutch Civil Code. This article is described as "number of supervisory positions" in Appendix Glossary and definitions.

Martin Plavec (1988, Czech, male)

Martin Plavec was appointed member of the Supervisory Board on 18 April 2023. His current term expires in 2027. Martin is member of the executive board of DODO Group, investment manager at VESA Equity Investment and investment associate at Czech Media Invest. Martin qualifies as non-independent within the meaning of the by-laws of the Supervisory Board and the Dutch Corporate Governance Code.

Martin previously was amongst others investment associate at EP Logistics International, chief financial officer at EP Resources, financial analyst at Energetický a průmyslový holding and Advisor to the minister at the Ministry of Industry and Trade of the Czech Republic.

Martin Plavec holds one position as referred to in article 2:142a of the Dutch Civil Code. This article is described as "number of supervisory positions" in Appendix Glossary and definitions.

Koos Timmermans (1960, Dutch, male)

Koos Timmermans was appointed member of the Supervisory Board on 20 April 2021. His current term expires in 2025. He is a member of the supervisory board of NN Group, FMO and KWF (Dutch Cancer Society), and chair of the supervisory board of Port of Rotterdam Authority. Koos qualifies as independent within the meaning of the by-laws of the Supervisory Board and the Dutch Corporate Governance Code.

Previously Koos held various senior management positions within ING, ultimately as CFO, he was member of the board of Association VNO/NCW, member of the supervisory board of the Duisenberg School of Finance, Stadsherstel Amsterdam and the Amsterdam Institute of Finance.

Koos Timmermans holds five positions as referred to in article 2:142a of the Dutch Civil Code. This article is described as "number of supervisory positions" in Appendix 'Glossary and definitions'.

Hannie Vlug (1964, Dutch, female)

Hannie Vlug was appointed member of the Supervisory Board on 19 April 2022. Her current term expires in 2026. She is chair of the Samenwerkingsorganisatie Beroepsonderwijs Bedrijfsleven. Hannie qualifies as independent within the meaning of the by-laws of the Supervisory Board and the Dutch Corporate Governance Code.

Previously Hannie was a member of the supervisory board of health insurer Zorg en Zekerheid, a member of the supervisory board of housing cooperative Woonzorg Nederland, and she held several managerial functions within the Dutch government, including as director employment relations and director sustainability.

Hannie Vlug holds one position as referred to in article 2:142a of the Dutch Civil Code. This article is described as "number of supervisory positions" in Appendix Glossary and definitions.

Competences Supervisory Board members

The following matrix provides an overview of the competences of the Supervisory Board members in line with the profile as drawn up by the Supervisory Board.

1. International and national developments in markets in which PostNL operates and the relevant products and technologies, particularly in the areas of:

   1. Digital & marketing and innovation

   2. IT and cyber security

   3. Logistics

2. International/national developments in government policy and legislation, public affairs and tax

3. Financial administration, accounting policies and internal controls of listed multinationals

4. International and national acquisitions and joint ventures

5. ESG Developments

   1. Sustainability

   2. Social and political conditions in all key countries where PostNL operates, with specific knowledge of and attention to the interests of employees and HR processes

   3. (Corporate) Governance

6. Capital markets & Investor relations

* Competences Supervisory Board PostNL

** Independent within the meaning of the Dutch Corporate Governance Code 2022

Committees of the Supervisory Board

PostNL’s Supervisory Board has an Audit Committee, Nomination Committee, Remuneration Committee and ESG Committee. The committees have an advisory role based on a mandate from the Supervisory Board. Only the Supervisory Board has decision-making powers. Each committee reports its deliberations, findings and recommendations after each meeting to the full Supervisory Board. The committees operate pursuant to terms of reference set by the Supervisory Board in accordance with the law and the Code. The terms of reference are available on our website.

The following table provides an overview of the composition of the Supervisory Board committees per year-end 2024.

Audit Committee

The Audit Committee assists and advises the Supervisory Board and prepares the decision-making of the Supervisory Board on the monitoring of the integrity and quality of the financial reporting by the company and on the effectiveness of the internal risk management and control systems of the company. The Audit Committee focuses inter alia on the supervision of the Board of Management concerning (i) the integrity of the company’s financial and corporate responsibility reporting (including but not limited to the choice of accounting policies, application and assessment of the effects of new rules, information about the handling of estimated items in the financial statements and forecasts); (ii) the external auditor's qualifications and independence, remuneration and non-audit services for the company; (iii) the relationship with the external auditor and the compliance by PostNL with the recommendations from the external auditor and the internal audit function; (iv) the company’s financing; (v) the company's tax strategy; (vi) the application of information and communication technology by the company, including the risks related to cybersecurity, and; (vii) compliance with relevant legislation and codes of conduct.

The Audit Committee consists of at least three members. All members of the Audit Committee are members of the Supervisory Board. A member of the Audit Committee shall not simultaneously serve on the Audit Committee of more than two other companies unless the Supervisory Board determines that this simultaneous service would not impair the ability of such a member to serve effectively on the Audit Committee.

Each member of the Audit Committee must be financially literate and at least one member of the Audit Committee shall be a financial expert, with relevant knowledge and expertise of financial accounting and reporting for listed companies or other large companies.

Nomination Committee

The Nomination Committee assists the Supervisory Board on matters relating to the appointment procedures for members of the Supervisory Board and the Board of Management and procedures to secure adequate succession of members of the Board of Management and the assessment of such candidates, and with assessing the size and composition of the Supervisory Board and the Board of Management. The Nomination Committee prepares proposals for nominations, appointments and reappointments. At least once a year, the size and composition of the Supervisory Board and the Board of Management and the functioning of the individual members are assessed by the Nomination Committee and discussed by the Supervisory Board.

The Nomination Committee consists of at least three members, including the chair (or vice chair) of the Supervisory Board. All members of the Nomination Committee are members of the Supervisory Board and are independent within the meaning of the by-laws of the Supervisory Board and the applicable corporate governance rules.

Remuneration Committee

The Remuneration Committee proposes at least once every four years a clear and understandable remuneration policy for the Board of Management and Supervisory Board to be pursued (such policies to be adopted by the General Meeting of Shareholders). It proposes the remuneration of the individual members of the Board of Management, which proposal shall be prepared in accordance with the remuneration policy, proposes common targets for members of the Board of Management for the three coming years, prepares the remuneration report, reviews the granting of company shares or options for company shares to other senior management of the company pursuant to its share plans, and prepares a clear and understandable proposal for the remuneration of Supervisory Board in accordance with the remuneration policy.

The Remuneration Committee consists of at least three members. The chair of the Remuneration Committee shall not simultaneously be the chair of the Supervisory Board. All members of the Remuneration Committee are members of the Supervisory Board and are independent within the meaning of the by-laws of the Supervisory Board and the applicable corporate governance rules. Members of the Supervisory Board which are appointed pursuant to the enhanced right of recommendation of the Central Works Council shall by operation of law immediately become a member of the Remuneration Committee. The other members of the Remuneration Committee shall be appointed and may be replaced at any time by the Supervisory Board.

ESG Committee

The ESG Committee assists the Supervisory Board on matters where these relate to and/or concern the strategic areas of ESG and what these mean for PostNL, including but not limited to (a) the environment, including carbon impact, renewable energy and biodiversity, (b) social sustainability, including (i) human rights, (ii) fair wages and (iii) community/stakeholder engagement, (c) relationship with stakeholders in relation to ESG, (d) periodic review and evaluation of, and progress against, the long-term strategic objectives of PostNL in relation to ESG and (e) external ESG developments relevant for PostNL and its reputation. In addition, the ESG Committee shall assist the Supervisory Board with generally monitoring and advising on relevant ESG developments in order to be able to advise and challenge the Board of Management with respect to ESG on a regular basis and advise on any other action to be taken by the Supervisory Board in the context of ESG. Explicitly excluded from the tasks / responsibilities of the ESG Committee is the setting of ESG-related KPIs and connected target setting, the non-financial reporting, and all other aspects which are part of the responsibility of the Audit Committee.

The ESG Committee shall consist of at least three members. All members of the ESG Committee are members of the Supervisory Board.

Information by external parties

The Supervisory Board and its committees may hire independent advisors as it deems appropriate. There is an agreed procedure for members of the Supervisory Board to obtain independent professional advice paid for by the company, if so required.

PostNL Composition of Supervisory Board committees

Meetings of the Supervisory Board

In addition to the topics mentioned in the conversation with the chairmanNo section found, the Supervisory Board discussed a wide range of other topics during the year. These included business, financial, market, and regulatory developments in PostNL’s business segments, and the Strategic Plan. The 2023 annual results, the 2024 quarterly and half-yearly results, and the 2025 budget were also discussed. Deep dives were held with internal and external experts present on artificial intelligence, the Out-of-Home and Ecommerce network strategy and the strategy in relation to the large Asian web shops in conjunction with ESG, and the future of mail. And regularly discussed were the competitive position, competition, market share, cost savings initiatives and the integrator proposition.

Other topics discussed include PostNL’s financial position, the issuance of the €300 million sustainability-linked notes, IT developments and cybersecurity, business continuity, compliance, (interim) dividend and PostNL’s dividend policy, growth, the company's culture and investor feedback after management roadshows, as well as the remuneration policies for the Board of Management and Supervisory Board. And the appointment of Willem Jan van Tongeren as successor of Jennifer Crites as CIO and member of the Executive Committee per 1 September 2024 was discussed.

Furthermore, the Supervisory Board discussed potential acquisitions and divestments, the preparation of the AGM and compliance with the Code. Twice a year, the Supervisory Board discusses a litigation overview, describing claims (including tax) against PostNL and litigation concerning PostNL (with a threshold of €250,000).

The Supervisory Board also receives an update on integrity, including the fraud & whistle-blower report, twice a year. The outcome of the risk management process, the main risks identified, and the mitigation plans in place to manage these risks were shared with the Audit Committee and with the Supervisory Board. The progress on CSRD was also extensively discussed in the Audit Committee and Supervisory Board. A description of PostNL’s major risks and its risk management can be found in the Risk and opportunity management chapter.

The Supervisory Board performs an oversight role with respect to non-financial issues, supported by PostNL’s internal audit department, which monitors the non-financial governance structure and reporting. Next to this responsibility, the Supervisory Board discussed various non-financial related issues besides the topics addressed in the focus items listed above, including pensions, career and management development, the reputation of PostNL, customer satisfaction and NPS, and relations between the Supervisory Board and the Board of Management with the works councils and trade unions.

Additionally, the 2023 auditor’s report by PostNL’s external auditor KPMG and the 2023 Annual Report (including Financial Statements and Non-Financial Performance Statements) were discussed. For 2024 KPMG reported on their overall view on internal control and more specifically in relation to IT and non-financial reporting. In relation to internal control KPMG concluded that PostNL has a mature internal control framework with a good balance between preventive and detective controls, where there is room for further automation with the implementation of SAP S/4HANA. Also KPMG provided recommendations for further improvement of the internal control, reflected on the observations towards the culture of PostNL and provided their observations and recommendations on non-financial reporting, including in relation to the implementation of CSRD. The audit work of KPMG was carried out on site, with conversations and discussions taking place in a cooperative and constructive way.

The Supervisory Board discussed its composition and that of its committees and the profile of the Supervisory Board. More details about the Supervisory Board can be found in the Corporate governance chapter.

During 2024, all regular meetings between the Supervisory Board and the Board of Management were held face-to-face, and additional meetings were mostly held digitally. Overall, the quality of the meetings was good and constructive. Building on earlier evaluations, the Supervisory Board ensures that it plans in sufficient time for Supervisory Board-only discussions by having this as a recurring item on the agenda of each meeting. Further information on the 2024 evaluation of the Supervisory Board can be found in the Evaluation of the Supervisory Board section.

Number of meetings and attendance rate

The Supervisory Board met eight times in person and had one digital meeting in 2024. All meetings but one were also attended by the full Board of Management, apart from the agenda item Supervisory Board only. The deep dive in June on artificial intelligence was held at an external location. Furthermore an informal dinner was held with the members of the Supervisory Board, Board of Management and Executive Committee in December. The individual attendance and overall attendance percentages per meeting are presented in the table below.

PostNL Attendance Supervisory Board members

Meetings of the committees of the Supervisory Board

Audit Committee

The Audit Committee met five times in 2024. In general, all meetings are attended by the CFO, director Audit & Security, director group Finance, director Accounting & Reporting and the external auditor, KPMG. The CEO attends the Audit Committee meetings when the half-year and full-year results are being discussed. The chairman of the Audit Committee regularly meets the external auditor without management present. Additionally, the director Audit & Security regularly meets the chairman of the Audit Committee without management, and meets the chairman of the Supervisory Board at least once a year.

At each meeting, the Audit Committee discusses the results of and developments in PostNL’s business segments, as well as the progress in relation to reporting under the CSRD, including the outcome of the DMA. In 2024, the Audit Committee discussed PostNL’s full-year 2023 results, the outlook for 2024, the 2024 first-quarter, half-year and third-quarter results, and the related press releases, and the preliminary 2025 budget, in conjunction with the uncertainty as a result of macroeconomic circumstances going forward. Also, the issuance of the €300 million sustainability-linked notes was discussed. Furthermore, the Audit Committee discussed the Eumedion, VEB and VBDO focus letters, the risk paragraph and the quantity and quality of the explanatory notes in the financial reports of the 2023 Annual Report and the preparation of PostNL’s 2024 Annual Report. Also a first analysis was presented to the Audit Committee on the Verklaring Omtrent Risicobeheersing (VOR), the newly to be incorporated statement on risk management under the Code.

The main financial factors influencing the strategic plan and PostNL’s financial performance, including volume developments, pricing, cost savings, competition and market share, regulatory developments, economic developments, pensions, and employee conditions, were discussed. The Audit Committee also discussed the development of working capital, the strategy of Parcels, development of cost savings at Mail in the Netherlands, cost savings at Head Office, Parcels and Digital, (interim) dividend and dividend policy, the capital allocation framework, and the relevant 2024 tax matters, including matters such as transparency, tax planning, and tax risk management. Cybersecurity and IT, including digital ethics, were also recurring items on the agenda of the Audit Committee. The Audit Committee discussed reports on internal control and risk management (reports which are, if necessary, also discussed in the Supervisory Board). Reports from the internal audit function and the external auditor, including the internal audit and KPMG's audit plan and KPMG’s board reports, were discussed regularly. The Audit Committee receives and discusses half-yearly updates on integrity issues (including the fraud & whistle-blower report), claims and litigation, compliance and any actions taken by management, if applicable. Fortunately, no material fraud-related incidents were reported in 2024.

The external audit fees were discussed and approved, and the evaluation of the performance of KPMG over the financial year 2023 was discussed, as well as the terms of the contract extension with KPMG. Furthermore, contemplated changes in the laws and regulations governing financial reporting, the quality assessment and performance of PostNL’s internal audit function, and the development of the actions to mitigate the deficiencies reported by the external auditor and internal auditor function over 2023, were also discussed. In relation to changes in laws and regulations governing financial reporting, the reporting obligations of the EU Taxonomy and the status of the reporting obligations of the CSRD, as well as the role of the Audit Committee, were addressed and discussed regularly.

Nomination Committee

The Nomination Committee had three meetings in 2024. The Nomination Committee discussed the overall composition of the Supervisory Board and its committees, and discussed succession planning of the Board of Management. In light of the intended stepping down as CEO of Herna it discussed appointing Pim as her successor, the CFO profile and engaged a head hunter for the procedure for appointing a new, female CFO. Furthermore the committee discussed the appointment of Willem Jan van Tongeren as member of the Executive Committee.

The Nomination Committee furthermore discussed succession planning and talent management covering the Supervisory Board, the Board of Management and senior management, and diversity, equity and inclusion within the company. Linked to this, the Nomination Committee discussed the ambitious and appropriate target numbers for the Board of Management and senior management to promote gender diversity.

Remuneration Committee

In 2024, the Remuneration Committee had five meetings. In 2024 the new remuneration polices for the Board of Management and Supervisory Board had been adopted. The Remuneration Committee furthermore discussed the remuneration of the members of the Board of Management and the Executive Committee and of senior management, PostNL’s remuneration policies and the preparation of the discussion of the remuneration policy at the 2024 AGM. Feedback was again requested from investors in relation to their view on the Remuneration Report as included in the 2023 Annual Report. Further details on the discussions in the Remuneration Committee and the remuneration for the Board of Management and the Supervisory Board can be found in the Remuneration report chapter, which includes a further explanation of the remuneration policy and the actual remuneration and relationship between remuneration and performance of members of the Board of Management for 2024, and provides further insight into the remuneration policies as adopted at the AGM in 2024.

ESG Committee

The ESG Committee held three meetings in 2024. the ESG Committee discussed the ESG strategy of PostNL and the governance structure set up in relation to ESG. Furthermore, in every meeting the ESG Committee discussed the relevant ESG updates and status of the reporting obligations under the CSRD, including the outcome of the DMA. It also discussed several key challenges and dilemmas in relation to ESG topics, such as in relation to finding the right balance between further improving PostNL's footprint at the one hand and meeting market expectations at the other hand. For 2025 the ESG Committee will perform a joint evaluation with the Audit Committee on this first CSRD-proof annual report. The relevant aspects of the outcome of such evaluation will be part of the agenda of the committee for 2025.

Evaluation of the Supervisory Board

The Supervisory Board is responsible for the quality of its own performance. As such, the Supervisory Board evaluates and discusses its functioning and that of its committees and members annually, and at least every four years with the help of an external evaluator. For 2024, the Supervisory Board performed a self-evaluation. The evaluation process consisted of an open and constructive reflection-session during a dinner based on questions asked beforehand by the chair and vice-chair of the Supervisory Board, and a further discussion of the outcome of the session in a meeting of the Supervisory Board only. The questions asked were on the role of the members of the Supervisory Board, the composition of the Supervisory Board as a whole and a reflection on 2024 and expectations for 2025. The sessions were held with the Supervisory Board members only with the company secretary present.

In general the Supervisory Board concluded that the composition of the Supervisory Board, but also the committees of the Supervisory Board, is balanced, professional and complementary, making the way of working, its judgement and decision making powers adequate. The feedback from the committees of the Supervisory Board to the Supervisory Board as a whole is considered thorough and good. Discussions are conducted in a way that ensures open communication and feedback, meaningful participation allowing for civil disagreement and critical thinking. Not only within the Supervisory Board itself, but also in the discussions with the Board of Management.

The Supervisory Board feels the relationship between the Board of Management and Supervisory Board is healthy, open and with mutual trust. An important attention point for 2025 is to maintain this with the change in the Board of Management in 2025. And to strike the balance between challenging and supporting the Board of Management, taking into account the current times where the company is sensitive to fluctuations and copes with difficult market circumstances.

The Supervisory Board is positive about the professionalism and quality of the management reports and the information provided by - and transparency of - the Board of Management which are engaging in the advice provided by the Supervisory Board. It values the deep-dives held in various subjects as these allow for further discussion and understanding on certain topics, not only with the Board of Management but also with the members of the Executive Committee and senior management of PostNL. At the same time attention should be paid to having the right discussions in the Supervisory Board in relation to the amount of information provided.

Points for further development to allow for even more constructive discussions between the Supervisory Board and Board of Management were noted. For instance to what extent there is potentially more room for the Supervisory Board to gain even further (outside in) perspective on certain topics. Furthermore the predictability towards the market is reflected on and the role the Supervisory Board can play in this regard, which is considered an important subject for 2025. At the same time it is noted that on most drivers the predictions in 2024 were met, and that the uncertainty that surrounds market developments makes it difficult to determine certain short-term developments in the e-commerce market, where volume projections are becoming increasingly volatile, both for our customers and for us. The envisaged Capital Markets Day in this regard is an important marker for the company.

The Supervisory Board established that it takes due consideration of the interests of all stakeholders of the company. Building on earlier evaluations, the Supervisory Board has taken its time for discussion with the Supervisory Board only by making this a recurring item on the agenda prior to and at the end of each meeting. The Supervisory Board members themselves are comfortable in exercising their role, and feel that everything can be said. All members feel and have demonstrated that they have enough time to fulfil their duties as members of the Supervisory Board in an adequate manner.

The outcome of the evaluation will be followed up in 2025.

Concluding remarks

We saw that 2024 was a year of continuing challenging circumstances with rising costs, a tight labour market, geopolitical volatility, evolving consumer behaviour and client concentration. And a further pressure on postal services. 2025 will be about executing on the strategic actions as mentioned earlier, and taking further actions to safeguard a future-proof and financially viable postal service whilst awaiting the decision from government. We are convinced our motivated people and strong management teams are well equipped to tackle the challenges ahead. We want to take this opportunity to reiterate our appreciation for the contributions made by former Executive Committee member Jennifer Crites. We also want to thank the Board of Management, Executive Committee, and all other PostNL employees worldwide for their continued drive throughout the year. We look forward to 2025.

Additional information

More information can be found in the Corporate governance and the Remuneration report chapters, which are deemed to be incorporated by reference here.

The Hague, the Netherlands, 24 February 2025

General information

PostNL N.V. is a limited liability company listed on Euronext Amsterdam and governed by Dutch corporate law. PostNL has a two-tier governance structure with a Board of Management entrusted with executive management under the supervision of an independent Supervisory Board. Each Board is accountable to the general meeting of shareholders for the performance of its duties. PostNL is a so-called large company (structuurvennootschap). The large company regime provides for a legal framework, which determines the corporate management structure as well as the powers and duties of the Boards. This chapter includes incorporation by reference for GOV-1, GOV-2, G1-1, G1-2 and G1-3 in the sustainability statement.

Board structure, composition and responsibilities

Board of Management

The Board of Management is responsible for the day-to-day management of PostNL. It holds collective responsibility for defining, implementing, and continuously evaluating our mission, vision, strategy, objectives, and corporate culture. This includes oversight of our business principles, group policies, and procedures, such as our whistleblowing policy and anti-corruption and anti-bribery procedures. Additionally, the Board manages the company’s risk profile as defined by our strategic direction, the company’s financing structure, non-financial policies, external communication, and ensures compliance with all relevant laws and regulations.

By enforcing our group policies and procedures across the entire value chain, the Board of Management ensures a solid foundation for ethical business conduct. This approach mitigates potential regulatory, legal, and reputational risks arising from misconduct and reinforces our corporate culture. The Board of Management acts in the best interests of PostNL, with a focus on sustainable long-term value creation. In doing so, it carefully considers the interests of all stakeholders and is dedicated to leading the company in a transparent manner.

The Board of Management performs its activities under the supervision of the Supervisory Board. It informs the Supervisory Board of significant developments and discusses, inter alia, risk management, internal control, integrity and compliance systems with the Supervisory Board and its Audit Committee.

The Supervisory Board conducts an annual assessment of the performance of the Board of Management, including its individual members. The outcomes of this evaluation are discussed, particularly in the context of succession planning for members of the Board of Management. Additionally, the Board of Management undertakes a self-assessment of its collective performance as well as that of its individual members.

Specific staff departments – Audit & Security, Legal, Tax, Procurement & Services, Human Resources, Investor Relations, Treasury, Public Affairs, Corporate Strategy, Communication and Finance – support the Board of Management and the business segments in the performance of their duties and ensure compliance with applicable laws and regulations.

The Board of Management incorporated the following bodies to ensure compliance with applicable corporate governance requirements: a Disclosure Committee and an Integrity Committee.

The Disclosure Committee advises and assists the Board of Management in ensuring compliance with regulations relating to the publication of price-sensitive information. The Disclosure Committee is composed of the CFO, director Legal, director Communication, Investor Relations, and the corporate secretary. The Disclosure Committee reports directly to the Board of Management. The terms of reference of the Disclosure Committee can be found on our website.

The Integrity Committee advises and assists the Board of Management in developing, implementing and monitoring group policies aimed at enhancing integrity and ethical behaviour and at preventing irregularities, misconduct and fraud. The Integrity Committee oversees investigations based on reports of possible breaches under our business principles and related policies. More information on integrity and the Integrity Committee can be found later in this chapter.

Members of the Board of Management are appointed and can be suspended or dismissed by the Supervisory Board. A decision by the Supervisory Board to dismiss a member of the Board of Management can only be taken after the General Meeting of Shareholders has been consulted on the intended dismissal.

Further details on the appointment and dismissal of members of the Board of Management can be found in our articles of association, which are available on our website. The by-laws of the Board of Management also can be found on our website.

At year-end 2024, the Board of Management consisted of two members: the chairman and chief executive officer (CEO) Herna Verhagen and the chief financial officer (CFO) Pim Berendsen.

Herna Verhagen (1966, Dutch, female) – Chief Executive Officer

Herna Verhagen became chief executive officer on 24 April 2012. She was appointed as a member of the Board of Management on 31 May 2011, then reappointed on 14 April 2015, 16 April 2019, and 18 April 2023, each time for a four-year term. Herna started working for one of the legal predecessors of PostNL in 1991 as sales manager. Subsequent roles included marketing and sales director, coordinating managing director Mail Netherlands in the Mail division and managing director Group HR of TNT.

Herna Verhagen is responsible for Mail in the Netherlands, E-commerce Commerce, E-commerce Operations, Logistics Solutions, CBS, and Digital. Her portfolio also includes corporate strategy, public affairs, communication, corporate responsibility, human resources, IT, and internal audit.

In addition, she serves as a member of the Supervisory Board of ING Group and Philips, and she is also a member of the Supervisory Board of the Concertgebouw in Amsterdam.

Herna Verhagen holds two positions as referred to in article 2:132a of the Dutch Civil Code. This article is described as "number of supervisory positions" in Appendix Glossary and definitions.

Pim Berendsen (1973, Dutch, male) – Chief Financial Officer

Pim Berendsen was appointed chief financial officer and member of the Board of Management on 18 April 2018, and reappointed for a period of four years on 19 April 2022. Pim Berendsen joined PostNL and its legal predecessors in 2000 and held various positions, including financial director and managing director Data and Document Management Unit, financial director Euromail and manager strategy and M&A of Cendris. Between 2013 and 2015 he was director corporate development of Van Gansewinkel Group, returning to PostNL in 2015 to become member of the Executive Committee, responsible for International, M&A and Growth. He started his career as an international tax advisor at Arthur Andersen.

Pim Berendsen is responsible for finance, legal, procurement & services, investor relations, M&A, tax and the integrator proposition. He is chairman of the board of advice of Endeit Investment Fund, chairman of the Johan Cruijff Foundation, non-executive member of the board of Whistl and a member of the executive committee and general board of the Confederation of Netherlands Industry and Employers (VNO-NCW).

Pim Berendsen holds no positions as referred to in article 2:132a of the Dutch Civil Code. This article is described as "number of supervisory positions" in Appendix Glossary and definitions.

Executive Committee

PostNL has an Executive Committee established to advise and support the Board of Management in the execution of its duties and responsibilities. The Executive Committee assists the Board of Management in achieving the company’s business objectives and implementing its strategic priorities, providing additional expertise and support where needed. Furthermore, the Executive Committee oversees the development and management of PostNL's senior leadership talent, ensuring a consistent approach to talent management across all business segments.

Members of the Executive Committee maintain regular contact with the Supervisory Board, both formally during Supervisory Board meetings and informally, at the initiative of either a member of the Executive Committee or the Supervisory Board. The CEO serves as the primary liaison between the Executive Committee and the Supervisory Board, including its chair.

At year-end 2024, the Executive Committee was composed of the following nine members:

• Herna Verhagen (CEO and chair)

• Pim Berendsen (CFO)

• Maurice Unck, responsible for Mail Netherlands

• Tijs Reumerman, responsible for Cross Border Solutions

• Jeroen Veldstra, responsible for HR

• Iris van Wees, responsible for E-commerce Operations

• Stephan van den Eijnden, responsible for E-commerce Commerce

• Willem-Jan van Tongeren, Chief Information Officer, responsible for IT

• Bart Delmulle, Chief Digital Officer

Each Executive Committee member bears responsibility for the operations and management in their business unit or staff function, in line with PostNL’s policies, values and principles and compliance standards. The Board of Management reviews and assesses the performance of the Executive Committee, as well as the effectiveness of the governance structure of the Executive Committee, at least once a year. In doing so, the Board of Management shall take account of the checks and balances that are part of PostNL’s two-tier system, such as whether the Supervisory Board is informed adequately.

With the exception of the members of the Board of Management, Executive Committee members are appointed, suspended and dismissed by the Board of Management.

The by-laws of the Executive Committee can be found on our website.

Supervisory Board

The Supervisory Board is charged with supervising the Board of Management and the general course of affairs of PostNL, as well as assisting the Board of Management with advice. The Supervisory Board evaluates the main organisational structure and the risk management, internal control, integrity and compliance systems established by the Board of Management, as well as the general and financial risks.

In performing its duties, the Supervisory Board acts in accordance with the interests of PostNL and considers the relevant interests of the company’s stakeholders. The responsibility for proper performance of its duties is vested in the Supervisory Board as a whole. Members of the Supervisory Board perform their duties without mandate and independent of any particular interest in the company's business. Members of the Supervisory Board may take views that differ from those of the Board of Management. PostNL’s Supervisory Board is responsible for the quality of its own performance, which is reviewed annually.

The Supervisory Board performs an oversight role with respect to corporate responsibility issues supported by PostNL’s internal audit function and the company’s external auditors who provide assurance on non-financial reporting.

The Board of Management provides the Supervisory Board with the information necessary for the proper performance of its duties in a timely manner. In addition, the Board of Management is required to provide the means to allow the Supervisory Board and its individual members to obtain all information necessary to be able to function as the supervisory body of PostNL. The Board of Management seeks full transparency in its communication with the Supervisory Board.

The by-laws of the Supervisory Board can be found on our website.

Appointment and dismissal

Members of the Supervisory Board are appointed by the General Meeting of Shareholders following nomination by the Supervisory Board. The General Meeting of Shareholders can dismiss the Supervisory Board in its entirety by an absolute majority of the votes cast representing at least one-third of the issued share capital. According to the by-laws and the profile of the Supervisory Board, a person may be appointed to the Supervisory Board for a maximum period of four years and may then be reappointed once for another four-year period.

The Supervisory Board member may subsequently be reappointed again for a period of two years, and this appointment may be extended by at most two years. PostNL’s articles of association provide that members of the Supervisory Board shall resign periodically in accordance with a rotation plan drawn up by the Supervisory Board in order to limit the number of simultaneous appointments or reappointments. The rotation plan is available on our website. Further details on the appointment and dismissal of members of the Supervisory Board can be found in our articles of association.

Composition

Pursuant to our articles of association, the Supervisory Board has at least three members. Taking this requirement into account, the Supervisory Board decides on the number of its members. At the date of this report, the Supervisory Board consisted of eight members. The Supervisory Board prepared a profile of its size and composition, taking into account the nature of PostNL’s business and activities and the desired expertise, competences, diversity and background of the members of the Supervisory Board. Since PostNL is a so-called large company (structuurvennootschap), the Central Works Council, composed of elected employees from the workforce, has an enhanced right of recommendation (versterkt recht van aanbeveling) with regard to one third of the total number of Supervisory Board members. The Supervisory Board shall nominate a person recommended by the Central Works Council pursuant to the enhanced right of recommendation unless the Supervisory Board objects to the recommendation because it considers the recommended person unsuitable for the exercise of the duties of a Supervisory Board member or because the Supervisory Board shall not be composed properly if the recommended person would be appointed. At the date of this report, two members of the Supervisory Board are appointed taking into account such enhanced right of recommendation: Ad Melkert and Hannie Vlug.

Since PostNL is a so-called large company (structuurvennootschap), the Central Works Council, composed of elected employees from the workforce, has an enhanced right of recommendation (versterkt recht van aanbeveling) with regard to one third of the total number of Supervisory Board members. The Supervisory Board shall nominate a person recommended by the Central Works Council pursuant to the enhanced right of recommendation unless the Supervisory Board objects to the recommendation because it considers the recommended person unsuitable for the exercise of the duties of a Supervisory Board member or because the Supervisory Board shall not be composed properly if the recommended person would be appointed.

At the date of this report, two members of the Supervisory Board are appointed taking into account such enhanced right of recommendation: Ad Melkert and Hannie Vlug. The Supervisory Board also adopted a diversity, equity and inclusion policy for PostNL addressing the composition of the Supervisory Board and Board of Management, which also applies to the Executive Committee. This policy can be found on our website.

The Supervisory Board ensures that its composition meets the required profile and is as independent and diverse as possible, assuring sufficient knowledge of mail and communication, logistics, corporate responsibility, digitalisation, sustainability, management, public affairs, IT, finance, corporate governance and the capital markets. A Supervisory Board member must be capable of assessing the broad outline of the company’s overall policy and should have the specific expertise required to fulfil the duties assigned to their designated role within the framework of the profile. Each member should have sufficient time available for the proper performance of their duties.

The Supervisory Board evaluates its profile regularly and discusses the profile at the Annual General Meeting of Shareholders and with PostNL’s central works council when it amends the profile. The profile of the Supervisory Board is available on our website.

Chair

The chair of the Supervisory Board determines the agenda and presides over meetings of the Supervisory Board. The chair is responsible for the proper functioning of the Supervisory Board and its committees. In addition, the chair arranges an introduction and training programme for new members of the Supervisory Board and initiates the evaluation of the performance of the members of the Supervisory Board and the Board of Management. The chair of the Supervisory Board may not be a former member of PostNL’s Board of Management.

Corporate secretary

The Executive Committee, Board of Management and Supervisory Board are assisted by PostNL’s corporate secretary. All members of the Executive Committee, Board of Management and Supervisory Board have access to the advice and services of the corporate secretary, who is responsible for ensuring that the Executive Committee, Board of Management and Supervisory Board procedures are followed and that each of these bodies acts in accordance with the law, the articles of association and the relevant by-laws.

Business principles, policies and procedures

Business principles

We are a large company with tens of thousands of employees, multiple business segments and an international network. Our business principles form the foundation for our actions and guide our decisions regarding doing business with others or entering into joint ventures. We expect everyone who works with or for PostNL, third parties and our business relations, suppliers and customers to comply with our business principles.

Our business principles outline the standards and behaviours that everyone working with or on behalf of PostNL – including third parties and business partners – can expect from us. To provide further clarity on specific situations, we have developed a range of group policies, such as our integrity policy. These policies detail the appropriate actions to take in particular scenarios and specify the points of contact for any questions or concerns.

In this chapter we provide more insights into our business principles, policies and procedures, including links to our policies on our website.

Diversity, equity and inclusion

As outlined in the Social value chapter earlier in this report, earlier in this report, PostNL recognises the power of diversity, equity and inclusion. We respect and value individual differences, which strengthen our organisation, enhance innovation, and make us more appealing as an employer and partner.

This commitment extends to fostering diversity within the composition of the Executive Committee, Board of Management, and Supervisory Board. The Supervisory Board and Board of Management actively promote diversity, equity and inclusion within these bodies and the Executive Committee, with consideration given to factors such as age, gender, expertise, experience, and nationality. Our aim is to strike a balanced representation, ensuring that diversity is reflected wherever possible, while meeting, as a minimum, the statutory requirements. Further details can be found in our diversity, equity and inclusion policy, available on our website.

At year-end 2024, PostNL’s Board of Management had two members, of which one was female, i.e. 50% of the seats filled by women. The Executive Committee had nine members, of which two were female, i.e. 22.2% of the seats filled by women. The Supervisory Board has eight members, of which three are women, i.e. 37.5% of the seats filled by women.

As follows from PostNL’s diversity, equity and inclusion policy and the profile of the Supervisory Board, diversity is taken into account when selecting candidates in case of a vacancy in the Executive Committee, Board of Management and Supervisory Board. Ultimately, the capacities of the selected candidates are assessed irrespective of the candidate's gender and the most qualified candidates will be nominated for appointment.

Per 1 January 2022, new legislation in the Netherlands came into force in relation to a balanced representation of men and women in Supervisory Boards, Boards of Management and senior management. The legislation introduced a binding diversity quota for the Supervisory Board, whereby at least one third of the members of the Supervisory Board should be male, and at least one third of the members should be female. Additionally, large companies such as PostNL should determine an ambitious and appropriate target (in the form of a target number) to promote gender diversity in the Board of Management and senior management. As mentioned above, PostNL complies with the binding diversity quota for the Supervisory Board. PostNL has determined ambitious and appropriate target numbers for the Board of Management and senior management. More information on the implementation of the diversity, equity and inclusion policy can be found in the Social value chapter.

Procurement policy

At PostNL, we are committed to ensuring that our procurement and service activities align with our procurement policy, applicable legislation and regulations, social and ethical standards, and sustainability requirements. In collaboration with our suppliers, we continuously strive to strengthen and enhance the supply chain, making it as sustainable as possible. This commitment reflects our focus on protecting the environment, promoting social responsibility, and upholding robust governance standards.

Our approach begins with the careful selection of suppliers and the design of procurement processes that are fully aligned with our ESG responsibilities. While we consider price, quality, and delivery timelines, we also incorporate social and environmental factors into our decision-making.

To support this, we employ a risk-assessment matrix when evaluating potential suppliers. Should a supplier fail to meet our standards following this assessment, we will not proceed with a contract. In situations where suppliers are equally suitable, we prioritise those demonstrating stronger sustainability performance.

The procurement policy can be found on our website, and contains, for example, guidelines, risk classification, follow-up measures and checklists. These protocols also include a description of how to use our General Conditions of Purchase, the PostNL business principles and the PostNL Set of Guidelines for Suppliers and Contractors.

In 2023, we updated our guidelines for suppliers and contractors, providing a clear interpretation of the PostNL business principles and the OECD guidelines. These refinements emphasise our expectations regarding proactive and innovative approaches to improving the environmental impact of goods and services supplied to us.

Specific attention is given to biodiversity. Procurement or production processes must not result in, or contribute to, land conversion or deforestation. The same principle applies to financial investments. Ecosystems must remain undisturbed to avoid significant impacts on biodiversity.

PostNL is committed to achieving zero net deforestation within our own operations and fully adhering to the EU regulation on deforestation-free products. We actively engage with our supply chain partners, encouraging them to make similar commitments. These updated guidelines are applicable to all new contracts and reflect our dedication to promoting sustainable practices across our operations and supply chain.

PostNL expects its suppliers to both take responsibility for these issues within their own organisation, and take responsibility further up the supply chain and monitor how well these issues are dealt with by their own suppliers (sub-suppliers). In most cases contractors (i.e. agents or direct manufacturers) are likely to work with sub-suppliers and sub-contractors; this represents an additional step that renders the link between PostNL and any risks affecting PostNL less manageable. Nevertheless, PostNL holds the view that involving an agent does not affect its own responsibility for risks and regulation. More information on our Procurement policy can be found in the Governance disclosures section in the Sustainability statement.

Conflict of interest

Each member of the Board of Management and the Supervisory Board must immediately report and provide all relevant information to the chairman of the Supervisory Board about any conflict of interest or potential conflict of interest, material or not to the company and/or to the relevant member. A member of the Board of Management also informs the other members of the Board of Management (as applicable).

If the chairman of the Supervisory Board has a conflict of interest or potential conflict of interest that is material to the company and/or to them, they are required to report this immediately to the vice chairman of the Supervisory Board and to provide all relevant information. In all situations, this includes information concerning a spouse, registered partner or other life companion, (foster) child or other relatives by blood or marriage up to the second degree.

The Supervisory Board is responsible for deciding how to resolve a conflict of interest between members of the Board of Management, members of the Supervisory Board and/or the external auditor on the one hand and the company on the other.

In the event of a conflict of interest between PostNL and a member of the Board of Management, the company will be represented by another member of the Board of Management or a member of the Supervisory Board appointed by the Supervisory Board for this purpose.

A decision to enter into a transaction involving a conflict of interest with a member of the Board of Management or the Supervisory Board, material or not, to the company or to the relevant member requires the approval of the Supervisory Board. No such transactions were entered into in 2024 so best practice provisions 2.7.3 and 2.7.4 of the Code did not apply.

The by-laws of the Board of Management and the Supervisory Board also include a provision that a member of the Board of Management or the Supervisory Board does not participate in any discussion or decision-making that involves a subject or transaction in relation to which the member has a conflict of interest with the company. In 2024, there were no cases whereby conflicts of interest occurred.

Shareholders and their rights

General Meeting of Shareholders

PostNL is required to hold an Annual General Meeting of Shareholders within six months of the end of the financial year. The agenda for this meeting includes the adoption of the financial statements, a proposal on dividend and the release from liability of the members of the Board of Management and the Supervisory Board for the performance of their respective duties during the financial year. This release only covers liability for matters reflected in the relevant financial statements or otherwise disclosed to the General Meeting of Shareholders prior to the adoption of the relevant financial statements.

General Meetings of Shareholders are held as often as the Board of Management or the Supervisory Board deem necessary, and shall be convened in case of a decision entailing a significant change in the identity or character of PostNL or its business.

Furthermore, the Supervisory Board and the Board of Management are in principle required to convene a shareholders meeting in case one or more shareholders representing at least 10% of PostNL’s issued share capital so request in writing, stating the proposed agenda in detail.

General Meetings of Shareholders may be held in Amsterdam, The Hague, Hoofddorp or in the municipality of Haarlemmermeer (Schiphol).

One or more shareholders representing at least 1% of PostNL’s issued share capital are entitled to request that the Board of Management or the Supervisory Board place items on the agenda of a General Meeting of Shareholders. Such a request must be honoured by the Board of Management or the Supervisory Board, provided that the request is received in writing at least 60 days before the date of such a meeting. In the event a request is made by one or more shareholders to either convene a meeting or to place an item on the agenda of a General Meeting of Shareholders that may result in a change of the company’s strategy, the Board of Management is entitled to a reasonable period in which to respond, which shall not exceed 180 days.

The Central Works Council of PostNL has the right to form an opinion on proposals to determine or modify the policy on the remuneration of the Board of Management, proposals that entail a significant change in the identity or character of the company or its business and proposals to appoint a member of the Supervisory Board. The Central Works Council has the right to explain its position during the General Meeting of Shareholders.

General Meetings of Shareholders are convened at least 42 days in advance by a notice published on the company’s website.

Each shareholder is entitled to attend a General Meeting of Shareholders, either in person or by written or electronic proxy, to address the meeting and to exercise voting rights, subject to the provisions of PostNL’s articles of association. An eligible shareholder has the aforementioned rights if registered as a shareholder on the applicable record date to the extent described by Dutch law.

Each PostNL share carries the right to cast one vote. Unless Dutch law or PostNL's articles of association stipulate otherwise, resolutions are passed by a simple majority of votes cast by the shareholders present or represented at the meeting. Pursuant to PostNL’s articles of association, there are no limitations to the rights of Dutch, non-resident or foreign shareholders to hold or exercise voting rights in respect of PostNL’s securities.

General Meeting of Shareholders 2024

On 16 April 2024, PostNL held its Annual General Meeting of Shareholders in The Hague, the Netherlands. The attendance rate was 37.65% of the total outstanding share capital. The agenda, resolutions and voting results for each resolution, the presentations given during the meeting and a webcast of the meeting are available on our website in Dutch and English. Minutes of the meeting are available in Dutch only.

Liquidation rights

In the event of PostNL’s dissolution and liquidation, the assets remaining after payment of all debts and liquidation expenses are to be distributed in the following order of preference: firstly, to the holders of all outstanding preference shares B (if any), the nominal amount paid up on these shares plus accumulated dividends for preceding years that have not yet been paid; and secondly, to holders of ordinary shares in proportion to their shareholdings.

Changes to the rights of shareholders

Rights of shareholders may change by way of an amendment to the articles of association, a statutory merger or demerger within the meaning of book 2 of the Dutch Civil Code, or dissolution of the company. A resolution of the General Meeting of Shareholders is required to effect these changes. Under PostNL's articles of association, such a resolution may only be adopted upon a proposal by the Board of Management that has been approved by the Supervisory Board.

Major shareholders

To PostNL’s knowledge, it is not directly or indirectly owned or controlled by another company or by any government. PostNL does not know of any arrangements of which the operation might, at a subsequent date, result in a change of control, except as described under ‘Foundation Continuity PostNL and preference shares B’ below.

The Financial Markets Supervision Act (Wet op het financieel toezicht) imposes a duty to disclose percentage holdings in the capital and/or underlying financial instruments and/or voting rights in the company when such holding reaches, exceeds or falls below 3%, 5%, 10%, 15%, 20%, 25%, 30%, 40%, 50%, 60%, 75% and 95%. Such a disclosure must be made to the Dutch Financial Markets Authority (AFM) without delay. The AFM then notifies the company.

Articles of association, share acquisition, reduction and increase of issued share capital

Amendment of the articles of association

The company’s articles of association can be amended upon a proposal by the Board of Management, approved by the Supervisory Board and adopted by the General Meeting of Shareholders. A proposal to amend the articles of association must be stated in a notice convening a General Meeting of Shareholders and announced in such a manner as permitted by law at the time. The proposal shall be passed upon an absolute majority of the votes cast in the General Meeting of Shareholders. PostNL’s articles of association are available on our website.

Ability of the company to acquire its own shares

Under its articles of association, PostNL may acquire its own shares, provided that they are fully paid up. If such shares are acquired for consideration, the following conditions apply:

• PostNL’s shareholders' equity less the purchase price may not fall below the sum of the paid-up capital and any reserves required to be maintained by Dutch law or pursuant to the articles of association.

• Following the share acquisition, PostNL may not hold shares with an aggregate nominal value exceeding half of its issued share capital.

The Board of Management is authorised to decide to acquire PostNL shares. Such a resolution requires the approval of the Supervisory Board. In addition, the Board of Management requires prior authorisation by the General Meeting of Shareholders. This authorisation may be valid for a period not exceeding 18 months and must specify:

• The number of shares that may be acquired;

• The manner in which shares may be acquired;

• The price limits within which shares may be acquired.

Authorisation by the General Meeting of Shareholders is not required if the PostNL shares are acquired for the purpose of transferring those shares to PostNL employees pursuant to any arrangements applicable to such employees.

Reduction of issued share capital in general

The issued share capital may be reduced by the cancellation of shares following a repurchase. PostNL’s issued share capital may also be reduced if the nominal value of its shares is reduced by amendment of PostNL’s articles of association. The resolution to reduce PostNL’s issued share capital requires the approval of the General Meeting of Shareholders. Pursuant to PostNL’s articles of association, such a resolution may be adopted pursuant to a proposal of the Board of Management that has been approved by the Supervisory Board. The latter requirement is more stringent than Dutch law.

Increase of issued share capital by issuance of shares/pre-emptive rights

PostNL’s Board of Management has been designated as the body authorised to resolve on the issuance of shares and to grant rights to subscribe for shares, including options and warrants. Such a resolution is subject to the approval of the Supervisory Board. The scope and duration of this authority of the Board of Management are determined by the General Meeting of Shareholders. The Board of Management cannot be authorised to issue more shares than the number of authorised shares that have not been issued (i.e. the number of authorised shares minus the number of issued shares). The authority may not be granted for a period longer than five years.

The term of designation of the Board of Management as the body authorised to resolve on the issuance of shares may also be extended by amendment of PostNL’s articles of association.

If no extension is given, the issue of shares or granting of rights to subscribe for shares requires a resolution of the General Meeting of Shareholders. Such a resolution may only be adopted pursuant to a proposal by the Board of Management that has been approved by the Supervisory Board.

In principle, each holder of ordinary shares has a pre-emptive right in case of any issue of ordinary shares or the granting of rights to subscribe for these shares.

Pursuant to PostNL’s articles of association, shareholders’ pre-emptive rights may be restricted or excluded by a resolution of the Board of Management, provided and as long as the Board of Management has been designated as the body authorised to resolve on the issuance of shares. Such a resolution is subject to the approval of the Supervisory Board. Pursuant to PostNL’s articles of association, the provisions relating to the scope and duration of the authority to issue shares and grant rights to subscribe for ordinary shares are also applicable to the scope and duration of the authority to exclude or restrict pre-emptive rights.

Dividend

The Board of Management may determine, subject to approval by the Supervisory Board, that any dividend on ordinary shares will be paid wholly or partly in PostNL ordinary shares instead of cash, or that any dividend will be paid by giving shareholders the option to choose between PostNL ordinary shares or cash (optional dividends).

If and when dividends are declared, PostNL pays dividends out of its profits, or by exception out of the distributable part of its shareholders’ equity as shown in PostNL’s financial statements. PostNL is not allowed to pay dividends if the payment would reduce shareholders’ equity below the sum of the paid-up capital and any reserves required by Dutch law or the company's articles of association.

The Board of Management may, subject to approval by the Supervisory Board and to provisions of Dutch law, distribute interim dividend. No dividend shall be paid on shares held by PostNL. Such shares shall not be included for the calculation of the profit distribution, unless the Board of Management resolves otherwise. Such a resolution is subject to the approval of the Supervisory Board.

Under PostNL’s articles of association, if preference shares B have been issued, PostNL must pay dividends on the paid-up portion of the nominal value of the preference shares B. Payment is made at a rate of the average 12-month EURIBOR (Euro Interbank Offered Rate), weighted to reflect the number of days for which the payment is made, plus a premium to be determined by the Board of Management, subject to approval by the Supervisory Board, of at least one percentage point and at most three percentage points. The Board of Management then determines, subject to the approval of the Supervisory Board, the part of the remaining profits to be appropriated to reserves. The profit that remains after appropriation is at the disposal of the General Meeting of Shareholders.

More information about PostNL’s dividend policy can be found in the Regulatory developments chapter, and on our website. Any changes to these guidelines shall be explained in a separate agenda item at the Annual General Meeting of Shareholders.

Foundation Continuity PostNL and preference shares B

Stichting Continuïteit PostNL (Foundation Continuity PostNL) was formed to safeguard the interests of PostNL, the undertaking connected with PostNL and all parties involved. It does this by, among other things, preventing any influences that could threaten PostNL’s continuity, independence and identity, as far as possible. Foundation Continuity PostNL is an independent legal entity and is not owned or controlled by PostNL or any other legal person.

PostNL’s articles of association provide for protective preference shares B that can be issued to Foundation Continuity PostNL. The preference shares B have a nominal value of €0.08 and have the same voting rights as PostNL’s ordinary shares.

PostNL and Foundation Continuity PostNL have entered into a call option agreement, which enables Foundation Continuity PostNL to acquire a number of preference shares B not exceeding the total issued number of ordinary shares minus one and minus any shares already issued to Foundation Continuity PostNL. The call option agreement is meant as a preventive measure against influences that might threaten the continuity, independence and identity of the company. Preference shares B will be outstanding no longer than strictly necessary. As at 31 December 2024 and at the date of this Annual Report, there were no preference shares B issued. The exercise price with respect to the call option is the nominal value of €0.08 per preference share B, although upon exercise only €0.02 per preference share B is required to be paid. The additional €0.06 is due when the Board of Management, subject to the approval of the Supervisory Board, requests payment. Foundation Continuity PostNL has a credit facility in place to enable it to exercise the call option.

Six months after the issuance of preference shares B, Foundation Continuity PostNL may require PostNL to convene a General Meeting of Shareholders to discuss cancellation of these shares. However, if within these six months Foundation Continuity PostNL should receive a demand for repayment under the credit facilities referred to above, it may also require PostNL to convene a General Meeting of Shareholders. In accordance with PostNL’s articles of association, a General Meeting of Shareholders must be convened no later than 12 months after the first date of issuance of any preference shares B to Foundation Continuity PostNL. The agenda for that meeting shall include a resolution regarding the repurchase and/or cancellation of the preference shares B.

PostNL has granted Foundation Continuity PostNL the right to file an application for an inquiry into the policy and conduct of PostNL’s business with the Enterprise Chamber of the Amsterdam Court of Appeal (Ondernemingskamer). Should such an inquiry be granted, the Enterprise Chamber may impose immediate provisions.

At 31 December 2024, the members of the Board of Foundation Continuity PostNL were Mr M.P. Nieuwe Weme (chair), Ms Y.C.M.T. van Rooy, Ms C.M.C. Mahieu and Mr P.S. Overmars. All members of the Board of Foundation Continuity PostNL are independent from PostNL. This means that Foundation Continuity PostNL is an independent legal entity as referred to in section 5:71 paragraph 1 sub c of the Dutch Financial Markets Supervision Act (Wet op het financieel toezicht).

Stakeholder dialogue

PostNL endeavours to stay in regular contact with its stakeholders. The Board of Management and the investor relations team meet with shareholders during roadshows and conduct individual meetings and calls during the year.

Communication takes place with governance institutions representing shareholder groups before the Annual General Meeting of Shareholders and also during the year. PostNL does not have a specific policy to introduce members of the Supervisory Board to PostNL shareholders. The company has a policy on bilateral contacts with the shareholders which is included in the investor relations policy and published on PostNL's website. More information about PostNL’s investor relations can be found in the Regulatory developments chapter.

Furthermore, PostNL organises annual dialogues with its stakeholders, in addition to the daily, ongoing contacts with customers, regulators, interest groups, et cetera. More information about PostNL’s stakeholder dialogue can be found in the Interests and views of stakeholders section within the General disclosures of the Sustainability statement.

Ethics and compliance

We are committed to sound business conduct, which is why we manage our business according to applicable laws and regulations and according to the PostNL business principles. These provide guidance on interaction with colleagues, customers, business partners and society in general.

Integrity Committee

The Integrity Committee advises and assists the Board of Management in developing, implementing, and monitoring group policies and procedures aimed at enhancing integrity and ethical behaviour as well as preventing fraud, corruption and bribery. The Integrity Committee is composed of the director Audit & Security (chairman), the manager Integrity Office, the Corporate Security Officer, the director Legal, the director HR Legal & Reward, the director Communications, the director Strategy Mail in the Netherlands, and the managing director E-commerce Operations.

The Integrity Committee oversees investigations based on reports of possible breaches filed under the PostNL business principles, the PostNL Group procedure on whistleblowing and the PostNL Group procedure on fraud prevention, anti-bribery, and anti-corruption.

The Director of Audit & Security engages in regular discussions with the Board of Management on a quarterly basis, and semi-annually with the Audit Committee. These discussions cover the activities of the Integrity Committee, providing an overview of all significant reported and investigated misconduct cases, as well as updates on the progress of the annual PostNL Integrity Plan. This plan addresses key areas such as governance, training and awareness, and response and maintenance. Insights gained from these activities are leveraged to recommend improvements, supporting PostNL in its ongoing efforts to mitigate potential integrity risks across its value chain.

Integrity Reporting to Board of Management, Executive Committee, and Supervisory Board 

PostNL’s administrative, management, and supervisory bodies are instrumental in fostering a robust corporate culture. The Integrity Report is shared quarterly with the Integrity Committee, Board of Management, and Executive Committee, and semi-annually with the Audit Committee and Supervisory Board.

This report provides a detailed account of the activities undertaken by the Integrity Committee, offering a comprehensive overview of irregularities related to misconduct and missing items. It also outlines the actions taken by the Integrity Office and Security Investigations, along with updates on the progress of the Integrity Plan. This plan includes governance developments, training and awareness initiatives, and response and maintenance activities, such as analysis, root cause assessments, and continuous improvement efforts.

The responsibility for executing, implementing, and monitoring this group policy has been delegated by the Board of Management to the Director of Audit & Security. This delegation includes ownership of the PostNL business principles, the PostNL Group fraud prevention procedure, and the PostNL Group whistleblowing procedure. Monitoring processes are supported by continuous review and reporting by the Corporate Security Officer, regular audits, compliance checks, and incident reporting. The Integrity Committee reviews these reports and processes on a quarterly basis.

Business conduct and integrity approach

The focus of our integrity approach is to regularly ensure our employees are familiar with and are working in accordance with the PostNL business principles.

Our business principles inform how we act and make our decisions and as early as 2012, PostNL signed up to the ten principles of the United Nations Global Compact on such issues as human rights, labour, climate and anticorruption. We further endorse the OECD guidelines for multinational enterprises on responsible business conduct, while our sustainability strategy aligns us with the United Nations’ Sustainable Development Goals (SDGs). At the same time, our Orange compass influences our culture and behaviour and helps us steer our organisation in the way we want to do business, supporting us as we create the right environment for people to carry out their work effectively and feel connected.

Our business conduct and integrity approach is laid down in the following group policies and procedures:

• Business Principles

• Group Policy on Integrity

• Group Policy on Security

• Group Procedure on Incident Reporting

• Group Procedure on Whistleblowing

• Group Procedure on Conflict of Interest

• Group Procedure on Gifts and Hospitality

• Group Procedure on Fraud Prevention - Guidance on bribery and corruption

• Code of Conduct for the use of business assets

All integrity related incident reports are received at a single point by designated and trained staff and are checked for whether an alleged breach of the law has occurred, a formal whistleblowing report is received, or any other type of reported breach or indicator. These other reports and signals are evaluated for further handling by responsible functions (such as Security, line management or HR). This provides a smoother follow-up of reported incidents, cases and indicators, and ensures the best care for our employees.

Any PostNL Stakeholder who reports suspected misconduct, which the PostNL Stakeholder reasonably believes, or may reasonably believe, to be true, will be given protection for such reporting. This protection means that PostNL will not discharge, demote, suspend, threaten, harass or in any manner discriminate against any PostNL Stakeholder in the terms and conditions of employment.

PostNL does not tolerate any form of threat, retaliation or other action against a PostNL Stakeholder who has made or assisted in the making of a report of suspected misconduct. Any such threat, retaliation or other action must immediately be reported to the director of Audit & Security. Any person entitled to protection from retaliation who considers themself to be a victim of or is threatened with reprisals may submit a reasoned complaint to the local authorities, who will initiate an extrajudicial protection procedure.

During the year, we initiated 545 investigations in response to integrity-related issues. These investigations covered issues such as the theft of parcels or mail, bribery and corruption, or failure to follow workplace practices. The investigations resulted in 224 discontinued work relationships. At year-end 2024, 53 investigations were ongoing.

Integrity-related investigations include cases of alleged (sexual) harassment and discrimination. For more information about reported incidents and complaints please see Measures against violence and harassment in the workplace in the Our workforce section of the Social disclosures.

We are continuously working to improve awareness on these topics, such as by supporting employee communication on the issue of inappropriate conduct, dialogue with line management and HR representatives, and following up on reported integrity-related incidents. Our main business conduct and integrity related policies and procedures are covered in our onboarding process for new employees. In addition, we use the outcomes of the ‘Employee engagement monitor’, results of investigations, and signals to identify potential for continuous improvement of our integrity approach and our activities at the PostNL Group companies. Since October 2023, we have used a new integrity e-learning programme aimed at educating management and employees about our Business Principles, desired behaviour based on these principles, and reporting methods such as our whistleblowing procedure. More information on how we institute and monitor integrity e-learning can be found in the Our policies and Our performance of the Governance disclosures in the Sustainability statement.

Our business conduct and integrity related policies are part of our contracts with suppliers and contractors. For delivery partners in The Netherlands and in Belgium, we have implemented a dedicated due diligence process in 2024 covering a specific business conduct related guideline for delivery partners. This due diligence process was roll-out supported by a dedicated communication and awareness program.

We work continually to create a company environment where people feel safe and empowered to speak up. In addition to case-specific investigations, we apply trend analysis on all reported incidents to identify structural issues that require further preventive actions. Information about the alleged bribery and corruption cases is included in the Our performance of the Governance disclosures in the Sustainability statement. More information about our business conduct is included in Governance disclosures, section Business conduct.

Prevention of fraud, bribery and corruption

PostNL recognises the importance of maintaining robust fraud prevention, anti-bribery, and anti-corruption policies, procedures, and reporting mechanisms. These measures are essential for safeguarding the integrity of our business and ensuring compliance with all applicable laws and regulations. Our policies are particularly focused on employees in key risk areas such as executive and general management, sales (including government-related sales), procurement (capex and opex), temporary labour sourcing, delivery partnerships, transport charters, people management within operations, and finance and accounting. For employees in these at-risk functions, the integrity e-learning programme is mandatory. Additionally, pre-employment screening procedures are in place for these functions to further mitigate risks. More information on how we institute and monitor integrity e-learning can be found in the Our policies and Our performance sections of the Governance disclosures in the Sustainability statement.

Compliance with anti-bribery and anti-corruption legislation, both domestically and internationally, is a top priority for PostNL as we conduct business on a global scale. Any incidents of actual or suspected bribery or corruption involving our employees, suppliers, or delivery partners are promptly investigated and handled appropriately. In 2024, PostNL aligned its fraud prevention and anti-bribery and anti-corruption procedures with the ISO 37001 standard for anti-bribery management systems, reinforcing our commitment to ethical business practices.

The Integrity Committee plays a vital role in advising the Board of Management and line management on mitigating fraud risks and ensuring adherence to ethical standards, anti-bribery, and anti-corruption practices. The Committee provides quarterly reports to the Board of Management and submits a comprehensive report to the Supervisory Board every six months.

All alleged breaches of our anti-bribery and anti-corruption policies are investigated by PostNL Security. Our Security investigators are recruited based on a clearly defined job profile and undergo regular training to ensure they possess the necessary skills to carry out thorough investigations. In addition, Internal Audit systematically addresses fraud, corruption, and bribery risks during the execution of internal audits.

Cybersecurity

At PostNL, as our reliance on systems and data intensifies, the importance of cybersecurity becomes ever greater. To manage our digital information and processes, we ensure the security of data, systems, and applications integral to our business processes. Our cybersecurity policy guides the implementation of effective cybersecurity measures across the organisation.

Our cybersecurity operating model includes first and second line defense capabilities. In our first line of defense, we assess the cyber risk posture for relevant IT assets and update the risk treatment plan accordingly. This covers six main focus areas:

Central monitoring capability

Implementation of central monitoring, including logging requirements based on a standard classification policy, now covers our 10 main log sources, including our AWS engineering environment. This enables us to onboard specific applications and use cases efficiently.

Asset management policy and standard

We have defined a policy and standard for asset management from a cybersecurity perspective, and have implemented a vulnerability management tool to assess risk across critical asset domains.

Information security management system

Utilising our existing repositories and risk system (Topdesk combined with Onetrust), we have integrated these systems to conduct risk assessments according to our data classification.

Risk assessment process

We have standardised the Business Impact Analysis to conduct cyber-risk assessments and made it mandatory for all penetration tests and high-classified assets.

Configuration management control set

Our IT cybersecurity framework is based on the CIS control set, providing benchmarks for common IT environments and applications. This has been particularly effective for our O365 environment.

First-line cybersecurity function

We strengthen our cybersecurity function, by having business information security officers in place for all major Business Units and our Central IT department.

NIS-2

Next to our focus areas we have been preparing for NIS-2 compliance in 2024. This by making sure we have all required policies in place and that underlying procedures and standards are in line with these.  Next to this we evaluated all processes to determine the adequate scope of applicability by defining all underlying critical assets. These have all been assessed on control effectiveness and where needed the right treatments have been defined to lower the risk-profile.  As NIS-2 requires a broad understanding of Cyber risks and measures in the organization we have started to train our Board members and level 1 management.

Securing our Operational Technology

As Operational Technology lies at the heart of our core processes and is in the scope of NIS-2 for PostNL we further improved our defenses. This by defining and implementing OT Security Governance, improving awareness, monitoring and defining a treatment plan for 2025 to further standardize our control implementation. 

Supply chain risk

As the dependance of our safety relies on the level of protection of our vendors and partners we keep investing in a better control of these risks. In 2024, we updated our procurement procedures by adding requirements for both IT and OT, setup risk profiles for our main vendors and partners.  We also assessed our main IT vendors on NIS-2 compliance and have put a monitoring tool in place to track overall their general cybersecurity health. 

We continue to address cybersecurity in our review of internal controls, especially as most of our critical applications are based on SaaS and Cloud principles. These assessments, critical for maintaining robust security, will persist into 2025 and beyond.

Protecting data and privacy

PostNL believes that it is vital to handle the personal data of its customers and consumers with due care and adheres to all applicable laws and regulations. The most notable of these is the General Data Protection Regulation (GDPR), which is further elaborated on in the General Data Protection Regulation Implementation Act.

We have established a Group Policy on Privacy which outlines the fundamental principles we adhere to as a company regarding the use of personal data. These principles are in line with PostNL's business principles. We strive to provide high- quality services, in which reliability is an important factor. We therefore view the protection and careful handling of personal data as an important precondition for further innovation and development of our services. To help achieve this, we have set up governance, processes and procedures to adequately implement 'accountability' in the field of the protection of personal data. This includes a processing register, a reporting process for data breaches, process for handling the rights of the person concerned, implementation of data privacy impact assessments, and the application of the Privacy by Design principle in development of new processes and systems.

PostNL also established a data governance board to provide oversight on how we use and protect data. The Board discussed different data-related topics, including, for example, digital ethics.

Asset protection and loss prevention

In order to prevent any threat which could adversely affect the business of PostNL and its stakeholders, PostNL is committed to ensuring its operations are secure. The group policy on security outlines the mandate of the security function within PostNL and to define the responsibilities relating to security matters. In other words, to ensure that adequate measures, procedures, checks and balances are in place, regarding asset protection, loss prevention and security information management.

The PostNL programme on loss prevention is focused on addressing the specific commercial and operational aspects that may impact the rate of missing parcels. In our continuing efforts to lower the number of missing parcels, the commercial and operational management of Parcels works closely together with PostNL Security to develop and implement dedicated fraud and theft-risk mitigating actions.

Regulatory compliance management

PostNL believes that laws and regulations are essential tools that govern behaviour, protect rights and promote fairness. Laws and regulations are fundamental to the functioning of society in general, and large companies such as PostNL. Compliance forms part of our internal control and governance frameworks, and we operate in a sector that is defined by continually developing regulations. In this paragraph we outline our approach, our focus, and the main regulatory developments in 2024.

Our Approach to compliance

We manage compliance in a management process based on a compliance framework and continuous improvement. Dedicated compliance officers regularly facilitate and challenge management on different elements in the process.

The required maturity level of our compliance management is determined based on a maturity model. The level of compliance management may vary depending on the size, exposure and risks for different entities. We then evaluate, based on the ISO 37031 framework, how compliance can be demonstrated for each relevant area per reporting entity through our compliance risk management, internal control and internal audit processes.

Business management is responsible for ensuring adherence to regulatory requirements as well as monitoring performance, and is supported by staff functions and dedicated compliance officers. Management is required to confirm its responsibility for the compliance with laws and regulations by its legal entities. As a final step, we assess and report the status of compliance on a quarterly basis to both line management and our governance bodies.

Focus areas in 2024

Based on our internal control assessments and internal audit findings, for the vast majority of laws and regulations we did not identify significant deficiencies relating to compliance-mitigating activities that require follow-up. Our four focus areas for 2024 were to make further improvements in the Human Rights compliance management system, prepare for the ‘Verklaring Omtrent Risicobeheersing’ (the new Risk Management Statement relevant as of 2025), as well as Privacy and AI (Artificial Intelligence) compliance controls, and in compliance in our value chain with a particular focus on delivery partners and transport partners.

Risk Management statement

In anticipation of the expected inclusion of the Risk Management Statement (Verklaring omtrent Risicobeheersing, VOR) in the Dutch Corporate Governance Code (CGC) as of 2025, PostNL is preparing to integrate this requirement into its Board Report effective as of 1 January 2025. This aligns with the broader compliance requirements under the Corporate Sustainability Reporting Directive (CSRD).

As part of the evolving regulatory landscape, the VOR mandates the provision of at least a ‘limited assurance’ on the internal control framework related to CSRD reporting. Within this context, we have prioritised key elements such as corporate culture, business principles, and codes of conduct. These topics, identified under the CSRD ESRS G1 standard on ‘Business Conduct,’ are vital to maintaining transparency and integrity across our operations. Specifically, we have identified deliverables and mandatory disclosure requirements concerning:

• Corporate culture and how it fosters responsible business practices

• Implementation and adherence to business principles and codes of conduct

• Establishment and effectiveness of whistle-blowing mechanisms

• Robust policies and practices to combat anti-corruption and anti-bribery activities.

By focusing on these areas, PostNL aims to strengthen its internal controls, enhance accountability, and meet the growing expectations of our stakeholders regarding transparency and ethical conduct.

Privacy and AI compliance controls

In 2023 we performed an integral review of the current status and adequacy of our privacy control framework as a follow-up on the earlier GDPR implementation. We have reviewed whether all privacy relevant data processing is recognised and recorded. And next we have reviewed that for all high risk data processing the adequate privacy impact assessments are in place. In 2024 we have implemented the identified review findings and successfully re-tested the privacy controls. In 2024, we have implemented the identified review findings and successfully re-tested the privacy controls.’

Connected to the ethical risks in Artificial Intelligence (including Machine Learning and Robotics) we have developed in 2022 a Digital Ethics risk management process. In 2023 we performed an assessment on all AI related technology already in place at PostNL to validate the extent that this technology works within the boundaries of our business principles and other ethical standards at PostNL. During 2024, we have implemented this risk management process as a standard step in our Agile IT development organization to safeguard that newly developed tools also adhere to the Digital Ethics requirements.

Compliance in our value chain 

Stakeholders increasingly expect large companies such as PostNL to lead by example through their influence on value chains. Responsibility along the value chain is a relevant topic in the public arena. As a large company, we proactively contribute to improvements in our value chain across a broad range of topics, even when this goes beyond our own responsibility under applicable laws and regulations. This applies to areas such as the transport and handling of dangerous goods, environmental compliance, responsible (international) procurement, Foreign Nationals Employment Act (Wet Arbeid Vreemdelingen), and the Labour Market Fraud Act (Wet Aanpak Schijnconstructies). Connected to the two last laws, we included specific controls in our hiring and onboarding process applicable to all persons working for or at PostNL.

In 2024, we introduced our newly created due diligence process for delivery partners, which is designed to cover several important compliance and ESG topics. The process is based on the OECD Due Diligence Guidance for Responsible Business Conduct.

Summary of instances of non-compliance

PostNL operates in a sector with a wide variety of compliance topics, where both the number and complexity of laws and regulations is increasing. While this requires a robust approach to compliance (as described earlier in this chapter) we are, on occasion, confronted with instances of non-compliance. When these instances are discovered, we take immediate steps to remedy and deal with them.

While there are a number of cases ongoing linked to PostNL's compliance with laws and regulations, in 2024 there was a significant reportable instance of non-compliance identified, i.e. we incurred in a final judgment a fine for violation in 2019 of the Foreign Nationals Employment Act in the amount of EUR 156.000, for which we were held responsible as principal of a subcontractor who hired employees working at our premises. Several other cases in the period 2019-2022 are still pending.  We have improved our processes to prevent these violations from happening going forward. For the purpose of this report, we did not take relatively small fines such as traffic-related fines into account.

Insider trading – share ownership

Members of the Supervisory Board, the Board of Management and PostNL’s senior management are subject to the PostNL Group policy on prevention of insider trading, which sets rules to prevent insider trading in our financial instruments and in securities other than PostNL’s financial instruments.

Under the current remuneration policies share ownership is mandatory for the Board of Management, and not for members of the Supervisory Board. This is further detailed in the Remuneration report, where you can also find the total number of PostNL shares held by each member of the Board of Management. None of the Supervisory Board members holds any PostNL shares at the date of this Annual Report.

Internal audit

PostNL's internal audit function provides independent and objective assurance to the Board of Management and the Supervisory Board on the effectiveness of the internal control framework, and performs financial, IT and non-financial management systems and operational audits for the various units within the PostNL Group. Audits are scheduled in close cooperation with the business concerned and organised in such a way that the external auditor can use the internal audit activities optimally. Each audit is followed by a formal audit report to the management responsible. Adequate follow-up on audit findings is assured. A summary report of audit-related topics (findings, follow-up, and so on) is issued every quarter to the Board of Management and the Audit Committee. Audit planning, the quality and professionalism of the audit team and the effectiveness and efficiency of the execution of the audits are supervised by the Board of Management and approved by the Audit Committee. The internal audit function reports to the CEO, with open communication to the CFO and the Audit Committee.

Transparent reporting

Transparency is a cornerstone of our corporate responsibility. We understand that clear, comprehensive, and truthful reporting is essential for maintaining trust with our stakeholders, including investors, employees, customers, and the communities in which we operate. This commitment is reflected in our approach to integrated reporting, where we aim to provide a holistic view of our financial and non-financial performance. More information on how we use the Integrated Reporting framework and align with other standards and frameworks is included in Basis of preparation section of the General disclosures later in this report.

In 2024, we were once again ranked as one of the most sustainable companies in the transport and logistics sector worldwide by the Dow Jones Sustainability Index(DJSI). This benchmark evaluates listed companies on economic, social and environmental transparency and performance. We also achieved a B score in the CDP benchmark, a global environmental disclosure system and we were awarded a Gold rating by EcoVadis, placing the company in the top 5% of 75,000 companies surveyed globally in terms of sustainability performance and corporate social responsibility with a focus on sustainable procurement.

External auditor

PostNL’s external auditor, KPMG Accountants NV, is appointed by the General Meeting of Shareholders. The lead partner rotates after a maximum period of five years and the key assurance partners rotate after a maximum period of seven years. Mr Roland Smeets is the lead audit partner since the financial year 2022.

The Supervisory Board recommends to the General Meeting of Shareholders the appointment or replacement of the external auditor. In doing so, it considers the Audit Committee’s advice regarding the external auditor’s nomination for appointment/reappointment or dismissal. The Audit Committee prepares the selection of the external auditor. The Audit Committee reports annually to the Supervisory Board on the functioning of, and relevant developments in the relationship with the external auditor. The Audit Committee gives due consideration to the Board of Management’s observations in this respect. At the Annual General Meeting of Shareholders held on 20 April 2021, KPMG Accountants NV was appointed as the external auditor for PostNL for the financial years 2022, 2023 and 2024. At the Annual General Meeting of Shareholders held on 16 April 2024, KPMG Accountants NV was appointed as the external auditor for PostNL for the financial years 2025 and 2026.

The Audit Committee, supported by the internal audit function, is required to pre-approve all services the external auditor provides to ensure these do not impair the auditor’s independence from PostNL. The Audit Committee grants a general pre-approval for certain routine services every year. By Dutch law, the external auditor is in principle prohibited to render non-audit services.

Conflicts and potential conflicts of interest between the external auditor and PostNL are settled in accordance with the terms of reference of the Audit Committee and Dutch law. See note '2.3.4 Other operating expenses' to the Consolidated financial statements for more information.

The Audit Committee requires a formal written statement from the external auditor confirming its independence.

The Supervisory Board is responsible for the remuneration policy of the Board of Management and the Supervisory Board and the implementation hereof. The Remuneration Committee oversees and ensures the implementation of the remuneration policies as approved by the shareholders at the AGM and ensures that decision-making is in line with those policies, PostNL's performance and strategic priorities. This report includes an overview of the implementation of the remuneration policies of the Board of Management and Supervisory Board in 2024, and includes incorporation by reference for GOV-3 and GOV-4 in the sustainability statement.

In conversation with our chairman

Remuneration Committee Chairman Ad Melkert reflects on 2024.

How do you look back on 2024 as chairman of the Remuneration Committee?

The year 2024 turned out to be an unsatisfactory year from a financial perspective. The company had to deal with higher than expected client concentration in e-commerce and severe cost pressures in a tight labour market with rising wages and considerable absenteeism, resulting in declining margins at e-commerce and mail. Normalised EBIT therefore ended up lower than expected, but thanks to well-executed cash and balance sheet management, the outlook for free cash flow and normalised comprehensive income was achieved. From a non-financial perspective, the year 2024 also gives diverse results. PostNL’s digital transformation accelerated in 2024 and further progression was made on the ESG domain. On customer satisfaction, PostNL maintained its strong position versus competition. In addition, the employee engagement score ended up at target level while quality at Parcels ended up just below target level, but equaled the 2023 score. Unfortunately, the quality levels at Mail in the Netherlands have further declined, despite all efforts made, a.o. by increasing the inflow of mail deliverers. This confirms the necessity to adjust service levels, to ensure a sustainable mail business for the future. In 2024, discussions with the government on the future of mail in the Netherlands were initiated to transition towards a service level for standard mail to be delivered within two days, moving towards within three days over time.

From a remuneration perspective, the year 2024 was marked by the renewed remuneration policies for the Board of Management and the Supervisory Board, that were approved at the AGM in April with almost all of the votes casted. Moreover, three collective labour agreements were concluded between PostNL and the trade unions, as well as a transition plan for the PostNL pension scheme, to ensure compliance with the upcoming new pension legislation.

In April 2024 the AGM voted for the renewed remuneration policies. Can you reflect on the evaluation process and its outcomes for the Board of Management?

Review of the remuneration policy of the Board of Management normally takes place every four years and was necessary as the evaluation made clear that the policy (which had not substantially been changed for more than 10 years) was no longer in line with best practice and even rewarded below variable remuneration ambition and market levels. The new policy includes a variable remuneration increase up to the ambition level (which is moderate compared to the market, taking into account PostNL’s public mail delivery task), the introduction of a threshold, stretch opportunity and variable remuneration design adjustments to improve the pay for performance mechanism. This responsible and balanced new policy is better equipped to attract, reward and retain qualified Board members. At the start of the new policy, it was however jointly concluded by the Supervisory Board and the Board of Management to not implement variable remuneration increases in 2024, acknowledging the societal context PostNL operates in and considering performance and all stakeholders’ interests. A recent assessment of the situation, taking into account our stakeholder landscape, has led to the same conclusion for 2025. As of 2026, the Supervisory Board will start implementing variable remuneration increases towards the new policy levels.

Which other topics have been discussed in the Remuneration Committee in 2024?

In addition to putting renewed remuneration policies up for voting at the 2024 AGM and deciding to keep the variable remuneration levels of the Board of Management as is for 2024, the regular base salary adjustment and the variable remuneration outcomes of the Board of Management were discussed.

Following the change in the remuneration policy of annually selecting STI performance measures and LTI non-financial performance measures via the bucket approach, the Supervisory Board has reviewed, discussed and selected the most appropriate performance measures for 2025, which are disclosed in this remuneration report. Moreover, the Remuneration Committee discussed the remuneration proposals for the new CEO and CFO, who will be appointed mid-April 2025 after the AGM. An overview of the elements of their remuneration package, which have been determined in line with the remuneration policies, will be attached to the AGM agenda which will be published early March.

Furthermore, taking into account the 99.85% votes for the 2023 remuneration report and the feedback received from stakeholders, no material adjustments were implemented in the remuneration report 2024 (apart from the adjustments resulting from the renewed remuneration policies).

On a final note, looking at the year 2025, is there anything you would like to add?     

At the 2025 AGM, CEO Herna Verhagen will step down after many years of service and will formally hand over her responsibilities and duties to Pim Berendsen, the current CFO. At the same time, Linde Jansen will be appointed as PostNL’s new CFO. We are very grateful for the CEO’s strong leadership and dedication and look forward to write with the new Board of Management a new chapter in PostNL’s exceptional history.

Remuneration Policy of the Board of Management

In this section of the remuneration report, we provide an overview of the remuneration policy of the Board of Management, which was adopted by the AGM on April, 16 2024, and effective as per 1 January 2024. The objective of the policy is to attract, reward and retain qualified Board of Management members to set and implement PostNL's purpose, ambition, strategy, objectives and culture. The purpose of PostNL is to deliver special moments with the ambition to be the favourite deliverer. PostNL’s strategic objective is to deliver a distinctive customer and consumer experience to be the leading e-commerce and postal service provider within, to, and from the Benelux region. This translates into strategic objections which are incorporated in the remuneration policy.

External perspective

Market perspective is one of the factors that the Supervisory Board takes into account when determining adequate remuneration levels to attract and retain qualified leaders. The Supervisory Board reviews a peer group to ensure a balanced representation of the relevant labour market. The main criteria applied to determine the peer group are Dutch listing and comparability to PostNL in terms of size (revenue, employees, market capitalisation, assets), board structure and geographical focus. PostNL will benchmark its remuneration against a reassessed peer group at least every four years. In the table below the current peer group is included.

PostNL Peer group

Internal perspective

The remuneration for PostNL’s Executive Committee, other senior management and employees who fall under a collective labour agreement (CLA), is intended to be aligned with the principles underlying the policy for the Board of Management. This is to establish internal consistency within salary structure, design of incentive plans and guidelines for salary increases. In this regard, the Supervisory Board monitors the development of pay ratios.

Summary of the remuneration policy 2024

The remuneration of the Board of Management consists of the following elements: base salary, variable income (STI and LTI) and pensions and benefits.

For more details regarding the 2024 remuneration policy of the Board of Management as well as the adjustments in the policy compared to the previous policy, we refer to our website.

2024 Board of Management actual remuneration

The following section provides insight into how our remuneration policy was implemented in 2024 for the Board of Management. The presented figures are at market value, unless stated otherwise. For IFRS-based figures on the remuneration, see note '5.1 Remuneration of Supervisory Board, Board of Management and senior management' to the Consolidated financial statements for more information.

Implementation of the remuneration policies

In 2024, we have overseen that all decisions made regarding the remuneration of the Board of Management are in line with the new remuneration policy, as approved by the AGM in 2024, and decision-making process (no deviations took place). All remuneration is paid directly to the Board of Management by PostNL N.V. As such, no remuneration has been granted and/or allocated by subsidiaries or other companies whose financials are consolidated by PostNL N.V. Furthermore, PostNL did not grant any severance payments to the Board of Management. Lastly, the Supervisory Board did not claw back any variable remuneration from the Board of Management.

As described in the introduction of this remuneration report, as of 1 January a new remuneration policy for the Board of Management is in place which has been implemented in 2024, except for variable remuneration increases.

Scenario analysis

In conformity with the Corporate Governance Code (hereafter: the Code), scenario analyses have been performed regarding the possible results of the variable remuneration elements and the impact thereof on the remuneration of the Board of Management members. Based on these analyses, the Supervisory Board deems the remuneration levels to be appropriate in view of the performance. Hence, no further measures are required in this regard. The analyses, amongst others include a minimum performance scenario (0%), a maximum performance scenario (100%) and share price variations.

External perspective

In line with the remuneration policy, the remuneration of the Board of Management is benchmarked against a reassessed peer group at least every four years. The peer group, as defined in the remuneration policy, has been updated further to the recent evaluation of the remuneration policy. Interim adjustments in the composition of the peer group are permitted, but have not taken place so far.

Internal perspective

In 2024, we continued to monitor the development of the internal pay ratios which show a relatively consistent development over the years. In conformity with the Code, the ratio is calculated between the annual total remuneration for the CEO and the average annual total remuneration of an employee was 21.4 for 2024. The ratio between the annual total remuneration of the CFO and the average annual total remuneration of an employee was 16.0 for 2024. In the 'Performance/ remuneration/internal pay ratio' table, more detailed information is provided on the calculation method and the development of the Board of Management remuneration versus the wider workforce.

PostNL Remuneration Board of Management in €
2023, 2024

• 1 Base salaries 2024 were indexed with 4%.
• 2 Other benefits include company costs such as tax and social security, pension allowances, company car and other compensation.
• 3 Pension costs represent the cash out for the collective defined contribution plan (net of employee contributions), and risk premium for a net pension plan.
• 4 The 2024 amounts give the value of the shares that vested in May 2024 which relate to the LTI 2021-2023. The 2023 amounts give the value of the shares that vested in May 2023 which relate to the LTI 2020-2022.

Base salary

The base salaries for both members of the Board of Management were indexed in 2024 (4%) in line with the 2023 CLA increase of the wider workforce as further laid-down in the remuneration policy. The total remuneration of the Board of Management in 2024 (and 2023) is outlined in the table above.

Short-term Incentive (STI) 2024

The STI, which rewards the delivery of short-term performance taking into account the interests of multiple stakeholders, is based on annual financial and non-financial performance measures on which targets are set for a one year performance period. Since vesting schemes are being applied as of 2024, a non-fully met target can still contribute to the STI pay-out. No pay-out occurs if performance is below threshold level of the relevant performance measure.

STI pay-out is based on actual performance as assessed by the Remuneration Committee and summarized in the table on the next page. The 2024 STI realisation amounts to 22.20% out of a maximum of 37.50%, which equals a pay-out ratio of 59.2%.

For 2024, full year profitability (normalised EBIT) came in at €53 million, which is significantly below threshold level. This unsatisfactory financial outcome is mainly explained by higher than expected client concentration in e-commerce and severe cost pressures in a tight labour market with rising wages and increasing absenteeism resulting in declining margins. Cash generation (free cash flow) this year came in at €12 million, which is above threshold level, fueled by well-executed cash and balance sheet management.

In 2024, PostNL managed to keep its average number one NPS position in the relevant markets, for mail, parcels and cross-border. This result reaffirms PostNL’s strong position versus competitors and shows PostNL’s commitment to customers, supporting the strategic direction.

The employee engagement score in 2024 was 67.0%, at target, but slightly lower than last year’s score. The tight labour market has impacted certain areas of PostNL’s operations significantly, notably at Mail in the Netherlands, resulting in increasing work pressure. Additionally, the ongoing high absenteeism levels and reorganisations that are necessary to adapt to a changing postal market, impacted the engagement scores. To improve employee engagement in 2024, a series of business changes were introduced. For example, more attention was paid to involving operational staff in organizational changes that are carried out.

Quality Mail Improvement was selected as new performance measure for 2024, focusing on a further improvement of the quality levels within the mail division. This new performance measure was defined as ‘the annual net inflow (new hires minus leavers) of mail deliverers in fte’, considering that delivery staffing is one of the most important drivers for mail quality. Facing a shortage of mail deliverers in certain regions, PostNL launched a job fulfilment program, which was very successful in reducing the number of vacancies in addition to the improvement of staff retention. The year 2024 resulted in a net inflow of 125 mail deliverers (in fte), which is above  threshold but below target level.

Quality Parcels was 97.4% in 2024, only slightly below target level. Due to unexpected high volumes, PostNL experienced delays, but because of the effective strategy and overperformance at the beginning of the year, one managed to keep delivery quality in line with 2023.

PostNL Short-term Incentive
2024

Long-term Incentive (LTI) 2022-2024

The LTI rewards long-term value creation to PostNL’s strategy and reinforces alignment with shareholder interests by granting shares. The plan is based on financial and non-financial performance measures on which targets are set for a 3-year performance period. Since vesting schemes are being applied, a non-fully met target can still contribute to the LTI pay-out.

Year-end 2024, the LTI 2022-2024 performance period ended. The Remuneration Committee assessed the achievements of the Board of Management over the three-year performance period. Relative weight, threshold level, target level and actual performance per performance measure are summarised in the table below. The LTI 2022-2024 was granted in 2022 and as such, originates from the previous remuneration policy which was adopted by the AGM in 2022.

Both Earnings attributable to shareholders (cumulative normalised comprehensive income) of €243 million and Cash generation (free cash flow) of €81m, have unfortunately ended up below threshold level.

The former remuneration policy of the Board of Management, applicable to the LTI 2022-2024, includes climate impact reduction as a performance measure under the LTI plan, to strengthen alignment with PostNL's sustainability goals. For the LTI 2022-2024, Climate impact is defined as ‘CO₂ efficiency of our own operations’ and measures the relative CO₂ reduction in grammes CO₂e per kilometre compared to base year 2017. Besides a threshold level and a target level, the climate impact performance measure also contains a qualifier. The qualifier for the LTI 2022-2024 was defined as ‘the absolute CO₂ emission in 2024 is lower than in 2021’. With CO₂ emission in grammes CO₂e per kilometre of 128 in 2024, compared to 203 grammes CO₂e per kilometre in 2021 and a 44.0% CO₂ reduction compared to the base year, both qualifier and target level were exceeded. The progress made in the period 2022-2024 was mainly driven by the further transition to electric vehicles, the continued expansion of renewable fuel usage such as HVO100 and the improvement of transport efficiency.

The LTI 2022-2024 realisation amounts to 12.50% out of a maximum of 37.50%, which equals a pay-out ratio of 33.3%

The applicable number of performance shares will vest in 2025 and are subject to a two-year holding period. In compliance with the Code, following a three-year performance period, the holding period for vested shares expires two years thereafter or at termination of employment/service if this occurs earlier. The holding period (together with the minimum shareholding requirement as described in section 'Share ownership’) aligns the long-term interest of the members of the Board of Management with our shareholders. Furthermore, the holding period ensures that the performance shares are held for a period of at least 5 years.

PostNL Long-term Incentive
2022-2024

PostNL Shares (market value) in €

• 1 The number of conditional shares granted is based on 37.5% of the annual base salary divided by the five-day average Euronext Amsterdam share price of PostNL prior to the date of publication of the Q1 2024 results (€1.248). Vesting takes place at the end of the 3 year performance period, is subject to the long-term incentive plan's performance measures and is determined by the Supervisory Board. Performance will be disclosed in the 2026 remuneration report.
• 2 Conditional dividend shares were granted following the final dividend 2023 and interim dividend 2024.

Shares held by the Board of Management

PostNL Shares held by Board of Management in shares
2023, 2024

PostNL Share ownership as percentage of the minimum shareholding in %
2023-2024

• 1 'Once achieved always achieved' principle applies for the CEO as from 2020 onwards.

The table provides an overview of the shares held as a percentage of the minimal at year-end 2024 (and 2023) by the CEO and CFO. All members of the Board of Management are required to hold a specified value of PostNL shares. This minimum shareholding requirement fosters the identification of Board of Management members with PostNL’s strategy and its shareholders and aims to ensure a sustainable link to the performance of the company. The minimum after-tax shareholding requirement for the CEO and CFO is equivalent to 75% of annual base salary. These minimum shareholdings can be built up over 7 years (for the current Board of Management members starting from 2020) in line with the remuneration policy.

The CEO has exceeded the minimum share ownership level since 2020. The CFO has not reached the minimum level yet. As shown in the table above, the percentage of share ownership in 2024 is lower than in 2023, which was mainly caused by the share price development.

Information on the change of remuneration and company performance

PostNL Performance/remuneration/internal pay ratio
2020-2024 (IFRS based)

• 1 Profitability is equal to normalised EBIT (see chapter 9 Financial value).
• 2 Earnings attributable to shareholders is equal to normalised comprehensive income (see chapter 9 Financial value).
• 3 IFRS based remuneration, for more information see note 5.1 of the performance statements.
• 4 Based on the total salaries, pensions and social security contributions (excluding the CEO and CFO) increased with the external temporary staff cost (from 2021 onwards) divided by the average number of FTE's (total of own personnel and external temporary staff) minus two as reported in the chapter 'Financial Statements' of the relevant years.
• 5 Herna Verhagen was CEO and Pim Berendsen was CFO over the presented years. Figures in conformity with the Code.

The table provides an overview on the change of remuneration, company performance, average remuneration per FTE and internal pay ratios over the last 5 financial years (IFRS based).

Internal pay ratios

As described in the 2024 Board of management Actual remuneration paragraph, PostNL calculates the ratios between the annual total remuneration for the CEO and CFO and the average annual total remuneration for an employee. The pay ratio was 21.4 for the CEO in 2024 (2023: 21.6) and 16.0 for the CFO in 2024 (2023: 16.3), in line with foregoing years.

As from 2021 onwards, external temporary staff has been taken into account in the internal pay ratio calculation. This means that all FTEs of external staff hired have been taken into account when calculating the average number of FTEs. The related costs (see note 2.3.1 'Work contracted out and other external expenses' to the Consolidated financial statements for more information) are included in the calculation of the average remuneration per FTE. For administrative reasons, it is not feasible to make a distinction between external staff who have worked shorter/longer than 3 months for PostNL during the calendar year. As a result, no distinction is made in the duration of the activities performed by external staff for PostNL. The pay ratios 2024 excluding external temporary staff would have been 22.0 (2023: 22.1) for the CEO and 16.4 (2023: 16.7) for the CFO.

Board of Management performance measures 2025

Based on the variable remuneration framework in the remuneration policy, the Supervisory Board has reviewed and selected the most appropriate performance measures for 2025 in line with PostNL’s strategic priorities, balancing the interests of all PostNL’s relevant stakeholders and taking into account relevant developments such as CSRD and the ongoing discussions with the government on the future of mail services in the Netherlands. The performance measures for the STI 2025 and LTI 2025-2027, are included in the table below. The weight of financial and non-financial performance measures is set in accordance with the remuneration policy, at 60% financial and 40% non- financial for STI and 66.66% financial and 33.33% non-financial for LTI.

PostNL STI 2025

PostNL LTI 2025-2027

Compared to last year’s STI performance measures, the performance measure in the STI 2025 related to the quality of PostNL’s mail services has been adjusted. For 2025, both a quality target for consumer mail and a quality target for business mail will be included in the STI in view of the importance of both mail types for the company. As of 2025, the standard service proposition for business mail is adjusted to delivery within two days, in line with the current needs of customers and consumers. It is PostNL’s intention to apply this proposition also for consumer mail once approved by parliament. By including two-day delivery quality in the target-setting, more focus will be put on the envisaged and necessary future service proposition for consumer mail, in anticipation of the government’s approval.

The LTI 2025-2027 performance measures will be equal to last year’s set of performance measures. PostNL’s primary focus is on combatting climate change by significantly reducing carbon emissions. PostNL is committed to achieving net-zero emissions by 2040. By then, we aim to have reduced our carbon emissions by 90%. As an interim step we aim to reduce our scope 3 carbon emissions by 45% and our emissions in scope 1 and 2 by 90% by 2030. The gross targets span scopes 1, 2, and 3, covering both our direct emissions (from our own operations and energy use) and indirect emissions (from our value chain). In 2025 the LTI Performance Measure on climate impact reduction (defined as the ‘CO₂ efficiency of our own operations’) will remain focused on scope 1 and 2. In the short term the sustainability strategy prioritises significant GHG emission reductions through the electrification of the vehicle fleet, the adoption of renewable fuels, and enhanced energy efficiency within buildings and logistics networks. PostNL aims to achieve a further reduction in emissions, where collaboration with delivery partners and suppliers will be critical to managing risks and fostering sustainability across the value chain.

Remuneration Policy of the Supervisory Board

This section provides a high-level overview of the remuneration policy of the Supervisory Board as adopted by the 2024 AGM and effective as per 1 January 2024.

Objective and guiding principles

The objective of the policy is to attract and retain qualified talent to perform the Supervisory Board’s duties and act in accordance with the interests of PostNL and its stakeholders. The policy is built on the following principles:

• Alignment

• Independence

• Transparent

• Compliant

• Simple

The Remuneration Committee takes multiple factors into account when determining compensation levels, including the type of role, the pay conditions of PostNL’s employees, societal context and relevant market developments. Compensation levels will be benchmarked at least every four years against the same peer group that is used for the Board of Management benchmark. PostNL aims to position compensation between the lower quartile and median levels of the peer group for all compensation elements of the policy. In line with the Code, the remuneration of the Supervisory Board is not related to the company performance and paid in cash only.

Fee Structure

The remuneration policy contains the following compensation elements:

• Board fees for chairman and members

• Committee fees for chairman and members

• Other benefits

• Expenses

The fee structure is included in the table below.

PostNL Fee Structure Supervisory Board

For more details regarding the 2024 remuneration policy of the Supervisory Board as well as the adjustments in the policy compared to the previous policy, we refer to our website.

2024 Supervisory Board actual remuneration

The following section provides insight into how our remuneration policy was implemented in 2024 for the Supervisory Board. The presented figures are at market value, unless stated otherwise. For IFRS- based figures on the remuneration, see note '5.1 Remuneration of Supervisory Board, Board of Management and senior management'

PostNL Total remuneration Supervisory Board in €, 2023, 2024

• 1 Excluding mandatory social security and health insurance contributions.

Implementation of the remuneration policies

In 2024, we have overseen that all decisions made regarding the remuneration of the Supervisory Board are in line with the new remuneration policy, as approved by the AGM in 2024, and decision-making process (no deviations took place). All remuneration is paid directly to the Supervisory Board by  PostNL N.V.

The evaluation process and subsequent stakeholder engagement process, have led to a responsible and balanced new remuneration policy for the Supervisory Board. The total remuneration of the Supervisory Board in 2024 (per individual member) and 2023 (as a total) is presented in the table. In line with the remuneration policy, the Supervisory Board members are entitled to a Board fee and one or more fixed committee fee(s). The new policy for the Supervisory Board includes the formal introduction of an ESG committee fee as well as an increase of the annual board and committee fees, which were implemented in 2024. As a result hereof the total Supervisory Board fees for 2024 exceed previous year’s fees.

The members of the Supervisory Board receive no compensation related to performance and accrue no pension rights with the company. As such, their remuneration is 100% fixed. The members of the Supervisory Board receive no severance payments in the event of termination. PostNL does not grant loans, including mortgage loans, advance payments, guarantees and options or shares to any member of the Supervisory Board.

With the exception of Martin Plavec (6,000 PostNL shares), none of the Supervisory Board members hold shares in PostNL N.V.

A five-year overview of the total remuneration of the Supervisory Board is presented in the table below.

PostNL Five-year overview total remuneration Supervisory Board in €, 2020-2024

Introduction

In this chapter we provide an overview of our tax strategy, its underlying policy provisions, and their application. PostNL’s tax strategy and policy is based on the mandate given by the Board of Management to the head office department Group Tax and purports to set the strategy and policy provisions applicable for the PostNL Group, and to define and allocate the roles and responsibilities in the area of taxation within the PostNL Group.

The objective of this tax strategy and policy, which was updated in 2022, is based on the tax governance code (TGC) developed under the umbrella of VNO-NCW, which is to ensure a coherent, responsible and compliant approach towards matters of taxation in the broadest sense. Our behaviour and attitude towards matters of taxation, and the principles and procedures in connection with such matters, should always be in line with this objective. As a result, in 2024 we participated for the second time in the peer review of the TGC initiated by VNO-NCW, whereby we on the one hand acted as a reviewer of another company on compliance with the TGC and on the other hand were reviewed ourselves. For PostNL, the outcome of this peer review was favourable: our reviewer agreed with our view that, for 2023, we comply fully with the TGC. We will continue to be part of monitoring initiatives.

Tax strategy and risk management

Our approach to tax is acting fully in line with our overall strategy whereby we view tax not as a cost factor only, but as a means for social economic cohesion, sustainable growth and long-term prosperity. As such, a coherent, responsible and compliant approach towards tax is considered an integral part of doing business, whereby we aim to maintain a moderate tax risk appetite.

Group Tax is mandated by the Board of Management to oversee this approach towards tax. In that role, Group Tax, inter alia, advises and supports the Board of Management on tax and acts as the central business partner on tax towards all stakeholders. Group Tax consists of specialists in direct and indirect taxes, payroll taxes, government grants, tax compliance and reporting. Our approach to tax risk management has been built on a tax control framework, which is, in its turn, part of PostNL’s internal control framework. Key ingredients of our tax risk management process are periodical tax reports that Group Tax is providing for the CFO, an at least quarterly review of our tax position and the execution of a quarterly tax risk management cycle, including (key) control execution and testing. In addition, Group Tax ensures adhering to its tax strategy and policies within the team and within the PostNL Group increasing tax awareness. To maintain our approach to tax we also have dialogues with governmental and non-governmental stakeholders, with industry groups and employer organizations on a continuous basis about interpretation of, and compliance with tax laws and regulations.

Policy provisions

Approach to tax: tax strategy & tax policy provisions

We see tax not as a cost factor alone, but as a means for socio-economic cohesion, sustainable growth and long-term prosperity.

• Our approach to tax is based on a tax strategy and a set of policy provisions approved by our Board of Management

• Group Tax reports at least semi-annually to the Board of Management and at least annually to the Audit Committee on tax risks, adherence to the tax strategy and its underlying policy provisions

• Our tax strategy and its underlying policy provisions apply to all PostNL Group entities

• Our tax policy provisions apply to how we operate in our relationships with employees, customers, contractors and suppliers.

Accountability & tax governance

Tax is a core part of corporate social responsibility and governance and is overseen by our Board of Management.

• Our Board of Management is accountable for the tax strategy, the underlying policy provisions and tax risk management

• We have a tax control framework that sets out our tax controls and risk management

• Internal and external auditors regularly review tax controls as part of the audit of our financial results.

Tax compliance

We are committed to comply with the letter, the intent and the spirit of tax legislation in the countries in which we operate and to pay the right amount of tax at the right time.

• We prepare and file all tax returns required, providing complete, accurate and timely disclosures to all relevant tax authorities

• Our responsible tax planning is based on reasonable interpretations of applicable law and is aligned with the substance of the economic and commercial activity of our business

• We will not undertake transactions or engage in arrangements of which the sole purpose is to create a tax benefit that is in excess of a reasonable interpretation of relevant tax rules

• We will only claim tax incentives in line with the policy intent of such tax incentives and provided such incentives are generally available

• If we seek certainty in advance from tax authorities to confirm an applicable tax treatment, we do so based on full disclosure of all relevant facts and circumstances.

Business structure

We will only use business structures that are driven by commercial considerations, are aligned with business activities, and have genuine substance.

• We do not use so-called tax havens¹ for tax avoidance. All entities in tax havens exist for substantive and commercial reasons

• We pay tax on profits according to where value is created within the normal course of commercial activity

• We use the arm’s length principle, in line with guidelines issued by the OECD, and apply this consistently across our businesses, contingent on local laws.

Relationships with tax authorities and other external stakeholders

Mutual respect, transparency and trust drive our relationships with tax authorities and other relevant external stakeholders.

• We seek to develop cooperative relationships with tax authorities, and relevant other authorities, based on mutual respect, transparency and trust

• We seek to engage constructively in national and international dialogue with governments, business groups and civil society to support the development of effective tax systems, legislation and administration

• We will work collaboratively with tax authorities to achieve early agreement on disputed issues and certainty on a real-time basis, wherever possible. Where there is controversy, we will strive to resolve the controversy by applying these principles.
  

Tax transparency & reporting

We regularly provide information to our stakeholders, including investors, policy makers, employees, civil society and the general public, about our approach to tax and taxes paid. We therefore publish the following information:

• A tax strategy or policy and our approach to tax risk management

• A list of group entities, with ownership information and a brief explanation of the type and geographic scope of activities

• Annual information on the corporate income tax we accrue and pay on a cash basis at a country level

• The total tax borne and collected by us, globally or per country, including corporate income taxes, property taxes, (non-creditable) VAT and other sales taxes, employer/employee- related taxes, and other taxes that constitute costs to us or are remitted by us on behalf of customers or employees, by category of taxes

• Information on financially material tax incentives (e.g. tax holidays), including an outline of the incentive requirements and when it expires

• An outline of the advocacy approach we take on tax issues, the channels through which we engage in regard to policy development, and the overall purpose of its engagement.

1. For the definition of offshore jurisdictions (e.g. tax havens), PostNL uses the following sources: the EU black list of non-cooperative jurisdictions; the OECD list of jurisdictions committed to improving transparency and establishing effective exchange of information in tax matters; and, the Dutch Ministry of Finance’s list of low-tax states and non-cooperative jurisdictions for tax purpose.

(Inter)national developments in tax legislation

An (inter)national trend is the increasing call for more transparency leading to new and additional compliance requirements. In this light, we monitor new (tax) legislation and initiatives thoroughly, both in the context of tax transparency and tax reporting.

Complying with the legislation in the countries in which we operate, we have filed a country-by-country report (CbCR) in the Netherlands and CbCR notifications in other countries to the extent required.

In 2024, (inter)national developments were discussed to assess whether our stance towards these developments should be adjusted. We continue to strive for optimal tax transparency. In the next paragraphs, we will provide a short summary of those (fairly) new tax developments that will have an impact for PostNL in 2024 and the near future in terms of tax compliance. In 2023, we discussed DAC 7 and CBAM in this section. We consider the impact of DAC 7 and CBAM as non material in this respect.

Pillar Two

In the European Union, Council Directive 2022/2523 was adopted in December 2022 on ensuring an overall minimum level of taxation for multinational enterprise groups and large domestic groups in the EU. The Directive had to be transposed into domestic laws by 31 December 2023 and was entering into force on 1 January 2024. The Directive implements at EU level the Pillar Two rules of the OECD's Inclusive Framework on base erosion and profit shifting. Pillar Two applies to multinational groups with a turnover of more than EUR 750 million and entails a minimum tax of 15% calculated on adjusted accounting profit on a jurisdiction-by-jurisdiction basis. In 2023 and 2024, the OECD has provided further guidance to these rules by approving administrative guidance and a report on safe harbours in order to simplify their application.

In the Netherlands, on 30 May 2023 the preliminary draft law transposing the European Directive establishing a minimum overall tax level of 15% for multinational companies and large domestic groups was published. The law has been approved on 19 December 2023 and has entered into force on 31 December 2023. Pillar Two legislation has also been enacted or is in the process of being enacted in almost all countries in which PostNL is active. PostNL is in scope of this legislation and has performed an assessment of its potential exposure to Pillar Two income taxes taking into consideration the transitory safe harbours. Based on the final legislation in the Netherlands, PostNL NV is the ultimate parent entity (UPE) liable to pay the additional tax due for those subsidiaries located in jurisdictions below the minimum effective tax rate of 15%. PostNL Group entities will also be subject to tax in those countries where a domestic global minimum tax is approved according to the Pillar Two rules. The assessment of the potential exposure to Pillar Two income taxes is based on the most recent tax filings, country-by-country reporting and (aggregated on a country basis) financial information for the PostNL Group entities. Based on this assessment, the Pillar Two effective tax rates in most of the jurisdictions in which the PostNL Group operates are above 15% or one of the other safe harbours are met. Consequently, PostNL does not estimate a significant impact derived from this new regulation (e.g. top-up tax payable).

For more information regarding Pillar Two, please see the Income tax note in the Financial statements section of this report, which specifies the (expected) impact of Pillar Two for PostNL in terms of top-up tax payments.​

Public EU Country-by-Country Reporting (EU CbCR)

On 6 July 2023, the Netherlands passed legislation to implement public country-by-country reporting under EU directive (EU) 2021/2101. Based on this new legislation, PostNL is required to publicly disclose a CbCR, which includes tax and tax-related information for financial years starting on or after 22 June 2024. This means that formally we are obliged to report this information as of FY 2025. However, PostNL has included most this CbCR information in its annual report since 2022. This underlines the adherence to our policy provisions as regards tax transparency and reporting.

Taxes in more details

PostNL is a multinational group that operates in several different jurisdictions. All these jurisdictions have their own tax regimes and tax types. A detailed overview of our way of working regarding these different tax regimes (e.g. tax risk management) and our tax metrics is given below.

Tax risk management

PostNL has a moderate appetite for tax risk. Nevertheless, PostNL operates on a global basis and, as such, is potentially exposed to different types of risks, including those related to taxation. Examples of such tax risks that occur or have occurred for PostNL are:

• Adverse decisions or interpretations of tax authorities on pending disputes;

• Changes in tax treaties, tax laws, OECD Guidelines, EU Directives and other rules could have a material adverse effect on PostNL’s net result and cash flow; and

• Potential DTA impairments, due the fact that business results do not meet expectations or changes in applicable national and international(tax) legislation.

We continuously monitor the processes for tax accounting, tax compliance and reporting, to identify and manage potential risks. In this respect we document every stage of the process. When we identify potential risks, we apply critical and professional reasoning on an issue-by-issue basis to balance the acceptable risk limits and mitigation to the extent possible. Identified tax risks and the tax control framework effectiveness is monitored and evaluated every quarter with the CFO. In addition, to support transparent financial reporting, PostNL follows IFRS and has implemented an effective tax-accounting control framework that assures compliance with the standards applicable under IFRS accounting.

Total tax contribution

PostNL is transparent about its plans, activities, results and contributions to society. Tax follows the business and we consider our tax payments as a contribution to the communities in which we operate. PostNL’s total tax contribution (TTC) endorses our values in this matter: tax is paid in the country where we operate. As PostNL is mainly operating from the Netherlands, the TTC is predominately paid to the Dutch tax authorities. Furthermore, PostNL strives to be as sustainable as possible and does not pay material environmental taxes in 2024. For more information we refer to the tables set out below.

PostNL General information in € million, unless indicated otherwise

The table below presents our total tax contribution for 2024. Given the different activities of PostNL, we pay a number of different taxes. In 2024, we paid €475 million in taxes (2023: €499 million). Below, we also present certain metrics per country.

PostNL Total revenue including interest by country
2024: €3,275 million (2023: €3,184 million)

PostNL Taxes paid by country
2024: €475 million (2023: €499 million)

PostNL Taxes paid by type
2024: €475 million (2023: €499 million)

PostNL Taxes paid by type in € million

The comparison between 2023 and 2024 shows certain general changes in our tax metrics. Corporate income tax is comparable to 2023. VAT and sales tax decreased compared to 2023, mainly due to the lower business performance. Wage tax and social security contributions and the Other taxes are comparable in numbers to 2023.

Tax information per country

The vast majority of our business is concentrated in the Benelux. To provide transparency of our business, results and corresponding taxes on a per country basis, we provide a breakdown with general information and total tax contribution (borne and collected) as well as a list of group entities in appendix 4.

PostNL General information by country, in € million, unless indicated otherwise

PostNL Total tax contribution (borne & collected) in € million

• 1 Zero amounts in this table are mainly the result of rounding in € million and therefore representing smaller amounts.
• 2 Taxes borne represent the taxes that are an expense/(income) item as included in the income statement.
• 3 Taxes collected represent the taxes (paid)/received included in our cash flow, also representing payments made on behalf of other parties.
• 4 The difference between the corporate income tax borne (€13 million) and the total income tax expense (€6 million) is due to changes in deferred taxes, see note 2.4.2 to the Consolidated financial statements.
• 5 In 2024, as in 2023, we applied several tax allowances provided by law (e.g., the energy- and environmental investment allowance in the Netherlands). Tax incentives provided by law are not separately included in the table above.

PostNL is a listed company and endeavours to maintain close contact with its financial stakeholders. The main goal of investor relations' activities is to build the financial brand of PostNL. This chapter provides information on a range of topics about the company's capital structure, its investor relations activities, the dividend policy, and the financial calendar for the year ahead.

Shares and share ownership

Ordinary shares in PostNL N.V. (ticker: PNL, ISIN code NL0009739416) are listed on Euronext Amsterdam and included in the AScX-index. Options on PostNL shares are traded on Euronext Derivatives Amsterdam and on the European Options Exchange in Amsterdam.

PostNL Relative performance PostNL compared to AScX-index
2024

In 2024, 477 million PostNL shares were traded on Euronext Amsterdam (2023: 506 million). The average daily number of shares traded was 1.9 million (2023: 2.0 million). The market capitalisation of PostNL was €523 million at the end of 2024 (2023: €698 million).

PostNL’s authorised share capital is divided into 1,500,000,000 shares of €0.08 each and consists of 750,000,000 ordinary shares and 750,000,000 preference shares B. The number of issued and outstanding ordinary shares was 502,111,291 on 31 December 2024 (2023: 494,207,248 shares). During the year, 6,686,930 shares were issued as stock dividend and 1,217,113 shares for the share plan for employees (2023: 5,401,910 shares were issued as stock dividend and 1,274,710 shares for the share plan for employees ). All shares in issue are fully paid. No preference shares B were issued and outstanding. See note '4.6 Equity' to the Consolidated financial statements for more information on PostNL’s equity.

Major shareholders

Pursuant to the Financial Markets Supervision Act (Wet op het financieel toezicht), shareholders must disclose percentage holdings in the capital and/or voting rights in the company when such holding reaches, exceeds or falls below 3%, 5%, 10%, 15%, 20%, 25%, 30%, 40%, 50%, 60%, 75% and 95%. Such disclosure must be made to the Dutch Financial Markets Authority (AFM) without delay.

Investors also have to disclose net short positions in the company that equal or exceed 0.5% of outstanding shares. At the end of 2024, investors had filed an accumulated net short position of 3.55% in PostNL (2023: 1.81%).

Our substantial shareholders are listed in the table below.

PostNL Overview of substantial shareholders and their ownership (>3%)
31 December 2024

• 1 Vesa Equity Investment Sarl/EP Investment Sarl

Shareholder base

PostNL has a broad shareholder base. We estimate that 23% of the outstanding shares is owned by retail investors. Institutional investors hold 77% of the total shares, of which the main part is held outside the Netherlands.

PostNL Institutional shareholders by region
2023, 2024 (in %)

Bonds and credit rating

PostNL currently has two Eurobonds outstanding, both listed on Euronext Amsterdam:

• POSTNL 4.750% 2031 (ISIN XS2803804314), nominal value outstanding €300 million

• POSTNL 0.625% 2026 (ISIN XS2047619064), nominal value outstanding €300 million

In November 2024, a Eurobond of €353 million was redeemed.

In June 2024, a new Sustainability-Linked Bond of €300 million was issued, with maturity in 2031. The net proceeds are used for general corporate purposes. PostNL will publish an annual update on Sustainability-Linked Financing in the Annual Report as part of the Sustainability Statement, General disclosures. The three key performance indicators (KPIs) in the Sustainability-Linked Financing Framework (Framework) are closely related to PostNL’s ESG strategy. PostNL is committed to reduce its absolute scope 1 and 2 GHG emissions by over 90% and its absolute scope 3 GHG emissions by 45% by 2030 from a 2021 base year. Alongside this, the company aims to increase its share of females in senior management positions to 36% in 2030. The interest rate is linked to three sustainable performance target conditions that are described in the terms and conditions in the prospectus. In case PostNL fails to achieve one or more of these conditions by 2030, a single 100 bps coupon step-up, payable on the final interest payment date, will be applicable.

The second Eurobond is a Green Bond, issued in September 2019 and maturing in 2026, based on PostNL's Green Bond Framework. The net proceeds are being used to finance and/or refinance new and/or existing eligible green projects. The eligible green projects focus on green kilometres, sustainable buildings, and innovation and efficiency. PostNL. During the tenor of the Green Bond, the company will annually publish a separate Green Bond Report in line with the framework until an amount equal to the net proceeds of the Green Bond has been allocated to the eligible green projects. PostNL published its fifth Green Bond Report on 8 April 2024.

These bonds highlight the company’s commitment towards becoming a truly sustainable e-commerce logistics provider and enables the company to contribute meaningfully to the United Nations Sustainable Development Goals ‘Decent work and economic growth’, ‘Climate action’, 'Industry, innovation, and infrastructure’ and ‘Responsible consumption and production’

More information can be found on our website.

In accordance with PostNL’s financial framework, the company is aiming for a leverage ratio (adjusted net debt/EBITDA) not exceeding 2.0. Currently, PostNL is rated by Standard & Poor’s (S&P) at BBB with negative outlook.

Investor relations

PostNL endeavours to stay in regular contact with its shareholders. The main goal of our investor relations’ activities is to build our financial brand. To achieve that, we strive to inform the financial community about relevant developments in our company in a transparent, consistent and timely way. The Board of Management and the investor relations team maintain an active dialogue with the financial community, and we comply with applicable laws and rules and regulations of Euronext Amsterdam and the AFM and other relevant bodies.

Our investor relations’ programme consists of frequent meetings with analysts and (potential) investors, conference calls, roadshows, investor conferences and other events.

PostNL communicates with the financial community through press releases, the publication of the Annual Report, General Meetings of Shareholders and the company’s website. In 2024, PostNL had contact with many (potential) investors, mainly located in the major financial cities in Europe and North America, by means of video calls and in-person meetings. The company meets with (potential) investors regularly to ensure they receive a balanced and complete view of the company’s strategy, performance and the issues faced by the business, and to listen to their feedback, while always observing applicable rules concerning selective disclosure, equal treatment of (potential) shareholders and insider trading. In the period preceding the publication of quarterly results, PostNL will be in a ‘closed period’.

Explanation by the Board of Management of quarterly results is given either at group meetings and/or conference calls which are accessible by phone and via the website (audiocast). Additionally, General Meetings of Shareholders are broadcast via audiocast. Our website provides all relevant information with regard to publication dates and procedures to attend or listen in to presentations.

Contact between the Board of Management, the financial community and the media is carefully handled and structured. The company will not compromise the independence of analysts in relation to the company and vice versa. Analysts’ reports and valuations are not assessed, commented upon or corrected, other than factually, by the company. PostNL does not pay any fees to parties for carrying out research for analysts’ reports or for the production or publication of analysts’ reports, with the exception of credit rating agencies. Contact with our financial stakeholders is taken care of by the members of the Board of Management and PostNL’s investor relations’ professionals.

The Board of Management has adopted investor relations and media guidelines that PostNL employees abide by.

For the latest and archived press releases, presentations, share price information and other company information, such as our online Annual Reports and interim reports, please visit PostNL’s website.

Dividend 2024

Our dividend policy, available on PostNL’s corporate website, stated that PostNL aims to pay a dividend that develops substantially in line with operational performance. Dividend distribution is conditional on being properly financed in accordance with PostNL’s financial framework. PostNL is steering for a solid balance sheet with a positive consolidated equity, aiming at a leverage ratio (adjusted net debt/EBITDA) not exceeding 2.0 and applying strict cash flow management. The dividend pay-out ratio will be around 70% - 90% of normalised comprehensive income. Shareholders are offered a choice to opt for cash or shares (2024: approximately 73% opted for dividend in cash). Dividend will be distributed twice a year, with interim dividend set at ~1/3 of dividend over the prior year.

At the end of 2024 the leverage ratio amounted to 1.95. This allows PostNL to propose a dividend of €0.07 per ordinary share for 2024 (2023: €0.09), based on normalised comprehensive income of €38 million for 2024 and a pay-out ratio of 80%. €0.03 was paid as an interim dividend, so the final dividend to be paid in May 2025 will be €0.04 per share. This will be proposed to the Annual General Meeting of Shareholders to be held on 15 April 2025.

The current dividend policy is to be applied on any profits over the financial year 2020 and subsequent years thereafter (until adjusted).

Important dates in 2025

PostNL Financial calendar

PostNL Dividend calendar

Contact details

Dutch Corporate Governance Code

PostNL applies the principles and best practices of the Dutch Corporate Governance Code (the Code), as referred to in article 391, paragraph 5, book 2 of the Dutch Civil Code (DCC), except for the best practice provisions below, where we also explain why we do not comply with them. Future developments might justify further deviations from the Code at the moment of occurrence. Each substantial change in the corporate governance structure of the company and in the compliance of the company with the Code shall be discussed with the General Meeting of Shareholders. The full text of the Code can be found on www.postnl.nl.

The best practice provision 3.2.3 of the Code states that remuneration in the event of dismissal of members of the Board of Management may not exceed one year's salary (the fixed remuneration component), and that severance payments will not be awarded if the agreement is terminated early at the initiative of a member of the Board of Management. The severance payment of Herna Verhagen in case of a change of control equals the sum of the last annual base salary and pension contribution plus the average variable remuneration received over the last three years, multiplied by two.

Furthermore, in case of a change of control, Herna Verhagen may, under certain circumstances, receive a severance payment if the agreement is terminated at her own initiative. Herna Verhagen was employed by PostNL before the Code became first effective. PostNL is of the opinion that the agreed severance payment in case of a change of control is proportionate, considering that PostNL wishes to respect the agreement made in the past. Also, the Supervisory Board may decide that the performance shares vest in whole or in part.

Tax Governance Code

PostNL voluntarily applies the principles of the Dutch tax governance code developed under the umbrella of VNO-NCW. More information can be found in the chapter Our tax strategy and policy provisions.

Responsibility statement under the Code

The Code requires the Board of Management to provide a description of PostNL’s main risks in relation to its risk appetite. Such risks may include strategic, operational, compliance, financial reporting and sustainability reporting risks. These risks and the relation to PostNL’s risk appetite are included in the chapter ‘Risk and opportunity management’. The Board of Management confirms that it is responsible for PostNL’s risk management and internal control systems and has reviewed the effectiveness of these systems for the year ended 31 December 2024.

The outcome of these reviews and the analysis has been shared with the Audit Committee and the Supervisory Board and has been discussed with PostNL’s external auditor.

This approach also applies to any material failings identified in PostNL’s risk management and internal control systems and of material changes or improvement implemented in such systems, each if applicable. PostNL continued to implement material organisational and IT changes and improvements. In 2024, our efforts were concentrated on implementing the requirements of the Corporate Sustainability Reporting Directive (CSRD). We also focused on the implementation of the SAP S/4HANA enterprise resource planning system.

No material failings in PostNL’s risk management and internal control systems were reported apart from those outlined in the chapters on Risk and opportunity management and Regulatory developments and provided for external conditions that can reasonably be expected to have an impact on a company’s results. In light of this, the results of PostNL may be influenced by material changes in external conditions, such as macroeconomic developments, regulatory changes, or shifts in market demand. In certain instances, risks that exceed PostNL’s risk appetite may arise due to these external conditions. When such risks are beyond our influence in the short term, PostNL may tolerate them as part of its ongoing adaptation to the current global environment.

Based on the outcome of the PostNL specific approach to risk management and internal control systems as outlined in the chapters Risk and opportunity management and Regulatory developments, the Board of Management believes, to the best of its knowledge, that PostNL’s internal control over financial reporting worked effectively over the year ended 31 December 2024 and provides reasonable assurance that the financial reporting is free from material inaccuracies or misstatements.

Additionally, the Board of Management is of the view that considering the annually updated strategic plan and forecasts, in the current situation, it is justified that PostNL’s financial reporting has been prepared on a going concern basis and that it states those material risks and uncertainties that are relevant for the expectation of PostNL’s continuity for the period of twelve months after the preparation of the report. The above, however, does not imply that PostNL can provide certainty as to the realisation of strategic business and financial objectives. Nor can PostNL’s approach to internal control over financial reporting be expected to prevent or detect all misstatements, errors, fraud or violation of laws or regulations.

In view of the above and based on the outline of the main risks and risk responses described in the chapter 'Risk and opportunity management’, the Board of Management believes it complies with provisions 1.4.2. and 1.4.3. of the Code.

Responsibility statement under the Dutch Financial Markets Supervision Act

With reference to section 5:25c paragraph 2 under c of the Dutch Financial Markets Supervision Act, the Board of Management confirms to the best of its knowledge that:

• The annual financial statements for the year ended 31 December 2024 give a true and fair view of the assets, liabilities, financial position, and profit or loss of PostNL and its consolidated companies.

• The Report of the Board of Management gives a true and fair view of the situation on the balance sheet date and of developments during the financial year of PostNL and its consolidated companies, together with a description of the main risks facing PostNL.

The members of the Supervisory Board and the Board of Management have signed the financial statements pursuant to their statutory obligation under article 2:101(2) of the DCC.

The Hague, the Netherlands, 24 February 2025

The Board of Management

Consolidated primary statements

PostNL Consolidated statement of profit or loss in € million
2023, 2024

PostNL Earnings per share in € cents
2023, 2024

• 1 Earnings per ordinary share are in 2024 based on an average of 498,332,152 outstanding ordinary shares (2023: 490,686,943).
• 2 Earnings per diluted ordinary share are in 2024 based on an average of 499,156,545 ordinary shares on a fully diluted basis in the year (2023: 491,784,628).

PostNL Consolidated statement of comprehensive income in € million
2023, 2024

PostNL Consolidated statement of cash flows in € million
2023, 2024

PostNL Consolidated statement of financial position in € million
2023, 2024

PostNL Consolidated statement of changes in equity in € million
2023, 2024

• 1 The other reserves include the currency translation reserve, the hedge reserve and the reserve relating to financial assets at fair value through OCI. Reference is made to note 2.6.

Section 1 : Basis of preparation

1.1 General information

PostNL N.V.PostNL N.V.A public limited liability company incorporated under the laws of the Netherlands, listed on the Amsterdam Stock Exchange, with its statutory seat in The Hague, the Netherlands, and its registered office at Waldorpstraat 3, 2521 CA The Hague, the Netherlands, until 31 May 2011 named TNT N.V. is a public limited liability company with its registered seat and head office in The Hague, the Netherlands. PostNL provides businesses and consumers in the Benelux with an extensive range of services for their mail and parcels needs. Through our international sales network Spring, we connect local businesses around the world to consumers globally. PostNL’s services involve collecting, sorting, transporting and delivering letters and parcels for the company’s customers within specific timeframes. The company also provides services in the area of data management, direct marketing and fulfilment.

The consolidated financial statements include the financial statements of PostNL N.V. and its consolidated subsidiaries (hereafter referred to as ‘PostNL’, ‘Group’ or ‘the company’). The consolidated financial statements were authorised for issue by PostNL’s Board of Management and Supervisory Board on 24 February 2025 and are subject to adoption at the Annual General Meeting of Shareholders on 15 April 2025.

1.2 Accounting principles applied

The consolidated financial statements of PostNL:

• Have been prepared in accordance with International Financial Reporting Standards (IFRS) as endorsed by the European Union (EU-IFRS) and with Section 2:362(9) of the Dutch Civil Code, and

• Have been prepared under the historical cost convention, except for financial instruments.

The material accounting policies applied in the preparation of these consolidated financial statements are included at the relevant notes to the consolidated financial statements or, in case of more general policies, see note 5.4 Summary of all other accounting policies to the Consolidated financial statements for more information. These policies have been consistently applied to all the years presented, unless stated otherwise. All amounts included in the consolidated financial statements are presented in euros, unless stated otherwise. Note that the numbers presented in the financial statements and disclosures thereto may not sum precisely to the totals provided and percentages may not precisely reflect the absolute figures due to rounding.

Going concern

The financial statements of the company have been prepared on the basis of the going concern assumption.

1.3 Developments during 2024

Impact assessment of geopolitical and economic developments

In 2024, geopolitical and macroeconomic developments continued to have its impact on society as a whole. Higher inflation, starting in 2021/2022, still affected consumer confidence and consumer spending. Although overall volumes at Parcels grew by 7.2% in 2024, Parcels saw as underlying trends primarily a higher share of international e-commerce volumes and modest growth in domestic e-commerce volumes further concentrated at the larger Dutch e-tailers, both of which had a negative impact on our average price and margin. Rising inflation also led to further cost increases for PostNL, specifically resulting in even higher labour costs, which could not be fully absorbed by regular price increases. At the same time, the tight labour market is still making it difficult for companies across a range of sectors, including ours, to fill vacancies. These issues also affected our customers, partners and suppliers.

For our mail business, the underlying trends of volume decline, the shift to within two day delivery and cost increases continue. With a normalised EBIT result of only €19 million at Mail in the Netherlands for 2024 (2023: €50 million), there is an urgent need to transform the current unsustainable business model. It is essential that the legal duty of the universal service obligation (USO) is not loss-making. More information on this, including PostNL’s request for temporary government financial support under the Dutch General Administrative Law Act to cover net USO costs for 2025 and 2026, can be found in the Future of Mail box in the Our operating context chapter.

Management assessed the impact of the current developments on all material assets and liabilities. We performed a review for impairment triggers on goodwill and other intangibles, PP&E, right-of-use assets and financial fixed assets. We also analysed the trade accounts receivable position and customers' payment behaviour. Finally, we assessed the need to make adjustments to the fair value accounted financial assets and balance sheet positions related to our non-current assets held for sale. The assessment showed no need for significant negative adjustments to the accounts stated in and at year-end 2024. Management does note that the goodwill impairment test of the cash generating unit Mail in the Netherlands shows limited available headroom, which is logically related to the circumstances described in the previous paragraph.

Impact assessment of climate related risks

Climate change may impact PostNL’s operations and valuation of its non-current assets. Management evaluated the potential impacts of climate-related physical risks. In relation to the financial statements, management concluded that these risks have no current impact on the valuation of the non-current assets.

1.4 Critical accounting estimates and judgements

The preparation of PostNL's consolidated financial statements in accordance with IFRS requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, revenue and expenses, and related disclosure of contingent assets and liabilities. It also requires management to exercise its judgement in the process of applying PostNL’s accounting policies.

Estimates, assumptions and judgements are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. The resulting accounting positions will, by definition, seldom equal the related actual results. On a continuous basis, we evaluate our expectations with the actual results, and include the learnings going forward.

The areas involving a higher degree of judgement or complexity, or areas where assumptions and estimates are significant to the consolidated financial statements, are disclosed below.

Other provisions

Other provisions mainly include expected costs related to jubilee, illness, long-term disability and termination employee benefit obligations and claims & indemnities. The provisions recorded reflect the present value of management's best estimate of the expenditure required to settle the obligation. Given the uncertain outcome, management must use a certain degree of judgement in this respect. This includes the thorough analysis and concluding view of our position and that of the third party. See note 3.5 Other provisions to the Consolidated financial statements for more information on the other provisions.

Impairment of non-current assets

In determining impairments of intangible assets including goodwill and software, tangible fixed assets and financial fixed assets, management must make significant judgements and estimates to determine whether the recoverable amount is less than the carrying value. The recoverable amount is the higher of the fair value less costs of disposal and value in use. In assessing the value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the asset-specific risks. Determining cash flows requires the use of judgements and estimates that have been included in PostNL’s strategic plans and long-term forecasts. The data necessary for the execution of the impairment tests are based on management estimates of future cash flows, which make it necessary to estimate revenue growth rates and profit margins. See note 3.3 Intangible fixed assets to the Consolidated financial statements for more information on the impairment test of goodwill.

Deferred revenue and revenue-related accruals

PostNL has to estimate the deferred revenues from stamps sold but not yet used by its customers. The company uses a seasonal model based on historical figures in order to account for the seasonal effects on sales from stamps (for example, stamp sales for Christmas greetings in November and December). Additionally, the company handles large quantities of international mail and parcel volumes to and from foreign postal operators. Although the net outstanding accrual positions reflect our best estimate, given the assumptions involved, final settlements might deviate from the outstanding positions. See note 3.1 Working capital to the Consolidated financial statements for details on the current positions.

Income taxes and deferred tax assets

The company is subject to income taxes in a number of jurisdictions. Significant judgement is required in determining the provision and liability for income taxes. PostNL recognises liabilities for potential tax issues based on estimates of whether additional taxes will be due, based on its best interpretation of the relevant tax laws and rules. PostNL recognises deferred tax assets to the extent that it is probable that future taxable profits will allow the deferred tax asset to be recovered. This is based on estimates of taxable income by jurisdiction in which the company operates and the period over which deferred tax assets are recoverable. See notes 2.4.2 Income taxes and 3.7 Deferred income tax assets and liabilities to the Consolidated financial statements for more information on income taxes and deferred tax assets.

Contingent liabilities

Legal proceedings covering a range of matters are pending against the company in various jurisdictions. The cases and claims often raise difficult and complex factual and legal issues that are subject to many uncertainties and complexities, including but not limited to the facts and circumstances of each particular case and claim, the jurisdiction and the differences in applicable law. PostNL consults with legal counsel and certain other experts on matters related to litigation. PostNL recognises a liability when it is determined that an adverse outcome is probable and the amount of the loss can be reasonably estimated. See note 3.9 Commitments and contingencies to the Consolidated financial statements for more information on commitments and contingencies.

1.5 Changes in accounting policies and disclosures

There are no IFRS standards, amended standards or IFRIC interpretations taking effect for the first time for the financial year beginning 1 January 2024 that would have a material impact on the 2024 accounts of the Group.

Standards issued but not yet effective

The new and amended standards and interpretations that are issued, but not yet effective, up to the date of issuance of the financial statements have been reviewed by the Group. The Group intends to adopt these new and amended standards and interpretations, if applicable, when they become effective.

IFRS 18 Presentation and Disclosure in Financial Statements

In April 2024, the IASB issued IFRS 18, which replaces IAS 1 Presentation of Financial Statements. IFRS 18 introduces new requirements for presentation within the statement of profit or loss, including specified totals and subtotals. Furthermore, entities are required to classify all income and expenses within the statement of profit or loss into one of five categories: operating, investing, financing, income taxes and discontinued operations, whereof the first three are new. It also requires disclosure of newly defined management-defined performance measures, subtotals of income and expenses, and includes new requirements for aggregation and disaggregation of financial information based on the identified ‘roles’ of the primary financial statements and the notes. Entities’ net profit will not change.

In addition, narrow-scope amendments have been made to IAS 7 Statement of Cash Flows, which include changing the starting point for determining cash flows from operations under the indirect method, from ‘profit or loss before income taxes’ to ‘operating profit or loss’ and removing the optionality around classification of cash flows from dividends and interest. In addition, there are consequential amendments to several other standards.

IFRS 18, and the amendments to the other standards, is effective for reporting periods beginning on or after 1 January 2027, but earlier application is permitted and must be disclosed. IFRS 18 will apply retrospectively. The Group is still in the process of assessing the impact of the new standard.

There are no other IFRS standards, amended standards or IFRIC interpretations that would be expected to have a material impact on the future accounts of the Group.

Section 2 : Result for the year

2.1 Operating revenue

Accounting policies

Revenue recognition

PostNL's revenue from contracts with customers consist of the provision of postal and logistics services. Revenue from contracts with customers is recognised when the goods are transferred or the services are rendered to the customer at an amount that reflects the consideration to which PostNL expects to be entitled in exchange for those goods or services. Revenue is the gross inflow of economic benefits during the current year that arise from ordinary activities and result in an increase in equity, other than increases relating to contributions from equity participants.

Variable consideration/volume discounts

If the consideration in a contract includes a variable amount, PostNL estimates the amount of consideration to which it will be entitled in exchange for transferring the goods or rendering the services to the customer. The variable consideration is estimated at contract inception and constrained until it is highly probable that a significant revenue reversal in the amount of cumulative revenue recognised will not occur when the associated uncertainty with the variable consideration is subsequently resolved. PostNL provides volume discounts to certain customers once the quantity of goods transferred or services rendered during the period exceeds a threshold specified in the contract. Discounts are offset against amounts invoiced to the customer. To estimate the variable consideration for the expected future discounts, PostNL applies the expected value method. The variable consideration can be reasonably accurately determined from achieved volumes and contract agreements.

Contract liabilities

A contract liability is the obligation to transfer goods or render services to a customer for which PostNL has received consideration (or an amount of consideration is due) from the customer. If a customer pays consideration before PostNL transfers goods or renders services to the customer, a contract liability is recognised when the payment is made or the payment is due (whichever is earlier). Contract liabilities are recognised as revenue when PostNL performs under the contract and relate to amongst others deferred revenue from unused stamps, deferred revenue from franking machines and the rental of mailboxes. See note 3.1.3 Contract liabilities to the Consolidated financial statements for more information.

Revenue from contracts with customers

Revenue from contracts with customers represent revenue from the transfer of goods and rendering of services to third parties less discounts, credit notes and taxes levied on sales. Accumulated experience is used to estimate and provide for the discounts.

Other operating revenue

Other operating revenue relates to the sale of goods and rendering of services not related to PostNL’s ordinary postal and logistics services and mainly include rental income of temporarily leased-out property and custom clearance income.

The company’s business involves the logistical service of delivering mail, parcels and other consignments. Nearly all of the company’s revenues are represented by a single performance obligation being ‘logistic services’. Revenue is being recognised at a point in time when the goods are transferred or services are rendered to the customer, generally on delivery of the mail, parcels or other consignments. Other performance obligations within the company’s business comprise the rental of post-boxes (revenue recognition over time) and stamp collection services (revenue recognition at a point in time).

The following table presents PostNL's revenue from contracts with customers relating to the reported operating segments. See note 2.7 Segment information to the Consolidated financial statements for the segment information of the other revenue and eliminations.

PostNL Revenue from contracts with customers in € million
2023, 2024

Year ended at 31 December	2023	2024
Parcels	2,256	2,367
Mail in the Netherlands	1,366	1,332
PostNL Other	245	240
Eliminations	(713)	(696)
Total	3,153	3,243

The increase in revenue mainly related to volume growth within Parcels, partly offset by decreased revenue within Mail in the Netherlands, mainly resulting from the continued volume decline in addressed mail. In 2024, revenue from contracts with customers includes intercompany sales of €287 million for Parcels (2023: €282 million), €175 million for Mail in the Netherlands (2023: €192 million) and €234 million for PostNL Other (2023: €240 million).

The following table presents the geographical segmentation of revenue from contracts with customers. The basis of allocation of revenue by geographical area is the country or region in which the entity recording the sales is located. The increase in revenue from the rest of the world was mainly due to volume growth from Asia.

PostNL Geographical segmentation in € million
2023, 2024

Year ended at 31 December	2023	2024
The Netherlands	2,691	2,687
Rest of Europe	266	295
Europe	2,957	2,982
Rest of the World	196	261
Total	3,153	3,243

2.2 Other income

Accounting policies

Other income mainly relates to the profit or loss from the sale of group companies, the sale of assets held for sale and the sale or sale-and-leaseback of property, plant and equipment. Other income is recognised when the significant risks and rewards (economical ownership) are transferred, which will be the moment of the actual transfer of the property from PostNL to the buyer or when the contract is signed and all conditions for recognition are met.

In 2024, other income of €3 million (2023: €9 million) relates for €2 million (2023: €6 million) to the sale of real estate in the Netherlands.

2.3 Operating expense

2.3.1 Work contracted out and other external expenses

Accounting policies

Operating expenses related to ordinary activities are recognised on an accrual basis. In case it is not possible to directly relate the operating expenses to a particular income earned or expected future income, these expenses are recognised in the period incurred.

Lease expenses

Lease expenses relate to short-term leases and leases of which the underlying assets are of low value. Payments made (net of any incentives received from the lessor) are charged to the income statement as incurred during the period of the lease.

PostNL Work contracted out and other external expenses in € million
2023, 2024

Year ended at 31 December	2023	2024
Parcels	1,066	1,160
Mail in the Netherlands	281	260
PostNL Other	61	75
Work contracted out	1,408	1,494
Rent & lease expenses	13	12
External temporary staff	171	197
Total	1,592	1,703

Costs of work contracted out and other external expenses increased by €111 million in 2024 mainly due to cost increases caused by inflation and service expansion within Parcels.

2.3.2 Salaries, pensions and social security contributions

PostNL Salaries, pensions and social security contributions in € million
2023, 2024

Year ended at 31 December	2023	2024
Salaries	890	911
Social security charges	135	141
Salaries and social security charges	1,024	1,052
Pension charges	92	96
Net additions/(releases) from restructuring provisions	5	(2)
Share-based payments	2	1
Gross salaries, pensions and social security contributions	1,125	1,147
Capitalised salaries, pensions and social security contributions	(24)	(27)
Total	1,100	1,120

See note 3.5 Other provisions for the net additions from restructuring provisions and note 3.3 Intangible fixed assets for the capitalised salary costs, pensions and social security contributions related to IT investments.

Pensions

PostNL’s main Dutch pension plan (main plan) covers the employees subject to PostNL’s collective labour agreement and staff with a personal labour agreement in the Netherlands. The main plan is externally funded in ‘Stichting Pensioenfonds PostNL’, an independent legal entity which is not owned or controlled by any other legal entity and which falls under the regulatory supervision of De Nederlandsche Bank.

As of 31 December 2022, the main plan is a collective defined contribution plan. In 2024, total employer operating expenses amounted to €96 million (2023: €92 million). Total employer cash contributions in 2024 amounted to €88 million (2023: €108 million) and excluded the December invoice of €8 million paid early January 2025. The cash contributions paid in 2023 included regular contributions of €92 million and a final payment of the unconditional funding obligation of €16 million originating in 2020.

In June 2024, PostNL signed an agreement with Stichting Pensioenfonds PostNL for a payment of €20 million to resolve a dispute between the pension fund and De Nederlandsche Bank. As part of the agreement, the payment is expected to take place in HY 2026 and will then be exactly offset by a lower regular pension contribution payable.

PostNL Workforce as indicated
2023, 2024

1	2023	2024
Headcount
Parcels	8,786	8,541
Mail in the Netherlands	23,091	22,272
PostNL Other	1,611	1,592
Total at year end	33,488	32,405
Full-time equivalents (FTEs)
Parcels	7,555	7,587
Mail in the Netherlands	11,706	10,990
PostNL Other	1,590	1,574
Total year average	20,851	20,151
External temporary staff year average	2,623	2,882

• 1 Including temporary personnel on our payroll; the external temporary staff are additional.

The total headcount of PostNL decreased by 1,083 employees. The decrease within Mail in the Netherlands mainly relates to the impact of volume decline and cost savings initiatives. In addition, staffing at Mail in the Netherlands was affected by an ongoing tight labor market. The workforce is also measured in FTEs based on the hours worked divided by the local standard. In 2024, the average number of FTEs decreased by 700 FTEs compared to 2023. The average number of employees working in the Netherlands was 19,125 FTEs (2023: 19,913) and outside the Netherlands was 1,026 FTEs (2023: 938).

2.3.3 Depreciation, amortisation and impairments

PostNL Depreciation, amortisation and impairments in € million
2023, 2024

Year ended at 31 December	2023	2024
Amortisation of intangible assets	55	62
Impairment of intangible assets	1	0
Depreciation property, plant and equipment	49	52
Depreciation right-of-use assets	72	74
Total	177	188

In 2024, amortisation of intangible assets related to software for €59 million (2023: €52 million) and other intangibles for €3 million (2023: €4 million). The increase in amortisation of software relates to increased investments in IT projects in previous years.

2.3.4 Other operating expenses

The other operating expenses of €133 million (2023: €130 million) consist of IT, communication, office, travel, consulting and training expenses and other shared services costs.

In 2024, total incurred KPMG audit fees amounted to €3.0 million (2023: €2.2 million).

PostNL Audit fees in € million
2023, 2024

Year ended at 31 December	2023	2024
Audit fees	1.5	1.8
Audit-related fees	0.7	1.2
Tax advisory fees	0.0	0.0
Other non-audit services	0.0	0.0
Total	2.2	3.0

Audit fees include fees from the audit of the financial statements. Audit-related services include fees from assurance engagements related to the non-financial information, regulatory reporting obligations, employee benefit plan data and Green Bond report.

In accordance with Dutch legislation, article 2:382a of the Dutch Civil Code, the total audit and audit-related fees charged by the auditor KPMG based in the Netherlands amounted to €2.8 million (2023: €2.1 million), subdivided into audit services of €1.6 million and audit-related services of €1.2 million.

2.4 Net profit and earnings per share

2.4.1 Net financial expense/(income)

Accounting policies

Interest income and expense are recognised on a time-proportionate basis using the effective interest method. All borrowing costs are recognised in profit or loss using the effective interest method, except to the extent that they can be capitalised as cost of a qualifying asset.

PostNL Net financial expense/(income) in € million
2023, 2024

Year ended at 31 December	2023	2024
Interest expenses on long-term borrowings	9	16
Interest on leases	9	10
Interest on taxes	0	1
Other	4	3
Interest and similar expense	22	31
Other interest and similar income	(20)	(23)
Net financial expense/(income)	2	8

Interest expenses on long-term borrowings increased mainly due to a new bond as of June 2024, which replaced a bond with a lower interest rate that was repaid in November 2024. The increase of other interest and similar income of €3 million mainly relates to higher interest on cash and cash equivalents.

2.4.2 Income taxes

Accounting policies

The tax expense for the period comprises current and deferred tax. Tax is recognised in the income statement, except to the extent that it relates to items recognised directly in other comprehensive income. The amount of income tax included in the income statement is determined in accordance with tax rules and legislation, based on which income taxes are payable or recoverable.

When interest or a penalty is a separately identifiable financing charge or an operating expense, then it is measured at the amount the entity would be required to pay to settle the obligation at the reporting date. The liability is discounted if the effect of the time value of money is material.

PostNL Income taxes in € million
2023, 2024

Year ended at 31 December	2023	2024
Current tax expense	20	13
Changes in deferred taxes	4	(7)
Total income tax expense	24	6
Income taxes paid	35	31

The difference between the total income taxes in the income statement and the current tax expense is due to temporary differences. These differences are recognised as deferred tax assets or deferred tax liabilities, except for the tax effect on the change in pension accounting classification. See note 3.7 Deferred income tax assets and liabilities to the Consolidated financial statements for more information.

The tax position includes an uncertain tax position with respect to the deductibility of (anticipated) liquidation losses which PostNL considers deductible. In PostNL's view, it is probable that PostNL's tax treatment will prevail. Due to the uncertainty involved, there is a possibility that the outcome is different from the amounts currently recognised in current and deferred tax.

In 2024, the income taxes paid relate mainly to income taxes paid in the Netherlands regarding prior years and Belgium regarding current year. The payments in the Netherlands are regarding prior year uncertain tax positions and are predominantly done in order to mitigate the levied tax interest. The income tax paid regarding the uncertain tax positions are presented on the balance sheet as income tax receivable (€28 million) and the related interest is presented under prepayments and accrued income (€7 million).

The 2024 difference between the total income tax expense (€6 million) and the income taxes paid (€31 million) can mainly be explained by the 2024 movements of the net income tax payable position (€18 million) and by changes in deferred taxes (€7 million).

PostNL Effective income tax rate in %
2023, 2024

Year ended at 31 December	2023	2024
Dutch statutory income tax rate	25.8	25.8
Adjustment regarding statutory income tax rates other countries	(0.2)	(0.7)
Weighted average statutory tax rate	25.6	25.1
Tax effects of:
Non and partly deductible costs	3.9	17.1
Exempt income	0.3	1.7
Other	0.8	(18.7)
Effective income tax rate	30.6	25.2

The effective income tax rate is 25.2%. This effective income tax rate, being lower compared to the Dutch statutory tax rate (25.8%), can be explained as follows:

The line ‘Non and partly deductible costs’ mainly relates to the so-called mixed expenses (e.g. meals, entertainment), claim-related costs and the non-deductible treatment of our share-based payments. The line ‘Exempt income’ relates to the non-taxable treatment of our (negative) results from (former) participations. The line ‘Other’ consists in 2024 mainly of the impact of the movement of deferred tax positions on tax losses, more specific the recognition of previously unrecognised tax losses in various countries (-18.8%), as well as updates of our prior year tax positions in the Netherlands (-0.4%) and several smaller effects (0.5%).

Pillar Two

On 19 December 2023, the government of the Netherlands enacted the Pillar Two income taxes legislation effective from 31 December 2023. PostNL NV is the ultimate parent company (UPE in Pillar Two terms) and has been incorporated in the Netherlands. Under the Pillar Two legislation, the UPE will be responsible for the payment of top-up tax on profits of group entities that are taxed at an effective tax rate of less than 15% according to the Pillar Two legislation. The main jurisdictions in which material Pillar Two exposures may arise for PostNL are the Netherlands and Belgium. 

Based on the analysis made, PostNL will be able to make use of the transitional country-by-country safe harbour regime during 2024 for its most material countries and therefore no material top-up tax is expected. This information is based on the PostNL Group’s consolidated financial statements and CbCR report of 2024. For 2025 PostNL will continue to monitor the impact of the Pillar Two legislation.

2.4.3 Earnings per ordinary share: 3.4 eurocents (2023: 11.3 eurocents)

Accounting policies

PostNL presents (diluted) earnings per share (EPS) for its ordinary shares. EPS is calculated by dividing the profit or loss attributable to the equity holders of the parent by the weighted average number of ordinary shares outstanding during the period. Diluted EPS is calculated by dividing the profit or loss attributable to the equity holders of the parent by the weighted average number of ordinary shares outstanding, including the effects for dilution of ordinary shares following the obligations to employees under existing share plans.

The following table summarises the outstanding shares for PostNL’s calculation related to earnings per share.

PostNL (Average) number of outstanding ordinary shares in shares
2023, 2024

Year averages and numbers at 31 December	2023	2024
Number of issued and outstanding ordinary shares	494,207,248	502,111,291
Shares held by the company to cover share plans	0	0
Average number of ordinary shares per year	490,686,943	498,332,152
Diluted number of ordinary shares per year	1,097,685	824,393
Average number of ordinary shares per year on a fully diluted basis	491,784,628	499,156,545

At 31 December 2024, PostNL had potential obligations under share plans to deliver 824,393 shares (2023: 1,097,685 shares), calculated based on the share price of €1.042 as at 31 December 2024 (31 December 2023: €1.413).

2.5 Cash flow performance

Accounting policies

The consolidated statement of cash flows is prepared in accordance with IAS 7 using the indirect method. Cash flows in foreign currencies are translated at average exchange rates. Receipts and payments with respect to taxation on profits and interest payments are included in the cash flow from operating activities. Interest receipts and the cost of acquisition of subsidiaries, associates and investments, insofar as it was paid for in cash, are included in cash flows from investing activities. Acquisitions of subsidiaries are presented net of cash balances acquired. Cash flows from derivatives are recognised in the statement of cash flows in the same category as those of the hedged item.

2.5.1 Net cash (used in)/from operating activities

In 2024, net cash from operating activities of €168 million (2023: €222 million) resulted from €227 million of cash generated from operations (2023: €277 million) reduced by €31 million income tax paid (2023: €35 million) and €28 million interest paid (2023: €20 million).

Cash generated from operations

The decrease in cash generated from operations of €50 million is explained by €31 million lower profit before income tax adjusted for non-cash items and investment income, a lower change in working capital of €24 million, partly offset by a higher change in other provisions of €7 million.

PostNL Cash generated from operations in € million
2023, 2024

Year ended at 31 December	2023	2024
Total profit before tax adjusted for non cash items and investment income	255	224
Additions to/releases from provisions	24	31
Withdrawals	(9)	(11)
Change in other provisions	14	21
Changes in working capital	7	(17)
Total cash generated from operations	277	227

For the changes in provisions, reference is made to note 3.5 Other provisions. The higher investments in working capital mainly related to higher trade receivables and lower trade payables within Parcels and Mail in the Netherlands, partly offset by an increase in accruals for terminal dues and in social security contributions payable.

Interest paid

The interest paid is explained as follows:

PostNL Interest paid in € million
2023, 2024

Year ended at 31 December	2023	2024
Interest on long-term borrowings	8	9
Interest on leases	9	10
Interest on taxes		7
Bank charges and other	3	3
Total	20	28

Income taxes received/(paid)

The income taxes paid of €31 million (2023: €35 million) and the interest on taxes of €7 million mainly related to income taxes paid in the Netherlands related to prior years.

2.5.2 Net cash (used in)/from investing activities

PostNL Net cash investing activities in € million
2023, 2024

Year ended at 31 December	2023	2024
Capital expenditure on intangible assets and property, plant and equipment	(126)	(99)
Proceeds from sale of property, plant and equipment	1	16
Interest received	23	21
Changes in other loans receivable	2	2
Other	(2)	(0)
Net cash (used in)/from investing activities	(102)	(61)

Capital expenditure on intangible assets and property, plant and equipment

In 2024, capital expenditures on intangible assets of €69 million (2023: €74 million) mostly related to software, including prepayments for software. Capital expenditures on property, plant and equipment of €31 million (2023: €52 million) mainly related to the sorting and delivery centres within Parcels and to various other equipment. Capital expenditures are funded primarily by cash generated from operations and are part of strict cash control and review.

Proceeds from sale of property, plant and equipment

In 2024, proceeds from the sale of property, plant and equipment amounted to €16 million (2023: €1 million) and mainly related to the sale of real estate in the Netherlands.

Interest received

In 2024, interest received decreased by €2 million mainly due to the settlement of interest rate swaps in 2023 (€4 million).

Changes in other loans receivable

In 2024, changes in other loans receivable mainly related to proceeds from a lessor loan relating to the lease of a sorting machine by Bol.com.

Other

In 2024, an amount of €1 million is included for the disposal of CB Healthcare, an associated company (2023: €(1) million for the acquisition of 2.6% of the shares of Machool Technologies Inc., a financial asset at fair value through OCI).

2.5.3 Net cash (used in)/from financing activities

PostNL Net cash financing activities in € million
2023, 2024

Year ended at 31 December	2023	2024
Dividends paid	(29)	(22)
Changes related to non-controlling interests	(0)	(1)
Net cash from debt financing activities	(32)	(67)
Repayments of leases/incentives	(81)	(84)
Net cash (used in)/from financing activities	(142)	(173)

In 2024, net cash from financing activities of €(173) million (2023: €(142) million) mainly related to the final 2023 and interim 2024 cash dividend paid of €22 million (2023: €29 million related to the final 2022 and interim 2023 cash dividend), the proceeds of a new eurobond loan of €297 million, the repayment of a eurobond loan of €353 million (2023: the buyback of a eurobond loan of €47 million) and the repayments of leases of €84 million (2023: €81 million). In 2023, the net cash from debt financing activities included an amount of €18 million for new (legal) lease loans relating to two Parcels' sorting centres and sorting machines. In 2024, the repayment of these (legal) lease loans amounted to €10 million (2023: €4 million). Refer to note 3.4 for further information on leases. Reference is also made to note 4.1 Net debt and note 4.5 Financial instruments.

2.5.4 Cash transfers relating to discontinued operations

Accounting policies

Discontinued operations

A disposal group qualifies as discontinued operation if it is a component of an entity that either has been disposed of, or is classified as held for sale, and:
• Represents a separate major line of business or geographical area of operations
• Is part of a single co-ordinated plan to dispose of a separate major line of business or geographical area of operations, or
• Is a subsidiary acquired exclusively with a view to resale.

Discontinued operations are excluded from the results and cash flows of continuing operations and are presented as a single amount as profit or loss after tax from discontinued operations in the income statement and as cash transfers relating to discontinued operations in the statement of cash flows.

In 2023, cash flow related to discontinued operations of €(16) million mainly reflected the financial impact of a settlement reached between PostNL and the Italian tax authorities relating to a VAT dispute of a divested entity previously classified under discontinued operations. The cash outflow included a payment due to the Italian tax authorities of €30 million partially offset by VAT receivables from former customers of €17 million. At 31 December 2024, a total of €20 million has been received from former customers, of which €2 million in 2024. Cash flow from discontinued operations of €1 million (2023: €(16) million) is considered as operational cashflow.

2.6 Other comprehensive income and equity development

The increase of total equity from €200 million on 31 December 2023 to €205 million on 31 December 2024 is mainly explained by net profit for the year of €18 million and other comprehensive income of €8 million, partly offset by the payments of cash dividends of €22 million in total. Other comprehensive income mainly consisted of gains on cash flow hedges of €5 million and increases in value of financial assets at fair value through OCI of €3 million mainly related to the investment in Whistl.

Issued share capital and Additional paid-in capital

As at 31 December 2024, issued share capital amounted to €40 million (2023: €40 million) and additional paid-in capital amounted to €166 million (2023: €165 million). For details on Issued share capital and Additional paid-in capital, reference is made to note 4.6.

The following table presents the reserves included in the other reserves.

PostNL Other reserves in € million
2023, 2024

	Currency translation reserve	Hedge reserve	Financial assets at fair value OCI	Other reserves	Total other reserves
Balance at 1 January 2023	2	0	11	1,267	1,281
Total comprehensive income	0	(3)	(6)	0	(8)
Appropriation of net income				(1,313)	(1,313)
Share-based compensation				0	0
Balance at 31 December 2023	2	(3)	6	(45)	(40)
Total comprehensive income	1	5	3	(0)	8
Appropriation of net income				23	23
Share-based compensation				(0)	(0)
Other				(1)	(1)
Balance at 31 December 2024	2	2	8	(23)	(10)

Currency translation reserve

As at 31 December 2024, the translation reserve amounted to €2 million (2023: €2 million), mainly reflecting the movement in exchange rate differences on converting subsidiaries of Spring within Parcels into euros.

Hedge reserve

As at 31 December 2024, the hedge reserve amounted to €2 million (2023: €(3) million). The tax impact on the cash flow hedges included in the hedge reserve as at 31 December 2024 is €(2) million (2023: €1 million). For more information, see note 4.5 to the Consolidated financial statements.

Financial assets at fair value through OCI

As at 31 December 2024, the reserve related to the financial assets at fair value through OCI amounted to €8 million (2023: €6 million). The increase in 2024 of €3 million mainly related to the increase in value of the investment in Whistl (2023: decrease of €6 million mainly related to Whistl). For more information, see note 4.2 to the Consolidated financial statements.

Other reserves

As at 31 December 2024, the other reserves amounted to €(23) million (2023: €(45) million). In 2024, the other reserves increased by €22 million mainly resulting from the appropriation of net income from 2023 of €23 million.

Retained earnings

As at 31 December 2024, retained earnings amounted to €6 million (2023: €34 million). In 2024, retained earnings decreased by €28 million due to the appropriation of net income from 2023 of €(23) million, the payment of cash dividends of €22 million, partly offset by the total profit for the year attributable to the shareholders of the parent of €17 million in 2024.

The Board of Management has proposed to make the profit for the year 2024 of €17 million and an amount of €14 million out of the distributable part of the shareholders' equity available for distribution of dividend. Refer to note 6.4 for more details of this proposal.

2.7 Segment information

Accounting policies

PostNL reports two operating segments: Parcels and Mail in the Netherlands and one other segment: PostNL Other. Operating segments are reported in a manner consistent with the internal reporting provided to the chief operating decision-makers. These chief operating decision-makers, who are responsible for allocating resources and assessing the performance of the operating segments, have been identified as the Board of Management of PostNL that makes strategic decisions. Transfer prices between operating segments are on an arm's length basis and intercompany sales relate to similar activities as revenue. PostNL Other represents head office entities.

The following table presents the reconciliation of the 2024 segment information relating to the income statement of the reportable segments. Segment information relating to the balance sheet is reported in note 3.10.

PostNL Segmentation in € million
2024

Year ended at 31 December 2024	Parcels	Mail in NL	Total segments	PostNL Other	Eliminations	Total
Revenue from contracts with customers	2,080	1,157	3,237	6		3,243
Intercompany sales	287	175	461	234	(696)	0
Other operating revenue	3	6	9	0		9
Total operating revenue	2,370	1,338	3,708	240	(696)	3,252
Other income	0	3	3	0		3
Depreciation/impairment PP&E	(36)	(12)	(48)	(4)		(52)
Amortisation/impairment intangibles	(2)	(2)	(4)	(58)		(62)
Depreciation/impairment right-of-use assets	(51)	(12)	(63)	(11)		(74)
Total operating income	47	13	60	(23)		37
Net financial income/(expense)						(8)
Results from investments in JVs/associates						(4)
Income taxes						(6)
Profit/(loss) from discontinued operations						(1)
Profit/(loss) for the year						18
Normalised EBIT	49	19	68	(16)		53

The key financial performance indicator for management of the reportable segments is normalised EBIT. Normalised EBIT is derived from the IFRS-based performance measure operating income adjusted for the impact of project costs and incidentals. Normalised EBIT is reported on a monthly basis to the chief operating decision-makers. The following table presents the reconciliation from reported operating income to normalised EBIT.

PostNL From operating income to normalised EBIT in € million
2024

Year ended at 31 December	Reported operating income	Project costs and other	Normalised EBIT
Parcels	47	3	49
Mail in NL	13	6	19
PostNL Other	(23)	7	(16)
Total 2024	37	15	53

From operating income to normalised EBIT

In 2024, normalised EBIT totalled €53 million (2023: €92 million). Normalised EBIT excludes exceptional items, which amounted to €15 million in 2024 (2023: €7 million). In 2024, the normalisation for project costs and other included results related to legal and other advisory costs (€8 million), disputed claim-related costs related to prior fiscal years (€6 million) and depreciation costs related to prior fiscal years (€2 million). The decrease of €39 million in normalised EBIT comprised lower results in Mail in the Netherlands (€31 million) and PostNL Other (€11 million), partly offset by a higher result in Parcels (€2 million).

The following tables present the reconciliation of the 2023 segment information relating to the income statement of the reportable segments. Segment information relating to the balance sheet is reported in note 3.10.

PostNL Segmentation in € million
2023

Year ended at 31 December 2023	Parcels	Mail in NL	Total segments	PostNL Other	Eliminations	Total
Revenue from contracts with customers	1,975	1,174	3,148	5		3,153
Intercompany sales	282	192	474	240	(713)	0
Other operating revenue	4	7	11	0		12
Total operating revenue	2,260	1,373	3,633	245	(713)	3,165
Other income	3	8	11	(2)		9
Depreciation/impairment PP&E	(33)	(12)	(45)	(4)		(49)
Amortisation/impairment intangibles	(2)	(2)	(4)	(52)		(57)
Depreciation/impairment right-of-use assets	(48)	(12)	(60)	(12)		(72)
Total operating income	43	47	90	(6)		84
Net financial income/(expense)						(2)
Results from investments in JVs/associates						(4)
Income taxes						(24)
Profit/(loss) from discontinued operations						1
Profit/(loss) for the year						56
Normalised EBIT	47	50	97	(5)		92

PostNL From operating income to normalised EBIT in € million
2023

Year ended at 31 December	Reported operating income	Project costs and other	Normalised EBIT
Parcels	43	4	47
Mail in NL	47	3	50
PostNL Other	(6)	1	(5)
Total 2023	84	7	92

In 2023, the normalisation for project costs and other included results related to legal advisory costs (€2 million), claim-related costs (€3 million) and discontinuation costs of two specialised logistics services (€3 million).

As of 1 January 2024, the financial results and positions of PostNL Data Solutions, which services and insights are increasingly supportive of the e-commerce business, are included in the segment Parcels. Previously, the entity was part of the segment Mail in NL. The 2023 figures have not been restated. The following table presents the 2024 figures if PostNL Data Solutions had still been included in the segment Mail in NL.

PostNL Segmentation in € million
2024

Year ended at 31 December 2024	Parcels	Mail in NL	Total segments	PostNL Other	Eliminations	Total
Revenue from contracts with customers	2,075	1,162	3,237	6		3,243
Intercompany sales	282	176	459	234	(693)	0
Other operating revenue	3	6	9	0		9
Total operating revenue	2,361	1,344	3,705	240	(693)	3,252
Other income	0	3	3	0		3
Depreciation/impairment PP&E	(36)	(12)	(48)	(4)		(52)
Amortisation/impairment intangibles	(2)	(2)	(4)	(58)		(62)
Depreciation/impairment right-of-use assets	(51)	(12)	(63)	(11)		(74)
Total operating income	45	14	60	(23)		37
Normalised EBIT	48	20	68	(16)		53

Section 3 : Operating assets and liabilities

3.1 Working capital

Accounting policies

Trade receivables are recorded where PostNL has the unconditional rights to consideration from the customers. Trade receivables that do not contain a significant financing component or for which PostNL has applied the practical expedient are measured at the transaction price determined under IFRS 15.

PostNL recognises an allowance for expected credit losses (ECLs). ECLs are based on the difference between the contractual cash flows due in accordance with the contract and all the cash flows that PostNL expects to receive, discounted at an approximation of the original effective interest rate. For trade receivables, PostNL applies a simplified approach in calculating ECLs. Therefore, PostNL does not track changes in credit risk, but instead recognises a loss allowance based on lifetime ECLs at each reporting date. PostNL has established a provision matrix that is based on its historical credit loss experience, adjusted for forward-looking factors specific to the debtors and the economic environment. The amount of the ECLs is recognised in the income statement. Any reversal of the ECLs is included in the income statement on the same line as where the original expense was recorded.

The risk of uncollectability of accounts receivable is primarily estimated based on prior experience with, and the past due status of, doubtful debtors adjusted for forward-looking factors. Large accounts are assessed individually based on factors that include ability to pay, bankruptcy and payment history. In addition, debtors in certain countries are subject to a higher collectability risk, which is taken into account when assessing the overall risk of uncollectability.

Prepayments and accrued income

Prepayments and accrued income mainly relates to prepaid expenses, accrued income for receivables where PostNL has not the unconditional rights to the consideration, receivables for terminal dues and the positive fair value of the outstanding foreign exchange hedges and interest rate swaps.

3.1.1 Accounts receivable

PostNL Accounts receivable in € million
2023, 2024

At 31 December	2023	2024
Trade accounts receivable - total	326	333
Allowance for expected credit losses	(7)	(8)
Trade accounts receivable	320	325
VAT receivable	5	6
Other accounts receivable	8	9
Accounts receivable	13	16
Total accounts receivable	333	341

Trade accounts receivable are non-interest bearing and are generally on terms of 7 to 30 days.

Trade accounts receivable include an amount of €110 million (2023: €134 million) that was unbilled at 31 December 2024.

The main part of the allowance for expected credit losses related to a collective loss component established for groups of similar trade accounts receivable balances. This collective loss component is largely based on the ageing of the trade accounts receivable and is reviewed periodically. The fair value of the total (trade) accounts receivable approximated its carrying value.

Trade accounts receivable increased slightly from €326 million on 31 December 2023 to €333 million on 31 December 2024. The trade accounts receivable past due increased from €133 million on 31 December 2023 to €143 million on 31 December 2024 (see table expected credit losses below).

The top 10 trade accounts receivable accounted for 24% of the outstanding balance as at 31 December 2024 (2023: 19%). The concentration of the trade accounts receivable portfolio over the different regions can be summarised as follows:

• The Netherlands €257 million (2023: €266 million)

• Rest of Europe €46 million (2023: €42 million)

• The rest of the world €22 million (2023: €12 million).

The movements in the allowance for expected credit losses of trade accounts receivable were as follows:

PostNL Statement of changes in the allowance for expected credit losses of trade accounts receivable in € million
2023, 2024

	2023	2024
Balance at 1 January	7	7
Provided for during financial year	3	3
Receivables written off during year as uncollectable	(3)	(1)
Balance at 31 December	7	8

Set out below is the information about the credit risk exposure on the trade accounts receivable using a provision matrix.

PostNL Expected credit losses in € million
2023, 2024

At 31 December	Months due
	Up to 1 month	1-2 months	2-3 months	3-4 months	over 4 months	Total
Expected credit loss rate	0%	1%	7%	5%	7%
Gross amount of trade accounts receivable	222	17	9	4	73	326
Trade accounts receivable past due	36	14	8	2	73	133
Expected credit loss 2023	1	0	1	0	5	7
Expected credit loss rate	0%	3%	3%	5%	9%
Gross amount of trade accounts receivable	233	13	6	17	65	333
Trade accounts receivable past due	48	11	4	16	64	143
Expected credit loss 2024	1	0	0	1	6	8

3.1.2 Other current liabilities

PostNL Other current liabilities in € million
2023, 2024

At 31 December	2023	2024
VAT payable	42	43
Social security contributions payable	24	47
Payments from customers received in advance	48	43
Pensions payable	0	12
Other	12	4
Total	126	148

The increase in social security contributions payable and pensions payable is mainly related to amounts due in December 2024 which have been paid in early January 2025.

3.1.3 Contract liabilities

PostNL Contract liabilities in € million
2023, 2024

At 31 December	2023	2024
Deferred revenue from unused stamps	39	37
Deferred revenue from franking machines	6	5
Rental of mailboxes	8	7
Other amounts received in advanced from customers	5	4
Total	57	53

We expect to perform almost all services related to the outstanding contract liabilities at 31 December 2024 within one year. However, note that within one year we expect outstanding contract liabilities more or less in line with the amounts currently reported.

3.1.4 Accrued current liabilities

PostNL Accrued current liabilities in € million
2023, 2024

At 31 December	2023	2024
To be paid to third parties	136	117
To be paid to personnel	31	28
Vacation days/vacation payments	99	100
Terminal dues	154	180
Interest payable	2	11
Other accrued current liabilities	0	0
Total	421	436

Main items within the expenses to be paid to third parties included payables to business partners of €13 million (2023: €18 million), payables for the onward postage of €12 million (2023: €11 million) and claims of €4 million (2023: €5 million), the remainder are various other expenses to be paid.

Expenses to be paid to personnel included accrued wages and salaries of €17 million (2023: €20 million) and accruals for employee profit-sharing of €9 million (2023: €8 million).

The accrual for terminal dues relates to payables to foreign postal operators relating to the years 2024 and before, partly consisting of positions in SDR currency. The total net payable position amounted to €133 million (2023: €114 million), includes a €47 million receivable for terminal dues (2023: €40 million). The change reflects both the regular course of business as well as settlements of outstanding positions. The positions where there is no price multi- or bilateral agreement on price are based on our best estimate of the price for which we expect to settle.

3.2 Property, plant and equipment

Accounting policies

Property, plant and equipment is valued at historical cost, less depreciation and impairment losses. The initial costs of an asset comprises its purchase price, costs of bringing the asset into working condition, handling and installation costs and non-refundable purchase taxes.

Land is not depreciated. System software is capitalised and amortised as a part of the tangible fixed asset for which it was acquired to operate.

Other property, plant and equipment is depreciated on a straight-line basis over its expected useful life, taking into account any residual value. The asset’s residual value and useful life is reviewed on an annual basis and, if necessary, changes are accounted for prospectively.

For the accounting policy concerning impairments, reference is made to note 5.4.

PostNL Property, plant and equipment in € million
2023

	Land and buildings	Plant and equipment	Other equipment	Construction in progress	Total
Depreciation percentage	0%-10%	6%-33%	10%-33%	0%
Historical cost	401	426	38	44	909
Accumulated depreciation and impairments	(147)	(280)	(25)		(452)
Balance at 1 January 2023	255	146	13	44	457
Capital expenditure	13	39	2	28	82
Disposals					(1)
Internal transfers and reclassifications	22	8		(31)
Depreciation	(16)	(28)	(5)		(49)
Transfers from assets held for sale	1				1
Total changes	21	19	(2)	(3)	35
Historical cost	457	462	36	40	995
Accumulated depreciation and impairments	(182)	(297)	(25)		(504)
Balance at 31 December 2023	275	165	11	40	491

PostNL Property, plant and equipment in € million
2024

	Land and buildings	Plant and equipment	Other equipment	Construction in progress	Total
Depreciation percentage	0%-10%	6%-33%	10%-33%	0%
Historical cost	457	462	36	40	995
Accumulated depreciation and impairments	(182)	(297)	(25)		(504)
Balance at 1 January 2024	275	165	11	40	491
Capital expenditure	8	13	4	7	31
Disposals	(4)				(4)
Internal transfers and reclassifications	30	7		(37)
Depreciation	(19)	(29)	(4)		(52)
Total changes	15	(9)		(31)	(25)
Historical cost	483	472	34	10	999
Accumulated depreciation and impairments	(193)	(317)	(23)		(532)
Balance at 31 December 2024	290	156	11	10	467

Capital expenditures 2024 were below the level of 2023. Investments were made in the sorting and delivery centres within Parcels, and in various other equipment. Both developments also impacted the internal transfers and reclassifications from construction in progress to land and buildings and plant and equipment.

In 2024, the disposals of €4 million mainly related to the sale of buildings in the Netherlands. In 2023, the transfers from assets held for sale of €1 million related to buildings in the Netherlands.

The property, plant and equipment assets include a number of Parcels' sorting centres and sorting machines financed and legally owned by an entity especially set up for this purpose by a third party. The term of the related lease contracts and liabilities is 10 years. Since 2018 to 31 December 2024, 7 sorting centres and sorting machines have been finalised and leased from this special entity, for which the related property, plant and equipment assets for 4 locations with a total book value of €86 million at 31 December 2024 and corresponding (legal) lease loan have been recorded. For the other 3 locations right-of-use assets and corresponding lease liabilities have been recorded, reference is made to note 3.4.

3.3 Intangible fixed assets

Accounting policies

Goodwill

Goodwill represents the excess of the cost of acquisition over the fair value of PostNL’s share of the identifiable net assets acquired. Goodwill on acquisitions of subsidiaries is included in intangible assets. Goodwill on acquisition of joint ventures and associates is included in investments in joint ventures/associates and is not separately recognised or tested for impairment. Gains and losses on disposal of an entity include the carrying amount of goodwill relating to the entity sold.

Separately-recognised goodwill arising on acquisitions is capitalised and subject to an annual impairment review. Goodwill is carried at cost less accumulated impairment losses.

Other intangible fixed assets

Costs related to the development and installation of software for internal use are capitalised at historical cost and amortised over the estimated useful life. Other intangible assets acquired in a business combination are recognised at fair value at the acquisition date.

An asset under construction is transferred to its respective intangible asset category at the moment it is ready for use and is amortised using the straight-line method over its estimated useful life. Other intangible assets are valued at the lower of historical cost less amortisation and impairment. The asset’s residual value and useful life is reviewed on an annual basis and, if necessary, changes are accounted for prospectively.

For the accounting policy concerning impairments of goodwill and other intangible fixed assets, reference is made to note 5.4.

PostNL Intangible fixed assets in € million
2023

	Goodwill	Software	Other	Total
Amortisation percentage		20%- 35%	0%- 35%
Historical cost	243	297	52	593
Accumulated amortisation and impairments	(36)	(150)	(17)	(204)
Balance at 1 January 2023	207	147	35	389
Additions		56	18	75
Internal transfers/reclassifications		20	(20)
Amortisation		(52)	(4)	(55)
Impairments		(1)		(1)
Total changes	0	23	(5)	18
Historical cost	243	340	49	633
Accumulated amortisation and impairments	(36)	(170)	(20)	(226)
Balance at 31 December 2023	207	171	29	407

PostNL Intangible fixed assets in € million
2024

	Goodwill	Software	Other	Total
Amortisation percentage		20%- 35%	0%- 35%
Historical cost	243	340	49	633
Accumulated amortisation and impairments	(36)	(170)	(20)	(226)
Balance at 1 January 2024	207	171	29	407
Additions		68		69
Amortisation		(59)	(3)	(62)
Total changes	0	10	(3)	7
Historical cost	243	408	50	700
Accumulated amortisation and impairments	(36)	(227)	(23)	(287)
Balance at 31 December 2024	207	180	26	414

Goodwill

Goodwill is allocated to the Group’s cash-generating units (CGUs) and tested for impairment. The CGUs correspond to an operation in a particular country or region and the nature of the services provided. The CGU Parcels relates to our e-commerce and logistic services activities in the Benelux. The CGU Spring relates to our cross-border mail and parcels activities.

Compared to 2023, the CGU structure has had one change with a relevant impact. As of 1 January 2024, the financial results and positions of PostNL Data Solutions are included in the CGU Parcels. Previously, the entity was part of the CGU Mail in the Netherlands. A proportionate share of goodwill was transferred accordingly.

PostNL Goodwill per CGU in € million
2023, 2024

Year ended at 31 December	2023	2024
Parcels	32	64
Mail in the Netherlands	174	143
Spring	1
Total	207	207

Based on the 2024 financial performance, a detailed review has been performed of the recoverable value of each CGU. The recoverable value is the higher of the value in use and fair value less costs of disposal. Fair value less costs of disposal represents the best estimate of the amount PostNL would receive if it sold the CGU. The recoverable value of each CGU is determined based on the value in use. The value in use has been calculated on the basis of the present value of estimated future net cash flows.

The estimated future net cash flows are based on a five-year (2023: five-year) forecast and business plan, which forecast period has been assessed as adequate to reach a sustainable basis for the calculation of the continuing value. PostNL has determined the budgeted gross margin based on past performance and its expectations for market and regulatory development. The cash flow projections have been approved by management.

Key assumptions used to determine the recoverable values for each individual CGU are the following:

• The discount rate to be applied following the nature of the underlying cash flows and foreign currency and inflation-related risks.

• The (long-term) growth rate to be applied following the maturity of the underlying market, regulatory developments, market share and volume development.

• The implementation of our strategic roadmap for Mail, including anticipated changes to postal regulations to support, among others, the adjustment of the service level for standard USO mail from next-day delivery to delivery within 2 days as of 2026, moving towards within 3 days over time, to create necessary cost savings.

The pre-tax discount rate used was around 11.0% (2023: around 11.5%) for the CGU Parcels (post-tax: around 8.5% for both 2024 and 2023) and around 10.5% (2023: around 9.0%) for the CGU Mail in the Netherlands (post-tax: around 6.5% for both 2024 and 2023). The growth rate used was based on a long-term assumed inflation rate of 2.0% (2023: 2.0%) for all CGUs, with a downward adjustment of 5.0% (2023: 5.0%) for the CGU Mail in the Netherlands to reflect the assumed long-term mail volume decline.

Management has carried out an impairment test for each individual CGU and concluded that the recoverable amount of the individual CGUs of Parcels and Spring are significantly higher than their carrying amounts. Management has also assessed that a reasonably possible change in key assumptions, being discount rate and growth rate, would not cause the carrying amount of any of these CGUs to exceed the recoverable amount.

For the CGU Mail in the Netherlands, with a positive difference of €16 million, management concluded that the recoverable amount is only slightly higher than its carrying amount. Urgent action to adjust the Dutch USO as well as a financial contribution from the Dutch government are inevitable to safeguard a future-proof and financially viable postal service that ensures predictable delivery for everyone in the Netherlands, while also providing job security to tens of thousands of people. Management is continuing to make every effort to address this situation, and has already taken additional measures. As recent examples, management decided to migrate non-USO mail to a standard service level of ‘within 2 days’ and adjust the mailbox collection process. Management’s commitment to cost savings initiatives remains strong. Management will sustain these efforts also when adjusting the service level.

In view of the resulting limited headroom, management notes that the estimated recoverable amount of the CGU Mail in the Netherlands excludes any compensation by means of a financial contribution from the Dutch government and/or further than currently anticipated changes to postal regulations. The Postal Act is clear in its objective that a designated postal operator must be able to perform the USO profitable. For management, the offsetting interaction between, and thus the sum of, all the elements included and not yet included must continue to allow a reasonable return on PostNL's postal services.

Precisely this last aspect is of importance when assessing the financial impact of a reasonably possible negative change in one or more key assumptions on the resulting outcome of the impairment analysis. More specifically, any negative gross financial impact due to an unfavorable impact on the discount rate, expected volume trends and/or anticipated changes to postal regulations will (have to) be offset to result in a long-term net impact of zero. The disclosure of the following gross financial sensitivity impacts should thus adequately take this context into account.

• If the post-tax discount rate would increase by 1.0%, from 6.5% to 7.5%, this would negatively impact the current recoverable amount of the CGU Mail in the Netherlands by around €10 million.

• If the long-term expected volume decline would increase by 1.0%, from 5.0% to 6.0%, this would negatively impact the current recoverable amount of the CGU Mail in the Netherlands by around €25 million.

• If the anticipated legislative adjustment of the service level for standard USO mail from next-day delivery to delivery within 2 days would be postponed with one year, from 2026 to 2027, this would negatively impact the current recoverable amount of the CGU Mail in the Netherlands by around €10 million.

As a concluding remark, management notes that a request for a financial contribution towards the USO costs of €30 million in 2025 and €38 million in 2026 was submitted to the Dutch government on 21 February 2025.

Software and other intangibles

The closing balance of software and other intangibles is built up as follows:

PostNL Software and other intangibles in € million
2023, 2024

Year ended at 31 December	2023	2024
Internally-generated software	169	180
Purchased software	1	1
Customer lists	29	26
Total	200	206

The additions to software mainly concerned IT investments related to replacement and improvement of sorting and delivery processes within Mail in the Netherlands and Parcels, software licenses and costs of internally-generated software for various IT projects including investments in our online landscape, logistic service platform and back-office functionality. The reclassification from other intangibles was due to finalised IT projects.

The estimated amortisation expenses for software and other intangible assets are:

• 2025: €63 million,

• 2026: €53 million,

• 2027: €39 million, and

• thereafter: €51 million.

Software and other intangible assets include an amount of €3 million (2023: €3 million) of capitalised development costs.

3.4 Leases

Accounting policies

PostNL leases sorting centres, sorting machines, distribution centres, offices, warehouses, trucks, vans, cars, transport equipment and other equipment. Leases are recognised as a right-of-use asset and a corresponding liability at the date at which the leased asset is available for use by the group. At the commencement date of the lease, the lease liabilities are measured at the present value of lease payments to be made over the lease term. Right-of-use assets are measured at cost, less any accumulated depreciation and impairment losses, and adjusted for any remeasurement of lease liabilities. The cost of right-of-use assets includes the amount of lease liabilities recognised, initial direct costs incurred, and lease payments made at or before the commencement date less any lease incentives received.

The lease payments are discounted using the interest rate implicit in the lease. If that rate cannot be readily determined, the incremental borrowing rate is used, being the rate that would have to be paid to borrow the funds necessary to obtain an asset of similar value to the right-of-use asset in a similar economic environment with similar terms, security and conditions.

The lease payments include the exercise price of a purchase option reasonably certain to be exercised by PostNL and payments of penalties for terminating the lease, if the lease term reflects PostNL exercising the option to terminate. Lease payments to be made under reasonably certain extension options are also included in the measurement of the liability.

PostNL elected to apply the practical expedient not to separate non-lease components from lease components, and instead account for each lease component and any associated non-lease components as a single lease component. PostNL also elected the practical expedient not to apply the requirements for short-term leases (with a lease term of 12 months or less and which do not contain a purchase option) and leases for which the underlying asset is of low value (<€5,000). The lease payments associated with these leases are recognised as an expense on a straight-line basis over the lease term.

PostNL Right-of-use assets in € million
2023

	Land and buildings	Transport	Other	Total
Historical cost	298	153	24	474
Accumulated depreciation and impairments	(89)	(79)	(12)	(180)
Balance at 1 January 2023	209	75	11	295
New leases	15	44	2	61
Lease modifications/reassessments	8	2		10
Disposals	(2)			(2)
Depreciation	(37)	(32)	(2)	(72)
Total changes	(16)	15		(2)
Historical cost	311	183	25	519
Accumulated depreciation and impairments	(119)	(93)	(14)	(226)
Balance at 31 December 2023	192	89	11	293

PostNL Right-of-use assets in € million
2024

	Land and buildings	Transport	Other	Total
Historical cost	311	183	25	519
Accumulated depreciation and impairments	(119)	(93)	(14)	(226)
Balance at 1 January 2024	192	89	11	293
New leases	20	25	2	47
Lease modifications/reassessments	12	6		18
Disposals		(2)		(2)
Depreciation	(37)	(35)	(2)	(74)
Total changes	(6)	(6)		(12)
Historical cost	329	202	26	556
Accumulated depreciation and impairments	(142)	(118)	(15)	(275)
Balance at 31 December 2024	186	84	11	281

In 2024, the new leases of €47 million mainly related to the replacement and expansion of buildings, vans and trucks. The new leases of €61 million in 2023 mainly related to a new sorting and delivery centre in Belgium within Parcels and the replacement and expansion of buildings, vans and trucks. In 2024, the lease modifications/reassessments of €18 million (2023: €10 million) mainly reflected changes to the lease payments and lease terms.

In 2024, the disposals of €2 million mainly related to several disposed contracts from trucks (2023: €2 million related to disposed contracts from buildings).

The right-of-use assets include a number of Parcels' sorting centres and sorting machines financed and owned by an entity especially set up for this purpose by a third party. The term of the related lease contracts and liabilities is 10 years. Since 2018 to 31 December 2024, 7 sorting centres and sorting machines have been finalised and leased from this special entity, for which the related right-of-use assets for 3 locations and corresponding lease liabilities have been recorded. For the other 4 locations property, plant and equipment assets with a total book value of €86 million at 31 December 2024 and corresponding (legal) lease loan have been recorded, reference is made to note 3.2.

Additionally, the right-of-use assets include four mail sorting centres and the international sorting centre with lease terms varying between 5 and 10 years (started in 2020) and the head office in The Hague with a lease term of 15 years (started in 2021).

PostNL Lease liabilities in € million
2023, 2024

At 31 December	2023	2024
Long-term lease liabilities	240	221
Short-term lease liabilities	80	78
Total	320	299

The total cash outflow from leases amounted to €96 million (2023: €94 million) and related for €84 million to repayments of lease liabilities (2023: €81 million), and for €12 million to rent and lease expenses (2023: €13 million). Refer to note 4.1 for further information on the lease liabilities.

In 2024, rent and lease expenses of €12 million (2023: €13 million) relate for €11 million (2023: €11 million) to short-term leases and for €1 million (2023: €2 million) to leases for which the underlying asset is of low value. The interest expenses on lease liabilities amounted to €10 million (2023: €9 million).

3.5 Other provisions

Accounting policies

Provisions are recognised when there is a present obligation as a result of a past event, making it probable that an outflow of resources embodying economic benefits will be required to settle the obligation and a reliable estimate can be made of the amount of the obligation. Provisions are measured at the present value of management’s best estimate of the expenditure required to settle the present obligation on the balance sheet date. The discount rate used to determine the present value reflects current market assessments of the time value of money and the risks specific to the liability. The gross-up of the provision following the discounting of the provision is recorded in the income statement as interest expense.

PostNL recognises termination benefits when the company has committed to terminating the employment of current employees according to a detailed formal plan without possibility of withdrawal or provides termination benefits as a result of an offer made to encourage voluntary redundancy. Benefits falling due more than 12 months after the balance sheet date are discounted to their present value.

Provisions for onerous contracts are recorded when the unavoidable costs of meeting the obligation under the contract exceed the economic benefits expected to arise from that contract, taking into account impairment of fixed assets first. The provision includes both incremental costs and an allocation of other direct costs.

A liability arising as a result of written claim or litigation against PostNL group companies is recorded as a provision. An asset arising as a result of a written claim against a third party (PostNL is claimant) is recorded in Miscellaneous Accounts Receivables.

The following table presents the changes in the short-term and long-term provisions.

PostNL Other long-term and short-term provisions in € million
2024

	Other employee benefit obligations	Restructuring	Claims and indemnities	Other	Total
Non-current other provisions	32		9	1	42
Current other provisions	11	6	4		21
Balance at 1 January 2024	43	6	13	1	64
Additions	21	1	17		38
Withdrawals	(6)	(3)	(1)		(11)
Releases		(2)	(5)		(7)
Interest	1				1
Total changes	16	(5)	11		21
Non-current other provisions	44		11	1	56
Current other provisions	15	1	13		29
Balance at 31 December 2024	59	1	24	1	85

The estimated utilisation of the other provisions in 2025 is €29 million, in 2026 €18 million, in 2027 €7 million and in 2028 and thereafter €31 million.

Other employee benefit obligations

As at 31 December 2024, the other employee benefit obligations mainly related to a provision for expected disability costs for the WGA benefits, following the decision to become self-insured (in Dutch: “eigenrisicodrager”) of €38 million (2023: €22 million), jubilee benefits of €11 million (2023: €12 million), expected costs related to continued salary payments during illness of €8 million (2023: €7 million) and termination benefits for early retirement of €1 million (2023: €2 million).

Restructuring

The additions in restructuring provision of €1 million mainly related to the restructuring programmes within operations Mail in the Netherlands. The withdrawals in restructuring provisions of €3 million concerned severance payments under the cost-saving programmes. The release of €2 million mainly related to the reduction programmes for FTE in overhead, resulting from reducing redundancies and periodical reassessments of the expected cash costs.

Claims and indemnities

The provision for claims and indemnities includes provisions for claims from third parties with respect to PostNL's ordinary business activities, exposure related to not being able to meet the prescribed quality of postal delivery, as well as indemnities and disputes related to business disposals. The assessment of related exposure contains a high degree of uncertainty and management estimation.

The exposure regarding the postal delivery quality relates to the Dutch Postal Act 2009, which among others requires a 95% next-day delivery level for regulated consumer mail, funeral announcements and medical mail. In 2019, 2020, 2021, 2022, 2023 and 2024 next-day delivery of consumer mail was below the 95% target, due to circumstances beyond our control, such as the Covid pandemic and the impact of the tight labour market. In 2024, next-day delivery of funeral announcements and medical mail was also slightly below the 95% target. The exposure includes uncertainty on the proper application of the loss of value to consumers and the assessment of severity and recidivism. For 2019, PostNL paid a fine to the ACM. This fine is under appeal at the ‘College van Beroep voor het bedrijfsleven’. For 2020, the ACM refrained from imposing a fine. For 2021, 2022 and 2023, the (re)assessment of facts and circumstances and the decision to impose a fine lies with the ACM. For 2024, PostNL is still in process of the relevant regulatory reporting.

The company has made provisions for probable liabilities to the extent a reliable estimate of the future cash outflows can be made. More detailed information relating to these provisions is not provided, as such information could prejudice the company's position with respect to these claims and indemnities.

3.6 Investments in joint ventures and associates

Accounting policies

An associate is an entity over which PostNL has significant influence. Significant influence is the power to participate in the financial and operating policy decisions of the investee but is not control or joint control over those policies.

A joint arrangement is an arrangement of which two or more parties have joint control. There are two types of joint arrangements: joint operations and joint ventures. PostNL only participates in entities that can be considered as a joint venture.

PostNL’s share in the results of joint ventures and associates is included in the consolidated income statement using the equity method. The carrying value of PostNL’s share in joint ventures and associates includes goodwill on acquisition and includes changes to reflect PostNL’s share in net earnings of the respective companies, reduced by dividends received. When PostNL’s share of accumulated losses in a joint venture or associate exceeds its interest in the company, the book value of the investment is reduced to zero and PostNL does not recognise further losses unless PostNL is bound by guarantees or other undertakings in relation to the joint venture or associate.

For the accounting policy concerning impairments, reference is made to note 5.4.

The following table presents the changes in the carrying value of the investments in joint ventures and associates.

PostNL Investments in joint ventures and associates in € million
2023, 2024

	2023	2024
Balance at 1 January	7	6
Share in net result	(1)	0
Impairments	(3)	(4)
Additions	3	0
Disposals	0	(2)
Balance at 31 December	6	1

As at 31 December 2024, there are no material investments in associates. The joint ventures mainly related to the 50% interest in Telecontact International within Mail in the Netherlands and in De Innovatie Studio within PostNL Other.

In 2024, the impairments of €(4) million related to the write-down of the shareholding in Fintech Foundry (former holder of the OK-app) which ceased operations. The disposals of €(2) million related to the sale of our 40% stake in CB Healthcare.

In 2023, the additions of €3 million related to the expansion of the shareholding in the OK-app, a shopping service app, to 21.9% of the shares. The impairments of €(3) million related to the write-down of the shareholdings in Roamler Care and VersTrade Nederland which ceased operations.

Management has assessed none of the investments in joint ventures and associates to be material to the company. On a 100% basis, the profit/(loss) of all immaterial investments in joint ventures amounted to €0 million (2023: €0 million). The profit/(loss) of all immaterial investments in associates amounted to €(1) million (2023: €(4) million).

3.7 Deferred income tax assets and liabilities

Accounting policies

Deferred tax assets and liabilities arising from temporary differences between the carrying amounts of assets and liabilities and the tax base of assets and liabilities are calculated using the substantively enacted tax rates expected to apply when they are realised or settled. Deferred tax assets are recognised if it is probable that they will be realised. At the end of each reporting period the amounts of deferred tax assets and the amounts of unrecognised deferred tax assets are reassessed. Deferred tax assets and liabilities within the same tax group, where a legally enforceable right to offset exists, are presented net in the balance sheet.

PostNL has applied a temporary mandatory exception from deferred tax accounting for the impacts of the top-up tax and accounts for it as a current tax when it is incurred.

The following table shows the movements in deferred taxes in 2024:

PostNL Statement of changes deferred taxes in € million
2024

	Net balance 1 January 2024	Changes via income statement	Changes via OCI	Other changes	Net balance 31 December 2024	Assets	Liabilities
Provisions	8	4			13	13	0
Intangible assets	(50)	(3)			(54)	1	55
Property, plant and equipment	(42)	4			(39)	2	41
Leases	7	(1)			6	69	63
Losses carried forward	5	3			8	8	0
Other	39	(0)	(2)	(0)	36	36	0
Deferred tax assets/liabilities	(34)	7	(2)	(0)	(30)	130	160
Offsetting						(121)	(121)
Net deferred taxes	(34)	7	(2)	(0)	(30)	9	39

Of the deferred tax assets at 31 December 2024, before offsetting, €58 million (2023: €58 million) is to be recovered within 12 months and €72 million (2023: €72 million) after 12 months. Of the deferred tax liabilities at 31 December 2024, before offsetting, an amount of €39 million (2023: €34 million) is to be settled within 12 months and an amount of €121 million (2023: €129 million) after 12 months.

The changes via other comprehensive income (OCI) of €(2) million mainly relate to taxes on OCI from cash flow hedges.

The other changes of €(0) million (2023: €(1) million) represent an adjustment of the Dutch deferred tax asset position in connection with the anticipated liquidation of the former Nexive entities.

The total accumulated losses available for carry forward at 31 December 2024 amounted to €95 million (2023: €107 million). With these losses carried forward, future tax benefits of €25 million could be recognised (2023: €28 million). Tax deductible losses give rise to deferred tax assets at the statutory tax rate in the relevant country. Deferred tax assets are recognised if it is probable that they will be realised. The probability of the realisation is impacted by uncertainties regarding the realisation of such benefits, for example as a result of the expiration of tax losses carried forward and projected future taxable income.

As a result, PostNL has not recognised €17 million (2023: €23 million) of the potential future tax benefits and has recorded deferred tax assets of €8 million at 31 December 2024 (2023: €5 million).

The expiration of total accumulated losses is as follows:

• 2025: €2 million

• 2026: €2 million

• 2027: €0 million

• 2028: €0 million

• 2029 and thereafter: €4 million, and

• Indefinite: €87 million.

The following table shows the accumulated losses and tax credits per jurisdiction as well as the corresponding gross deferred tax assets.

PostNL Statement of deferred tax assets per jurisdiction in € million
2024

Country	Losses carry forward	Tax credits and other	Losses carry forward Gross DTA	Tax credits and other Gross DTA
Netherlands	21	0	5	0
Belgium	30	0	8	0
France	14	0	3	0
Germany	20	0	6	0
Italy	0	0	0	0
Great Britain	1	0	0	0
Switzerland	2	0	0	0
Spain	1	0	0	0
Hungary	0	0	0	0
Czech Republic	1	0	0	0
Poland	0	0	0	0
United States	0	0	0	0
Canada	4	0	1	0
Hong Kong	0	0	0	0
Singapore	0	0	0	0
Total	95	0	25	0

The table below shows the movements in deferred taxes in 2023:

PostNL Statement of changes deferred taxes in € million
2023

	Net balance 1 January 2023	Changes via income statement	Changes via OCI	Other changes	Net balance 31 December 2023	Assets	Liabilities
Provisions	7	2			8	9	0
Intangible assets	(45)	(6)			(50)	3	53
Property, plant and equipment	(46)	3			(42)	1	44
Leases	8	(1)			7	74	66
Losses carried forward	7	(2)			5	5	0
Other	36	0	2	(1)	39	39	0
Deferred tax assets/liabilities	(32)	(4)	2	(1)	(34)	130	163
Offsetting						(124)	(124)
Net deferred taxes	(32)	(4)	2	(1)	(34)	6	40

3.8 Assets classified as held for sale

Accounting policies

Non-current assets (or disposal groups) are classified as assets held for sale when their carrying amount is to be recovered principally through a sale transaction and a sale is considered highly probable. They are stated at the lower of the carrying amount and fair value less costs to sell. Assets held for sale are no longer amortised or depreciated from the date they are classified as such. Accounting for assets classified as held for sale requires the use of assumptions and estimates. In line with IFRS 5, management assessed compliance with these statements and the assumptions used in the fair value calculations as well as the estimated costs to sell.

For the accounting policy concerning impairments, reference is made to note 5.4.

As at 31 December 2024, assets classified as held for sale amounted to €1 million (2023: €1 million) and related to buildings held for sale in the Netherlands.

Property, plant and equipment

Property, plant and equipment included in assets held for sale relate to buildings in the Netherlands. The book profit from the sale of buildings is included in other income in the consolidated statement of profit or loss. The following table presents the movements of the balance sheet positions during 2024 and 2023.

PostNL Property, plant and equipment in € million
2023, 2024

	2023	2024
Balance at 1 January	6	1
Disposals	(3)	(0)
Transfers to property, plant and equipment	(1)	0
Balance at 31 December	1	1

3.9 Commitments and contingencies

Accounting policies

Commitments are probable obligations that arise from past events whose existence will only be confirmed by the occurrence (or non-occurrence) of one or more probable future events.

Contingencies are possible obligations (contingent liabilities) or possible assets (contingent assets) that arise from past events whose existence will only be confirmed by the occurrence (or non-occurrence) of one or more uncertain future events, not wholly within the control of the entity.

PostNL Off balance sheet commitments in € million
2023, 2024

At 31 December	2023	2024
Short-term leases and leases of low-value assets	3	4
Leases, not commenced	7	7
Capital expenditure	15	11
Purchase commitments	101	98
Other commitments	22	22

As at 31 December 2024, €86 million of the commitments indicated above are of a short-term nature (2023: €93 million).

Short-term leases and leases of low-value assets

In 2024, short-term leases mainly consisted of leases of depots in Mail in the Netherlands. Leases of low-value assets were mainly related to the lease of scooters.

Leases, not commenced

As at 31 December 2024, commitments in connection with leases not commenced amounted to €7 million (2023: €7 million). These commitments related mainly to new leases of vans and cars.

Capital expenditure

As at 31 December 2024, commitments in connection with capital expenditure amounted to €11 million (2023: €15 million) and were related to property, plant and equipment. These commitments mainly related to the new sorting centres of Parcels.

Purchase commitments

As at 31 December 2024, PostNL had unconditional purchase commitments of €98 million (2023: €101 million), primarily related to various service and maintenance contracts for information technology, security, salary registration and cleaning.

Other commitments

As at 31 December 2024, other commitments related to parking lots and social/community investments.

Contingent tax assets and liabilities

Multinational groups of the size of PostNL are exposed to varying degrees of uncertainty related to their tax planning, their (changes in) transfer pricing models, regulatory reviews and tax audits, fuelled by tax regulations and relevant practices in the countries where PostNL operates being subject to change. PostNL accounts for its (income) taxes on the basis of its own internal analyses, if needed, supported by external advice. PostNL continually monitors its global tax position, and whenever uncertainties arise, assesses the potential consequences and either records the receivable, discloses a contingent asset, accrues the liability or discloses a contingent liability in its financial statements, depending on the strength of the company’s position and the resulting chance of income or risk of loss.

Guarantees

As at 31 December 2024, PostNL, on behalf of its subsidiaries, had various bank and insurance guarantees outstanding. None resulted in an off-balance sheet commitment for the Group.

Contingent legal liabilities

The company is involved in several legal proceedings relating to the normal conduct of its business, such as claims for loss of goods, delays in delivery, trademark infringements, contracting and employment issues, and general liability. The majority of these claims are for amounts below €1 million and are insured and/or provided for. PostNL does not expect any liability arising from any of these legal proceedings to have a material impact.

The company is also involved in other regulatory proceedings. While it is not feasible to predict or determine the ultimate outcome of these proceedings, the company is of the opinion that they may have an impact on the company’s financial position, result of operations and cash flows going forward. The company has made provisions for probable liabilities where deemed necessary and to the extent a reliable estimate of the future cash outflows can be made.

Separation agreement PostNL and TNT Express

Following the demerger of Express, PostNL and TNT Express entered into a separation agreement, which remained valid despite the sale of the shares in TNT Express under the public offer by FedEx in May 2016. The separation agreement creates certain rights and obligations for both PostNL and TNT Express after the demerger. Relevant aspects relate to litigation, such as claims and litigation handling, non-allocated and non-anticipated claims and release of provisions. As at 31 December 2024, no events had occurred that triggered disclosure of a significant contingent asset or liability following the aforementioned agreement with TNT Express.

3.10 Segment information

Accounting policies

PostNL reports two operating segments: Parcels and Mail in the Netherlands and one other segment: PostNL Other. Operating segments are reported in a manner consistent with the internal reporting provided to the chief operating decision-makers. These chief operating decision-makers, who are responsible for allocating resources and assessing the performance of the operating segments, have been identified as the Board of Management of PostNL that makes strategic decisions. Transfer prices between operating segments are on an arm's length basis.

Balance sheet information

A reconciliation of the segment information relating to the balance sheet of the reportable segments is presented below. Segment information relating to the income statement is reported in note 2.7.

PostNL Segmentation - balance sheet and capital expenditures in € million
2024

At 31 December 2024	Parcels	Mail in NL	Total segments	PostNL Other	Total
Intangible assets	73	167	240	174	414
Property, plant and equipment	375	80	455	12	467
Right-of-use assets	184	40	224	57	281
Other non-current assets	23	1	23	19	43
Trade accounts receivable	239	84	324	1	325
Other current assets	56	75	131	459	590
Assets classified as held for sale	0	1	1	0	1
Total assets	950	448	1,398	722	2,120
Non-current liabilities	245	79	323	658	982
Trade accounts payable	83	67	151	26	177
Other current liabilities	272	447	719	38	756
Total liabilities	599	593	1,193	722	1,915
Cash out for capital expenditures	22	8	30	69	99

A reconciliation of the segment information relating to the balance sheet of the reportable segments as at 31 December 2023 is presented in the following table.

PostNL Segmentation - balance sheet and capital expenditures in € million
2023

At 31 December 2023	Parcels	Mail in NL	Total segments	PostNL Other	Total
Intangible assets	41	200	241	166	407
Property, plant and equipment	392	88	481	11	491
Right-of-use assets	193	40	233	60	293
Other non-current assets	27	1	28	16	44
Trade accounts receivable	227	92	319	1	320
Other current assets	50	81	131	493	624
Assets classified as held for sale	0	1	1	0	1
Total assets	930	504	1,433	747	2,180
Non-current liabilities	226	110	335	360	695
Trade accounts payable	88	95	183	27	210
Other current liabilities	271	445	716	358	1,074
Total liabilities	584	650	1,234	746	1,979
Cash out for capital expenditures	43	11	54	72	126

PostNL Geographical segmentation - assets in € million
2023, 2024

At 31 December	The Netherlands	Other countries	Total
Intangible assets	406	1	407
Property, plant and equipment	478	14	491
Right-of-use assets	257	36	293
Financial fixed assets	38	6	44
Total non-current assets 2023	1,179	56	1,235
Intangible assets	413	1	414
Property, plant and equipment	453	14	467
Right-of-use assets	237	44	281
Financial fixed assets	35	7	43
Total non-current assets 2024	1,138	66	1,204

The segment information from a geographical perspective is derived as follows: the basis of allocation of assets and investments by geographical area is the location of the assets.

As of 1 January 2024, the financial results and positions of PostNL Data Solutions, which services and insights are increasingly supportive of the e-commerce business, are included in the segment Parcels. Previously, the entity was part of the segment Mail in NL. The 2023 figures have not been restated. The following table presents the 2024 figures if PostNL Data Solutions had still been included in the segment Mail in NL.

PostNL Segmentation - balance sheet and capital and capital expenditures in € million
2024

At 31 December 2024	Parcels	Mail in NL	Total segments	PostNL Other	Total
Intangible assets	42	198	240	174	414
Property, plant and equipment	375	80	455	12	467
Right-of-use assets	184	40	224	57	281
Other non-current assets	23	1	23	19	43
Trade accounts receivable	238	85	324	1	325
Other current assets	56	75	131	459	590
Assets classified as held for sale	0	1	1	0	1
Total assets	917	481	1,398	722	2,120
Non-current liabilities	244	79	323	658	982
Trade accounts payable	83	68	151	26	177
Other current liabilities	270	449	719	38	756
Total liabilities	597	596	1,193	722	1,915
Cash out for capital expenditures	22	8	30	69	99

Section 4 : Capital structure and financing costs

Accounting policies

PostNL distinguishes the following categories of financial assets and liabilities:
● Financial assets and liabilities at fair value through profit or loss
● Financial assets and liabilities measured at amortised costs
● Financial assets at fair value through other comprehensive income.

Management determines the classification of PostNL’s financial assets and liabilities at initial recognition.

Derivative financial instruments and hedge accounting

PostNL uses derivative financial instruments, such as forward currency contracts, interest rate swaps to hedge its foreign currency risks and interest rate risks. Such derivative financial instruments are initially recognised at fair value on the date on which a derivative contract is entered into and are subsequently remeasured at fair value.

Fair value hedges

The change in the fair value of a hedging instrument is recognised in the statement of profit or loss as financial income or expense.

Cash flow hedges

Cash flow hedges (hedges of a particular risk associated with a recognised asset or liability or a highly probable forecasted transaction).

At the inception of a hedge relationship, PostNL formally designates and documents the hedge relationship to which it wants to apply hedge accounting and the risk management objective and strategy for undertaking the hedge. For all cash flow hedges, PostNL wants to apply hedge accounting.

The effective portion of the change in the fair value of the hedging instrument is recognised in OCI in the cash flow hedge reserve, while any ineffective portion is recognised immediately in the statement of profit or loss. The cash flow hedge reserve is adjusted to the lower of the cumulative gain or loss on the hedging instrument and the cumulative change in fair value of the hedged item.

Amounts accumulated in OCI are recycled in the income statement in the periods when the hedged item will affect profit and loss (for example, when the forecast sale that is hedged takes place). However, when the forecast transaction that is hedged results in the recognition of a non-financial asset, the gains and losses previously deferred in equity are transferred from equity and included in the initial measurement of the asset or liability.

When a hedging instrument expires or is sold, or when the hedge no longer meets the criteria for hedge accounting, any cumulative gains or losses existing in equity at that time remain in equity until the underlying transaction is ultimately recognised in the income statement. When an underlying transaction is no longer expected to occur, the cumulative gains or losses that were reported in equity are immediately transferred to the income statement.

Fair value measurement

Fair value measurement is based on the following fair value measurement hierarchy:
● 1) Quoted prices (unadjusted) in active markets
● 2) Inputs other than quoted prices that are observable either directly (prices) or indirectly (derived from quoted prices)
● 3) Inputs not based on observable market data. Valuation techniques used include the use of recent arm’s-length transactions, reference to other instruments that are substantially the same, statutory/management reports and discounted cash flow analysis.

Financial assets and liabilities measured at amortised costs using the effective interest method

A financial asset is measured at amortised cost if both of the following conditions are met:
● The asset is held within a business model whose objective is to hold assets in order to collect contractual cash flows; and
● The contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.

All financial liabilities are measured at amortised cost, except for financial liabilities at fair value through profit or loss. Financial liabilities are recognised initially at fair value net of transaction costs incurred and are subsequently stated at amortised cost. Any difference between the proceeds (net of transaction costs) and the redemption value is recognised in the income statement over the period of the financial liability using the effective interest method.

Financial assets designated at fair value through other comprehensive income

PostNL's equity investments are classified as equity instruments designated at fair value through OCI. Gains and losses on these financial assets are never recycled to profit or loss. Dividends are recognised as financial income in the statement of profit or loss when the right of payment has been established, except when PostNL benefits from such proceeds as a recovery of part of the cost of the financial asset, in which case such gains are recorded in OCI. Equity instruments designated at fair value through OCI are not subject to impairment assessment.

4.1 Adjusted net debt

PostNL Adjusted net debt in € million
2023, 2024

At 31 December	2023	2024
Short- and long-term debt	740	674
Long-term interest bearing assets	(15)	(13)
Cash and cash equivalents	(518)	(453)
Net debt	207	208
Pension liabilities/WGA self-insurance	2	40
Lease liabilities (on balance)	320	299
Lease liabilities (off balance)1	9	9
Deferred tax assets on WGA and operational lease liabilities2	(76)	(81)
Adjusted net debt	462	474

• 1 The lease liabilities (off balance) are the net present value of the Off balance sheet commitments relating to leases from note 3.9 of €11 million (2023: €10 million).
• 2 The deferred tax assets relate for €10 million to the WGA self-insurance provision, for €69 million (2023: €74 million) to on balance lease liabilities, see note 3.7 Deferred income taxes and for €2 million (2023: €2 million) to off balance lease liabilities.

As at 31 December 2024, adjusted net debt amounted to €474 million (2023: €462 million). The increase of €12 million was mainly explained by the inclusion of the WGA self-insurance provision of €38 million, new leases and lease modifications/reassessments of €65 million in total and dividend payments of €22 million, partly offset by positive net cash from operating and investing activities of €107 million.

Reference is made to note 3.4 Leases, note 3.5 Other provisions and note 3.9 Commitments and contingencies for more detailed information on leases (on and off balance) and provisions.

Long-term interest bearing assets

As at 31 December 2024, long-term interest-bearing assets of €13 million (2023: €15 million) mainly included a lessor loan of €11 million (2023: €13 million) relating to the finance lease of a sorting machine by Bol.com. The expected credit loss amounts to €0 million.

Cash and cash equivalents

PostNL Cash and cash equivalents in € million
2023, 2024

At 31 December	Nominal amount	Average amount	Effective interest rate
Cash at bank and in hand	204
Bank deposits	80	160	3.0%
Money Market Funds	234	218	3.2%
Total cash and cash equivalents 2023	518
Cash at bank and in hand	98
Bank deposits	180	233	3.6%
Money Market Funds	175	268	3.8%
Total cash and cash equivalents 2024	453

As at 31 December 2024, included in cash and cash equivalents was €0 million (2023: €0 million) of restricted cash. The fair value of cash and cash equivalents approximated the carrying value.

Debt

As at 31 December 2024, the total of debt-related liabilities consisted of long-term debt of €884 million (2023: €612 million) and short-term debt of €88 million (2023: €447 million).

PostNL Total borrowings - maturity schedule in € million
2024

	Eurobonds	Lease liabilities	Other loans	Total
2025	0	78	10	88
2026	299	68	10	377
2027	0	47	10	57
Thereafter	297	106	47	450
Total borrowings	596	299	77	972
Of which included in long-term debt	596	221	67	884
Of which included in short-term debt	0	78	10	88

In 2024, the other loans of €77 million included the liability of future (legal) lease payments for land, buildings and machinery of four Parcels' sorting centres and sorting machines with an effective interest rate of 1.3% up until 3.9%.

The following table presents the cash and the non-cash changes in debt during 2024.

PostNL Reconciliation debt in € million
2024

	Eurobonds	Lease liabilities	Other loans	Total
Balance at 1 January 2024	651	320	88	1,059
Proceeds	297		0	297
Repayments/lease-incentives	(353)	(84)	(11)	(448)
Total cash movements	(56)	(84)	(11)	(151)
New leases		47		47
Lease modifications/reassessments		18		18
Disposal of leases		(1)		(1)
Commencement of lease financing			4	4
Settlement of pre-financing			(4)	(4)
Amortisation	1			1
Total non-cash movements	1	63	0	64
Balance at 31 December 2024	596	299	77	972

The decrease in debt in 2024 is due to the repayment of a eurobond of €353 million and the issuance of a €300 million sustainability-linked eurobond with an annual coupon of 4.750% in June 2024. Refer to note 4.5 for more details on the current outstanding eurobonds.

The following table presents the cash and the non-cash changes in debt during 2023.

PostNL Reconciliation debt in € million
2023

	Eurobonds	Lease liabilities	Other loans	Total
Balance at 1 January 2023	697	331	48	1,076
Proceeds			19	19
Repayments	(47)	(81)	(4)	(132)
Total cash movements	(47)	(81)	15	(113)
New leases		61		61
Lease modifications/reassessments		10		10
Disposal of leases		(1)		(1)
Pre-financing related to building of NLI/sorter			25	25
Commencement of SPV financing			37	37
Settlement of pre-financing			(37)	(37)
Amortisation	1			1
Total non-cash movements	1	70	25	96
Balance at 31 December 2023	651	320	88	1,059

In 2023, the €25 million non-cash movement relates to the financing of lease contracts by an entity especially set up for this purpose by a third party (SPV). The financing was established via a pre-financing during the building phase. The pre-financing was performed via a specific revolving credit facility. In 2023, at the time of the related sale and lease back transactions, an amount of €37 million of pre-financing was replaced by financing from the SPV. In 2024, the remaining pre-financing balance of €4 million was replaced by a finance lease from a bank.

4.2 Financial assets at fair value through OCI

The following table presents the changes in the carrying value of the financial assets at fair value through OCI.

PostNL Financial assets at fair value through OCI in € million
2023, 2024

	2023	2024
Balance at 1 January	20	16
Additions	2	1
Remeasurement recognised in OCI	(6)	3
Repayment of our stake in Endeit	(0)	0
Balance at 31 December	16	20

As at 31 December 2024, the investments in financial assets at fair value through OCI related to investments in equity shares of non-listed companies. PostNL holds non-controlling interests in Whistl Group Holdings Limited, Endeit Fund II Coöperatief U.A., Endeit Fund III Coöperatief U.A., Clean Clothes B.V. and Machool Technologies Inc. The assessment of fair value is based on key performance indicators included in related management and statutory reports and derived from the expected development of business and financial performance and external valuation insights, if available. In 2024, the fair value remeasurement of €3 million mainly related to our stake in Whistl.

4.3 Capital management

The capital structure consists of the following components:

• Structural availability of €100 million to €200 million of undrawn committed facilities out of our revolving credit facility (reference is made to note 4.4)

• Structural funding via a combination of public and bank debt, with a risk-weighted mix of fixed and floating interest

• Cash pooling systems that ensure optimal cash requirements for the PostNL Group by facilitating centralised funding and surplus cash concentration at group level

• Tax-optimal internal and external funding focused on optimising the cost of capital for PostNL, within boundaries that are sustainable on a long-term basis.

4.4 Financial risk management

PostNL’s activities expose the company to a variety of financial risks, such as interest rate risk, foreign currency exchange risk, commodity risk, credit risk and liquidity risk. All these risks arise in the normal course of business and PostNL therefore uses various techniques and financial derivatives to mitigate them.

The following analyses provides quantitative information regarding PostNL’s exposure to the financial risks described above. There are certain limitations and simplifications inherent in the analyses presented, primarily due to the assumption that rates change in a parallel fashion and instantaneously. At the same time, for example, the impact of changes in interest on foreign exchange exposures and vice versa is ignored. In addition, the analyses are unable to reflect the complex market reactions that would normally arise from the market shifts assumed.

PostNL uses derivative financial instruments solely for the purpose of hedging currency, commodity and interest exposures. The company enters into contracts related to derivative financial instruments for periods commensurate with its underlying exposures and does not take positions independent of these exposures. None of these financial instruments are leveraged or used for trading purposes or to take speculative positions.

Financial risk management is carried out by Group Treasury under policies approved by the Board of Management. Group Treasury identifies, evaluates and hedges financial risks and exposures in close cooperation with operating units. The Board of Management provides written principles for overall risk management, as well as written policies covering the financial risks. Periodic reporting on financial risks is embedded in the overall risk framework and is provided to the Board of Management in a structural way.

Group Treasury matches and manages the intragroup and external financial exposures. Although the company generally enters into hedging arrangements and other contracts to reduce its exposures, these measures may be inadequate or may subject the company to increased operating or financing costs.

Interest rate risk

PostNL actively manages its balance sheet and identifies interest rate risk associated with its financial assets and borrowings. Virtually all borrowings are at fixed rates, a movement in the rate will therefore only affect the cost base per the moment of fixing the rate of the debt instrument. The term of the lease debt is in line with market practice for the underlying assets. The Eurobonds were agreed with a seven year maturity. PostNL enters into hedging arrangements to mitigate the interest exposure, at the moment the execution of material lease and debt instruments becomes more certain. As at 31 December 2024, PostNL’s gross interest-bearing borrowings, including lease obligations, totalled €972 million (2023: €1,059 million), all at fixed interest rates. Financial assets are, on average, of a short-term nature and are therefore more exposed to interest rate fluctuations.

At 31 December 2024, if interest rates on borrowings and financial assets had been 1% higher with other variables held constant, the profit before income tax would have been €5 million higher (2023: €5 million). The potential profit increase is entirely attributable to interest income on the cash and cash equivalents. Equity would be positively affected by €3 million (2023: €15 million), mainly due to the interest income on cash and cash equivalents. In 2023 the cash flow hedge impact on equity of the outstanding interest rate swaps mitigating the refinancing interest risk was part of the impact.

Foreign currency exchange risk

PostNL has international operations that generate foreign currency exchange risks arising from future commercial transactions, recognised assets and liabilities, investments and divestments in foreign currencies other than functional currencies of the respective business units of PostNL, irrespective of whether it is the euro (PostNL’s functional and reporting currency) or another functional currency. For accounting purposes the European Central Bank is used as the source.

The main currencies of PostNL’s external hedges are the British pound, Hong Kong dollar and US dollar.

The Board of Management has set a policy requiring group companies to manage their foreign exchange risk against the functional currency. Group companies are required to hedge material exposures via the use of foreign exchange derivatives with Group Treasury, whereby a financing company operated by Group Treasury trades these foreign exchange derivatives with external banks. The foreign exchange derivatives used are plain vanilla forward and spot contracts. As at 31 December 2024, PostNL had no net investment hedges outstanding. Significant acquisitions and local debt are usually funded in the currency of the underlying assets.

As at 31 December 2024, if the euro had weakened 10% against the British pound, the Hong Kong dollar and the US dollar with all other variables held constant, the profit before income taxes on the foreign exchange exposure on financial instruments would have been €0 million lower/higher (2023: €0 million). In 2024, the net income sensitivity to movements in euro/pound sterling, euro/HK dollar and euro/US dollar exchange rates is negligible and did not change compared to 2023. Equity would have been positively impacted by €1 million (2023: €2 million), all related to the move in the hedge reserve.

Commodity risk

During 2023 it was agreed that a group company was exposed to potential price fluctuations on LNG. The group company is required to hedge its commodity risk with Group Treasury. Group Treasury trades these commodity derivatives with external banks. As at 31 December 2024, PostNL had LNG hedges outstanding for a total volume of 6,100 MwH (2023: 16,200 MwH). The exposure on LNG relates to a limited number of trucks running on LNG.

As at 31 December 2024, if the LNG price would increase with €10 per MwH, with all other variables constant, the profit before income taxes on the commodity exposure on financial instruments would have been €0m. Equity would have been positively impacted by €0m, all related to the move in the hedge reserve.

Credit risk

Credit risk represents the potential losses that the company would incur if counterparties are unable to fulfil the terms of underlying agreements. Credit risk arises from cash and cash equivalents, derivatives and deposits with banks and financial institutions as well as credit exposures relating to customers. The credit risk exposure is minimised by only transacting with financial institutions, ensuring established credit guidelines are met and by managing its customer portfolio.

The top 10 trade accounts receivable accounted for 24% of outstanding trade receivables as at 31 December 2024.

Liquidity risk

Prudent liquidity risk management implies maintaining sufficient cash, the availability of funding through an adequate amount of committed credit facilities and the ability to close out market positions. Due to the dynamic nature of the underlying businesses, PostNL attempts to maintain flexibility in funding by keeping a committed multi-currency revolving credit facility of €200 million, which expires in 2028 available.

As at 31 December 2024, the company’s current assets and current liabilities amounted €915 and €933 million respectively. The current assets contained €453 million of cash and cash equivalents. This position does not contain any restricted cash. Bond repayments are not due until 2026. Based on its ability to realise its assets and its proven cash flow-generating capability, the company expects to be able to discharge its liabilities in the normal course of business. Should the need arise, the company has (re)financing options available, backed by its committed credit facility of €200 million and an investment grade credit rating.

A downgrade in PostNL’s credit rating may negatively affect its ability to obtain funds from financial institutions and banks and increase the interest rates at which the company is able to refinance existing debt or incur new debt. The terms and conditions of PostNL’s material long-term and short-term debts, as well as its material drawn, or undrawn credit facilities do not include any financial covenants. There are no obligations to accelerate repayments of these material debts and committed facilities in the event of a credit rating downgrade.

At 31 December 2024, the €200 million committed credit facility (maturity date: December 2028) was undrawn (2023: undrawn).

The following table analyses PostNL’s financial liabilities, categorising them into relevant maturity groupings based on the remaining period on the balance sheet to the contractual maturity date. The outgoing flows disclosed in the table are the contractual undiscounted cash flows that contain the redemptions and interest payments.

PostNL Maturity liquidity risks in € million
2023, 2024

At 31 December	Less than 1 year	Between 1 and 3 years	Thereafter	Book value
Eurobonds	358	304		651
Leases	88	128	132	320
Other loans	18	25	61	88
Foreign exchange contracts - outgoing	201			2
Trade accounts payable	210			210
Other current liabilities	58			58
Total outgoing flows	934	457	193	1,330
Foreign exchange contracts - incoming	201
Total mitigation via incoming flows	201
Total liquidity risk 2023	733	457	193	1,330
Eurobonds	16	330	357	596
Leases	86	125	115	299
Other loans	13	26	54	77
Foreign exchange contracts - outgoing	120			0
Trade accounts payable	177			177
Other current liabilities	47			47
Total outgoing flows	459	481	526	1,196
Foreign exchange contracts - incoming	120
Total mitigation via incoming flows	120
Total liquidity risk 2024	339	481	526	1,196

4.5 Financial instruments

In line with IFRS 9 and IFRS 13, the following categories of financial assets and financial liabilities can be distinguished.

PostNL Financial instruments - assets in € million
2023, 2024

At 31 December	Notes	Input information level (IFRS13)	Loans and receivables	Derivatives used for hedging	Financial assets at fair value through OCI	Total
Other loans receivable		level 2	15			15
Other financial fixed assets		level 3			16	16
Accounts receivable	3.1.1	level 2	333			333
Derivatives1		level 2		1		1
Cash and cash equivalents	4.1		518			518
Total assets balance sheet 2023			865	1	16	883
Other loans receivable		level 2	13			13
Other financial fixed assets		level 3			20	20
Accounts receivable	3.1.1	level 2	341			341
Derivatives1		level 2		2		2
Cash and cash equivalents	4.1		453			453
Total assets balance sheet 2024			806	2	20	829

• 1 Derivatives are included in prepayments and accrued income in the statement of financial position.

Fair value represents the price that would be received when selling an asset in an orderly transaction between willing market participants. For the level 3 financial assets at fair value through OCI, our valuations have been measured by using the market approach as per 31 December 2023 and 31 December 2024.

PostNL Financial instruments - liabilities in € million
2023, 2024

At 31 December	Notes	Input information level (IFRS13)	Financial liabilities measured at amortised costs	Derivatives used for hedging	Total
Long-term debt	4.1	level 1&21	372		372
Trade accounts payable		level 22	210		210
Short-term debt	4.1	level 1&21	368		368
Other current liabilities3	3.1.2	level 22	51	9	60
Total liabilities balance sheet 2023			1,001	9	1,010
Long-term debt	4.1	level 1&21	664		664
Trade accounts payable		level 22	177		177
Short-term debt	4.1	level 22	10		10
Other current liabilities3	3.1.2	level 22	47	0	47
Total liabilities balance sheet 2024			897	0	897

• 1 Eurobonds level 1 and other loans level 2.
• 2 We consider the fair value equal to the book value as these items will be settled within short-term and therefore level 2.
• 3 Other current liabilities include 'Payments from customers received in advance' for €43 million (2023: €48 million) and 'Other' for €4 million (2023: €12 million), refer to note 3.1.2.

All financial instruments are reported on a gross basis per instrument. Netting of financial instruments per contractual counterparty will not have a material impact on the outstanding balances.

Eurobonds

For the details on the outstanding eurobonds, see the table below.

PostNL Outstanding eurobonds in € million
2023, 2024

At 31 December	Nominal value	Costs/discount to be amortised	Carrying value	Fair value
1.000% eurobond 2024	353	0	353	344
0.625% eurobond 2026	300	1	299	278
Total outstanding eurobonds 2023	653	2	651	622
0.625% eurobond 2026	300	1	299	289
4.750% eurobond 2031	300	3	297	311
Total outstanding eurobonds 2024	600	4	596	600

The 4.750% eurobond of €300 million is a Sustainability-Linked Financing. Within the terms and conditions of the €300 million sustainability-linked notes, a Step-Up Event is included, which depends on achieving the underlying three Sustainability Performance Targets (SPT) conditions. The initial rate of interest payable on the notes will increase 1.000 per cent per annum, a "Rate Adjustment", in case of a Step-Up Event. The Rate Adjustment (if any) shall be effective and accrue from and including 12 June 2030 and the amount of interest payable on the final interest payment date shall be adjusted accordingly.

The SPT Conditions are:

• SPT Condition 1: means the scope 1 and scope 2 GHG emissions reduction percentage, measured as a percentage change at the end of the financial year from the financial year ended 31 December 2021, as reported by PostNL pursuant to the reporting requirements as of the SPT observation date being greater than 90%;

• SPT Condition 2: means the scope 3 GHG emissions reduction percentage, measured as a percentage change at the end of the financial year from the financial year ended 31 December 2021, as reported by PostNL pursuant to the reporting requirements as of the SPT observation date being equal to or greater than 45%;

• SPT Condition 3: means the senior management positions percentage as reported by PostNL pursuant to the reporting requirements as of the SPT observation date being equal to or greater than 36%.

For progress on achieving these conditions, reference is made to Chapter 20 Sustainability statement.

Leases

For the details on the outstanding leases, see the table below.

PostNL Outstanding leases in € million
2023, 2024

At 31 December	Nominal value	Fixed/floating interest	Carrying value	Fair value
Total outstanding leases 2023	320	fixed	320	320
Total outstanding leases 2024	299	fixed	299	299

Derivatives - Foreign currency exchange contracts

For the details on the outstanding foreign exchange contracts, see the table below.

PostNL Outstanding foreign exchange contracts in € million
2023, 2024

At 31 December	Carrying value	Fair value	Nominal value	Hedge	Amount in equity
Asset	1	1	92	balance sheet/cashflow	1
Liability	2	2	110	balance sheet/cashflow	(2)
Foreign exchange contracts 2023
Asset	2	2	86	balance sheet/cashflow	1
Liability	0	0	34	balance sheet/cashflow	0
Foreign exchange contracts 2024

The fair value of these outstanding foreign exchange hedges is recorded as a current asset in ‘prepayments and accrued income’ or as a current liability in ‘other current liabilities’ and includes credit valuation adjustments.

In 2024, the total ineffective portion on all derivatives recognised in the income statement that arises from the use of fair value and cash flow hedges amounted to €0 million (2023: €0 million).

Derivatives - Interest rate swaps

For the details on the outstanding interest rate swaps, see the table below.

PostNL Interest rate swaps in € million
2023, 2024

At 31 December	Carrying value	Fair value	Nominal value	Hedge	Amount in equity
Interest rate swaps 2023	(6)	(6)	229	balance sheet/cashflow	(5)
Interest rate swaps 2024	0	0	0	balance sheet/cashflow	0

The fair value of these outstanding interest rate swaps is recorded as a current asset in ‘prepayments and accrued income’ or as a current liability in ‘other current liabilities’ and includes credit valuation adjustments.

In 2024, there are no interest rate swaps outstanding (2023: 229 million). An amount of €1 million relating to terminated interest rate swaps is outstanding in OCI. This amount will be amortised to financial income and expense for the term of the 4.75% eurobond 2031 and lease contracts relating to 5 underlying Parcels sorting centres.

4.6 Equity

Accounting policies

Ordinary shares are classified as equity. Incremental costs directly attributable to the issuance of new shares or options are shown in equity as a deduction, net of tax, from the proceeds.

Where any group company purchases PostNL’s equity share capital (treasury shares), the consideration paid, including any directly attributable incremental costs (net of income taxes), is deducted from equity until the shares are cancelled, reissued or disposed of. Where such shares are subsequently sold or reissued, any consideration received, net of any directly attributable incremental transaction costs and the related income tax effects, are included in equity.

Authorised share capital

Since 4 August 2011, the company’s authorised share capital amounts to €120 million, divided into 750,000,000 ordinary shares and 750,000,000 preference shares B, both of €0.08 nominal value each.

Form of shares

The ordinary shares are in deposit or registered form. Deposit shares are represented by a global note held by the Dutch clearing system Euroclear Netherlands and are transferable through Euroclear Netherlands’ book entry system. Ordinary shares in registered form are transferred by means of a deed of transfer and PostNL’s written acknowledgement of the transfer. PostNL does not have share certificates for ordinary shares represented by the global note. The preference shares B are in registered form.

Issued share capital

At 31 December 2024, the company's issued share capital amounted to €40 million (2023: €40 million). The number of authorised, issued and outstanding shares by class of share is as presented in the following table.

Issuance/repurchase of shares to cover share plans

For all equity-settled share plans, PostNL intends to perform the settlement by issuing new shares or assigning repurchased shares to 'Stichting Managementparticipatie PostNL' (Foundation Management Participation PostNL). In 2024, the company issued 1,217,113 ordinary shares (2023: 1,274,710 shares) under its incentive schemes to 'Stichting Managementparticipatie PostNL' (Foundation Management Participation PostNL). In 2024, no shares were repurchased (2023: 0 shares). As at 31 December 2024, the company held no shares to cover its obligations under the existing share plans or for cancellation (2023: 0 shares).

PostNL Shares number of shares
2023, 2024

Before proposed appropriation of profit	2023	2024
Authorised by class
Ordinary shares	750,000,000	750,000,000
Preference shares B	750,000,000	750,000,000
Total authorised	1,500,000,000	1,500,000,000
Issued and outstanding
Per 1 January of the reported year	487,530,628	494,207,248
Cancellation of repurchased shares
Issued for stock dividend	5,401,910	6,686,930
Issued under its incentive schemes	1,274,710	1,217,113
Per 31 December of the reported year	494,207,248	502,111,291
Issued and outstanding per 31 December by class
Ordinary shares	494,207,248	502,111,291
of which held by the company to cover share plans	0	0
of which a foundation incorporated by the company only holds the legal title	2,518,876	2,923,670
Preference shares B	0	0

Incentive scheme and Foundation Management Participation PostNL

For administration and compliance purposes, since May 2013 all shares belonging to PostNL employees under PostNL incentive schemes are held by Stichting Managementparticipatie PostNL (Foundation Management Participation PostNL). These shares are held on an omnibus securities account with ABN AMRO Bank, the Netherlands. Foundation Management Participation PostNL legally owns the shares, while the beneficial ownership of the shares is vested in the employees, who are also entitled to dividend received by Foundation Management Participation PostNL on their behalf. At 31 December 2024, the number of PostNL shares involved amounted to 2,923,670 shares (2023: 2,518,876 shares) with a nominal value of €0.08 per share.

Foundation Continuity PostNL and preference shares B

Stichting Continuiteit PostNL (Foundation Continuity PostNL) was formed to safeguard the interests of PostNL, the undertaking connected with PostNL and all parties involved. It does this by, among other things, preventing any influences that could threaten PostNL’s continuity, independence and identity, as far as possible. Foundation Continuity PostNL is an independent legal entity and is not owned or controlled by PostNL or any other legal person.

PostNL’s articles of association provide for protective preference shares B that can be issued to Foundation Continuity PostNL to serve these interests. The preference shares B have a nominal value of €0.08 and have the same voting rights as PostNL’s ordinary shares.

PostNL and Foundation Continuity PostNL have entered into a call option agreement, which enables Foundation Continuity PostNL to acquire a number of preference shares B not exceeding the total issued amount of shares minus one and minus any shares already issued to Foundation Continuity PostNL. The call option agreement is meant as a preventive countermeasure against influences that might threaten the continuity, independence and identity of the company. Preference shares B will be outstanding no longer than is strictly necessary. At 31 December 2024, no preference shares B had been issued.

Additional paid-in capital

At 31 December 2024, additional paid-in capital of €166 million (2023: €165 million) is fully exempt for Dutch tax purposes to the extent that this has been paid in by shareholders of the company.

Section 5 : Other notes

5.1 Remuneration of Supervisory Board, Board of Management and other share based payments

Accounting policies

Equity-settled share-based compensation plans
PostNL operates a number of equity-settled share-based compensation plans, under which the employees receive (conditional) shares of the group for services rendered. The fair value of the employee services received, as measured at the grant date in exchange for the grant of the shares, is recognised as an expense, with a corresponding increase in equity.

Non-market performance and service conditions are included in assumptions about the number of (conditional) shares that are expected to vest. The total expense is recognised over the vesting period, which is the period over which all the specified vesting conditions are to be satisfied. In addition, for some share-based compensation plans, employees provide services in advance of the grant date and therefore the grant date fair value is estimated for the purposes of recognising the expense between service commencement date and grant date. At the end of each reporting period, the group revises its estimates of the number of shares that are expected to vest based on the non-market vesting conditions. It recognises the impact of the revision to original estimates, if any, in the income statement, with a corresponding adjustment to equity.

Remuneration of members of the Supervisory Board

Total remuneration of the Supervisory Board in 2024 amounted to €512,500 (2023: €410,500). For details see the 'Remuneration report'.

The members of the Supervisory Board receive no compensation related to performance and/or equity and accrue no pension rights with the company. The members of the Supervisory Board receive no severance payments in the event of termination. PostNL does not grant loans, including mortgage loans, advance payments, guarantees and options or shares to any member of the Supervisory Board.

Remuneration of members of the Board of Management

In 2024, the total remuneration based on IFRS of the Board of Management amounted to €2,177,238 (2023: €2,087,877). The following table presents total remuneration of the Board of Management:

PostNL Remuneration of the Board of Management in €
2023, 2024

		Base salary1	Other benefits2	Pension costs3	One year variable	Multi-year variable	Total remuneration
Herna Verhagen - CEO	2024	724,495	193,630	47,036	160,838	121,559	1,247,558
	2023	696,630	193,394	45,447	104,495	149,698	1,189,664
Pim Berendsen - CFO	2024	550,617	135,335	41,014	122,237	80,477	929,680
	2023	529,439	133,665	41,920	79,416	113,774	898,214

• 1 Base salaries 2024 were indexed with 4.0%.
• 2 Other benefits include company costs related to tax and social security, pension allowances, company car and other compensation.
• 3 Pension costs represent the premium for the collective defined contribution plan (net of employee contributions) and risk premium for the net pension plan.

Base salary

The base salaries for both members of the Board of Management were increased by 4.0% in 2024 compared to 2023 in line with the remuneration policy.

Accrued for short-term incentive

PostNL accounts for the short-term incentive on the basis of the performance of the year reported. In 2024, an amount of €283,075 was accrued for. In accordance with the remuneration policy, this amount will be paid in cash in 2025. In 2024, an amount of €183,910 was paid to the members of the Board of Management in relation to the short-term incentive of 2023.

Accrued for long-term incentive

In 2024, the total share-based payment costs relating to the long-term incentive performance share plan for the members of the Board of Management amounted to €202,036 (2023: €263,472).

Performance share plan (PSP)

The members of the Board of Management are awarded a long-term incentive, which represents a maximum potential reward of 37.5% of the annual base salary in the form of a performance share plan. The characteristics of this performance share plan are:

• It is a conditional equity-settled share plan based on a three-year performance period

• Each year shares are conditionally allocated to members of the Board of Management

• A conditional dividend equivalent is added to the conditional shares equal to the dividend rights of ordinary shares

• The conditional shares and their conditional dividend equivalents will vest after a performance period of three years

• Vesting is subject to the achievement of targets set on each of the long-term performance measures supportive to the attainment of PostNL’s strategy

• If a member of the Board of Management leaves the company during the performance period due to circumstances involving fraud or gross misbehaviour, any accrued rights on the long-term incentive plan will terminate and become void

• If a member of the Board of Management leaves the company due to other reasons, a pro rata performance and time-based vesting applies, unless decided otherwise by the Supervisory board.

In compliance with the Dutch Corporate Governance Code, following a three-year performance period, the holding period for vested shares expires two years thereafter or at termination of employment/service if this occurs earlier. For compliance reasons, a sale of shares may not occur within six months following the date of termination of the employment/service. Any sale of shares for the purpose of using the proceeds to pay for the tax due at vesting of these shares is exempted.

PostNL Performance share plan Board of Management number of shares
2024

Name of Director - position	Specification of plan	Number of shares held at 1 Jan 2024	Number of shares granted during 20241	Number of dividend shares2	Number of shares settled during 2024	Number of shares forfeited during 2024	Net number of shares under a holding period at 31 Dec 2024	Number of shares subject to a performance condition at 31 Dec 2024
Herna Verhagen - CEO	PSP 2024		209,324	5,071				214,395
	PSP 2023	168,450		8,384				176,834
	PSP 2022	87,409		4,351				91,760
	PSP 2021	67,751		1,690	(34,721)	(34,720)	17,968
	PSP 2020	109,488					109,488
	PSP 2019	44,246
	Total shares	477,344	209,324	19,496	(34,721)	(34,720)	127,456	482,989
Pim Berendsen - CFO	PSP 2024		159,087	3,854				162,941
	PSP 2023	128,023		6,372				134,395
	PSP 2022	66,431		3,307				69,738
	PSP 2021	51,493		1,284	(26,389)	(26,388)	13,656
	PSP 2020	83,211					83,211
	PSP 2019	33,628
	Total shares	362,786	159,087	14,817	(26,389)	(26,388)	96,867	367,074
Total shares		840,130	368,411	34,313	(61,110)	(61,108)	224,323	850,063

• 1 The number of conditional shares granted is based on 37.5% of the annual base salary divided by the five-day average Euronext Amsterdam share price of PostNL prior to the date of publication of the Q1 2024 results (€1.248).
• 2 Conditional dividend shares were granted following the final dividend 2023 and interim dividend 2024.

PostNL The main conditions of share award plans

Specification of plan	Performance period	Grant date
PSP 2024	01/01/2024-31/12/2026	10/05/2024
PSP 2023	01/01/2023-31/12/2025	11/05/2023
PSP 2022	01/01/2022-31/12/2024	12/05/2022
PSP 2021	01/01/2021-31/12/2023	14/05/2021
PSP 2020	01/01/2020-31/12/2022	06/05/2020

The vesting date is generally equal to grand date plus three years. Subsequently, a holding period of two years applies.

Note that the number of outstanding conditional shares does not represent the total number of shares held by each member of the Board of Management, which includes vested shares under PostNL's performance share plan and variable remuneration. Reference is made to chapter 15 Remuneration, section actual remuneration, table 'Shares held by Board of Management'.

In 2024, an amount of €202,036 (2023: €263,472) was expensed for the cost of the performance shares of the Board of Management. The costs are determined by multiplying the number of granted performance shares by the fair value of such shares on the date of the grant (PSP 2024: €1.256 per share; PSP 2023: €1.606 per share; PSP 2022: €2.817 per share; PSP 2021: €4.375 per share) and by taking into account expected vesting percentages.

Other periodic compensation

Other periodic compensation included company costs related to tax and social security, pension allowances, company car and other compensation.

Pension costs

The pension costs consist of the pension contribution for the reported year (net of employee contributions) and risk premium for the net pension plan. The members of the Board of Management are participants in a collective defined contribution plan.

Loans, advance payments of guarantees

No loans, advance payments or guarantees were granted to members of the Board of Management in 2024 (2023: nil).

Other share based payments

Short-term incentive

The short-term incentive for senior management represents a potential reward of a percentage of the annual base salary (the percentage depending on the job level), which is based on annual performance measures. Of the realised achievements, 50% is paid in cash and 50% is paid in PostNL shares in the following year. Shares will be granted unconditionally and will be delivered without restrictions or a restricted period, other than those defined in the PostNL insider trading policy.

The 50% of the short-term incentive settled in shares is accounted for as an equity-settled share-based payment. The accrued share-based payment costs relating to this short-term incentive amounted to €0.6 million in 2024 (2023: €1.2 million). The realised amounts will be granted and paid in PostNL shares in 2025.

Performance share plan

A select group of senior management is awarded a long-term incentive, which represents a potential reward of 37.5% of the annual base salary in the form of a performance share plan that contains three-year performance measures. The long-term incentive is part of the remuneration package for this select group of senior management. It is aimed particularly at aligning their interests with the long-term interests of the company and its shareholders.

The performance share plan contains the same characteristics as the performance share plan of the Board of Management with the exception that there is no holding period applicable for senior management.

PostNL Performance share plan senior management
2024

Specification of plan	Number of shares held at 1 Jan 2024	Number of shares granted during 20241	Number of dividend shares2	Number of shares settled during 2024	Number of shares forfeited during 2024	Number of shares outstanding at 31 Dec 2024
PSP 2024		609,029	14,757			623,786
PSP 2023	496,833	57,195	26,117			580,145
PSP 2022	436,658	28,598	22,431			487,687
PSP 2021	333,217		8,314	(146,207)	(195,324)	0
Total shares	1,266,708	694,822	71,619	(146,207)	(195,324)	1,691,618

• 1 The number of conditional shares is based on 37.5% of the annual base salary divided by the five-day average Euronext Amsterdam share price of PostNL prior to the date of publication of the Q1 2024 results (€1.248).
• 2 Conditional dividend shares were granted following the final dividend 2023 and interim dividend 2024.

In 2024, an amount of €208,088 (2023: €644,212) was expensed for the cost of the performance shares of senior management. The costs are determined by multiplying the number of granted performance shares by the fair value of such shares on the date of the grant (PSP 2024: €1.256 per share; PSP 2023: €1.606 per share; PSP 2022: €2.817 per share; PSP 2021: €4.375 per share) and by taking into account expected vesting percentages.

Bonus matching share plan

Since 2011, senior management have had the opportunity to participate, on a voluntary basis, in a bonus/matching plan. The company sees the bonus matching plan as part of the remuneration package for the members of senior management, particularly aimed at aligning their interests with the long-term interests of the company and shareholders. At the discretion of the Supervisory Board, grants are made on an annual basis in accordance with the bonus matching plan which has been approved by the Supervisory Board. The significant aspects of the plan are:

• Bonus shares are purchased by the participant using 25% of the gross (cash) variable remuneration and delivered upon the grant of the right on matching shares

• The number of bonus shares is calculated by dividing 25% of an individual’s gross annual cash bonus relating to the preceding financial year by the share price on Euronext Amsterdam on the date the grant is made

• The rights to matching shares are granted free of charge. The number of matching shares is equal to the number of bonus shares (equity settled scheme)

• The matching rights vest three years after the delivery of the bonus shares

• For each bonus share that is sold within three years, the associated right to one matching share lapses. If more than 50% of the bonus shares are sold within three years, the entire right to matching shares lapses with immediate effect

• If a participant leaves the company for certain reasons (retirement, certain reorganisations, disability or death), the right to matching shares will vest immediately and he/she can exercise his/her right pro rata

• A participant loses the right to exercise his/her right on matching shares when he/she leaves the company for reasons other than those mentioned

The exercise of the rights to matching shares is subject to the PostNL insiders trading policy.

PostNL Bonus matching plan senior management
2024

Specification of plan	Vesting period	Number of shares outstanding at 1 Jan 2024	Number of shares granted during 2024	Number of shares settled during 2024	Number of shares forfeited during 2024	Number of shares outstanding at 31 Dec 2024
Bonus matching 2024	10/05/2024-10/05/2027		56,865			56,865
Bonus matching 2023	11/05/2023-11/05/2026	14,805				14,805
Bonus matching 2022	12/05/2022-12/05/2025	36,925		(759)	(2,568)	33,598
Bonus matching 2021	14/05/2021-14/05/2024	29,317		(29,317)		0
Total		81,047	56,865	(30,076)	(2,568)	105,268

In 2024, an amount of €70,890 (2023: €94,195) was expensed for the cost of the equity-settled bonus matching shares. The costs are determined by multiplying the number of granted matching shares by the fair value of such shares on the date of the grant (2024: €1.256 per share; 2023: €1.606 per share; 2022: €2.817 per share; 2021: €4.375 per share) and by taking into account expected vesting percentages.

Financing of equity-settled plans

For all equity-settled plans, PostNL intends to perform the settlement by issuing new shares or assigning repurchased shares. Accordingly, the company does not need to actively hedge the risk in connection with its obligations. As a result, the company did not purchase any additional shares in 2024 (2023: 0) to cover its obligations under the existing share plans. As at 31 December 2024, the total number of shares held for this purpose was nil (2023: 0).

5.2 Related party transactions and balances

The identified related parties of the group are its group companies, its joint ventures and associates, shareholders with significant influence, its pension fund and the members of the Board of Management and Supervisory Board. The PostNL group companies have trading relationships with a number of joint ventures as well as with companies in which PostNL holds minority stakes. In some cases, there are contractual arrangements in place under which PostNL companies source supplies from such undertakings, or such undertakings source supplies from PostNL. Transactions are carried out at arm's length.

During 2024, there were no material transactions with joint ventures and associates (2023: sales to joint ventures and associates of €3 million) and as at 31 December 2024, there were no material outstanding balances (2023: not material). Related party transactions with PostNL’s pension fund are presented in note 2.3.2 Salaries, pensions and social security contributions to the Consolidated financial statements.

PostNL considers the members of the Board of Management and Supervisory Board as key management personnel as defined by IAS 24. For disclosure on related party transactions with the Board of Management and Supervisory Board, see note 5.1 to the Consolidated financial statements.

5.3 Business combinations

In 2024, PostNL did not acquire new business by the acquisition of the shares of other entities.

5.4 Summary of all other accounting policies

Consolidation

The consolidated financial statements include the financial figures of PostNL N.V. and its subsidiaries, associates and joint ventures and have been prepared using uniform accounting policies for like transactions and other events in similar circumstances. All significant intercompany transactions and balances have been eliminated on consolidation. A complete list of subsidiaries, associates and joint ventures included in PostNL’s consolidated financial statements is filed for public review at the Chamber of Commerce in The Hague. This list has been prepared in accordance with the provisions of article 379 (1) and article 414 of book 2 of the Dutch Civil Code.

Subsidiaries

A subsidiary is an entity controlled directly or indirectly by PostNL N.V. Control is defined as the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities. The existence and effect of potential voting rights that are currently exercisable or convertible are considered when assessing whether PostNL controls another entity. Subsidiaries are fully consolidated from the date on which control is transferred to PostNL and are de-consolidated from the date on which control ceases. PostNL uses the acquisition method of accounting to account for the acquisition of subsidiaries. The consideration of an acquisition is measured at the fair value of the assets transferred, equity instruments issued and liabilities incurred or assumed at the date of exchange. The consideration transferred also includes the fair value arising from contingent consideration arrangements. Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are measured initially at their fair values on the acquisition date irrespective of the extent of any non-controlling interest. Acquisition-related costs are expensed as incurred.

The excess of the consideration transferred over the fair value of PostNL’s share of the identifiable net assets of the subsidiary is recorded as goodwill. If the cost of acquisition is less than the fair value of PostNL’s share of the net assets of the subsidiary acquired, the difference is recognised directly in the income statement. The group treats transactions with non-controlling interests as transactions with equity owners of the group. For purchases from non-controlling interests, the difference between any consideration paid and the relevant share acquired of the carrying value of net assets of the subsidiary is recorded in equity. Gains or losses on disposals to non-controlling interests are also recorded in equity.

When the group ceases to have control or significant influence, any retained interest in the entity is re-measured to its fair value, with the change in carrying amount recognised in profit or loss. The fair value is the initial carrying amount for the purposes of subsequent accounting for the retained interest as an associate, joint venture or financial asset. In addition, any amounts previously recognised in other comprehensive income in respect of that entity are accounted for as if the group had directly disposed of the related assets or liabilities. This may mean that amounts previously recognised in other comprehensive income are recycled to profit or loss. The non-controlling interest is initially measured at the proportion of the non-controlling interest in the recognised net fair value of the assets, liabilities and contingent liabilities. Losses applicable to the non-controlling interest in excess of the non-controlling interest in the subsidiary’s equity are allocated against PostNL’s interests.

Functional currency and presentation currency

Items included in the financial statements of each of the group’s entities are measured using the currency of the primary environment in which the entity operates ('the functional currency'). These consolidated financial statements are presented in euros, which is PostNL’s functional and presentation currency.

Foreign currency transactions and balances

Foreign currency transactions are translated into the functional currency using the exchange rates prevailing at the date of the transactions. Monetary assets and liabilities in foreign currencies are translated to the functional currency using year-end exchange rates. Foreign currency exchange gains and losses resulting from the settlement of foreign currency transactions and balances and from the translation at year-end exchange rates are recognised in the income statement except for qualifying cash flow hedges and qualifying net investment hedges that are directly recognised in other comprehensive income.

Foreign operations

The results and financial position of all group entities (none of which has the currency of a hyperinflationary economy) that have a functional currency different from the presentation currency are translated into the presentation currency as follows:

• Assets and liabilities are translated at the closing exchange rates

• Income and expenses are translated at average exchange rates

• The resulting exchange rate differences based on the different ways of translating between the balance sheet and the income statement are recognised as a separate component of equity (translation reserve).

Foreign currency exchange differences arising from the translation of the net investment in foreign entities, and of borrowings and other currency instruments designated as hedges of such investments, are taken to the translation reserve. When a foreign operation is sold, such exchange differences are recycled in the income statement as part of the gain or loss on the sale.

Impairment of goodwill

Goodwill is not subject to amortisation but is tested for impairment annually or whenever there is an indication that the asset might be impaired. For the purposes of assessing impairment, assets are grouped at the lowest levels at which there are separately identifiable cash flows, being the cash-generating units (CGUs). If the recoverable value of the CGU is less than its carrying amount, the impairment loss is allocated first to reduce the carrying amount of the goodwill allocated to the CGU and then pro rata to other assets of the CGU. The recoverable amount is the higher of the fair value less costs of disposal and value in use. In assessing the value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the asset-specific risks. For the purpose of assessing impairment, corporate assets are allocated to specific CGUs before impairment testing. The allocation of the corporate assets is based on the contribution of those assets to the future cash flows of the CGU under review. Impairment losses recognised for goodwill are not reversed in a subsequent period.

Impairment of investments in joint ventures and associates

PostNL assesses on each balance sheet date whether there is objective evidence that an investment in a joint venture or associate may need to be impaired. If the recoverable value of the investment is less than its carrying amount, the carrying amount is reduced to its recoverable amount. The recoverable amount is the higher of the fair value less costs of disposal and value in use. In assessing the value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the asset-specific risks. The fair value less costs of disposal of a joint venture or associate is reviewed based on observable publicly available market data. Possible impairment charges may be reversed if there is an indication that the impairment no longer exists or has been reduced.

Impairment of finite-lived intangible assets and property, plant and equipment

At each balance sheet date, PostNL reviews its finite-lived intangible assets and property, plant and equipment for an indication of impairment. If any indication exists, the recoverable amount of the assets is estimated. The recoverable amount is defined as the higher of an asset’s fair value less costs of disposal and its value in use. If the recoverable amount of an asset is estimated to be less than its carrying amount, the carrying amount of the asset is reduced to its recoverable amount. Any impairment loss is recognised immediately in the income statement. Impairment losses recognised in prior periods shall be reversed only if there has been a change in the estimates used to determine the asset’s recoverable amount since the last impairment loss was recognised. The recoverable amount shall not exceed the carrying amount that would have been determined had no impairment loss been recognised in previous periods. A reversal of an impairment loss is recognised immediately in the income statement.

Profit sharing

The company recognises a liability and an expense for profit-sharing by employees, based on a calculation that takes into consideration quantitative and qualitative performance measures in accordance with contractual arrangements.

Dividend distribution

Dividend distribution to PostNL’s shareholders is recognised as a liability in the financial statements in the year in which the dividends are approved by the shareholders. If PostNL offers its shareholders (the choice of) dividends in additional shares, the additionally issued shares are recognised at their nominal amount.

5.5 Subsequent events

There are no subsequent events to report.

Section 6 : Corporate financial statements

PostNL Corporate statement of profit or loss in € million
2023, 2024

Year ended at 31 December	Notes	2023	2024
Revenue		0	0
Salaries, pensions and social security contributions	6.2.1	(2)	(2)
Other operating expenses		(0)	0
Total operating expenses		(3)	(2)
Operating income		(3)	(2)
Net financial expense	6.2.2	(3)	(5)
Share in result from subsidiaries		60	23
Profit/(loss) before income taxes		54	15
Income taxes		1	2
Profit/(loss) for the year attributable to shareholders		55	17

PostNL Corporate statement of financial position in € million
2023, 2024

At 31 December, before appropriation of profit	Notes	2023	2024
Assets
Investments in subsidiaries	6.3.1	662	669
Deferred tax assets		2	0
Total non-current assets		664	669
Accounts receivable from Group companies	6.3.2	166	97
Other accounts receivable		2	0
Income tax receivable		26	36
Other current assets		0	7
Total current assets		194	141
Total assets		858	809
Equity and liabilities
Issued share capital		40	40
Additional paid-in capital		165	166
Legal reserves		5	13
Other reserves		(45)	(23)
Retained earnings		34	6
Total shareholders' equity	6.3.3	198	202
Eurobonds	6.3.4	299	596
Other provisions		2	1
Total non-current liabilities		300	598
Accounts payable to Group companies		6	0
Eurobonds	6.3.4	353	0
Other current liabilities		1	10
Total current liabilities		360	10
Total equity and liabilities		858	809

6.1 Basis of preparation

General information

PostNL N.V. (hereafter referred to as ‘the company’) is a public limited liability company with its registered seat and head office at Waldorpstraat 3, 2521 CA, The Hague, the Netherlands. The Chamber of Commerce number is 27124700.

Accounting principles applied

The corporate financial statements have been prepared in accordance with Part 9 of Book 2 of the Dutch Civil Code, where PostNL makes use of the option in Article 362 (8) to use the same accounting principles on recognition and measurement as applied in the consolidated financial statements.

PostNL’s investment in subsidiaries in the corporate financial statements are accounted for according to the equity method with the principles for the recognition and measurement of assets and liabilities and determination of results as set out in the notes to the consolidated financial statements. The share in the result of investments in subsidiaries consists of the share of the Company in the result of these investments in subsidiaries. Results on transactions involving the transfer of assets and liabilities between the Company and its investments in subsidiaries and mutually between investments in subsidiaries themselves, are eliminated to the extent that they can be considered as not realised.

The Company makes use of the option to eliminate intragroup expected credit losses against the book value of loans and receivables from the Company to investments in subsidiaries, instead of elimination against the equity value of the investments in subsidiaries.

As under Dutch GAAP a legal reserve for investments in subsidiaries is applicable, PostNL performed an assessment concluding no earnings restrictions are present that would otherwise require a legal reserve for investments in subsidiaries.

6.2 Result for the year

6.2.1 Salaries, pensions and social security contributions

In 2024, salaries, pensions and social security contributions amounted to €2 million (2023: €2 million). PostNL N.V. does not have any employees other than the Board of Management (2 FTE). For more information on the salary costs of the Board of Management, reference is made to note 5.1.

In June 2024, PostNL signed an agreement with Stichting Pensioenfonds PostNL for a payment of €20 million to resolve a dispute between the pension fund and De Nederlandsche Bank. As part of the agreement, the payment is expected to take place in HY 2026 and will then be exactly offset by a lower regular pension contribution payable.

6.2.2 Net financial expense/(income)

PostNL has financing relationships with both external banks and with PostNL companies, mainly with PostNL Finance B.V. As a result, PostNL records both external interest income and expenses from financial institutions and from PostNL Finance B.V.

PostNL Net financial expense/(income) in € million
2023, 2024

Year ended at 31 December	2023	2024
Interest expenses on long-term borrowings	7	14
Interest on taxes	0	1
Interest and similar expense	7	15
Other interest and similar income	(4)	(10)
Net financial expense/(income)	3	5

Interest expenses on long-term borrowings relate to the outstanding eurobonds. Reference is made to note 4.1 to the Consolidated financial statements.

6.3 Corporate statement of financial position

6.3.1 Investments in subsidiaries

The movement in the investments in subsidiaries is as follows:

PostNL Investments in subsidiaries in € million
2023, 2024

	2023	2024
Balance at 1 January	721	662
Share in result from subsidiaries	60	23
Dividend received	(114)	(20)
Exchange rate differences	0	1
Other	(4)	3
Balance at 31 December	662	669

6.3.2 Accounts receivable from group companies

As at 31 December 2024, accounts receivable from group companies amounted to €97 million (2023: €166 million) which mainly related to a receivable from PostNL Finance B.V. The fair value of the accounts receivable from and payable to group companies approximated the carrying value, due to the short-term nature. The allowance for expected credit losses has been assessed to be non-material.

6.3.3 Equity

PostNL Corporate statement of changes in equity in € million
2023, 2024

	Issued share capital	Additional paid-in capital	Currency translation reserve	Hedge reserve	Financial assets at fair value OCI	Other reserves	Retained earnings	Total shareholders' equity
Balance at 1 January 2023	39	163	2	0	11	1,267	(1,306)	177
Total comprehensive income			0	(3)	(6)	0	55	47
Appropriation of net income						(1,313)	1,313	0
Final dividend previous year	0	(0)					(7)	(7)
Interim dividend current year	0	(0)					(21)	(21)
Share-based compensation	0	2				0		2
Balance at 31 December 2023	40	165	2	(3)	6	(45)	34	198
Total comprehensive income			1	5	3	(0)	17	25
Appropriation of net income						23	(23)	0
Final dividend previous year	0	(0)					(11)	(11)
Interim dividend current year	0	(0)					(11)	(11)
Share-based compensation	0	1				(0)		1
Other						(1)		(1)
Balance at 31 December 2024	40	166	2	2	8	(23)	6	202

The currency translation reserve, hedge reserve and the reserve related to the financial assets at fair value through OCI are legal reserves. The total amount of these legal reserves is €13 million (2023: €5 million).

6.3.4 Eurobonds

As at 31 December 2024, the eurobonds amounted to €596 million non-current (2023: €299 million non-current and €353 million current). For the disclosure on the eurobonds, reference is made to notes 4.1 and 4.5 to the Consolidated financial statements.

In 2024, the non-cash changes in the total debt amounted to €1 million (2023: €1 million) and related to the amortisation of costs included in the eurobonds.

6.4 Other notes

Commitments and contingencies

Declaration of joint and several liability / Letter of Support

At 31 December 2024, the company issued a declaration of joint and several liability for some of its group companies in compliance with article 403, book 2 of the Dutch Civil Code, or a specific time-bound letter of support. The following overview includes a list of all related group companies.

PostNL Declaration of joint and several liability / Letter of Support
2024

DM Productions B.V.	PostNL Extra@Home B.V.
G3 Worldwide (Belgium) N.V.	PostNL Finance B.V.
G3 Worldwide Mail (UK) Limited	PostNL Health & Secure B.V.
G3 Worldwide Mail N.V.	PostNL Holding B.V.
Koninklijke PostNL B.V.	PostNL Pakketten België N.V.
Logistics Solutions B.V.	PostNL Pakketten Benelux B.V.
MyParcel Belgium B.V.	PostNL Real Estate B.V.
PostNL Cargo België B.V.	PostNL TGN B.V.
PostNL Cross Border Solutions B.V.	PostNL Transport B.V.
PostNL Customer Excellence B.V.	PostNL Transport Services B.V.
PostNL Data Solutions B.V.	PS Nachtdistributie B.V.
PostNL E-commerce Services B.V.

Fiscal unity in the Netherlands

The company forms a fiscal unity with a majority of its Dutch subsidiaries for corporate income tax and VAT purposes. A company and its subsidiaries that are part of these fiscal unities are jointly and severally liable for the tax payable by these fiscal unities.

Parental support

In addition to the declaration of joint and several liability in compliance with article 403, book 2 of the Dutch Civil Code, the company provided parental support relating to the following items:

• Committed revolving credit facilities of €200 million

• Bank guarantee facilities of €87 million

• Ordinary business activities of the Group of €51 million

• ISDA agreements

• Payment guarantee for self-insurance of WGA (“Werkhervatting Gedeeltelijk Arbeidsongeschikten”) benefit payments as of 1 January 2021.

Subsidiaries and associated companies at 31 December 2024

The list containing the information referred to in article 379 and article 414 of book 2 of the Dutch Civil Code is included in appendix 4.

Appropriation of profit

Dividend proposal 2024

In accordance with our dividend policy, the condition for paying out dividend is a leverage ratio (adjusted net debt/EBITDA) not exceeding 2.0. This condition was met per year-end 2024 (leverage ratio: 2.0). The Board of Management has decided, with the approval of the Supervisory Board, subject to shareholders approval at the 2024 Annual General Meeting of Shareholders, to declare a dividend of €0.07 per ordinary share over 2024, of which €0.03 per ordinary share has been paid as an interim dividend. The dividend will be paid, at shareholder's election, either in ordinary PostNL shares or in cash.

Appropriation of profit

The Board of Management, with the approval of the Supervisory Board, proposes to make the profit of €17 million and an amount of €14 million out of the distributable part of the shareholders' equity available for distribution of the proposed dividend. Subject to the adoption of PostNL’s financial statements by the General Meeting of Shareholders, and given a 2024 interim dividend of €0.03 has been paid, the proposed 2024 final dividend has been set at €0.04 per ordinary share of €0.08 nominal value, based on the outstanding number of 502,111,291 ordinary shares as per 31 December 2024. The final dividend of €0.04 will be paid, at shareholder’s election, either in ordinary PostNL shares or in cash. The dividend in shares will be paid out of additional paid in capital as part of the distributable reserves, free of withholding tax in the Netherlands.

Upon approval of this proposal, corporate profit will be appropriated as follows, whereby the final dividend represents a cash dividend under the assumption of 100% cash election.

PostNL Appropriation of profit in € million
2024

	2024
Result attributable to the shareholders	17
Appropriation in accordance with the articles of association:
Reserves withdrawn by the Board of Management and approved by the Supervisory Board (article 31, paragraph 2)	14
Dividend on ordinary shares	31
(Interim) dividend paid in cash	(11)
Final dividend	20

The Hague, the Netherlands, 24 February 2025

Board of Management

Herna Verhagen (CEO)
Pim Berendsen (CFO)

Supervisory Board

Jan Nooitgedagt (Chairman)
Jeroen Hoencamp
Marike van Lier Lels
Nienke Meijer
Ad Melkert
Martin Plavec
Koos Timmermans
Hannie Vlug

PostNL N.V.
Waldorpstraat 3
2521 CA The Hague
The Netherlands

Consolidated sustainability statement

PostNL Environmental disclosures as indicated
2023 - 2024

PostNL Social disclosures as indicated
2023 - 2024

PostNL Social disclosures (continued) as indicated
2023 - 2024

PostNL Governance disclosures as indicated
2023 - 2024

Section 1 : General disclosures

1.1 Basis for preparation

General basis for preparation of the sustainability statement

The consolidated sustainability statement includes the sustainability statement of PostNL N.V. and its consolidated subsidiaries (hereafter referred to as ‘PostNL’, ‘Group’ or ‘the company’) for the reporting year ended 31 December 2024.

The scope of the consolidated sustainability statement is the same as for the consolidated financial statements, see the list of group entities in appendix 4 for further information. No subsidiary undertakings are exempt from consolidated sustainability reporting pursuant to Article 19a or 29a of Directive 2013/34/EU.

On certain areas, the sustainability statement scope differs from the financial statements reporting scope:

• Acquisitions, divestments and mergers
  New entities acquired during the reporting year will be included in the first reporting year in which the entity was part of PostNL for the entire year. When we divest entities during the year, or when we classify entities as discontinued in our financial reporting, we exclude the sustainability information from the performance data in the report. For material and available information we will report the relevant sustainability performance information separately in this chapter of the report. In the case of mergers, we evaluate appropriate scoping on a case-by-case basis. In 2024, this did not lead to any differences between the financial statements and sustainability statement reporting scope.

• Performance by parties in our value chain
  Our sustainability statement includes the sustainability information of our value-chain and the subsequent performance of relevant parties, if applicable and available. However, for certain information, we limit our reporting to our own operations. We will explicitly disclose if value chain information is included in the scope of our information. In this case, the sustainability information covers our value chain information in alignment with the material impacts, risks, and opportunities identified by our double materiality assessment, for which we refer to the Our value chain and material topics and Double materiality assessment.

The sustainability statement is authorised for issue by PostNL’s Board of Management and Supervisory Board on 24 February 2025 and are subject to adoption at the Annual General Meeting of Shareholders on 15 April 2025.

Reporting criteria

The consolidated sustainability statement of PostNL:

• Has been prepared in accordance with the European Sustainability Reporting Standards (ESRS) as set out in Annex 1 to the Commission Delegated Regulation (EU) 2023/2772 of 31 July 2023 supplementing Directive 2013/34/EU of the European Parliament and of the Council

• Has been prepared guided by international guidelines, such as the Greenhouse Gas Protocol (GHG), the principles of the United Nations Global Compact (UNGC), Organization for Economic Co-operation and Development (OECD), and the UN Sustainable Development Goals (UNSDG)

• Has been prepared based on supplemental reporting criteria specific to PostNL for entity-specific reporting elements which are not covered by the above. This includes specific reporting methodologies, assumptions, and definitions.

Developments during 2024

Changes in legislation

At the time of publishing our 2024 Annual Report, the Corporate Sustainability Reporting Directive (CSRD) had not yet been formally transposed into Dutch law. Nonetheless, we have chosen to voluntarily report in alignment with the European Sustainability Reporting Standards (ESRS) for the reporting year ended 31 December 2024.

The CSRD replaces previous mandatory reporting directives and applies to PostNL as a large, publicly listed company based in the Netherlands. To support its implementation, the European Union has introduced the ESRS, which set out detailed disclosure requirements under the directive.

Our sustainability statement follows the ESRS framework, providing a comprehensive overview of our approach—from the double materiality assessment (DMA) to the disclosure of key reporting requirements. This includes our performance in managing material sustainability impacts, risks, and opportunities.

Ambition

We strive to be a leader in the transparent reporting of sustainability information. As an organisation that learns continuously, we are committed to ongoing improvement and development. The sustainability statement has been prepared in a context of new sustainability reporting standards requiring entity-specific and temporary interpretations. With 2024 marking the first year of the CSRD implementation, we will incorporate both internal and external lessons learned in the years ahead. We will also consider the latest insights and requirements in reporting, evolving guidelines, and practical implications, ensuring our approach remains robust and forward-looking.

ESRS content index

The ESRS content index lists the disclosure requirements we complied with in preparation of the sustainability statement, following the outcome of the materiality assessment including referencing where the related disclosure requirements are located in the sustainability statement or explanation in case the requirement is not applicable to us, refer to the ESRS content index.

International guidelines

Aligning with Taskforce on Climate related Financial Disclosures (TCFD)

PostNL recognises that climate change events can have an impact on our company and business. For many years, PostNL has included the reduction of GHG emissions in its strategy, and since 2018 we have externally disclosed the alignment of our climate action approach to TCFD. Throughout this report, we have addressed all four TCFD reporting recommendation elements to a relatively high level. We published a TCFD report in which we disclose in more detail the relevant aspects of the TCFD recommendations in the context of our operations and value chain. The report can be found here.

Greenhouse Gas Protocol

PostNL uses the reporting criteria as defined by the Greenhouse Gas Protocol to report its greenhouse gas (GHG) emissions. The production of direct and indirect CO₂ emissions represents the main GHG of PostNL. We also take other GHG emissions into account, such as CH₄ and N₂O, and report our climate change impact in CO₂ equivalents.

Commitment to UN Global Compact

As a UN Global Compact signatory since 2012, PostNL reports annually through an online submission the progress we are making to implement the ten UN Global Compact principles. These are related to human rights, labour, environment and anti-corruption. Aligned with the UN Guiding Principles on business and human rights, PostNL integrates these principles into our policies and practices, ensuring a commitment to respecting human rights across our operations and value chain. The UN Global Compact reference table appendix 3 provides an overview of the ten principles, and references the descriptions of progress made on those principles, in this report.

OECD guidelines

In relation to our international activities, we endorse the guidelines for multinational enterprises on responsible business conduct published by the Organisation for Economic Co-operation and Development (OECD). These non-binding guidelines provide recommendations in a global context consistent with internationally recognised standards and laws, and are the basis on which our human rights due diligence is based.

Contributing to the SDGs

The Sustainable Development Goals are a call to action by the United Nations (UN) to make progress on 17 global challenges in relation to peace and prosperity for people and planet. While the goals are agreed at government level, the call to action also applies to businesses. The SDGs are interrelated and relevant for PostNL, as we have an impact on all 17, both through our own operations and/or indirectly through our value chain. We actively engage with all SDGs while maintaining a strategic focus at the group level. This targeted approach enables us to enhance our impact on those SDGs most closely aligned with our core business activities, ensuring that our efforts are both meaningful and effective.

Based on SDG impact analysis and dialogue with our stakeholders, we identified and focus on four main SDGs. We connected our contribution to these SDGs with the long-term value creation process as described on pages 21 to 23 in the Our value creation model chapter. The most direct impact of our business operations related to SDG8 and SDG13. On SDG9 and SDG12 we look beyond our own operations and proactively engage with partners in our value chain to make progress. We have mapped the material topics to the focus SDGs and the contribution they make to the linked SDGs, as seen in the table on page 240.

We distinguish our impact between doing good (improving our positive impact) and avoiding harm (mitigating negative impact). For each SDG, we mapped the relevant PostNL topics to the related SDG sub goals to provide insight into where our contribution to the SDGs is to do good and where to avoid harm. The SDGs and sub goals (or sub targets as defined by the UN) are described qualitatively. We link the SDGs to our strategy through our key material topics and other relevant topics from our materiality matrix. We defined performance indicators on all our key material topics.

SDG 8: Decent work and economic growth

PostNL goal
Provide decent working conditions for our people, contribute to e-commerce growth, grow profitably and maintain an accessible, reliable and affordable postal service.

Our approach
We provide direct and indirect employment to more than 50,000 people. The health, safety and well-being of people working with and for us is our first priority (SDG 8.8). Our efforts in safeguarding road safety contributes to good health and well-being (SDG 3.6). Safety also includes psychological safety, which is why we focus on diversity, equity and inclusion in our human resources policy. This is linked to reducing inequalities (SDG 10.2). We want to be a good employer with favourable working practices. This also includes fair compensation (SDG 8.5), helping our people to develop themselves (contributing to quality education (SDG 4.3 and 4.5) and gender equality (SDG 5.5). Our strategy is based on continuous growth. As a logistics and postal service provider, we contribute to economic growth in both the regions and value chains in which we operate (SDG 8.1). Alongside this growth, we want to remain relevant by becoming more effective across our business and accelerate digitalisation to support this. We also want to transform through innovation (linked to SDG 9.5) towards greater integration in the ecosystems we are part of (SDG 8.2).

SDG 9: Industry, innovation and infrastructure

PostNL goal
We want to provide accessible, reliable postal services in the Netherlands as the dedicated postal operator. At the same time, we are continually developing our parcels network to capture growth effectively. We want to maintain and strengthen our state-of-the-art networks, which requires innovation and collaboration with business partners to develop the right infrastructure.

Our approach
We continue to invest in our network infrastructure, digitalisation and sustainability to further improve our core logistics (SDG 9.4). At the same time, we drive innovation through digitalisation to become a logistics market player more integrated with the ecosystems we are part of. Collaborating with our value chain partners on innovation is crucial for our long-term success (SDG 9.5). Improving our services and processes through re-designs based on customer journeys is one example. Developing new ways of working based on technology is another, which can be seen in our small parcel sorting centre. This sorting centre uses technology through robotisation to develop new processes that benefit PostNL and our customers. We are dependent on technological developments and other business partners to design and implement new ways of working, such as the transition to an electric fleet. For example, using solar panels as an energy source for our sorting centres is one area in which innovation and infrastructure helps us make a positive impact on affordable and clean energy (linked to SDG 7.2). And our switch to using electric vehicles in city centres, such as light electric freight vehicles (LEFVs), is helping us lower emissions while minimising traffic nuisance to improve accessibility (linked to SDG 11.2).

SDG 12: Responsible production and consumption

PostNL goal
We want to reduce our ecological footprint by changing the way goods and resources are produced and consumed in collaboration with others within our value chain.

Our approach
We engage with partners in our value chain to promote more sustainable alternatives, such as smaller, more sustainable packaging. This includes using natural resources more efficiently, and minimising pollution/waste to air, land and water, which relates to environmental aspects (linked to SDG 11.6) and health and well-being of people (linked to SDG 3.9). At the same time, we are becoming ever-more transparent about our direct and indirect environmental impact, and take actions to make our procurement practices compliant with legal requirements and our own policy. Waste management forms part of our certified environmental management system and is bound to (local) regulations. As well as reducing or treating our own waste in the best ways possible, we also engage with suppliers and customers on this topic, such as in relation to more sustainable packaging. Our purchasing department aims to add two purchased goods per year that are made of circular resources. And in a bid to move closer to a circular economy, we are working with a number of e-tailers to collect and recycle e-waste.

SDG 13: Climate action

PostNL goal
Reduce our impact on climate change by implementing measures to reduce our GHG emissions across all of our operations.

Our approach
We designed our emission-reduction targets to contribute to limiting global warming in line with the Paris Agreement on climate change. These targets are set to reduce direct and indirect GHG emissions from our own operations and outsourced activities (SDG13.2). Beyond our own climate action, we want to stimulate our logistics partners to decarbonise their activities for us by raising awareness and promoting active engagement. We have established long-term Science-Based Targets (SBT), approved by the SBT Initiative, to reduce our environmental footprint and drive sustainable growth of the business. Climate change impact goes beyond sustainable logistics at PostNL. With our targets and experience, we are actively engaged with our value chain partners on both climate change mitigation and adaptation through dialogues and partnerships at different levels (SDG 17.6). As a UN Global Compact signatory since 2012, PostNL reports annually, through an online submission, the progress we are making to implement the ten UN Global Compact principles. These are related to human rights, labour, environment and anti-corruption. The UN Global Compact reference table appendix 3 on page 383 provides an overview of the ten principles, and references the descriptions of progress made on those principles, in this Annual Report.

PostNL Connecting value creation to SDGs

Material methodologies, assumptions and definitions applied

The basis for preparation, including the material methodologies and assumptions applied in the preparation of this consolidated sustainability statement, are included at the relevant disclosures to the consolidated sustainability statement. This includes specific reporting definitions as presented on pages 379 to 382 in the Glossary and definitions appendix. These methodologies, assumptions and definitions have been consistently applied across the years presented, and consistently during the financial year under review, unless stated otherwise.

Note that the numbers presented in the sustainability statement and disclosures thereto may not sum precisely to the totals provided, and percentages may not precisely reflect the absolute figures due to rounding.

Reporting process to safeguard reporting quality

Long-term value creation requires companies to steer both on the financial and sustainability aspects of business. Certain sustainability aspects contribute directly or indirectly to financial performance, and often have a greater impact over the medium to long term. At PostNL, we believe that an integrated approach towards performance management is key to ensuring the company creates stakeholder value in the long run.

Integrated reporting as guidance

The Integrated Reporting framework of the International Integrated Reporting Council (IIRC) provides guidance on how companies should communicate about value creation. PostNL used the guiding principles and main content elements of the framework as input for this Annual Report. PostNL aims to further develop its corporate reporting communication on long-term value creation.

Quality principles

In line with the qualitative characteristics of information, PostNL applied high quality standards when preparing the sustainability statement in this Annual Report. This means that the company ensures that the information this report provides is:

• Accurate: Precise and with sufficient level of detail

• Balanced: Reflects relevant, and both positive and negative, aspects of performance

• Clear: Understandable and accessible for stakeholders

• Comparable: Consistent and allows for comparability over time

• Complete: Sufficient to assess impacts during the reporting period

• Sustainable context: About impacts of sustainable development

• Timely: Allow stakeholders to make informed decisions

• Verifiable: Auditable.

Processes, systems and controls

PostNL employs structured and formalised processes to record, validate, and consolidate sustainability data for both key performance indicators (KPIs) and ESRS data points.

ESG-related KPIs are integrated into the regular planning and control cycle, including budgeting, target setting, and periodic performance monitoring. We collect and report sustainability performance data on selected KPIs monthly, while other indicators are reported biannually or annually, depending on their nature.

Each reporting entity is responsible for managing its sustainability data and actively monitoring its performance. While most data is recorded in central PostNL systems, additional systems are used for certain entities and indicators. To ensure a seamless consolidation process, we use an integrated IT system that captures both financial and sustainability data. Certain indicators, such as employee engagement, are collected and processed centrally.

We aim to report based on actual data wherever possible. In some cases, we apply extrapolation to determine the performance of smaller entities, provided this yields reasonably predictable results. Further insights into the use of extrapolations can be found on page 378 in the Data extrapolation table in the Appendices.

To ensure consistent and reliable reporting, PostNL has established company-wide definitions for each KPI and ESRS data point. Additionally, we have implemented formal quality controls within our reporting system. Both data owners (first line) and the control department (second line) conduct decentralised and centralised analyses to assess accuracy, completeness, and explain unexpected trends. These controls form part of an integrated internal control framework, covering both financial and sustainability reporting.

However, the internal control framework for sustainability data is still maturing and not yet as advanced as that for financial reporting. This is due to inherent limitations, such as the evolving regulatory landscape, diverse data sources, manual processes, and limited automated controls. Over the coming years, we will take further steps to strengthen this framework.

Disclosures in relation to specific circumstances

To provide an understanding of the effect of specific circumstances on the preparation of the sustainability statement, we disclose upon these if applicable.

Time horizons

We define the time horizons for reporting purposes in line with ESRS 1, respectively:

• Short term: one year or less, 2025

• Medium term: two to five years, 2026 - 2030

• Long term: over five years, 2031 and later.

Value chain estimation

Our environmental, social and governance metrics predominantly cover our own operations. For certain information, we extend our reporting to the performance of relevant parties in our value chain.

Environmental metrics related to scope 3 GHG emissions include value chain data which includes estimates. No primary data is obtained from suppliers or other value chain partners to estimate the scope 3 GHG emissions. Our value chain consists of suppliers delivering goods and services as well as delivery partners for our outsourced transport activities. This includes the CO₂e emissions and kilometres of our transport logistics partners, both in the Benelux and beyond, including truck, air and boat transport. We include all emissions for transport directly arranged by PostNL. This excludes first- and last-mile transport where PostNL is not involved in organising the logistics.

Social metrics related to fatalities, road traffic accidents with third party death and incidents of discrimination and complaints include actual value chain data. In addition to PostNL its own workforce, we report over fatalities of our work contracted-out and workers in the value chain working on PostNL sites, and the road traffic accidents with death of third party road users. Furthermore, we report on the full scope of incidents and complaints reported in our global platform. This means that we report the total number of incidents from both our own workforce and workers in the value chain.

Sources of estimation, outcome certainty and judgements

The preparation of PostNL's consolidated sustainability statement in accordance with ESRS requires management to make estimates and assumptions that affect the reported metrics. It also requires management to exercise its judgement in the process of applying PostNL’s methodology and assumptions.

PostNL strives to report the sustainability information as accurately and completely as possible. Due to inherent limitations in relation to the uncertainty of measurement equipment and/or availability of actual data, we use estimates, assumptions and judgements in our reporting. Estimates, assumptions and judgements are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. The resulting management positions will, by definition, seldom equal the related actual results. On a continuous basis, we evaluate our expectations with the actual results, and include the learnings going forward. Where applicable, planned actions to improve the accuracy and outcome uncertainty of sustainability information in future annual reports are disclosed in the relevant material topic. The areas involving a higher degree of judgement or complexity, or areas where assumptions and estimates are significant to the consolidated sustainability statement, are disclosed below.

Environmental metrics

Emissions reporting provides inherent limitations to the accuracy of information. The main reason is the unavailability of data from contracted parties by PostNL about their factual transport kilometres, energy consumption and CO₂e emissions. Actual emissions monitoring is not common and therefore conversion factors published by external institutes are used. PostNL used the following significant estimates to report its emissions.

Fuel consumption and kilometres of delivery partners 

For delivery partners, we calculate the fuel consumption using kilometres based on planning or actual route information from our operational systems and the average fuel consumption of our own fleet of comparable vehicles. In order to make conservative estimations, we assume all delivery partners use diesel vans in those cases where we have no insight into the vehicles used. In 2019, we started to register information of vehicles used by delivery partners to obtain better insights in the vehicle mix. For those networks where we have this mix available, we use it to estimate the fuel consumption per vehicle type.

Kilometres transported by foot, bike and trucks

The kilometres covered by foot, bike or e-(cargo) bike consist of all kilometres made during deliveries. We use several sources to estimate the total kilometres based on chance of occurrence, volumes and number of times travelled to the retailer. The kilometres driven by our small and large trucks are based on actual data where available and processed through different systems. In situations where the actual data is not available or (automatic) processing of data leads to mismatches, we use (automatic) extrapolation of missing or implausible kilometre data based on average fuel consumption per kilometre.

Carbon emissions for international activities

For both road and air transport, PostNL calculates the tonne-kilometres carried based on the distance travelled (between the Netherlands and the hub of the destination) and the actual weight of the parcels and mail transported. For trucks, PostNL uses publicly available route planning information, and for air travel PostNL uses publicly available information (Great Circle Mapper) to calculate the great circle distance between airports. Carbon emissions are calculated based on publicly available emission factors per tonne-kilometre.

Carbon emissions for supplier goods and services and capital goods

Because no actual data is currently available from our suppliers to accurately calculate related CO₂e emissions, we made estimations based on the amount of spend purchased. The total spend was broken down in product categories. The spend per product category was multiplied with a corresponding generic factor which states the associated CO₂e emissions per euro spend.

Emissions conversion factors

PostNL uses several sources for the emissions conversion factors, which have a scientific basis involving judgment but are considered reliable and among the most common sources:

• CO2emissiefactoren.nl; the tank-to-wheel (TTW) carbon conversion factors from activity data to CO₂e emissions published by the independent Dutch initiative tied to the government "CO2emissiefactoren.nl". The carbon conversion factors are updated upfront annually. For 2024 reporting, we used the conversion factors published in 2023. This initiative manages a uniform list of factors commonly used and scientifically based for the Dutch context.

• Department for Environment, Food & Rural Affairs (DEFRA); this UK institute provides CO₂e conversion factors used to calculate CO₂e emissions based on tonne-kilometres (tkm) needed for our international truck routes.

• International Energy Agency (IEA); the carbon conversion factors of electricity use outside the Netherlands are not provided by CO2emissiefactoren.nl, so PostNL uses the factors published by the International Energy Agency (IEA), an autonomous body in the framework of the OECD.

• Parcel Delivery Environmental Footprint (PDEF - prEN 17873); emission factors for particle matter (PM₁₀, PM_2.5) for brake, tyre and road surface wear.

The most recent Global Warming Potential (GWP) values published by the IPCC based on a 100-year time horizon are used to calculate the above conversion factors.

Energy consumption and NO_x and PM₁₀/PM_2.5 emissions

We use standard, publicly available Dutch energy conversion factors to convert activity data from buildings and vehicles to energy consumption in megawatt hours (MWh). The emissions of NO_x (nitrogen oxides) and PM₁₀/PM_2.5 (particle matter) are not directly related to the usage of combustion fuels, but depend mainly on the efficiency of the engines of vehicles. Because the actual emissions of NO_x and PM₁₀/PM_2.5 are not measured, we use the maximum allowed emissions for the various European emission standards of vehicles we use (Euro 5 or Euro 6) in grammes per kilometre. By using the maximum allowed emissions, PostNL reports the NO_x and PM₁₀/PM_2.5 tailpipe emissions conservatively. In addition to particle matter caused by combustion, we also report on PM₁₀ and PM_2.5 caused by brake, tyre and road surface wear by using emission factors of PDEF.

Resource inflows

The scope of resource inflows is limited to selected products and supplier responses applicable to our locations in the Netherlands included in the pilot over the period July 2023 until June 2024, resulting in a supplier response rate of 81%. Where weight data was missing, established methodologies were used to scale figures, to provide a comprehensive view.

Social metrics

We have applied estimation and judgement to be able to report on the recordable accident CSRD definition. Based on a statistical sample, we have classified the recordable work-related accidents according to the CSRD definition.

Governance metrics

We report on the full scope of our suppliers for our payment practices, which includes both large and small and medium enterprises (SMEs), and provide a reliable proxy for the payment practices of the SMEs.

Extrapolation of lacking or missing data

We strive to report sustainability performance data based on actuals as much as possible. We may use extrapolation of results of large entities to determine the performance of smaller entities. This reduces the administrative tasks for smaller entities. We only use this method in cases where the extrapolations are reasonably predictable. More information can be found on page 378 in the Data extrapolation sustainability statement in the Appendices.

Significant judgements

PostNL applies significant judgements for metrics by applying statistical sampling. Employee engagement and delivery quality of mail are key performance indicators measured on a sample basis. PostNL aims to report performance data that provides a representative view of the population from which the sample is taken. To achieve this representativeness, PostNL ensures the sample sizes are statistically sufficient and include all different sub-populations to justify our assumption that the result of the measurement represents the view of the entire population for the indicators mentioned.

Forward-looking information

Some statements in this Annual Report are 'forward-looking statements', including prospective information such as ambitions, plans, objectives, targets and expectations. By their nature, 'forward-looking statements' involve risk and uncertainty because they relate to and depend on circumstances that occur in the future. These statements involve known and unknown risks, uncertainties and other factors that are beyond PostNL’s control and impossible to predict and may cause actual results to differ materially from any future results expressed or implied. They are based on current expectations, estimates, forecasts, analyses and projections about the industries in which PostNL operates and PostNL management’s beliefs and assumptions about future events.

Undue reliance cannot be placed on these 'forward-looking statements' by readers of this Annual Report, and these statements only speak as of the date of this Annual Report and are neither predictions nor guarantees of future events or circumstances. PostNL does not undertake any obligation to release publicly any revisions to these statements to reflect events or circumstances after the date of this Annual Report or to reflect the occurrence of unanticipated events, except as may be required under applicable securities laws.

Changes in preparation or presentation of the sustainability information

Developments in business, reporting requirements and methodology improvements influence the way PostNL measures, calculates and reports its performance data. In addition, we are continuously trying to improve data reliability and our methodologies. No disclosures stem from other legislation or generally accepted sustainability reporting pronouncements.

In preparation for the implementation of the Corporate Sustainability Reporting Directive (CSRD) in 2024, we have, for the first time, aligned our metrics with the requirements set out in the European Sustainability Reporting Standards (ESRS). This alignment may have resulted in adjustments to the compilation or calculation of certain metrics, or in modifications to the way our data is presented, in accordance with the prescribed methodologies or tables, compared to previous years.

As 2024 marks the first year of application of the CSRD, no prior period errors are identified that need to be disclosed and PostNL is not required to disclose comparative information for previous years. However, where practicable, we have included quantitative data from prior financial years to provide context and enhance transparency. Comparative information is only reported where it can be obtained, calculated, and presented with reasonable effort—particularly in instances where the data closely correlates with metrics disclosed in previous reporting periods.

Incorporation by reference

To ensure compliance with ESRS disclosure requirements while maintaining a structured and coherent report, we apply incorporation by reference where appropriate. This approach allows us to avoid duplication and present relevant information in the most meaningful context within our Annual Report.

Whenever a disclosure requirement, including a specific data point, is incorporated by reference, we explicitly indicate this in the sustainability statement through a chapter and page reference.

Additionally, we refer to other relevant sections of the Annual Report to provide a comprehensive and interconnected view of our integrated reporting, ensuring that related information can be read in its proper context.

External assurance

In addition to the internal controls and internal audit, we engaged KPMG as our independent external auditor to provide limited assurance on the information in the sustainability statement.

1.2 CSRD governance

CSRD programme structure

We established a programme structure to implement the CSRD, with an expanded ESG and CSRD governance setup that includes a temporary CSRD Steering Committee. This committee, mandated by the Board of Management (BoM), oversees CSRD implementation, supports decision-making, and manages discussions related to, for example, materiality, policy, and target-setting. The CSRD implementation is temporarily integrated into structural consultation bodies and task forces for as long as needed to ensure successful and timely implementation.

Task forces, comprising members from Group Reporting, Group ESG Strategy, and the Business, with support from Risk Management and Internal Control (RMIC), work collaboratively and report to the CSRD Programme Manager on the progress and status. Group Reporting and Group ESG Strategy are together accountable for the organisation-wide CSRD compliance programme and, along with the programme manager, provide monthly updates to the Steering Committee, which is chaired by the CFO, the ESG topic owner for the BoM.

The Executive Committee (EC) receives quarterly updates on progress, and the BoM is the decision-making body for topics such as ESG KPIs and strategy, reporting these directly to the Supervisory Board (SB) committees. The SB has an ESG Committee focused on oversight of ESG in a broad sense, while the Audit Committee focuses on oversight of risk management, internal control, reporting and auditing of financial and non-financial information.

The general governance processes, controls, and procedures we have in place to monitor, manage and oversee sustainability topics are described in the Governance. More information on the BoM and the SB of PostNL, including their composition and diversity, roles and responsibilities, expertise and skills, and the information provided on, and sustainability matters addressed, are described on pages 118-126 in the Report of the Supervisory Board chapter and on pages 128-131 in the Corporate governance chapter.

Integration of sustainability-related performance in incentive schemes

More information on the integration of sustainability-related performance in the incentive schemes and the application of our Remuneration Policy during the year can be found on pages 144-154 in the Remuneration report chapter.

Statement on due diligence

PostNL is committed to responsible business conduct and due diligence, in line with our commitment to the UN Global Compact, which is embedded into the governance, strategy, and business model by ensuring that administrative, management, and supervisory bodies receive relevant information on sustainability matters. Sustainability performance is linked to incentive schemes, and material impacts, risks, and opportunities are thoroughly assessed in connection to the strategy and business model. More information can be found on pages 144-154 in the Remuneration report chapter and the Double materiality assessment.

Due diligence is an ongoing process that responds to and may trigger changes in our strategy, business model, activities, business relationships, operating, sourcing and selling contexts. Our process of due diligence involves an ongoing analysis of the actual and potential impacts of our business activities on people or the environment through consultations with impacted stakeholders, feedback mechanisms and desk researches on publicly available information. The outcome of our due diligence process is incorporated in our double materiality assessment. The sustainability statement may not include every impact, risk and opportunity or additional entity-specific disclosure that each individual stakeholder may consider important.

Yet, by involving affected stakeholders at every key step of the due diligence process, we ensure that these perspectives inform our decisions and actions. Information on how we capture stakeholders' interests and views can be found in the Interest and views of stakeholders. As part of responsible business conduct and due diligence, we identify and assess adverse impacts on people and the environment. How we pinpoint these adverse impacts can be found in the Double materiality assessment.

Addressing negative impacts on people and the environment is a priority as part of our commitment to responsible business conduct. The actions are taken to mitigate these impacts, and the effectiveness of these responsible business and due diligence efforts is closely monitored, tracked and communicated in Our performance subsections in the Environmental, Social and Governance disclosures throughout the Sustainability statement.

Risk management and internal controls over sustainability reporting

Senior management (first line) is responsible for the internal control environment within their area of responsibility and are required to perform self-assessments on the design and operating effectiveness of our internal control environment. This is monitored by risk management and compliance functions (second line) and the results are discussed in the Internal Control Committee (ICC), which includes senior executives and is attended by the external auditor. The information related to risk management and internal controls over sustainability reporting and the relation between the DMA and ERM, including our risk prioritisation methodology can be found in Basis for preparation , Double materiality assessment and on page 84 in the Risk and opportunity management chapter.

1.3 Our strategy and business model

Our purpose is to deliver special moments and our ambition is to be your favourite deliverer. Every day at PostNL, we remain focused on delivering special moments. The context in which we operate, our position and role in our value chain, the market developments around us, and how we engage with stakeholders, including shareholders, is explained in our value chain infographic later in this chapter. In this infographic, we have also plotted our material topics as result of the DMA assessment on our value chain.

Our value creation model illustrates our business model and our process of achieving long-term value for our customers, our people, society and investors by providing e-commerce and postal services. More information can be found on pages 20-21 of the How we create value chapter.

Our activities can be mapped under the Nomenclature of Economic Activities (NACE) codes, the European statistical classification of economic activities, category H, specifically H53 - Postal and courier activities. As a result PostNL is marked as operating in a high climate impact sector. Detailed information on how we aim to realise our purpose and ambition as well as an explanation of our business activities can be found on pages 26-30 in the Our strategy chapter and on pages 20-23 in the How we create value chapter.

Sustainability-Linked Financing Update

In June 2024, PostNL took a next step in realizing our strategic objectives and reinforcing our commitment to sustainability by successfully issuing €300 million sustainability-linked notes, set to mature on 12 June 2031. Issued under PostNL’s newly established Sustainability-Linked Financing Framework (SLFF), the funds raised will be utilised for general corporate purposes. The notes were priced at 99.557, with an annual coupon rate of 4.75%. Further details about the notes and the SLFF are available here.

Within the terms and conditions of the €300 million sustainability-linked notes, a Step-Up Event is included, which depends on achieving the three Sustainability Performance Targets (SPT) Conditions. The initial rate of interest payable on the notes will increase 1.000 per cent per annum in case of a Step-Up Event, resulting in a "Rate Adjustment". The Rate Adjustment (if any) shall be effective and accrue from and including 12 June 2030 and the amount of interest payable on the final interest payment date shall be adjusted accordingly.

PostNL will report on the status of the three SPT Conditions on a yearly basis. The SPT Conditions are:

• SPT Condition 1: means the scope 1 and scope 2 GHG emissions reduction percentage, measured as a percentage change at the end of the financial year from the financial year ended 31 December 2021, as reported by PostNL pursuant to the reporting requirements as of the SPT observation date being greater than 90%;

• SPT Condition 2: means the scope 3 GHG emissions reduction percentage, measured as a percentage change at the end of the financial year from the financial year ended 31 December 2021, as reported by PostNL pursuant to the reporting requirements as of the SPT observation date being equal to or greater than 45%;

• SPT Condition 3: means the senior management positions percentage as reported by PostNL pursuant to the reporting requirements as of the SPT observation date being equal to or greater than 36%.

In 2024, scope 1 and market based scope 2 emissions were 21 kilotonnes CO₂e. This represents a decrease of 38%, compared to base year (2021: 35). In 2024, scope 3 emissions were 266 kilotonnes CO₂e. This represents a change of 21%, compared to the base year (2021: 339). More information on our performance on scope 1, 2 and 3 can be found in the Environmental disclosures, section Climate change, Our performance.

In 2024, 35% of senior management was women (2023: 33%). More information on our performance relating to the representation of women in senior management positions can be found in the Social disclosures, section Own workforce, Our performance.

1.4 Interests and views of stakeholders

Introduction

As a listed company with a long and proud history in the Netherlands, we have an intricate stakeholder landscape. We engage with our internal and external stakeholders in different ways, on different levels and on different topics to better understand their interests and the way our activities affect their decision-making process. This helps us understand which topics are most material, and are of greatest significance to our stakeholders.

Understanding the expectations of stakeholders helps PostNL allocate resources effectively on relevant topics while focusing on adding short-, medium-, and long-term value. In addition to our day-to-day contact with stakeholders, PostNL also engages through regular and topic-specific stakeholder dialogue to understand our stakeholders' insights, priorities and expectations. These discussions provide valuable input and help us decide what topics we need to focus on and how to make a positive difference. More information can be found in the Our operating context chapter, and Our value chain and material topics below.

Key stakeholders

PostNL operates in a dynamic environment where effective engagement with diverse stakeholder groups is critical to its success. The financial market cluster, comprising investors, capital providers, and financial rating agencies, focuses on PostNL's financial performance and long-term value creation, while government and regulatory bodies ensure compliance and policy contributions in a highly regulated industry. Additionally, PostNL actively interacts with the media, communities, and industry peers to maintain transparency, foster social responsibility, and address market trends. By adopting a comprehensive and proactive stakeholder engagement strategy, PostNL builds trust, strengthens its market position, and demonstrates its commitment to sustainability and corporate responsibility. For more information see the stakeholder engagement table on the next page.

At PostNL, our key affected stakeholders are our customers, consumers and end-users, our people, and our business partners. We prioritise their needs and interests as they are essential to the success and sustainability of our company, and hence provide additional information on these stakeholder clusters and our stakeholder engagement.

Customers, consumers and end-users

PostNL operates a major delivery network in the Benelux, ensuring accessible and reliable parcel logistics and postal services. Continuous investment in service quality is made through the enhancement of out-of-home channels like parcel lockers and retail points, digital platforms and services, and improving access for persons with disabilities. Stakeholder views, in particular those of consumers and end-users, are a critical input to our strategy and business model. This customer-centric approach helps strengthen relationships and foster long-term alliances, essential for strategic growth.

Our people

In response to increasing competition, price pressures, and a tight labour market, PostNL evolved from operating with separate business lines to a central corporate strategy. This strategy, with its nine strategic priorities, focuses on ensuring business sustainability and workforce engagement. By mitigating potential negative impacts on our workforce resulting from business pressures and promoting positive outcomes such as employee engagement, health, and well-being, PostNL strengthens its competitive position while maintaining employee satisfaction.

To further integrate its ESG strategy, PostNL engages its workforce to identify material ESG topics and involve them in shaping the corporate strategy. In 2023, the company organised a stakeholder dialogue on 'Social presence and responsibility,' which informed our 2024 DMA. This dialogue provided new insights, such as the view that community engagement is a shared responsibility among relevant partners in the value chain, which were used to define our material ESG topics and further shape our ESG strategy.

Employee feedback, gathered through the PostNL Employee Engagement monitor, plays a critical role in shaping HR strategies. Participation in decision-making processes is ensured through works councils (ORs), with each business unit having its own OR. These councils not only advise but also approve or reject certain decisions, particularly those that could have a direct impact on employees. This multi-layered approach to workforce engagement, combined with the company’s strategic focus, helps PostNL create a work environment that supports its employees and contributes to the long-term success of the organisation.

Business partners

PostNL integrates stakeholder views, including those of suppliers and value chain workers, into its strategy and business model. This engagement has been crucial in defining material ESG topics and shaping PostNL’s sustainability strategy. As part of our double materiality assessment, we involved stakeholders, including delivery partners, to identify impacts, risks and opportunities.

To further support our suppliers and value chain workers, we are committed to building strong and ethical relationships across our supply chain, which enhances our resilience and operational efficiency while upholding our sustainability commitments. Additionally, PostNL has implemented broader supplier engagement channels, beyond just delivery partners, ensuring that feedback mechanisms capture insights from a wider range of stakeholders to strengthen collaboration. To further support our suppliers and value chain workers, we have implemented third-party risk management for Parcels Netherlands and Belgium, focusing in particular on addressing human rights topics in delivery partner contracts and dialogues. Additionally, through our supplier engagement channels, including a sounding board for delivery partners, PostNL periodically gathers feedback on strategy and collaboration impacts.

PostNL engages with stakeholders on topics such as environmental, social, and governance (ESG) matters, through stakeholder dialogue and materiality assessments. This engagement helps shape our corporate and ESG strategies, integrating stakeholder views into key areas such as social presence and responsibility. Insights gained from these dialogues emphasise broad community engagement as a shared responsibility across our value chain. To further enhance customer experience, PostNL uses the competitive net promoter score (cNPS) as a primary customer loyalty metric. This allows us to focus on delivering distinctive customer experiences and continuously improve our services. Regularly tracking NPS enables us to gather actionable insights from consumer feedback. We combine this feedback with operational data, studying links like the NPS of a consumer who received a parcel and the logistics journey of that delivery. These insights directly drive improvements, such as new delivery options, products, or expanded services.

Stakeholder involvement in the DMA process

PostNL’s stakeholder engagement strategy is comprehensive and multifaceted, addressing the unique needs and concerns of each stakeholder group. Through regular and transparent communication, proactive engagement, and a commitment to sustainability, PostNL builds strong, trust-based relationships with stakeholders. This strategic approach not only ensures organisational success but also contributes to our broader societal and environmental goals, reinforcing our position as a leader in the logistics and postal industry.

Our commitment to stakeholder engagement is further reinforced by our adherence to the CSRD. As part of the double materiality assessment (DMA), we conducted consultation sessions with a diverse group of internal and external stakeholders to validate our identified impacts, risks, and opportunities. Using stakeholder clusters and groups, we ensured the inclusion of our most relevant and important stakeholders, gathering valuable input on PostNL’s broader sustainability performance. Governance plays a critical role in this process.

The Board of Management is regularly updated on key sustainability and stakeholder engagement initiatives through the CSRD Steerco meetings, keeping them informed on the latest developments and strategic decisions. Additionally, the Supervisory Board receives quarterly updates on our ESG efforts and progress through ESG Committee meetings, held three times last year. These meetings provide comprehensive insights into our sustainability performance and reinforce the alignment of our strategy with stakeholder expectations. More information on the Board of Management and Supervisory Board’s involvement in the DMA process can be found in the following Double materiality assessment section below.

PostNL Stakeholder engagement

1.5 Double materiality assessment

Introduction

At PostNL, we engage with our internal and external stakeholders on a diverse range of sustainability matters within the environmental, social, and governance (ESG) domains. To identify the most relevant topics, we apply a two-fold approach; on the one hand, the impact PostNL has on society and its stakeholders (inside-out view), and on the other hand, the risks and opportunities of these sustainability related developments on PostNL (outside-in view). This approach is known as the double materiality assessment (DMA).

Based upon initial steps taken in 2022, and subsequent steps taken during 2023, PostNL finalised the DMA process, including value chain identification and mapping, internal and external validation sessions, and approval of the DMA process and outcome in the first half of 2024.

This section outlines our methodology, process and material topics identified.

1.5.1 Methodology

We performed our DMA process in line with the European Sustainability Reporting Standards (ESRS), and identified the topics which are the most relevant, (read: material) and therefore are addressed in our 2024 sustainability statement.

Identification of topics

PostNL has considered the full scope of ESG sustainability matters as prescribed by the ESRS as well as any other matter that is material from an entity-specific perspective.

The compilation of our long list of potential material topics involved gathering, defining, refining, and substantiating potential impacts, risks, and opportunities from a variety of inputs, including:

• Input from previous materiality assessments and third party consultation sessions

• Impact and risk assessments

• Desktop research, which encompassed:

  • Peer reviews

  • Analysis of market trends

  • Sector reports

  • Insights from benchmarks and ratings

  • Media searches

• Stakeholder dialogues

• Relevant policies, reports, and surveys.

These diverse inputs helped to ensure a thorough and well-rounded identification process, forming the foundation for our subsequent materiality assessment.

Business activities and value chain mapping

A key starting point of our DMA is understanding the context in which we operate and mapping our value chain. We created a comprehensive overview of PostNL’s business activities. This overview enables us to assess which sustainability matters are caused by PostNL, which we contribute to, or are linked to our operations, products, and services through direct or indirect relationships across both our upstream and downstream value chain. For more information, please see the infographic later in this section.

Assessing impact, risks and opportunities

The ESRS require a DMA that encompasses both an impact and a financial materiality assessment. The impact materiality assessment takes an 'inside-out' perspective, evaluating the organisation’s actual or potential and positive or negative impacts on people and the environment. In contrast, the financial assessment adopts an 'outside-in' view, considering the actual or potential risks and opportunities that may have financial implications for the organisation. A sustainability matter may be considered material based on its impact, its financial significance, or, as is often the case, both.

Impact materiality

Impacts related to sustainability matters on people and the environment can be either positive or negative, actual or potential, and may occur over the short, medium, or long term. To see where these impacts arise within our value chain, please see the infographic later in this chapter. To quantify the impact materiality, we score on four key parameters: scale, scope, remediability, and likelihood.

Each parameter is evaluated on a 5-point scale. Materiality thresholds have been set based on the ESRS guidelines, supported by a technical approach and informed professional judgement. These thresholds were also established in alignment with our ERM process to ensure consistency across the organisation.

Financial materiality

Our approach to assessing risks and opportunities is focused on understanding the interconnections between PostNL’s organisational impacts, dependencies, and the resulting risks and opportunities. This has enabled us to evaluate how negative impacts might translate into risks, while positive impacts could present opportunities. Both actual and potential impacts were considered, with an emphasis on their long-term effects on enterprise value.

Risks and opportunities related to sustainability matters affecting people and the environment can impact a company’s financial position, performance, or cash flow in the short, medium, or long term. Information into where these risks and opportunities occur are visualised in the infographic later in this section. To quantify the financial materiality, we score on two parameters: the magnitude of the financial effect and its likelihood. Materiality thresholds were set in line with the ESRS guidelines, supported by a technical approach and professional judgement.

To ensure alignment with our existing processes, we applied the same scale and categorisation of risks and opportunities used within our ERM framework. We are currently focused on identifying the optimal method to integrate the financial risks and opportunities identified through the DMA into our ERM framework, please see page 84 in the Risk and opportunity management chapter for further information on the integration of the DMA with ERM, IC, and our strategic plan.

Data sources, scope of operations and assumptions

For our DMA process, we carefully selected the data sources, scope of operations and assumptions across the environmental, social, and governance (ESG) dimensions to ensure a comprehensive evaluation.

Environmental dimension 

For the environmental dimension, input parameters included data from spend analyses using the CE Delft methodology to set science-based targets (SBTi), assessments of greenhouse gas (GHG) emissions, and studies on renewable energy usage. These inputs were applied throughout our entire value chain, from suppliers to customers, taking into account regulatory impacts such as the EU’s Packaging and Packaging Waste Regulation (PPWR).

Social dimension 

For the social dimension, input parameters were drawn from employee feedback, dialogues with external stakeholders, and labour inspection reports. This covered key aspects such as health, safety, and working conditions for both employees and non-employees, including our delivery partners.

Governance dimension 

For the governance dimension, input parameters included corporate policies, compliance assessments, and internal dialogues and surveys. These provided insights into our corporate culture and governance effectiveness, particularly in reducing unethical behaviour and enhancing overall business performance.

1.5.2 DMA process

Following the materiality overview and identification of potential impacts, risks, and opportunities, we validated with internal and external stakeholders, and the outcomes were formalised by Board of Management and Supervisory Board approval.

Validation of topics

After the identification of potential impacts, risks, and opportunities, we conducted several consultation sessions across the ESG domains with key internal stakeholders. These sessions aimed to validate the descriptions and associated scoring of the identified IROs. Drawing on the expertise of colleagues from departments such as ESG strategy, Group Reporting, business owners, subject matter experts within PostNL, Risk Management, and Internal Control, we validated our assessments. This collaborative approach has strengthened our understanding and evaluation of impacts, risks, and opportunities. Additionally, we validated the outcomes with external stakeholders. Amongst others, we organised sessions in 2024 with our business partners, investors, customers, governmental bodies, thought leaders, NGOs, and employee representatives, as embodied by our trade unions and works councils. The insights and feedback from these discussions played a critical role in ensuring our assessments were aligned with stakeholder expectations and requirements.

Governance

Once we consolidated feedback from both internal and external stakeholders, the results were discussed in the Audit Committee and reviewed and approved by the Board of Management and the Supervisory Board. This final step in the process formalised the outcomes of our DMA but also ensured PostNL's strategic objectives and rigorous governance processes are aligned accordingly.

1.5.3 Material topics

Through comprehensive documentation, continuous reviews and updates, and validation sessions with both internal and external stakeholders, combined with our robust internal control procedures and governance structure, PostNL has identified, to the best of its ability, all materially relevant topics for 2024. Our goal is to manage these material topics effectively. For each of the 21 material topics, we have defined the boundaries and pinpointed where they could occur within our value chain. For more information, please refer to the visual representation of material topics.

We acknowledge that the list of material topics may evolve over time. Recognising that this is the first year we performed an ESRS-compliant DMA, and additionally the DMA is an ongoing process, we are committed to continuous improvement. This includes integrating lessons learned, incorporating new insights, and adapting to emerging guidelines. This approach will help us refine our understanding of impacts, risks, and opportunities, ensuring our sustainability assessments remain relevant and accurate in the long term.

The 21 identified material topics relate to one or more sustainability matters as identified by the European Sustainability Reporting Standards (ESRS). Based upon this, PostNL reports upon their specific topical standard requirements. We will present the connection between the identified material topics and ESRS topical standard requirements per ESG disclosure chapter.

Some topics were identified as not material for PostNL. These topics have been analysed as part of our DMA, concluding that biodiversity, and water and marine resources are not material topics within our value chain, including both upstream (suppliers) and downstream (customers) activities, as well as our own operations.

Biodiversity

As a logistics company, PostNL’s core activities—collecting, sorting, and delivering—are less resource-intensive compared to industries like agriculture, forestry, or heavy manufacturing, which have a more immediate and measurable effect on ecosystems, land use, and biodiversity. Most of PostNL’s environmental impacts stem from emissions related to vehicle use (CO₂e and nitrogen), rather than activities that directly alter ecosystems, such as land conversion or deforestation. However, due to its interconnected nature with broader topics such as climate change and air pollution, we address biodiversity from those perspectives.

Our primary impact on biodiversity arises from the use of our vehicle fleet, which results in CO₂e and nitrogen emissions. To tackle these challenges, PostNL has implemented a comprehensive carbon reduction plan based on science-based targets, aligning with the commitments of the Paris Agreement. This plan includes reducing GHG emissions and increasing the use of renewable energy. For more information on our carbon reduction initiatives, please refer to the environmental disclosures, Our performance in section Climate change and Our performance in section Pollution. These initiatives indirectly help mitigate biodiversity loss, albeit as part of our climate and air pollution strategy.

When building or renovating a sorting centre, we conduct a comprehensive flora and fauna study to better understand the local ecosystems and take proactive measures, such as installing nesting boxes, to promote these ecosystems. Even though we conduct nature assessments on our sites, no sites were deemed to have a significant biodiversity impact or in proximity to critical biodiversity.

In conclusion, while biodiversity is not considered a material topic for PostNL, we remain committed to addressing it through our broader focus on reducing emissions and air pollution. Our efforts to protect biodiversity are reflected in our supplier guidelines and environmentally responsible practices.

Water

While we recognise that water may be used during the manufacturing of vehicles, machinery, and packaging materials, these activities occur outside of our direct operations and are typically associated with long-term equipment use or materials that are reused or recycled wherever possible. As a logistics company, PostNL’s direct contribution to water consumption in these areas is minimal.

Within our own operations, water usage is limited to our offices and sorting centres, where we actively monitor consumption. We have implemented water-saving installations and technology that allow us to track usage on a monthly basis and swiftly address any inefficiencies. These initiatives are part of our commitment to resource efficiency, and we aim to reduce our water consumption by 5%. Despite these efforts, the scale of our water usage remains relatively low, and our activities are unlikely to have a significant impact on water or marine ecosystems.

In conclusion, while PostNL is committed to reducing water consumption as part of our broader sustainability goals, we do not consider water and marine resources a material topic due to the limited impact of our activities on these resources. Our focus remains on areas where we can drive the most significant environmental improvements, such as carbon emissions, energy efficiency, and circularity.

For each topical standard, we have listed our material impacts, risks, and opportunities resulting from our DMA and explained their interaction with our strategy and business model. These impacts, risks, and opportunities are covered by the ESRS disclosure requirements, whereby entity-specific metrics are disclosed for road traffic safety and our KPIs. For more information, see the Our strategy subsections in the Environmental, Social and Governance disclosures throughout the Sustainability statement.

1.5.4 DMA 2025

In compliance with the CSRD, companies are required to annually re-assess whether the material topics they identified are still relevant or any new material topics should be identified. This re-assessment can be conducted in several ways. While we aim to perform a DMA update prior to the start of the fiscal year, with the introduction and implementation of the CSRD in 2024, and the initial reassessment that needs to take place in 2025, we aim to execute an update in the second quarter of 2025. This update, which will use the DMA 2024 as the starting point, will focus on peer reviews, NGO discussions, as well as feedback and improvement points identified based on the DMA 2024, as well as a desktop analysis of relevant developments and actionable improvements. During 2025, we will work on setting up and implementing a standardised DMA process cycle for subsequent DMAs.

1.5.5 Our value chain and material topics

In 2024, we embraced the CSRD, plotting its principles along our value chain through rigorous double materiality assessments, governance frameworks, and integration into business processes to address ESG impacts on both value creation and society.

The infographic on the next page illustrates our role within the value chain, offering a clear view of each stage in the logistics process. It highlights how we connect with business customers, consumers, and end-users, detailing the range of services we provide and the breadth of stakeholders we engage with. Alongside this, we outline the CSRD topical standards most relevant to our operations and stakeholders. For each standard, we indicate where in the value chain it presents impacts, risks or opportunities, ensuring transparency and clarity in how we manage our responsibilities. More information on the logistic process visualised in the value chain be found on pages 10-12 in the Our operating context chapter, while more information on the policies, actions, targets and metrics linked to the material topics can be found in either the Environmental, Social or Governance disclosures.

Section 2 : Environmental disclosures

2.1 EU Taxonomy on sustainable activities

Since 2021, the EU Taxonomy on sustainable economic activities applies to PostNL. The EU Taxonomy is the EU's dictionary of sustainable economic activities designed to promote transparency, counter greenwashing, and drive the shift of capital towards a future sustainable economy. In this chapter, PostNL provides the mandatory disclosures required.

The Taxonomy is a classification system for companies to disclose the extent to which business activities are covered by and aligned with specific sustainability criteria. The main objectives of the EU taxonomy are to provide a reference framework aimed at orienting financial and business investment strategies towards sustainable activities and to accelerate the green and sustainable transition of economic players. Reaching these objectives is essential to meet the EU's ambition of becoming climate neutral by 2050.

2.1.1 EU Taxonomy statements

This chapter contains an elaboration of the assessment on the classification of eligible and aligned activities in accordance with the EU Taxonomy, following the summary provided in the EU Taxonomy on sustainable activities section of the Environmental value chapter. Given the evolving nature of legislation, our eligibility and alignment assessments follow an iterative approach. These efforts lay the groundwork for future EU Taxonomy implementation and reporting.

The EU Taxonomy prescribes quantitative and qualitative reporting on predefined KPIs. In this section, we present the share of PostNL’s consolidated total operating revenue (turnover), capital expenditure (capex) and operating expenses (opex) for the reporting period 2024. The disclosures are associated with Taxonomy-eligible economic activities related to the environmental objectives in accordance with the Regulation (EU) 2020/852 as supplemented with Commission Delegated Regulation (EU) 2021/2139, Commission Delegated Regulation (EU) 2021/2178 (EU Taxonomy), Delegated Regulation (EU) 2023/2486 of 27 June 2023 (Environmental Delegated Act) and the Delegated Regulation (EU) 2023/2485 of 27 June 2023 amending the Climate Delegated Act.

Basis of preparation

Our approach to report in accordance with the relevant EU Taxonomy regulation includes the following key steps:

• Evaluation of PostNL's activities in relation to the EU Taxonomy classification of economic activities

• Evaluation of technical specifications of activities and related assets in relation to substantial contribution and Do No Significant Harm (DNSH) criteria

• Evaluation of Minimum Safeguards (MS) criteria based on existing policies and business practices

• Calculation and reporting of the KPIs.

Identification of economic activities

An economic activity is considered Taxonomy eligible if it is described in the Taxonomy Delegated Acts, irrespective of whether that activity meets any or all of the technical screening criteria laid down in the Delegated Acts. An economic activity is considered Taxonomy aligned when the activity contributes substantially to one of the six environmental objectives, DNSH to the other five objectives in accordance with the DNSH criteria, and complies with Minimum Safeguards.

Assessment of technical screening criteria

In 2021 and 2022, the technical screening criteria for substantial contribution was specified by the EU for environmental objectives:

• Climate change mitigation (CCM)

• Climate change adaptation (CCA)

• Sustainable use and protection of water and marine resources

• Transition to a circular economy

• Pollution prevention and control

• Protection and restoration of biodiversity and ecosystems.

These criteria relate to how an economic activity can contribute substantially to one or more of the environmental objectives, in combination with criteria for DNSH to the other environmental objectives. There have been no changes in the criteria of the environmental objectives for 2024. In 2023, only eligibility was mandatory for the four new environmental objectives. As of 2024, alignment is also mandatory.

Minimum safeguards

PostNL has assessed its compliance on the minimum social safeguards the EU Taxonomy requires in relation to human rights, anti-bribery, fair competition and taxation matters. PostNL has included relevant aspects of business conduct in relation to these topics in formal policies and procedures as part of our business conduct and integrity programme. The assessment provided PostNL a sufficient basis to conclude that the company met the minimum social safeguards criteria. More details about business conduct and integrity in general can be found in the Governance disclosures.

EU Taxonomy KPIs

For 2024, PostNL reported on the KPIs total operating revenue (turnover), capital expenditures (capex) and operating expenditures (opex). The starting point of our Taxonomy allocation methodology are the financial statement line items. The reported figures have been determined based on the allocation of activities to the Taxonomy, derived bottom-up for all PostNL reporting units. The figures are based on the actual amounts represented in the general ledger accounts as included in PostNL's consolidated financial statements. In addition, the split between transport by road and air in our international business is based on expected transport modes between countries for our trade lanes. Only the road activities are eligible for PostNL, transport by air is considered to be a non-eligible activity for PostNL. To avoid double-counting, we eliminated inter-company transactions, which are separately specified in our general ledger accounts and consolidated financial statements. We did not identify any other risk of overlapping activities that could lead to double-counting.

Significant estimates and judgements

PostNL has implemented the Taxonomy-related requirements based on the detailed regulatory documents, frequently asked questions (FAQs) from the European Commission and, where needed, our own interpretation of the criteria. On relevant elements where interpretation is needed, PostNL applied due care in its approach by focusing on maximum transparency and through engagement with dedicated professional consultants and peers, for example a PostEurop working group. We are aware that views on the interpretation by the European Commission may change over time and that this may lead to different conclusions on the reported eligibility and alignment in the future.

For CCM 6.4 (Operation of personal mobility devices, cycle logistics) and CCM 6.5 (Transport by motorbikes, passenger cars and light commercial vehicles), the calculation of the share of aligned activities, PostNL allocated the proportion of turnover based on the kilometres driven by the Taxonomy-aligned activities relative to the total kilometres driven by vehicles attributed to this economic activity.

The share of Taxonomy-aligned activities for CCM 6.5 is currently built up from electric scooters. For small e-trucks in our fleet, we concluded that these cannot yet be reported as Taxonomy aligned, because PostNL has not yet been able to substantiate the DNSH criteria for the environmental objective Pollution. All other technical screening criteria are being met for the activities with these vehicles.

PostNL Turnover Taxonomy-aligned activities as indicated
2023 - 2024

• 1 For formatting purposed we used the following abbreviations of the environmental objectives: Climate Change Mitigations (CCM), Climate Change Adaption (CCA),
  Water and Marine Resources (WTR); Pollution Prevention and Control (PPC), Circular Economy (CE), Biodiversity and Ecosystems (BIO)

PostNL Capex Taxonomy-aligned activities as indicated
2023 - 2024

• 1 For formatting purposed we used the following abbreviations of the environmental objectives: Climate Change Mitigations (CCM), Climate Change Adaption (CCA),
  Water and Marine Resources (WTR); Pollution Prevention and Control (PPC), Circular Economy (CE), Biodiversity and Ecosystems (BIO)

PostNL Opex Taxonomy-aligned activities as indicated
2023 - 2024

• 1 For formatting purposed we used the following abbreviations of the environmental objectives: Climate Change Mitigations (CCM), Climate Change Adaption (CCA),
  Water and Marine Resources (WTR); Pollution Prevention and Control (PPC), Circular Economy (CE), Biodiversity and Ecosystems (BIO)

2.1.2 Performance

PostNL Turnover Taxonomy-aligned activities as indicated
2023 - 2024

PostNL Capex Taxonomy-aligned activities as indicated
2023 - 2024

The EU Taxonomy prescribes quantitative and qualitative reporting on predefined KPIs. On the previous page we present the share of PostNL’s consolidated total operating revenue (turnover) and capital expenditure (capex) for the reporting period 2024.

Turnover

This KPI reflects the external revenue recognised in accordance with IAS 1 par. 82(a), and as such aligns with the ‘Total operating revenue’ reported in the consolidated income statement. To determine the portion of net turnover derived from Taxonomy-eligible activities for each revenue-generating stream, PostNL evaluated the extent to which these activities are encompassed by the EU Taxonomy framework.

The revenue deemed eligible under the EU Taxonomy primarily originates from activities related to the collection, sorting, and delivery of parcel and mail items. Accordingly, the eligible and aligned turnover under the EU Taxonomy pertains entirely to these logistics operations. Conversely, revenue not eligible under the EU Taxonomy is linked to the transportation of mail and parcels by air, services provided by external operators, and the coordination of logistics activities.

The allocation of revenue across various EU Taxonomy economic activities is determined based on the proportional operational costs associated with each activity. A detailed breakdown of turnover by EU Taxonomy activity can be found in the previous section.

The EU taxonomy-aligned turnover 2024 is in line with prior years.

Capital expenditures

This KPI covers the additions to Property, plant and equipment (PPE) under IAS 16, Intangible assets under IAS 38, as well as additions (including reassessments) to Right-of-use assets under IFRS 16 (see notes 3.2-3.4 to the Consolidated financial statements for more information).

From the total capital expenditures, it is assessed which portion is Taxonomy eligible by assessing per asset category to which economic activity this asset category relates and to what extent this activity is included in the EU Taxonomy. The capital expenditures that are considered to be eligible under the EU Taxonomy include transport, infrastructure for transshipments (sorting activities) and real estate activities. The non-eligible capex under EU Taxonomy mainly relate to software and other equipment. The aligned capex for activity CCM 6.4 (Operation of personal mobility devices, cycle logistics) of €2 million (2023: €2 million) relates for €1 million to PPE and €1 million to RoU-assets. The breakdown of the aligned capex for activity CCM 6.15 (Infrastructure enabling low-carbon road transport and public transport) shows expenditures for PPE of €26 million (2023: €80 million) and for RoU assets of €8 million (2023: €15 million). The decrease in expenditures for PPE is following the completion of some NLI's in 2023 which caused less capital expenditure for 2024. The full table regarding the capex can be found in the previous section.

Operating expenditures

For operating expenses (opex), where the operational expenditure is not material for the business model, the EU Taxonomy allows for an exemption (Article 8 Delegated Act Annex I section 1.1.3.2). PostNL is a people-driven and asset-light company. The denominator of the total opex in scope for the EU Taxonomy amounts to €64 million (2023: €59 million), which represents around 2% (2023: 2%) of PostNL's total €3,218 million operating expenses in 2024 (2023: €3,090 million). As PostNL applies a materiality threshold of 5%, the relative share of opex in scope of the EU Taxonomy compared to the total operating expenditures of PostNL is deemed not material for PostNL's business model. As a consequence, the amount of eligible opex is exempt from the calculation of the numerator of the opex KPI for the EU Taxonomy and is therefore reported as being equal to zero. The full table regarding the opex can be found in the previous section.

Looking ahead

The current technical screening criteria offer limited scope for postal operators to achieve progress in alignment. In-depth analysis and discussions within a working group facilitated by PostEurop have demonstrated that meeting certain DNSH criteria is both practically and economically unfeasible. To address this, PostEurop, on behalf of its members, including PostNL, submitted a proposal to the European Commission for postal-specific economic activities and screening criteria. This proposal aims to establish criteria that are realistic and appropriate within the context of postal business models.

By introducing sector-specific criteria, European postal operators would be able to make meaningful investments in sustainable activities that align with their operational frameworks. Simultaneously, this would enable postal companies to achieve greater alignment in their EU Taxonomy reporting, fostering sustainable growth within the industry.

2.2 Climate change

In this section, we provide disclosures on our material impacts, risks, and opportunities relating to climate change. At PostNL, we recognise that addressing climate change is essential to our long-term success while maintaining our commitment to responsible business practices. We are dedicated to reducing our environmental impact through measures such as our transition plan and environmental policy. This section outlines our approach to managing climate-related challenges.

2.2.1 Our strategy

With the help of our Double materiality assessment, we assessed and identified the most material sustainability matters. For further information on how our material topics relate to our value chain, please see Our value chain and material topics section within the General disclosures.

Identifying our most material impacts helps us to prioritise our actions to prevent and mitigate identified sustainability matters. For climate change, we identified (potential) material impacts, risks or opportunities on the following topics:

• Climate change mitigation

• Energy

More on how we address these material topics can be found in Our policies and in Our performance later in this Climate change section.

Climate risk analysis

At PostNL, we conduct climate-related scenario analysis to identify and assess both physical and transition risks across short-, medium-, and long-term horizons. This analysis aligns with the 1.5°C and 2°C pathways outlined in the Paris Agreement to explore transition risks, while physical risks are assessed based on higher emission scenarios, including Network for Greening the Financial System (NGFS) 3°, reflecting more severe warming scenarios. These approaches ensure that we address a wide range of plausible risks and uncertainties.

Scenario analysis framework

Our resilience analysis incorporates climate-related scenario analysis, allowing us to evaluate risks and opportunities. Our scenario analysis integrates localised geospatial data and macro-level trends. This allows us to assess physical risks with precision, such as evaluating critical infrastructure against extreme weather or flooding, while simultaneously accounting for national policy changes and energy market shifts. The scenarios also provide insights into opportunities, such as fleet electrification and biofuel adoption, ensuring our strategy aligns with global and regional climate trajectories.

Use of climate scenarios

Our climate scenario analysis employs models aligned with the Paris Agreement, including the IEA’s Net Zero Emissions by 2050 scenario and NGFS climate pathways for transition risks, and higher-emission RCP 4.5 and RCP 8.5 scenarios for physical risks. By examining diverse global warming scenarios, we assess how varying trajectories could impact our operations and long-term strategy. Specifically:

• Transition risks: Assessed using 1.5°C and 2°C pathways (e.g., IEA’s Net Zero Emissions by 2050).

• Physical risks: Evaluated using high-emission scenarios (e.g., RCP 4.5 and RCP 8.5), which reflect more acute physical impacts.

Time horizons

• Short term: one year or less, 2025

• Medium term: two to five years, 2026-2030

• Long term: over 5 years, 2031 and later.

Critical assumptions

Our analysis is built on the following assumptions about the transition to a low-carbon, resilient economy:

1. Macroeconomic trends: We expect rising carbon prices, shifting trade patterns, and stronger incentives for renewable energy.

2. Energy consumption and mix: A gradual shift from fossil fuels to renewables, particularly solar and wind. For PostNL, this means fleet electrification and renewable-powered facilities.

3. Technological deployment: Advancements in sustainable transport, battery efficiency, and biofuels will drive industry change.

Four-step climate risk assessment

Our climate risk assessment process, embedded within our Enterprise Risk Management (ERM) framework, follows these four key steps:

1. Risk long-list identification: Defining a comprehensive list of potential risks, including chronic and acute climate impacts.

2. Structured assessment: Internal specialists evaluate the likelihood and severity of risks through workshops and voting. The magnitude and likelihood of risks are assessed based on their potential financial and operational impacts, as well as the exposure of assets and business activities to transition events.

3. Executive review: The EC prioritises climate risks within the broader business risk portfolio.

4. Action plan development: We develop targeted initiatives to bridge gaps between risk exposure and risk appetite, focusing on fleet electrification and renewable energy investments.

This iterative process ensures our strategy adapts to new data, regulatory changes, and technological advancements, enabling informed decisions to reduce GHG emissions and mitigate adverse impacts. No significant physical and regulatory climate change-related risks were identified during 2024.

Results of the analysis

1. Physical risks

   Chronic risks: Long-term risks like temperature rise and sea level change are unlikely to affect operations before 2050.

   Acute risks: Storms and flooding may cause temporary disruptions, mitigated through business continuity plans and geospatial analysis. Financial planning accounts for disruption costs and resilience measures, which will evolve with new data.

2. Transition risks
   Two key climate-related transition risks were identified, both driven by regulations and shifting preferences:

   1. Financial impact: Higher costs from carbon taxes (2+ years) and potential revenue loss due to competitor outperformance or customer exclusion.

   2. Volume loss: Import restrictions for non-EU customers linked to CO₂ and circularity targets may affect demand.

   The resilience analysis highlights that these risks require strategic adaptation in the short-, medium-, and long-term. In the short term (to 2030), PostNL will prioritise the decarbonisation of its fleet through electrification and adoption of renewable fuels. Beyond 2030, we aim to integrate circular business models into our processes and value chain to further enhance sustainability.

3. Scenario insights
   Paris-aligned scenarios (e.g., IEA Net Zero 2050, NGFS pathways) highlight regulatory, economic, and technological shifts. High-emission scenarios (RCP 4.5, RCP 8.5) inform physical risk analysis, focusing on extreme weather impacts.

Identifying assets and activities incompatible with a climate-neutral economy

PostNL has not identified any assets or business activities that are incompatible with a transition to a climate-neutral economy or that require significant efforts to achieve compatibility (e.g., due to locked-in GHG emissions or Taxonomy-alignment challenges).

Evaluating GHG emission sources

To identify current and future sources of GHG emissions, we screen our operations and value chain comprehensively, covering:

• Scope 1 (direct emissions): e.g., fuel combustion

• Scope 2 (indirect emissions): e.g., purchased electricity and district heating

• Scope 3 (value chain emissions): e.g., third-party logistics, employee commuting, and production of goods/services.

We also analyse future emissions by assessing business growth, supply chain shifts, operational changes, and climate-related impacts like land-use changes and black carbon. This long-term approach anticipates emissions changes over time and ensures alignment with strategic goals.

Exclusions from the analysis

While our analysis is comprehensive, it excludes certain indirect or less material impacts. For example, specific upstream supply chain emissions (scope 3, purchased goods and services) are not yet fully assessed due to data limitations. These exclusions will be revisited in future analyses and disclosed in subsequent annual reports as data availability improves.

Areas of uncertainty

The resilience analysis identifies key areas of uncertainty:

1. Physical risks: Potential hotspots for flooding or extreme weather remain a focus for ongoing evaluation, using geospatial data for critical infrastructure.

2. Transition risks: Uncertainty around the pace of regulatory changes, societal preferences, and technological advancements could impact future planning.

These uncertainties are addressed through flexible action plans, ensuring that strategy and investment decisions can adapt to emerging risks. Current and planned mitigation actions, such as fleet electrification and infrastructure upgrades, align with PostNL’s broader strategy to minimise exposure to these risks.

Financial effects and mitigation actions

1. Anticipated financial effects

   • Physical risks are expected to have limited financial impacts due to robust mitigation measures, such as geospatial risk assessments and operational redundancy plans.

   • Transition risks include investments in fleet electrification, renewable energy sourcing, and compliance with regulatory changes. These costs are integrated into our financial planning cycles.

2. Mitigation actions

   • Fleet decarbonisation: Accelerated adoption of electric vehicles and biofuels.

   • Renewable energy: Transitioning facilities to solar and wind energy.

   • Stakeholder engagement: Ongoing collaboration with regulators, suppliers, and customers to align strategies with evolving requirements.

Conclusion

Our climate-related scenario enables us to remain resilient against both physical and transition risks. By integrating geospatial data, regulatory frameworks, and technological insights, we position ourselves to mitigate risks and capitalise on opportunities in a low-carbon, climate-resilient future. Ongoing assessments and adaptive strategies will ensure that our operations remain aligned with global sustainability trajectories.

Transition plan

In our approach to sustainability, climate change, liveability, and circularity are inseparable. This means that each initiative within our transition plan is designed to address these three key-material themes holistically. For example, by electrifying our fleet and using renewable fuels, we reduce CO₂e emissions and lessen our negative impact on air quality. At the same time, investments in reusable packaging not only reduce waste but also contribute to lower carbon emissions in the supply chain.

Linking these themes ensures that our sustainability efforts are comprehensive and address the broader environmental challenges we face as a society. This holistic approach ensures measurable, transparent progress, guided by science-based targets and supported by ongoing investments in cleaner technologies. Below we describe how we focus on these themes and the key actions taken within our transition plan to address them. These actions are explained in detail later in this section.

Climate change: Net zero by 2040

We are committed to cutting carbon emissions in line with the Science Based Targets initiative (SBTi) and the Paris Agreement, aiming for net-zero by 2040 with a maximum of 10% of our carbon emissions remaining. To achieve this, we are committed to reducing our CO₂e emissions scope 1 and 2 by 90% and scope 3 by 45% in 2030 compared to our base year 2021. Additionally we will reduce all scope 1,2 and 3 CO₂e emissions by 90% in 2040 compared to our base year 2021 (the base year is related to our SBTi target submission, which stipulates that it must be within two years of the submission date. In our case, this was 2023). These gross targets span scopes 1, 2, and 3, covering both our direct emissions (from our own operations and energy use) and indirect emissions (from our value chain).

Key actions within our transition plan include:

• Energy-efficient infrastructure: We are building energy-efficient sorting centres, installing solar panels, and transitioning to an all-electric vehicle fleet.

• Renewable fuels: Using biogas and HVO100 for non-electric vehicles, cutting emissions by up to 90% compared to conventional fuel.

• Efficient transport operations: Optimising routes, reducing kilometres, and integrating return logistics to minimise CO₂e emissions.

Liveability: Reduce air pollution and minimise congestion

Beyond reducing carbon emissions, we focus on cutting air pollution to improve urban liveability. By 2030, we aim for emission-free delivery in the last-mile (i.e. from the final sorting centre to the consumer or an alternative pick-up point), reducing CO₂e, NO_x, and particulate matter from the combustion engines. We are making progress through:

• Zero-emission vehicles – Deploying light electric freight vehicles (LEFVs) for cleaner, quieter cities.

• Alternative delivery points – Expanding PostNL points and parcel lockers to cut delivery kilometres and emissions in urban areas.

• Biodiversity integration – Implementing green roofs, insect hotels, and nesting boxes at facilities to support local ecosystems.

Circularity: Towards zero waste by 2040

We aim for zero waste by 2040, focusing on the circular use of materials in our processes. We are making progress through:

• Extending equipment lifespan – Replacing cargo bike parts instead of full replacements.

• Reusable packaging – Partnering to reduce single-use cardboard.

• Reusable pallet boxes – Cutting daily single-use plastic wrap in international sorting centres.

• Circular procurement – Sourcing recycled or sustainably produced materials, with suppliers adhering to international climate, biodiversity, and waste guidelines.

In our sustainability approach, climate, liveability, and circularity are interconnected. Each initiative in our transition plan addresses these themes holistically—for example, fleet electrification cuts CO₂e and improves air quality, while reusable packaging reduces waste and emissions. Our progress is measurable and science-based.

Decarbonisation levers

By utilising decarbonisation levers, PostNL cannot only reduce its carbon footprint but also comply with stricter regulations and meet the growing demand for sustainable logistics solutions from customers and partners. The table below shows our identified decarbonisation levers.

PostNL Decarbonisation levers

Investments and funding of the transition plan

Our sustainability actions depend on financial resources, ensuring we meet climate targets while balancing financial feasibility. The current financial pressures mean that we need to carefully balance our sustainability ambitions with financial feasibility, ensuring that we make the most effective use of available resources while staying committed to our long-term climate goals. We align our environmental and financial strategic plans to fund emission-reduction initiatives. Achieving emission-free last-mile delivery by 2030 requires significant investment in infrastructure, vehicles, power supply, and delivery partner engagement. In 2021, PostNL announced that we would invest around €80 million in climate-related investments during 2022-2024. This investment has been used to support fleet electrification and sustainable fuels. We recognise that our financial performance impacts the available capital for future investments.

While these investments are key to our Climate Transition Plan, its financing is not directly linked to activities under the EU Taxonomy or investments in the financial statements. For example, investments in fleet electrification—such as leasing electric vehicles— classify as CapEx under the EU Taxonomy and new leases in the financial statements, while the climate investments are based on lease payments. An overview of payments related to climate investments can be found in our Green Bond Report, which provides transparency on how we allocate funds to support sustainable initiatives.

Green Bond

Our Green Bond programme funds climate-related initiatives, including emission-free logistics and innovative technologies, supporting our commitment to SDG 8 (Decent Work & Economic Growth) and SDG 13 (Climate Action). It is a key enabler, which broadens our investor base and accelerates our sustainability journey.

Since 2019, we have invested €237 million, as detailed in our 2023 Green Bond Report published on our website:

• €44 million in clean transportation – Fully electric vehicles, our first electric truck, and a fast-charging station in Nieuwegein.

• €191 million in sustainable buildings & energy efficiency – 28 sustainable buildings, including solar panels and heat pump installations.

• €2 million in renewable energy innovation – Battery installations to optimise solar energy use.

Locked-in GHG emissions

Based on the expertise of our internal, logistic sustainability experts, we have assessed potential locked-in GHG emissions from our key assets and products, which include a dependency on both progress in reducing emissions within our supply chain and technological advancements, particularly in zero-emission long-haul transport. The most significant transition risk we have identified is related to air transport, the hardest sector to decarbonise. We are exploring Sustainable Aviation Fuel (SAF), which cuts GHG emissions by 50–80% over its lifecycle but remains costly and not fully emission-free, limiting short-term scalability. An EFRAG survey suggests that most conventional assets in the postal sector could be decarbonised through alternative fuels, reducing the risk of long-term emissions lock-in.

EU Taxonomy

PostNL reports on the EU Taxonomy but has no specific plan or objective to increase alignment. Our decarbonisation efforts focus on fleet electrification. Although we do invest in electric vehicles (cars, vans and trucks) alignment will not be achieved due to the tire-requirements of the EU-taxonomy criteria. PostNL expects its alignment with the provisions of Commission Delegated Regulation (EU) 2021/2139 to evolve over time, including the consideration of key performance indicators, such as taxonomy-aligned revenue, capex, and capex plans, as required by Article 8 of Regulation (EU) 2020/852. However, the activities that are currently aligned with the EU Taxonomy are not part of our ongoing transition plan, as they already meet the sustainability criteria set out in the regulation. PostNL is not excluded from the EU Paris-aligned, and reports in alignment of the EU Paris-aligned Benchmarks.

Relation with strategic plan

PostNL’s transition plan is fully integrated into our planning and control cycle, embedding sustainability in decision-making. This supports effective capital allocation, risk management, and progress tracking, ensuring climate goals align with core operations and strategy. Reducing GHG emissions is central, including emission-free last-mile delivery by 2030 and alignment with national and EU policies. We invest in fleet electrification, renewable energy, and logistics optimisation. Performance indicators track progress, identifying risks and opportunities in a dynamic environment. The transition plan stems from our strategic plan, approved by the EC, with science-based targets validated by the BoM.

Progress

The progress of the transition plan is monitored through our strategic planning process and reported on in our annual report. Quantitative and qualitative progress of our transition plan can be found in the Our performance section later in this chapter.

2.2.2 Our governance

For more information on how climate-related considerations are factored into the remuneration of our BoM, please see pages 144-154 in the Remuneration report chapter.

2.2.3 Our policies

PostNL has the following policies in place to prevent, mitigate and remediate actual and potential impacts, to address risks and to pursue opportunities.

• Our environmental policy explains how we address our impacts, risks and opportunities.

• Our procurement policy defines the standards we expect from our suppliers, requiring them to uphold ethical, legal, and social responsibilities as a minimum. In addition, we expect suppliers to operate sustainably and to comply with applicable local and international laws and regulations. The policy is built on our business principles and provides a clear, comprehensive framework for suppliers and subcontractors to follow. For more information on procurement, see Procurement policy later in the environmental disclosures.

Environmental policy

Our environmental policy defines the strategies and key actions we have implemented to prevent, mitigate, and remediate actual and potential environmental impacts. It addresses risks and capitalises on opportunities related to climate change mitigation, energy efficiency, pollution reduction, and the circular economy. PostNL is committed to reducing its environmental footprint by transitioning to emission-free logistics and maximising the use of renewable energy across its operations, supporting our goal of reaching net zero by 2040. This reflects our ambition to position the company as a leader in sustainable logistics, drive circular economy principles, and contribute to biodiversity conservation.

How our policy addresses climate related IROs

Our primary focus is on combatting climate change by significantly reducing our carbon emissions, and have aligned targets with the SBTi and the Paris Agreement, which aim to limit global warming to 1.5°C. More information on our alignment with SBTi targets can be found in Our performance later in this section.

Climate change mitigation

PostNL’s policies take a comprehensive approach to addressing climate change, focusing on managing greenhouse gas (GHG) emissions, removals, and transition risks across various time horizons within our operations and throughout our upstream and downstream value chain. Our commitment to achieving net-zero carbon emissions by 2040 aligns with the Science Based Targets initiative (SBTi) and the Paris Agreement’s 1.5°C objective. To this end, we are targeting a 90% scope 1 and 2 and 45% scope 3 reduction in gross CO₂e emissions by 2030 and a 90% reduction in scope 1, 2 and 3 emissions by 2040, from a 2021 baseline.

Short term (2025–2030)
In the short term, our strategy focuses on cutting GHG emissions through fleet electrification, renewable fuels, and energy efficiency in buildings and logistics. These measures mitigate risks like carbon taxation and competition while driving innovation and operational improvements.

Medium term (2030–2040)
By 2040, we target a 90% emissions reduction, with an emphasis on decarbonisation across scopes 1, 2, and 3. Key initiatives include expanding renewable energy, sustainable procurement, and waste reduction to achieve our zero waste target by 2040. Collaboration with partners and suppliers is essential to managing risks and driving sustainability.

Long term (beyond 2040)
Our net-zero commitment encompasses addressing residual emissions through robust GHG removal strategies. This involves utilizing advanced carbon sequestration techniques to permanently neutralize any remaining emissions, ensuring that no more than 10% of emissions persist before removal. PostNL is committed to positioning itself as a leader in sustainable logistics, driving circular economy principles, and supporting biodiversity conservation.

Energy efficiency

PostNL’s policies prioritise energy efficiency across our operations. We focus on improving the energy use of our buildings and fleet, with progress measured through both absolute and relative GHG emissions.

Renewable energy deployment

PostNL is committed to expanding renewable energy use, focusing on our logistics network. While financial factors may affect the pace, we prioritise sustainable sourcing and cleaner energy to support our net-zero goals.

Waste management

PostNL’s waste management policy supports our circularity strategy, targeting net zero residual waste by 2040. Aligned with the waste hierarchy, we prioritise waste avoidance through smart logistics, digitalisation, and packaging optimisation, followed by reuse initiatives and maximising recycling. Our goal is a 90% reduction in residual waste, ensuring no more than 10% is non-recyclable or cannot be repurposed. Governance is managed by group company management and head office directors, with progress tracked through key indicators and aligned with national and international policy goals.

Scope

PostNL’s environmental policy applies to all group companies and their value chain activities. It affects employees, customers, consumers, and society, with relevant targets shared via business partners. All group policies are on our internal site, while the environmental policy is publicly available. The ESG director, mandated by the BoM, oversees implementation.

Monitoring

Because we implemented our environmental policy in 2024, no updates are expected in 2025. The policy is monitored and discussed on a quarterly and annual basis by the relevant teams and their management and with the BoM.

PostNL monitors progress of its climate change mitigation strategy by:

1. Measuring absolute GHG emissions in metric tonnes of CO₂e (scope 1, 2 and 3)

2. Measuring relative GHG emissions in metric grammes of CO₂e per transported kilometre of its own operations

3. Measuring the environmental impact of its last-mile logistics activities

4. Measuring absolute and relative changes in energy use for buildings and fleet

5. Reporting on the energy use, both absolute and relative in total and broken down, for its buildings and fleet

6. Measuring the percentage of residual waste from own operations.

PostNL uses the GHG protocol to calculate and report its environmental performance metrics.

2.2.4 Our performance

Mitigation of climate change as well as reducing our energy usage are key elements of our transition plan, aligned with our strategic objective to minimise environmental impact. We aim to realise this by, for example, electrifying our fleet and optimising our network efficiency.

Climate change mitigation

Actions

In 2024, we set key actions to advance decarbonisation, focusing on reducing GHG emissions and supporting the circular economy. For each action, we disclose allocated resources, progress, and expected outcomes in line with our policies. The table outlines scope, timing, and impacted stakeholders.

Electrification of our fleet

PostNL is committed to emissions-free logistics, fossil-fuel vehicles are being replaced with electric alternatives, prioritising last-mile delivery. By the end of 2024, 46% of our own fleet was electric, aiming for full last-mile electrification by 2030.

Key actions in 2024

• Added 330 e-vehicles to our network, slightly below target due to supplier delays.

• Installed 164 charging stations despite grid congestion challenges.

• Implemented a dynamic, algorithmic charging schedule across our Dutch operations, with potential expansion to TGN.

• 8% of delivery partner kilometres now emission-free, supported by 300 new e-vehicles.

• New routes assigned only to delivery partners using electric vehicles, with financial support for cost differences.

• Enhanced licence plate registration for better data accuracy, feeding into the zero-emission dashboard and sustainability reporting.

Investments support by the Green Bond

• €17.15 million in fleet electrification capex, €44 million in clean transport, and investments in electric vehicles including an electric large truck.

• Fast-charging station installed at Nieuwegein mail sorting centre.

Plans for 2025

• €5.3 million to support delivery partners in expanding their electric fleets and charging infrastructure.

• €10.6 million in lease additions for our own fleet to further reduce emissions in our operations.

Renewable fuels

We are replacing petrol and diesel with cleaner alternatives like biogas and HVO100, cutting carbon emissions by up to 90% and reducing fossil fuel dependence. By the end of 2024, 77% of our large trucks ran on HVO100. Additionally, Spring procured 2.9 million litres of HVO100 and blended this into the European diesel fuel network. This supports our global CO₂e reduction efforts, particularly in middle-mile transport, connecting our facilities to last-mile delivery.

Key actions in 2024

• Using 7.3 million litres of HVO100 for our own trucks reduced 18 kilotonnes of CO₂e, contributing to lowering average emissions to 128 grammes per kilometre.

• The out-of-tank solution, 2.9 million litres of HVO100, saved 8.3 kilotonnes of CO₂e in 2024 achieving 90% lower emissions in the case the same amount of diesel was used. The surplus HVO100 purchased (0,55 million litres) will be used to further reduce our scope 3 emissions in 2025.

The actions focus on the downstream value chain, affecting customers and society. The time horizon for these specific actions is 2024 to 2025, but the use of renewal fuels in parts of our operations is ongoing.

Plans for 2025

• Invest €1.3 million to increase HVO100 use in large trucks (scope 1) from 77% to 80%, further cutting fleet carbon intensity.

• Invest €200,000 to expand HVO100 use in last-mile delivery, ensuring fossil fuel vehicles run on HVO100 wherever feasible to maximise environmental benefits.

More sustainable infrastructure

PostNL is committed to building and renovating sites with minimal environmental impact, aligning with our sustainability policy. Logistics sites have a significant footprint, so we follow BREEAM certification to ensure sustainability. All locations meet BREEAM standards, complying with regulations and minimising impact on Natura 2000 areas. We conduct nitrogen impact assessments and ecological studies for sorting centre projects, implementing recommendations to support biodiversity.

All 27 parcel sorting centres are BREEAM-NL certified. Of our eight newest centres, seven are rated “Outstanding” and one “Excellent.” Our head office, also BREEAM-NL certified, is the most sustainable listed building in the Netherlands. From €191 million allocated to sustainable buildings and energy efficiency, 75% was used for refinancing and the rest for new developments. Investments include €4 million in solar panels and heat pumps to replace traditional heating and cooling systems. Our sustainability initiatives extend across PostNL-owned and leased assets, influencing employees, communities, and society. With no set end date, sustainability remains a core focus.

Network efficiency

PostNL continuously seeks opportunities to optimise operations, improving efficiency and reducing GHG emissions. Enhancing network efficiency not only lowers costs but also improves customer convenience. In 2024, we expanded delivery options beyond home addresses, reducing the need for individual last-mile deliveries and minimising emissions from customer transport. Additionally, we discontinued Sunday deliveries due to low parcel volumes, improving operational efficiency.

While the specific reduction in GHG emissions from these measures is not yet quantifiable, we track quarterly progress by reporting on CO₂ efficiency and absolute CO₂e emissions across our networks.

Key actions in 2024

• We expanded delivery options outside the home which reduces the need for individual last-mile deliveries, thus cutting emissions from customer transport.

• We discontinued Sunday deliveries to improve overall efficiency in our operations. Due to the lower volume of parcels on Sundays, delivery has become less efficient with fewer packages per route.

Plans for 2025

• We expect to optimise the use of our e-vehicles, replacing 1 million kilometres previously driven by non-electric vehicles with fully electric transport.

We are not able to quantify the forecast of the reduction of GHG emissions. The effects are measured on a quarterly basis by reporting on CO₂e efficiency and absolute CO₂e emissions per relevant network. The actions focus on the operations and downstream value chain, affecting employees, customers and consumers. These actions have an ongoing time horizon with no specific end date since this is an ongoing material topic for PostNL. PostNL has addressed all relevant sustainability matters through comprehensive action plans that effectively tackle the identified impacts, risks, and opportunities (IROs). These plans are designed to be robust yet adaptable, allowing for adjustments in response to innovations, new legislation, or significant market developments.

Targets

PostNL has committed to ambitious GHG emissions reduction targets that are aligned with the 1.5°C pathway of the Paris Agreement. for 2030 and 2040. These targets are not only designed to meet our climate goals but are also integrated into our broader environmental strategy, encompassing efforts to reduce air pollution and enhance circularity.

PostNL’s environmental targets are closely aligned with its overarching policy objectives, which focus on addressing climate change, pollution, and promoting the circular economy. The near-term and long-term targets provide a clear roadmap for achieving significant reductions in GHG emissions and waste, and address critical IROs associated with our operations.

Our climate targets directly address several key IROs:

1. Contribution to global warming through direct and indirect GHG emissions (actual and potential): By implementing initiatives such as increasing the number of electric delivery vans and boosting the use of HVO100 in our network, we are reducing our carbon footprint while addressing the environmental impact of our operations.

2. Cost and revenue risks from carbon taxes and competitive pressures: Our transition to low-carbon transportation and on-site renewable energy production positions us to mitigate rising costs associated with carbon pricing while enhancing our competitiveness and maintaining customer trust.

3. Volume risks tied to regulatory changes: Meeting CO₂e and circularity targets is central to retaining market access and ensuring compliance with evolving EU import restrictions, safeguarding our business volumes.

4. Energy efficiency and sustainable energy production: By reducing energy demand from the grid and increasing on-site renewable energy production, we are not only cutting emissions but also contributing to the broader transition toward a sustainable energy mix in the Netherlands

The baseline value for our targets is 2021, selected according to SBTi guidelines. We will update the base year for our GHG emissions reduction targets every five years from 2030 onwards.

Baseline values

• Scope 1 emissions totalled 34,646 tCO₂e in 2021.

• Scope 2 location-based 30,328 tCO₂e in 2021.

• Scope 2 market-based 171 tCO₂e in 2021

• Scope 3 emissions totalled  338,651 tCO₂e in 2021.

Near-term 2030 targets (base year 2021)

• Reduce absolute scope 1 and 2 GHG emissions (gross in tonnes CO₂e) by over 90% and absolute scope 3 GHG emissions by 45%. The target boundary includes land-related emissions and removals from bioenergy feedstock, working actively towards mitigating climate change by decreasing our direct and indirect carbon footprint.

• Renewable electricity: PostNL will continue to source 100% renewable electricity annually through 2030.

• PostNL commits to deliver all letters and parcels emission-free from the final sorting centre to the consumer or an alternative pick-up location (last-mile) in the Benelux by 2030, minimising environmental impacts, particularly in urban areas, in line with the policy's objective to mitigate pollution.

• PostNL uses the location-based method to measure its gross GHG emissions.

Long-term net-zero 2040 targets (base year 2021)

• Scope 1 and 2: PostNL commits to maintaining a minimum of 90% absolute GHG emissions reductions from 2030 through 2040.

• Scope 3: A 90% reduction in absolute scope 3 GHG emissions by 2040.

These are gross targets, meaning that they do not include GHG removals, carbon credits or avoided emissions. The progress of these targets can be found in the metrics section below. We will include the reporting of these new categories in our future Annual Reports to provide transparency about the progress against our new targets.

Methodology

PostNL has adopted a comprehensive approach to defining its climate-mitigation targets, considering a diverse range of developments in the environmental, societal, technological, market, and policy spheres. For identification, we use two climate-related scenarios from the International Energy Agency (IEA).

The 'Net Zero 2050' scenario was selected for its focus on deep decarbonisation, while the 'Stated Policies' scenario provided insights into the policy trajectory based on current national commitments. We also used internal operational data (e.g., energy consumption, fleet emissions) and external sources (such as climate models from the IPCC). Assumptions included the scalability of low-carbon technologies (e.g., electric vehicles) and the tightening of future regulations at the national and EU levels.

Since 2019, our targets have been validated by the Science-Based Targets initiative (SBTi), ensuring they are science-based and compliant with EU regulations. The SBTi framework ensures our targets are both ambitious and credible.

In setting our climate targets, PostNL has carefully considered future developments, including the introduction of emission-free zones, evolving customer preferences and demand, regulatory changes, and advancements in technology. These factors have guided our strategy, leading us to prioritise emission-free logistics while simultaneously leveraging biofuels for immediate GHG emissions reductions.

In 2023, we hosted a consultation with stakeholders, including business partners, financial organisations, NGOs, government bodies, and our employee representatives, to validate our material topics and gather feedback on our broader sustainability performance. Their input helped shape the direction of our climate targets, ensuring they reflect both market expectations and regulatory requirements.

The SBTi methodology has been used to ensure best practice guidance was followed to set these targets. The target setting method used was cross-sector and absolute, while intensity based targets were set. The target is measurable, and outcome- and time oriented. Annually, PostNL reports on the GHG emissions in the Annual Report. We measure in absolute emissions, tCO₂e.

To achieve our GHG emission reduction targets, PostNL decarbonisation levers contribute to reductions across scope 1, scope 2, and scope 3 emissions.  

Scope 1: Electrification of fleet 

Our scope 1 emissions primarily stem from GHG emissions produced by our own fleet. The key decarbonisation lever here is the electrification of our fleet. By transitioning to electric vehicles (EVs), we expect to significantly reduce emissions from fuel combustion, and we aim for zero-emission delivery in the last-mile from the final sorting centre to the consumer or an alternative pick-up location by 2030. This action is expected to be sufficient to meet our scope 1 reduction targets by 2030. 

Scope 2: Maintenance of net-zero emissions 

We have reached our target to reduce 90% of our scope 2 emissions since PostNL’s scope 2 market based emissions are already reported as net zero, as we source 100% renewable electricity for our buildings and facilities. Our goal is to maintain this status by continuing to procure renewable energy for all our operations, ensuring no indirect emissions from purchased electricity.

Scope 3: Various decarbonisation levers 

For scope 3 emissions, which include upstream and downstream activities across our supply chain, several decarbonisation levers contribute to our reduction targets for 2030 and 2040.

• Switching to renewable fuels

• Network efficiency

• Sustainable infrastructure.

Each of these levers is essential for reducing emissions across our value chain, ensuring we remain on track to achieve our climate targets. See the Strategy section earlier in this chapter for more information.

Our targets are embedded within a comprehensive framework of sustainable development, contributing to the United Nations Sustainable Development Goals (SDGs). Beyond our commitment to reducing emissions, we actively address other vital sustainability dimensions, including biodiversity, waste reduction, and enhancing urban air quality.

Aligned with the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD), we have undertaken an assessment of climate-related risks, focusing on potential business and financial impacts. Each identified risk was thoroughly evaluated in terms of likelihood and the associated effort required to manage it. Simultaneously, we identified opportunities arising from developments such as the transition to renewable energy and the adoption of electric vehicles.

By taking this approach, we ensure our targets remain not only ambitious but also closely aligned with our strategic priorities for growth and resilience, positioning PostNL to deliver long-term value while contributing positively to society.

Target setting

The inclusions and exclusions from the GHG protocol emission targets are in line with SBTi guidance and are driven by the level of relevance for our business and the influence PostNL has on reductions in each category. Consistency is ensured through annual evaluation of applicability of emission categories to business operations. This is then compared to emission categories included in scope 1-3 targets.

We will include the reporting of these new categories in future Annual Reports to provide transparency about the progress against our new targets. 100% of our scope 1 & 2 targets are covered by our scope 1 emissions.

The generation of direct and indirect CO₂e emissions constitutes PostNL’s primary source of greenhouse gas (GHG) emissions. Additionally, we account for other GHGs, such as methane (CH₄) and nitrous oxide (N₂O), and measure our climate impact in CO₂ equivalents, ensuring all GHGs are encompassed within our targets.

To establish a reliable baseline for tracking progress, we employ a robust methodology combining internal operational data—such as energy consumption and fleet emissions—with external sources, including climate models. This approach ensures our measurements reflect external factors such as regulatory developments or technological advancements, providing a transparent and accurate depiction of our progress toward achieving our climate targets.

The baseline year and value, based on 2021, will remain unchanged unless there is a significant shift in our targets or reporting boundary. In such cases, we will explain how these changes impact the target, its achievement, and progress presentation, in line with best practices validated by the SBTi.

From 2030 onwards, we intend to update our baseline year at five-year intervals. Until then, the 2021 baseline remains the foundation for tracking progress towards our near-term targets for 2030.

When disclosing past progress toward climate targets, PostNL will ensure consistency with current reporting standards, including providing explanations for any differences in methodology or target boundaries.

New technologies

• Energy-efficient buildings: Investing in energy-efficient infrastructure, such as smart sorting centres with better insulation, LED lighting, and automated systems for heating and cooling. Installing solar panels at depots and offices further enhances energy self-sufficiency.

• Route optimisation technology: Using advanced algorithms and AI-driven route planning can minimise the number of kilometres driven by optimising delivery routes, which would directly reduce fuel consumption and emissions. This can also help avoid unnecessary trips and improve overall network efficiency. 

• Scaling up our out-of-home solutions: We are increasing the number of parcel lockers located around the Netherlands, which gives consumers the option to send and collect parcels when it is convenient for them.

• Electric fleet charging management: Implementing smart charging infrastructure to manage when and how vehicles are charged can reduce energy demand during peak hours and ensure vehicles are charged using renewable energy, where possible. 

While we continue to make progress on decarbonisation of our fleet, we foresee future bottlenecks, as grid operators are increasingly denying permission to expand connections in depots and other buildings because of growing congestion on the electricity grid. This could make our transition to emission-free delivery more complex. 

Decarbonisation levers and their contribution to our GHG reduction targets

The estimated contribution of each decarbonisation lever is based on the distribution of emissions in our 2021 base year and may evolve over time as technology and market conditions change.

Scope 1:

• 55% reduction through fleet electrification

• 40% reduction via renewable fuels

• 5% reduction through network efficiency improvements

Scope 2:

• 100% reduction through energy efficiency and using Guarantees of Origin as a market based instrument

Scope 3:

• 63% reduction through a combination of electrification, renewable fuels, and network efficiency

• 30% reduction via sustainable and circular procurement & waste management

• The remaining 7% will rely on innovation to achieve additional emission reductions

The balance between electrification and renewable fuels will shift over time, depending on technological advancements. operational feasibility and financial position of PostNL.

Resources in relation to climate change

PostNL’s ability to implement its sustainability actions, including adjustments to supply and demand and significant investments such as R&D, is highly dependent on the availability and allocation of resources.

Green Bond programme

A key enabler of our sustainability strategy is our Green Bond programme, which involved issuing €300 million in Green Bonds to finance green projects in alignment with the four pillars of the Green Bond Principles 2018 (GBP), administered by the International Capital Market Association (ICMA). More information about the Green Bond can be found in the Strategy section, specifically the Green Bond paragraph. This initiative ensures the necessary investments to support our sustainability goals, including emission-free deliveries and other environmental projects.

Sustainability-Linked Financing Framework

The Sustainability-Linked Financing Framework, published in 2024, underscores our commitment to sustainability and accelerates our transition towards becoming a truly sustainable e-commerce logistics service provider. This framework lays the foundation for a Sustainability-Linked Financing programme, designed to provide the financial resources required to achieve PostNL’s strategic objectives, including our emission-free delivery ambitions.

While we are well-positioned to pursue our sustainability targets, access to affordable capital and maintaining sufficient financial resources remain critical. Any increase in financing costs or reduced access to capital could impact the pace of implementing the technologies and infrastructure essential for achieving our sustainability goals. We actively monitor our financial position and market conditions to ensure we can fully execute our commitments and maintain our progress towards becoming a sustainable logistics provider.

For more information on the Sustainability-Linked Financing Framework, please see the Our strategy and business model section in the General disclosures.

Metrics

PostNL CO₂ efficiency and emission-free last-mile delivery as indicated
2023 - 2024

Our CO₂ efficiency was 128 grammes per kilometre in 2024 (2023: 136), which is behind our target for the year (126 grammes per kilometre). The share of emission-free last-mile delivery of mail and parcels was 28% in 2024 (2023: 24%). More information about our CO₂ efficiency and emission-free delivery can be found on pages 50-51 in the Environmental value chapter.

PostNL Overview scope 3 categories

PostNL Carbon footprint in tonnes CO₂e
2023 - 2024

Scope 1

Our gross scope 1 emissions fell by 1,120 tonnes (5%) in 2024 compared to 2023, driven by lower emissions across all transport activities. Since 2020, we have sourced natural gas through market-based Guarantees of Origin for biogas. Nominal gas usage declined in 2024 due to various business factors, detailed in the Energy efficiency of buildings section in this chapter. Key contributors to our scope 1 reduction included fewer kilometres driven, increased use of HVO100 over diesel, and more kilometres covered by small electric trucks. Fugitive emissions from coolant evaporation in buildings and vehicles are included in scope 1, amounting to 1,176 tonnes.

Scope 2

Our gross location based scope 2 CO₂e emissions are mainly comprised of electricity use and for a small part consists of district heating. Nominal electricity consumption decreased in 2024 to 66 million kWh (2023: 67 million kWh). Supporting our ongoing transition to an electric vehicle fleet, we expanded our charging infrastructure during 2024. The rise in kilometres driven by electric vehicles contributed to higher electricity usage for our fleet; however, this was offset by a reduction in electricity consumption from our buildings. Our location-based scope 2 emissions totalled 18,857 tCO₂e in 2024 (2023: 27,176 tCO₂e). Lower emissions are a result of less electricity use but also the increased electricity generation from our solar panels.

Our gross market-based scope 2 CO₂e emissions decreased to 80 tonnes in 2024 (2023: 189). This reduction is solely due to district heating, which is used by only a few buildings, one of which was vacated. We stimulate the use of electricity from green and renewable sources in our buildings, and use the market-based instrument of purchasing Guarantees of Origin to ensure our electricity consumption is based on renewable energy. The percentage of contractual instruments for electricity consumption is 100%. In addition to electricity, PostNL operates a small number of facilities that utilise district heating supplied by a local heating grid.

Scope 3

Our total gross scope 3 emissions fell by 8% in 2024, a reduction of 24,309 tonnes CO₂e. Most emissions came from outsourced road and air transport, purchased goods & services, capital goods, and employee commuting. Austerity measures led to lower spending, reducing emissions from purchased goods & services, while decreased investment in buildings and equipment lowered emissions from capital goods.

Employee commuting emissions dropped by 1,403 tonnes CO₂e, driven by headcount reductions and higher absenteeism, resulting in fewer commutes. International truck transport benefited from the market-based “HVO100 out of the tank” solution, cutting 8,319 tonnes of gross CO₂e. This intervention ensures only PostNL can claim the emissions reduction. Business air travel emissions rose from 278 to 460 tonnes CO₂e due to Cross Border Solutions’ expansion, requiring more international meetings with customers and staff.

Outsourced transport

The total emissions from outsourced transport decreased by 14,298 tonnes CO₂e to 168,350 tonnes CO₂e in 2024 (2023: 182,648 tonnes CO₂e). Several factors contributed to the decrease of around 8% in 2024. Examples include fewer kilometres driven as a result of volume developments and network efficiency, especially for our large truck transport and time-critical network, as well as several data quality improvements and growing sustainability measures at delivery partners related to renewable fuels and fleet electrification.

CO₂ credits

In 2022 and 2023, PostNL compensated all gross CO₂e emissions within the scope of its Annual Report and validated science-based targets (approved by the SBTi in 2019) through CO₂ offset credits. Prior to 2022, carbon offsets were applied selectively to scope 3 GHG categories where reduction measures were not yet feasible. For 2023, PostNL utilised CO₂ offset credits from certified projects under the Verified Carbon Standard (VCS) and Gold Standard, managed by the non-profit organisation Verra, achieving net GHG emissions of 0 tonnes across scopes 1, 2, and 3. Following an internal review in 2023, PostNL decided to discontinue the use of carbon offsets for all reported emissions as of 1 January 2024. Instead, the focus has shifted to more impactful carbon reduction measures within operations and the value chain, including investments in "HVO100 out the tank" insetting as a market-based instrument.

Science Based Target initiative-endorsed targets

PostNL is committed to achieving CO₂e reduction targets aligned with the 1.5°C trajectory of the Paris Climate Agreement, as endorsed by the SBTi. These targets include both near-term goals for 2030 and a long-term net-zero objective for 2040. More information about our targets can be found in the Targets paragraph earlier in this section.
*The target boundaries include land-related emissions and removals from bioenergy feedstocks.

Near-term 2030 targets

• Scope 1 and 2: PostNL aims to reduce absolute GHG emissions by 90% by 2030, based on a 2021 baseline*

• Renewable electricity: PostNL will continue to source 100% renewable electricity annually through 2030

• Scope 3: A 45% reduction in absolute scope 3 GHG emissions by 2030, from a 2021 base year.

Long-term net-zero 2040 targets

• Scope 1 and 2: PostNL commits to maintaining a minimum of 90% absolute GHG emissions reductions from 2030 through 2040, based on a 2021 baseline*

• Scope 3: A 90% reduction in absolute scope 3 GHG emissions by 2040, from a 2021 base year.

GHG emission intensity

Our GHG emissions intensity (total market based GHG emissions per euro million net revenue) in 2024 was 88.48 (2023: 98.98).

PostNL Biogenic emissions in tonnes CO₂e
2023 - 2024

Biogenic emissions

The reduction of biogenic emissions in scope 1 is a result of decreased HVO100 and biogas consumption, partially due to cost-saving measures and a focus on electrification as a more sustainable solution for emission reduction. On the other hand, biogenic emissions in scope 3 have increased with the introduction of our 'HVO100 out-of-tank solution'.

Internal carbon pricing

PostNL’s internal carbon pricing scheme encompasses scope 1 and scope 2 location-based emissions, including direct emissions from our fleet and facilities. In 2024, direct scope 1 and 2 emissions totalled 24,010 tonnes CO₂e. Through targeted investments, a combined capex-related reduction of 125 tonnes CO₂e was achieved, representing 0.3% of overall scope 1 and 2 CO₂e emissions.

Integrating climate-related considerations into decision-making is fundamental to delivering on our emission reduction strategy. Since its introduction, the internal carbon pricing scheme has been instrumental in driving climate-positive investments, ensuring PostNL remains aligned with its long-term sustainability commitments. We plan to further evaluate the scheme in 2025.

Energy

Actions

Energy efficiency

Minimising the environmental impact of our sorting centres is a priority. To this end, we are installing energy-efficient LED lighting and optimising energy consumption. Additionally, our BREEAM certifications and energy monitoring processes provide a robust framework for reducing our climate impact.

Key actions

• We are generating 50% of the electricity for our parcel sorting centres ourselves via solar panels on our roofs.

• We purchase with Guarantees of Origin, which provides assurance that we only use renewable electricity (scope 2) from the Netherlands and renewable gas (scope 1) from Europe.

• We have installed a battery system for locally generated energy during the day, which is used to power sorting machines and charging electric vans during the evening /night. This also helps alleviate congestion on the energy grid.

• In 2025, we will add additional charging points at our locations (capex €2.4 million).

Network efficiency

For more information on our actions to improve network efficiency, please refer to the corresponding section in the Our performance of Climate change.

Targets

The targets for energy efficiency are related to the scope 1 and scope 2 targets and can be found in the Our performance of Climate change.

Metrics

Both CO₂ efficiency and emission-free last-mile delivery are relevant to the material topics of climate change mitigation and energy. To avoid repetition, we address the metric under the Our performance of Climate change.

PostNL Energy consumption as indicated
2023 - 2024

Compared to 2023, our energy consumption from crude oil and petroleum products decreased in 2024, driven by the electrification of our fleet and the increased use of renewable fuels. In 2024, our electricity consumption increased compared to previous years; however, we continue to face challenges in optimising the use of our electric vehicles. To address this, a dynamic charging schedule was introduced at the end of the year.

Additionally, our charging infrastructure remains constrained by grid congestion in the Netherlands. Furthermore, the transition from diesel to HVO100 biofuel slowed in the second half of the year due to necessary cost-saving measures. To support our sustainability goals, we purchase Guarantees of Origin for renewable biomethane from fermentation installations. As a result, gas consumption is reported under "consumption of purchased or acquired electricity, heat, steam, and cooling from renewable sources."

Our large sorting centres are BREEAM-NL certified, a standard that promotes energy efficiency and low environmental impact. The use of non-renewable energy sources, such as district heating and heating oil, is limited to a small number of sites. In 2024 8,064 MWh of electricity was self generated from solar panels, of which 5,165 MWh was self-consumed accounting for approximately 7% of our total electricity consumption.

PostNL Energy consumption intensity as indicated
2023 - 2024

Energy use decreased in 2024 compared to 2023, while revenue increased by approximately €87 million. This had a favourable impact on this indicator.

2.3 Pollution

In this section, we provide disclosures on our material impacts and risks related to air pollution. Our efforts to minimise emissions reflect our commitment to sustainable practices. Addressing air pollution is a core element of our ESG strategy, and here we outline in greater detail how we aim to achieve our ambitions in reducing air pollution.

2.3.1 Our strategy

With the help of our Double materiality assessment, we assessed and identified the most material sustainability matters. For further information on how our material topics relate to our value chain, please see Our value chain and material topics section within the General disclosures. Identifying our most material impacts helps us to prioritise our actions to prevent and mitigate identified sustainability matters. For pollution, we identified (potential) material impacts, risks or opportunities on the following topics:

• Pollution of air.

More on how we address these material topics can be found in Our policies and Our performance later in this Pollution section.

Pollution impacts are addressed under the broader topic of liveability. We aim to reduce urban congestion and improve liveability as air and noise pollution rise, particularly in cities.

To mitigate this, we are transitioning to electric vehicles, which are quieter, cleaner, and free from combustion-related emissions. While we report on emissions from tyres and brakes, a reduction strategy is yet to be developed. Our systematic screening process at site and business activity levels helps identify pollution-related impacts, risks, and opportunities across our operations and upstream value chain.

2.3.2 Our policies

To address the impacts of air pollution we have a policy in place. The environmental policy, which is an integral policy to address multiple environmental topics, aims to reduce emissions from particulate matter and nitrogen from own operations.

Environmental policy

PostNL’s environmental policies prioritise reducing emissions of greenhouse gases (GHG), nitrogen oxides (NO_x), and particulate matter (PM_{10 /} PM _2.5), as these pollutants are closely linked to our core activities. They have been identified as critical through our impact assessments and are integral to addressing the risks and opportunities within our logistics and transportation operations. By targeting these emissions, we align with regulatory obligations and advance our broader sustainability ambitions. For more information on our Environmental policy, refer to Our Policies in the Climate Change section.

How the policy addresses the IRO

Emissions from vehicle traffic, particularly particulate matter (PM_{10 /} PM _2.5) and nitrous oxides (NO_x), are significant contributors to air quality degradation in inner cities, directly affecting residents' health. Transitioning to an electric fleet is central to our environmental policy, designed to address these impacts by minimising emissions from combustion engines. This proactive approach also mitigates potential financial risks associated with stricter upcoming air quality standards, such as substantial investment requirements and limited vehicle availability, while ensuring compliance with evolving regulations.

Our strategy takes a holistic approach to tackling air pollution and reducing particulate matter and nitrogen emissions across our operations. Electrifying our fleet is our primary decarbonisation lever, and we remain committed to following market developments to address other sources of emissions, such as braking and tire wear, in the coming years. More on the air pollution of our fleet can be found in the Performance section later in this chapter.

PostNL is certified under the ISO 14001 standard, signifying the implementation of a robust environmental management system. This framework enables us to systematically address and mitigate environmental risks while driving continuous improvement in our environmental performance. For the related IROs, see the Our strategy earlier.

2.3.3 Our performance

The reduction and prevention of air pollution forms a key element of our transition plan, aligned with our strategic objective to minimise environmental impact. We are achieving this through a shift towards emission-free logistics and by maximising the utilisation of renewable energy across our operations, as we progress towards our net-zero ambition for 2040.

Pollution of air

Actions

Electrification of our fleet

By adopting emission-free delivery from the final sorting centre to the consumer or an alternative pick-up location, starting with zero-emission zones in Dutch cities by 2025 and expanding to the Netherlands and Belgium by 2030, we directly address the negative impacts of GHG emissions and air pollutants. This strategic move not only mitigates current and future risks associated with climate change and air quality regulations but also helps the company achieve financial savings and develop a competitive advantage. This action applies to our own fleet as well as our delivery partners.

We employ the use of light electric freight vehicles (LEFV) for parcel delivery in inner cities, resulting in reduced congestion compared to traditional transport. As urban congestion increases, we prioritise not only delivering emission-free but also minimising disruption. The vehicles also use less electricity than electric vans and can carry up to three roll cages (two in the case of the LEF bicycle), which can be smart-packed at the sorting centre and loaded directly onto the vehicle at the city hub.

Our entire last-mile fleet for parcels and mail is transitioning to electric, enabling emission-free deliveries for customers and society. Since 2019, we have expanded to over 4,000 electric vehicles, adding more each year. Larger truck electrification remains a priority but faces challenges due to vehicle availability and charging infrastructure. Significant progress is expected post-2030 as technology advances. The effects of air pollution and climate change remain too indirect to be attributed to a single individual for remediation purposes. More information can be found in Our performance of the Climate change section.

Targets

Our goal is to achieve emission-free delivery from the final sorting centre to the consumer or an alternative pick-up location by 2030 from base year 2021. In the Netherlands and Belgium, this includes deliveries carried out by our delivery partners. This means eliminating emissions of particulate matter (PM) and nitrogen oxides (NO_x) from combustion engines, contributing to cleaner air and healthier cities. In 2021 these tailpipe emissions were 7.682 kilogrammes NO_x, 277 kilogrammes PM₁₀ and 263 kilogrammes PM_2.5.

As an interim milestone, we already deliver with zero emissions in 27 city centres where zero-emission zones are in place and continue to expand our zero-emission network. To maximise our impact, we prioritise deploying electric vehicles in inner-city areas, where air quality improvements benefit the largest number of people. This target applies to both our own operations and outsourced logistics, ensuring a consistent approach across our network.

Alignment with the Green Deal for City Logistics and additional regulations

Our zero-emission target is closely aligned with the Green Deal for City Logistics in the Netherlands, which promotes sustainable urban logistics and the transition to clean transport solutions. Additionally, the regulatory landscape is evolving, with 30 to 40 Dutch municipalities already announcing zero-emission zones that will prohibit entry for polluting delivery vans. Given the likelihood of further tightening NO_x and PM regulations, our approach ensures that we are well ahead of compliance requirements.

Rather than limiting our ambitions to regulated zones, we proactively extend our commitment to cover all last-mile deliveries in the Netherlands and Belgium, setting a higher standard for sustainable urban logistics.

PostNL has not identified material or present impacts related to soil pollution, water pollution, or hazardous substances. Consequently, we have not set targets for these areas.

More information can be found in Our performance of the Climate change section.

Metrics

PostNL Air pollution from own fleet as indicated
2023 - 2024

PostNL Compliance with Euro emission norms share per euro norm
2023 - 2024

Starting in 2024, we report the emissions of nitrogen oxides (NO_x) and particle matter (PM₁₀ / PM_2.5) split in tailpipe emissions from combustion as well as pollution caused by brake, tyre and road-surface wear.

We managed to reduce the total tailpipe NO_x emissions from our fleet by 30% compared to 2023. In addition, we achieved a reduction of 11% PM₁₀ and 16% PM_2.5 emissions. These reductions can be ascribed to replacing Euro 6 small trucks by electric (Euro Z) vehicles as well as fewer kilometres driven overall.

All of our trucks comply to at least the Euro 6 emission standard where an increasing number of our delivery vans are switched to an electric Euro Z model. This is especially important to improve air quality in inner cities.

2.4 Resource use and circular economy

In this section, we provide disclosures on our material impacts, risks, and opportunities relating to resource use and the circular economy. At PostNL, we recognise that responsible resource management is crucial for sustainable growth. This section will elaborate on our focus on addressing resource inflow and outflow waste.

2.4.1 Our strategy

With the support of our Double materiality assessment, we identified the most material sustainability matters, including those related to resource use and the circular economy. For these areas, we assessed potential material impacts, risks, and opportunities across the following topics:

• Resource inflows, including resource use

• Resource outflow, waste from our operations.

For further information on how our material topics connect to our value chain, please refer to Our value chain and material topics section within the General disclosures. More information on how we address these material topics can be found in Our policies and in Our performance later in this Resource use and circular economy section.

2.4.2 Our policies

We believe it is important to handle resources carefully, which is why we want to prevent residual waste and extend the lifespan of the materials we use in our operations. We work with partners on solutions to use as many recycled and reusable materials as possible. In doing so, we reduce our impact on the environment and contribute to a circular economy. The impacts, risks and opportunities related to resource inflows, resource outflows and waste are covered by the environmental policy and the procurement policy.

Stakeholder engagement

Through structured engagements, including our DMA, we validate material topics and gather feedback from stakeholders, including suppliers, customers, and NGOs. Stakeholder input ensures alignment with market expectations and informs our sustainability strategies. These policies are publicly accessible on our website and are communicated to suppliers and business partners where relevant. The revised group policy came into effect in September 2024. As such, no significant improvements are expected for 2025.

Policies overview

PostNL’s environmental and procurement policies support our commitment to circularity, aiming to prevent waste, extend material lifespans, and reduce reliance on virgin resources. Aligned with our science-based targets (SBTs), they focus on resource inflows, outflows, and waste. Our circular purchasing strategy follows the 10R circularity ladder, prioritising recycled and reusable materials while minimising waste and extending product lifespan. We aim for zero residual waste by 2040 through repair, reuse, and recycling. This voluntary target underscores our proactive approach to anticipated future EU circular economy regulations. Our procurement policy is aligned with our science-based targets (SBTs) by addressing scope 3 emissions from purchased goods, services, and waste, and working closely with suppliers to reduce material impacts. This approach ensures that our procurement decisions contribute to both environmental responsibility and long-term sustainability goals.

Addressing related impacts, risks and opportunities

We actively collaborate with suppliers, customers, and partners to enhance our impact and mitigate risks across our value chain.

• Negative impact (upstream, own operations): We mitigate resource use in our value chain through sustainable procurement initiatives. Suppliers must hold sustainability certifications and provide material data, enabling us to prioritise actions, for example to optimise materials and to trial reusable and recycled solutions, for short-, medium-, and long-term goals.

• Negative impact (downstream): We reduce the environmental impact of packaging by promoting circular business models and scalable re-commerce solutions, supporting sustainability targets across all time horizons.

• Risk (downstream): To prevent unnecessary destruction of returned goods, we collaborate with business customers to develop alternative solutions, focusing on short- and medium-term mitigation.

• Opportunity (upstream, downstream): We drive circularity by expanding circular business models and participating in Circular Shopping 2030, supporting medium- and long-term sustainability goals.

By addressing both risks and opportunities, we strive to reduce environmental impact throughout our entire value chain.

Monitoring

The Procurement & Services department oversees procurement, including waste management and supplier sustainability, with quarterly performance assessments tracked via dashboards to monitor progress. In the Netherlands, it manages procurement directly, while in Belgium, PostNL Belgium collaborates with Dutch counterparts. The Procurement & Services director is authorised by the Board of Management as the procurement policy owner, while the ESG director oversees environmental policies.

2.4.3 Our performance

At PostNL, our vision for circularity involves the elimination of residual waste and the promotion of material reuse, fostering a transition towards a fully circular economy. By 2040, we aspire to achieve net zero waste, ensuring that all materials we handle are processed in a circular manner. This ambition underpins our commitment to reducing reliance on virgin resources by prioritising the use of secondary (recycled) materials, embracing sustainable sourcing practices, and increasing the adoption of renewable resources. For more information on the actions related to climate change mitigation, see Our performance in the Climate change section.

Resource inflows, including resource use

Actions

To realise our goals, we are actively developing comprehensive action plans. We have already made significant progress, and expect to have these plans completed in 2025. Each action will define its scope, timeline and, where relevant, the impacted stakeholder groups. These measures align with our commitment to embedding sustainability across our operations, paving the way for a resilient, circular future.

PostNL’s approach includes:

• Circular product design: While PostNL's operations are not centred on production, we aim to gradually integrate circular principles into our procurement practices. For example, we are exploring the potential use of products designed for durability, repairability, and recyclability, such as reusable pallet boxes and mono-material airmail bags.

• Increase of circular material use rate: PostNL seeks to increase its use of circular materials by engaging suppliers to provide materials with recycled content where feasible. While this is a focus area, the shift toward higher circular material use is incremental and dependent on supplier capabilities and market availability.

• Minimisation of primary raw materials: Our procurement strategy encourages the reduction of virgin material use by requesting transparency from suppliers regarding material composition and prioritising alternatives with a higher proportion of recycled or renewable content. Although progress is being made, this remains a developing area.

• Sustainable sourcing of renewable resources: PostNL is working towards more sustainable sourcing practices by favouring renewable resources that align with cascading principles. While efforts are underway to explore bio-based alternatives and recycled materials, the integration of these resources into our operations is gradual and subject to supplier readiness.

• Waste management: Our waste management improvements focus on enhancing recycling processes, optimising waste separation practices at operational sites, and collaborating with partners to ensure proper treatment of all waste streams. These efforts directly reduce residual waste and improve overall resource efficiency.

• Other circular-economy related topics: PostNL actively promotes circular business models in its downstream operations, such as re-commerce solutions and e-waste collection, contributing to broader circular economy objectives.

PostNL acknowledges that sustainable materials may increase procurement costs, impacting budgets and pricing. However, we remain committed to balancing financial considerations with long-term sustainability goals.

Key actions - sustainable procurement

Supplier requirements

Suppliers are required to provide certifications on sustainability. To evaluate the effectiveness of our broader circularity policies, we measure the percentage of contracted suppliers assessed on sustainability criteria. Progress is tracked via a dedicated dashboard, with a target of achieving 75% of suppliers acceptably assessed by the end of 2025.

Material optimisation

PostNL is tracking resource inflows to be able to report on our resource inflows and transition to materials with lower environmental impact. We prioritised frequently used items essential to logistics and key operational materials with shorter life cycles. By 2025, we aim to report 90% of data from all key material suppliers. For more information, see Metrics later in this section.

Pilot projects

PostNL is testing mono-material airmail bags and expanding reusable pallet box use, with potential for increased recycled content. We replaced plastic A4 labels with laser jet paper, reducing material use despite higher volumes. In 2024, we continued replacing consumables in our international logistics with circular orange pallet boxes, adding 4,000 to bring the total to 9,600. Made from 100% recyclable materials, these boxes last 7–10 years and follow a fully circular, zero-waste process.

Suppliers

Suppliers are critical partners in managing resource inflows. PostNL collaborates with suppliers to align operational requirements with sustainability goals. This includes:

• Company clothing: PostNL has introduced circular uniforms made from 100% sustainable materials, including organic cotton and recycled polyester. Approximately 15% of each uniform consists of fibres from old uniforms.

• Roll containers: New designs reduce material use by replacing wooden bases with recyclable plastic and reducing overall weight by 18.5 kg per unit.

• Reusable label tags: Transitioning from disposable paper tags to laminated, reusable options reduces daily paper consumption.

• Euro-pallets: Customers are encouraged to switch from disposable pallets to reusable Euro-pallets to reduce waste.

By reducing the materials we procure, we aim to achieve a corresponding reduction in CO₂ emissions linked to purchased goods (scope 3). More information can be found in the Our policy within this section.

Targets

Our primary target is to achieve a 90% reduction in residual waste by 2040 compared to 2022. This means that no more than 10% of our waste will be unsuitable for reuse, repair, refurbishment, re-manufacturing, repurposing, or recycling. This target is related to our policy objectives. Annually, we set a new target for the upcoming year and will continue to do so up until 2040.

As PostNL is not a production company, our waste comes from material use in our operations, including waste from our office locations. The target scope is therefore related to the use phase of the product life cycle.

Our net-zero waste target for 2040 applies to all PostNL entities. However, the annual reduction percentage currently relates only to our operations in the Netherlands and Belgium, as actual data for other regions is not yet available. This target, while voluntary, anticipates stricter EU regulations related to the circular economy. The target is relative with the base year 2022, excluding GHG removals, carbon credits, or avoided emissions. This target specifically focuses on reducing residual waste by improving waste management practices and enhancing sustainable procurement efforts.

Stakeholder consultations, including business customers, trade organisations, and shareholders, have shaped our targets, ensuring alignment with market and regulatory expectations. The target is formally approved by the director of Procurement & Services under the Board of Management's mandate.

Methodologies and assumptions

We align our waste reduction strategies with the EU Circular Economy Action Plan, which helps guide our efforts to minimise residual waste, increase recycling rates, and transition to a more circular economy. Our targets are based on internal data from waste audits and operational processes, allowing us to track the effectiveness of our waste reduction measures throughout our supply chain. We assume continued regulatory and technological advancements that will enable better recycling infrastructure and material recovery systems over the coming years, helping us meet our long-term target. We also consider local waste management capabilities and infrastructure in the regions we operate by working together with our waste management partner.

Monitoring

Each quarter, we assess performance and determine whether adjustments are required to enhance processes or employee behaviours. Utilising the dashboard provided by our waste management partner, we carefully monitor outcomes. These insights also support tracking progress against our GHG emission reduction targets within the waste category.

Metrics

PostNL Resource inflows as indicated
2023 - 2024

Starting in 2024, we report the resource use in daily operations, quantifying the total weight of technical and biological materials. In 2024, 45% of biological materials were sourced with a certification, indicating compliance with recognized sustainability standards. Additionally, 73% of all materials consisted of recycled components. These figures provide insight into our material use and the extent to which sustainable sourcing practices are applied in procurement.

By increasing the share of recycled materials, we aim to reduce reliance on newly sourced materials and improve resource efficiency. Monitoring resource inflows contributes to greater transparency and supports informed decision-making regarding material consumption. While there is room for improvement in the share of certified biological materials, this reporting provides a baseline for evaluating progress in future reporting cycles. These efforts align with circular economy principles and contribute to our broader sustainability objectives.

This represents a new metric introduced as part of the 2024 implementation of the CSRD. As such, no comparative data from previous periods is available.

Resource outflows

Actions

PostNL recognise the environmental impact of our packaging solutions for customers and the disposal of returned goods at their request. To address this, we have defined actions to mitigate these impacts and associated risks. Additionally, we see significant opportunities in adopting circular principles within our value chain to drive sustainable practices and reduce environmental impact.

Enable circular business models

We are focused on creating propositions that enable circularity, particularly in areas such as re-commerce, smart logistics for e-waste, reusable packaging, textiles, and repairs. We are actively engaging with our customers and trade organisations to develop scalable solutions that can accelerate this transition.

While this action plan is still under development, we have already taken a number of steps towards our goals. Key initiatives include:

• Introducing re-commerce solutions and services for the collection of e-waste and textiles, enabling the reuse and recycling of valuable materials.

• Actively participating in, and taking a leadership role within, the Circular Shopping 2030 programme, an initiative spearheaded by Thuiswinkel.org, aimed at fostering sustainable and circular retail practices.

• Introducing shipping and return label to reduce packaging and labels.

Circular Shopping 2030 programme

As founding partner and sponsor of The Circular Shopping 2030 programme, an initiative by thuiswinkel.org, we aim to support consumers in transitioning from a consumption-focused mindset to a usage-based approach by 2030, ensuring products and materials retain their value for significantly longer. In 2024, we continued to refine and actively contribute to the programme’s vision, collaborating with industry stakeholders to drive its progress. As part of these efforts, in 2023 we co-developed the Circular Flywheel. This strategic tool empowers businesses to assess their current position in circularity, identify opportunities for improvement, and set clear aspirations for the future.

Right to Repair

Our focus in 2024 also extended to the Right to Repair initiative, which is a new consumer right adopted by the European Union, aimed at making it easier and more attractive for consumers to have their goods repaired both within and beyond the legal guaranteed term. This is a significant trend influencing the e-commerce sector, and we engaged with partners to address its implications and opportunities.

We aim to enhance collaboration across the value chain, recognising the EU’s ambition to achieve 50% circularity by 2030. To meet evolving demands, both consumers and producers must adopt circular principles. We believe we are well-positioned to lead in this transition, offering reverse logistics solutions that support circular business models. Our efforts focus on customers and beyond, with medium- and long-term actions integrated into our strategy. While this approach is under development, several propositions, such as those outlined above, are already in place, reflecting our commitment to driving the circular economy forward.

Reduce residual waste

Our ambition is to develop a roadmap to further decrease our residual waste. We are committed to managing our waste streams as effectively as possible, and we are now working closely with our waste partners to achieve this. Together, we have undertaken comprehensive waste scans to analyse our waste processing and identify opportunities to improve waste separation, ultimately contributing to a reduction in carbon emissions. By reducing residual waste, we can reduce our CO₂ emissions in scope 3.

Key actions

• New collection points; We complement new collection points by clear and efficient waste sorting instructions, designed to facilitate effective waste separation practices on all our locations.

• Promoting waste separation: Whenever we implement significant changes to our waste collection processes, we engage our employees with an informative kick-off event at the location. Additionally, we appoint waste ambassadors to raise awareness and emphasise the importance of proper waste separation. Clear labelling on waste containers helps simplify the process for employees.

• Continuous monitoring and evaluation: We have installed a waste management dashboard and regularly monitor the effectiveness of waste separation practices at our locations. Process managers oversee the separation process and discuss the results during location work meetings. On a quarterly basis, we review performance together and determine if any adjustments are needed to improve the process or employee behaviour.

In 2023, our residual waste averaged 38%. By the end of 2024, we had already reduced this to 27% through better waste separation. All our actions listed above focus on our operations and downstream value chain. These actions have an ongoing time horizon with no specific end date.

Targets

Our primary target is to achieve a 90% reduction in residual waste compared to 2022 in 2040, aligned with our science-based targets. Since our waste is directly linked to our operations,  you can find more detailed information on this target in the section resource inflows.

Metrics

PostNL Recycled waste as indicated
2023 - 2024

In 2024, 73% of PostNL’s total waste was recycled, an improvement from 62% in 2023, while non-recycled waste decreased to 27%. The majority of waste was diverted from disposal through recycling and recovery operations. These results reflect PostNL’s progress in optimizing waste separation, increasing recycling rates, and reducing residual waste across logistics operations. Throughout the year we focused on informing our employees at sorting centers about the importance of recycling. In addition, we made recycling easier for our employees at parcel sorting centers, by placing recycling bins and carton presses closer to the sorting processes that generate waste. The total amount of generated waste increased compared to 2023, because of an increase in parcel volumes.

PostNL Waste per recovery operation and treatment type
in tonnes
2023 - 2024

The total amount of waste generated increased compared to 2023. While total waste volumes were higher, the amount of waste directed to disposal decreased, reflecting adjustments in waste management practices. The increase in recycling volumes was influenced by improved waste separation processes and higher recovery rates for non-hazardous materials. Hazardous waste remained a small fraction of the total waste stream and was managed in compliance with applicable regulations. These results provide insight into PostNL’s waste management approach, with a focus on enhancing data accuracy, improving waste separation, and optimizing resource recovery in line with circular economy principles.

Section 3 : Social disclosures

3.1 Own workforce

In this section, we provide disclosures on our material impacts and risks relating to our own workforce. At PostNL, we recognise that our people are our greatest asset. Our human capital drives our ability to deliver exceptional customer service, create social and environmental value, and achieve financial success. PostNL’s dedicated own workforce are at the heart of our strategy, ensuring the seamless execution of our services and the continuous improvement of our operations.

3.1.1 Our strategy

With help of our Double materiality assessment, we assessed and identified the most material sustainability matters, also those relating to our workforce. For further information on how our material topics relate to our value chain, please see section Our value chain and material topics within the General disclosures. For more information on how we engage in dialogues with our own workforce, please see section Interests and views of stakeholders within the General disclosures. Identifying our most material impacts helps us to prioritise our actions to prevent and mitigate identified sustainability matters. For our own workforce, we identified (potential) material impacts, risks or opportunities on the following topics:

• Working time

• Health and safety (including road traffic safety)

• Diversity and inclusion

• Measures against violence and harassment in the workplace

• Training and skills development, and

• Employment and inclusion of persons with disabilities.

More on how we address these material topics can be found in Our policies and in Our performance later in this Own workforce section.

Connection to our strategy

PostNL operates in a labour-intensive sector facing competition, pricing pressure, and rising consumer expectations. The company relies on its workforce to remain competitive and achieve its strategic ambition of being the favorite deliverer. To future-proof the business, PostNL has developed a corporate strategy centered on delivering a distinctive customer experience, through nine strategic priorities, one of which is focusing on investing in our own workforce. These investments aim to minimise negative impacts, capitalise on positive impacts and opportunities while minimising risks, for example through:

• Investing in a future-proof operational workforce and increasing engagement

• Ensuring a healthy and safe working environment for all workers

• Attracting and retaining motivated talent in e-commerce, logistics, digital, and IT sectors.

For a more elaborate explanation on how we invest in our people, please see pages 31-35 in Our strategy chapter.

PostNL’s own workforce comprises both employees and non-employees. Our employees are individuals directly employed by PostNL under a labour agreement and included on PostNL’s payroll. Non-employees, by contrast, include both self-employed individuals (ZZP-ers) engaged under an assignment agreement and individuals working through external employment arrangements. These external workers include temporary staffing agency workers (uitzendkrachten, including those under Uitzenden Plus and Social Workplace contracts) engaged under a temporary staffing agreement, as well as secondment agency workers (detacheringskrachten) providing labour under a secondment agreement. The table on the next page provides a detailed depiction of our material impacts, risks and opportunities relating to our own workforce.

The negative impacts relating to working time, health & safety and measures against violence and harassment are all widespread of systemic in contexts where PostNL operates. The positive material impact of Diversity and Inclusion and of Training and Skills Development applies solely to employees, while the positive impact of Employment and Inclusion of Partners with Disabilities extends to both employees and non-employees. We did not identify any material negative impacts on our own workforce as a result of the company’s environmental transition plan. While certain material topics may be more relevant to specific groups, no material topic is exclusively linked to a single group.

3.1.2 Our governance

PostNL prioritises fostering an engaged and empowered workforce, ensuring employees have a voice in decision-making and access to safe, inclusive workplaces. Engagement is supported through structured processes for gathering feedback, consulting employees, and maintaining open communication at all levels. We are committed to integrating employee input into strategic and operational decisions while monitoring and improving workplace well-being. Accessible grievance mechanisms and reporting channels are in place to address concerns and uphold ethical standards. In this section, we will further explain our engagements and grievance mechanisms in place.

Engagement with our own workforce

At PostNL, we aim to foster a culture where all employees feel safe and empowered to share their views. We have effective processes in place to support this. Employee engagement is central to our due diligence, ensuring active participation, consultation, and information-sharing. We integrate employee input into decision-making and maintain both direct and indirect channels for workforce engagement on actual or potential impacts. As part of our diversity, equity and inclusion programme, we actively seek input from minority groups through initiatives like our company-wide survey and networks such as the Women’s Inclusion Network (WIN) and our PRIDE network.

Direct engagement

We actively promote ongoing interaction between employees and managers as part of their daily operational roles, covering all types and stages of engagement. Employee feedback is an essential component for driving continuous improvement, and manager effectiveness is evaluated through our Employee Engagement Monitor (see later on in this section). This approach applies to employees across all levels of the organisation, ensuring comprehensive engagement and development opportunities.

Consulting employees

PostNL conducts a bi-annual Employee Engagement Monitor to assess employee feedback and evaluate action effectiveness. Results are reviewed at various organisational levels, enabling managers to discuss outcomes, define actions, and assess their impact. In 2023, ‘listening to employees’ was highlighted for improvement, and this metric was part of senior management targets for 2024. While no specific questions for minority groups are included, participation rates measure the survey’s effectiveness. The director of HR People oversees the process, with team managers responsible for participation and follow-up. The annual budget for the survey is approximately €200,000.

Town hall meetings

PostNL holds quarterly town hall meetings, “PostNL praat je bij,” to update employees on strategy, performance, and key topics. Employees can ask questions via chat, with leadership addressing these in a Q&A. Unanswered questions are followed up by the communications team. These sessions help identify organisational impacts and evaluate actions. Effectiveness is tracked through attendance, views, and feedback from an annual satisfaction survey. The corporate communications manager oversees the process, supported by two specialists.

Talent management and performance cycle

PostNL’s annual talent management and performance cycle supports engagement through regular check-ins and development discussions for employees from salary scale 5 and above. Managers integrate employee feedback into decisions and ensure follow-up actions are communicated. Leadership training is mandatory for senior management. The director of HR People oversees policies, with a talent specialist managing implementation. Training resources are allocated from the learning and development budget, though the process’ effectiveness is not formally assessed.

Indirect engagement

A crucial and highly valued engagement process at PostNL is our works councils, which represent employees from across the entire organisation. PostNL has 10 works councils, consisting of one central council and nine specific councils, such as those aligned with individual business units. These councils cover all stages and types of engagement—including consultation, information, and decision-making—and convene, on average, monthly.

European works council

In addition to our local works councils, we maintain a European works council, with members from various European countries, which meets four times a year to address transnational matters. Feedback from the works councils is recorded and integrated into decision-making by the Board of Management and the Chief Human Resources Officer. During structured works council sessions, members are informed of how their input has influenced decisions and the outcomes that followed.

Role of the works councils

The works council is typically engaged on topics with significant potential impact on our workforce. For example, if potential impacts arise from our carbon emission reduction programmes, the works council will be informed, consulted, or asked for approval depending on the nature and severity of the impact. Additionally, the central works council was involved as a workers’ representative in the 2024 double materiality assessment and due diligence process.

Works council members compensation and training

In line with national legislation (Wet op de Ondernemingsraden), PostNL ensures that works council members receive compensation, training (minimum of 4-8 hours a year), and time during working hours to fulfil their roles. Members can meet on-site and attend paid training sessions on legal matters, team building, and personal effectiveness. The Chief HR Officer and Board of Management are accountable for works councils, while operational responsibility lies with the council presidents. Collaboration between works councils and the Board is reviewed informally, with both parties considering it constructive and effective.

Engaging with temporary staff

In relation to our engagement with temporary staffing employees within the Parcels network in the Netherlands, we collaborate with our staffing partners to review the outcomes of their employee satisfaction surveys conducted among temporary workers at our Parcels sites. This group includes migrant workers. The survey results are discussed annually with our partners, and any identified improvement areas related to PostNL’s operational processes or working conditions are taken into account in our internal decision-making processes.

PostNL does not allocate specific resources for this engagement, and the responsibility for these discussions lies with the project manager Sourcing and the manager Procurement & Services. Currently, PostNL does not assess the effectiveness of this process.

Monitoring employee well-being

We monitor workforce well-being through monthly EC and BU management meetings, using a ‘State of our People’ dashboard with key metrics and KPIs. These KPIs are regularly reviewed in leadership meetings to identify issues and develop mitigation strategies. The dashboard enables data-driven decisions on workforce demographics, health and safety, and employee retention. For example, high turnover in our Parcels network led to improvement initiatives. The HR data team maintains the dashboard, overseen by the CHRO, with implementation managed by HR Operations. The effectiveness of this measure on indirect employee engagement is not formally assessed. Outcomes are shared (at team level) and discussed by team manager with team members and improvement actions identified and discussed in senior management meetings to be integrated in decision making.

Grievance and remedy

At PostNL, we are dedicated to maintaining a safe, responsible, and ethical workplace. This includes recognising our responsibility to provide or support remediation when our actions or policies result in, or contribute to, material negative impacts on our workforce. In our approach to remedy, we aim not only to address issues promptly but also to learn from them to prevent recurrence. Our commitment to providing access to remedy is outlined in our human rights policy. More information on the policy can be found in Our policies later in this section.

Grievance mechanisms and channels to raise concerns

PostNL is committed to ensuring that all individuals within its own workforce, as well as their workers' representatives, have access to our grievance mechanisms and channels to raise concerns related to any material impact identified through our double materiality assessment. Affected individuals can seek help, guidance, or file a report if they believe their rights have been violated, they have been mistreated, or they have experienced a work-related health and safety incident. These channels include our group procedure on incident reporting (PostNL’s primary operational-level grievance mechanism) as well as various avenues for raising general or collective concerns related to employee matters. We have established processes to ensure these channels remain accessible and available to all.

If an investigation is necessary, it is conducted in accordance with the code of conduct for private investigation agencies. While various types of investigations may be undertaken, the goal is always to gather all relevant facts and ensure that each party involved is heard.

Further details on incident reporting and investigations can be found in Our policies within the Governance disclosures.

Providing remedy

Based on investigation findings, responsible management develops a tailored remediation plan suited to the nature and severity of the specific case. Various types of remediation measures or improvement actions may be implemented, including financial compensation, sanctions, policy revisions, training programmes, dialogue, mediation, or other corrective actions. For example, in the case of health and safety incidents, improvement measures may be identified and integrated into our risk assessment and evaluation processes.

Where appropriate, affected employees are involved in the design of remediation measures to ensure their needs and perspectives are adequately considered. In cases of proven violations of law or policy, PostNL will, where appropriate and legally permitted, take immediate corrective action. Any violations, including adverse human rights impacts, that we may potentially cause or contribute to, are addressed in good faith through legitimate processes, as outlined in our human rights policy. More information can be found in Our policies within this section.

Transparent communication

A person filing a report is notified within seven days that their report has been successfully received. Within three months, they will be informed of the assessment of their report. In line with privacy protection and information confidentiality, we ensure that details are shared only on a ‘need-to-know’ basis or when parties involved have a right to receive the information. During an investigation, careful consideration is given to the timing and content of communication with both the individuals involved and other stakeholders.

Once the investigation is completed, the person who filed the report is notified by the responsible management and informed of the main findings. In urgent cases, immediate action is taken to address the situation and mitigate potential risks. If the investigation confirms that a violation has occurred, the affected parties are informed of the next steps and the remediation measures to be implemented.

Assessing effectiveness of remedy

In following up on a reported incident, it is essential to assess whether the remediation provided has achieved the desired result. PostNL monitors the effectiveness of remediation measures at various stages throughout the follow-up process, with the specific timeline, method, and responsible department depending on the remediation plan in place. Remediation efforts are integrated into our regular risk assessment and evaluation procedures, as part of our health and safety management system, allowing us to track the success of remedial actions.

Additionally, we conduct an analysis of all integrity-related incidents reported, identifying areas where further action is needed. This enables us to define and implement structural improvements, such as policy changes, training programs, and other measures to prevent future issues.

Operational-level grievance mechanism

PostNL provides an operational-level grievance mechanism through our group whistleblowing and incident reporting procedures. These enable any affected individual, or their representative, within our operations and across the value chain to report issues via the PostNL incident registration tool (IRIS) or by contacting the integrity or security office through mail, chat, or phone. All grievances are centrally logged in IRIS, ensuring a single source for tracking incidents. Follow-up actions on integrity incidents are documented using dedicated tools.

Reporting violations

Any (suspected) violation of PostNL business principles, human rights, or laws—such as undesirable behaviour or health and safety concerns—should be reported through this mechanism, as outlined in our procedures. These procedures apply to all PostNL entities and are available on our internal SharePoint, with the whistleblowing procedure also accessible externally via our website.

Access and usage

IRIS is available to all employees and managers, who can file reports on behalf of employees and non-employees, such as temporary workers or contractors. Incidents involving third-party workers at PostNL sites should also be reported through their employer’s channels. Direct contact options for the security and integrity office are publicly available on our website.

Monitoring and awareness

We actively monitor and evaluate these procedures and incidents to ensure compliance, drive continuous improvement, and maintain a safe working environment. Training is provided to raise awareness and promote effective use of the grievance mechanism. As part of our action plan on (un)desirable behaviour, further measures are being implemented to improve awareness of the reporting procedure.

Channels to raise general concerns related to employee matters

The primary channel for filing general concerns or complaints related to employee matters is the HR service desk, accessible via email, chat, or phone, along with a dedicated HR complaints form. These services are available to all PostNL employees with a PostNL account (Mijn PostNL). Complaints and concerns raised through these channels are tracked by the HR service organisation, where each case's status is closely monitored, ensuring timely follow-up. Once a complaint has been handled and resolved, a short feedback survey is shared with the employee to assess the effectiveness of the channel in addressing their concerns.

Manager and HR support

PostNL employees can also raise general concerns or seek support or advice related to employee matters by approaching their direct or higher-level manager, or their dedicated HR business partner. Regular employee-manager interactions and check-ins are encouraged as part of our internal development and appreciation programme. Leadership performance is one of the areas evaluated in our bi-annual Employee Engagement Monitor.

Confidential advisors

In addition, PostNL provides access to external confidential advisors (via a third-party mechanism) and internal confidential advisors through the Mijn PostNL intranet. These advisors assist employees by listening to their concerns and, where applicable, guiding them to the appropriate channel and process for reporting an incident or complaint. Concerns discussed with external confidential advisors are tracked by the third-party organisation (GIMD), and an annual report summarising these concerns is shared with PostNL for internal reporting and improvement purposes. Currently, there is no formal structure in place to measure the effectiveness of these advisors.

Preventing undesirable behaviour

As part of our initiative to prevent undesirable behaviour, additional measures are being implemented to raise awareness and understanding of the available channels, ensuring that employees effectively use them to address their concerns.

Channels to raise collective concerns

Collective concerns can be raised through PostNL’s works councils and relevant labour unions. PostNL maintains continuous dialogue with both works councils and labour unions (third-party mechanisms) to understand concerns and discuss potential remedies when we have caused or contributed to negative impacts on people. The works council represents the interests of our employees and holds an advisory role in organisational changes, with the authority to propose initiatives and, in certain cases, approve or disapprove specific decisions.

Important topics

Important topics of structural discussion with the works council include employee engagement, health and safety, working hours, and addressing undesirable behaviour. For example, the works council annually reviews PostNL's approach to (un)desirable behaviour and may recommend improvements. PostNL has a process in place for raising discussion topics within the works council, and the outcomes of these discussions are tracked by the relevant council.

The effectiveness of this channel for raising collective concerns is evaluated informally through discussions between the Board of Management, the Chief HR Officer, and the central works council.

Safeguarding trust and protection

PostNL has policies to protect individuals, including workers’ representatives, from retaliation when using our reporting channels. This commitment is outlined in our human rights policy (see the Our policies earlier in this section) and whistleblowing procedure. Stakeholders are encouraged to report suspected misconduct, with the option for anonymous reporting. All reports are confidential, and external publicity is avoided unless legally required.

Zero-tolerance for retaliation

Any stakeholder reporting suspected misconduct, reasonably believed to be true, is protected from retaliation. PostNL prohibits any form of discharge, demotion, suspension, harassment, or discrimination. Any threats or retaliatory actions must be immediately reported to the director of Audit & Security.

Privacy in reporting

Respecting privacy is a priority, especially when handling reports containing personal or sensitive information. Employees must comply with our group privacy policy when processing personal or medical data, ensuring secure transmission and storage.

Building trust in reporting channels

Currently, there is no formal method to assess full workforce awareness or trust in these channels. As part of our action plan on preventing undesirable behaviour, we are enhancing communication to raise awareness and build trust in grievance mechanisms.

3.1.3 Our policies

At PostNL, we prioritise the protection and well-being of all individuals within our value chain through several important policies, including our diversity, equity and inclusion, health and safety policy, human rights policy, and business principles. Altogether these policies help fostering a safe and inclusive working environment for all our employees.

Diversity, equity and inclusion (DEI) policy

At PostNL, we are committed to fostering diversity, equity and inclusion, aiming to mirror the demographics of Dutch society. With over 100 nationalities represented in our workforce at the end of 2024, we believe we truly reflect a diverse society. This commitment is central to creating a healthy and sustainable work environment. To support this, PostNL maintains several active diversity, equity & inclusion networks across all business units, including WIN (Women Inclusion Network), our LGBTIQ+ network, Cross Cultural Community (CC), and YoungPostNL.

Our diversity, equity and inclusion (DEI) policy, which is integrated into our human rights policy, focuses on eliminating discrimination and harassment, promoting equal opportunities, and advancing diversity, equity and inclusion in various ways. Further details on PostNL’s human rights policies relevant to diversity, equity and inclusion can be found throughout this section.

Objectives of DEI policy

The objectives of PostNL’s DEI policy include promoting a balanced age structure, gender diversity, and multicultural talent at all levels of the organisation, fostering identity acceptance, and creating opportunities for disadvantaged job seekers. DEI is recognised as critical to responding to market changes, enhancing competitiveness, and understanding the diverse needs of our customers. This policy plays a central role in ensuring that all employees feel safe, accepted, included, and valued, contributing to an inclusive workplace. Oversight of the DEI policy is managed by the Human Resources department.

We actively foster identity acceptance by maintaining a visible lesbian, gay, bisexual, transgender, intersex and queer (LGBTIQ+) community, as well as creating opportunities for disadvantaged job seekers. In addition, we are aware of the diversity in brainpower within our organisation, of which we aim to take full advantage in creating balanced teams. We are committed to promoting these issues, both within the organisation and beyond.

The effectiveness of this policy is assessed through external benchmarks such as Talent to the Top and Workplace Pride, alongside PostNL’s own diversity index and evaluations against the Dow Jones Sustainability Index and the SER portal. To ensure compliance and measure progress, PostNL actively uses these external benchmarks and is a signatory of the Diversity Charter.

Scope of the DEI policy

Our DEI policy encompasses all our own employees, addressing various dimensions such as age, gender, multicultural talent, LGBTIQ+ inclusion, opportunities for disadvantaged job seekers, and diversity in mindset and cognitive skills. Our diversity, equity and inclusion (DEI) policy covers the material topics diversity & inclusion and employment & inclusion of persons with disabilities. The policy aims to create balanced teams and foster an inclusive working environment. Accountability for its implementation lies with the chief HR officer, ensuring transparency and stakeholder engagement throughout the process.

The policy is shaped by stakeholder feedback and independent research, including insights from the four-yearly survey, which was conducted in 2024, ensuring the needs and interests of diverse groups within and outside the organisation are considered. The DEI policy is communicated both internally and on our website to ensure transparency and encourage involvement in its implementation.

Our target-specific networks also conduct research among their members to maximise their positive impact. For example, WIN (Women Inclusion Network) has carried out a Vertical Mobility study, inspired by AEGON, to understand perceptions of the 'glass ceiling' and explore how PostNL can better support the advancement of women into senior management roles. WIN’s initiatives contribute to our goal of achieving 36% female representation in senior management by 2030. One initiative is the WIN mentoring programme, which fosters the personal and professional growth of women by connecting them with senior management mentors.

Looking ahead

Diversity is an ongoing process, which means our work is never done and we are always driven to make improvements. In achieving our objectives, we focus mainly on raising awareness, building skills, sharing know-how and maintaining a positive attitude. Our actions are designed to increase intrinsic motivation, thereby improving a sense of inclusivity and acceptance and further increasing diversity.

Planned DEI improvements for 2025 have been informed by survey results from 2024, further refining the policy and guiding updates to collective labour agreements (CLAs). Through our commitment to diversity, equity and inclusion, PostNL ensures that its practices support and positively impact its workforce.

Health and safety policy

At PostNL, we are committed to fostering a safe and healthy work environment that prioritises the safety, well-being, and performance of our employees. By maintaining high health and safety standards, we aim to prevent work-related injuries and ill-health, supporting our workforce in delivering their best. This commitment not only enhances employee engagement and productivity but also safeguards the well-being of the communities we serve.

Objectives of health and safety policy

PostNL’s health and safety policy is designed to promote sustainable employability by ensuring that employees remain safe, healthy, and free from harm while carrying out their duties. The policy emphasises improving working conditions, preventing workplace risks, and reducing accidents, with a strong commitment to adhering to Dutch legislation, the ILO Guidelines on Occupational Safety and Health and ISO 45001 standards.

Scope of the health and safety policy

The scope of the policy applies to our own broad workforce, including temporary workers, freelancers, and delivery partners working within our operations. Independent contractors with assignment agreements and (delivery) partners across all business units are responsible for their own health and safety policies, in compliance with Dutch and European regulations. While PostNL does not dictate how these third parties operate, we actively engage with them to promote and support the upholding of health and safety standards throughout our value chain. Our health and safety policy covers the material topic health and safety (including road traffic safety). Accountability for implementing the policy rests with the chief HR officer. The policy is accessible via our intranet and our website. Formalised in 2024, the health and safety policy was reviewed by the works council, representing the workforce.

Health and safety is also integrated into our human rights policy, which commits to maintaining a safe and hazard-free work environment. The policy focuses on preventing accidents, mitigating health risks associated with working conditions, and safeguarding employees from threats or harassment, making health and safety a core priority. Additionally, traffic safety, an integral part of the health and safety policy, is critical given PostNL’s extensive logistics and delivery operations. All employees, delivery contractors, and subcontractors operating motorised vehicles on behalf of PostNL are required to follow safe driving practices and traffic laws in every jurisdiction.

PostNL has adopted the 'three lines model' for health and safety management. In this framework, the operational units hold primary responsibility for ensuring the health and safety of workers. Health and safety professionals provide support and coordination, ensuring compliance with relevant laws and internal policies. The internal audit team serves as the third and independent layer, conducting reviews to verify adherence to both policy and practice.

Human rights policy

In 2024, we updated our human rights policy to incorporate our new governance structure surrounding human rights and address the majority of material social sustainability topics from our DMA. This policy affirms our commitment to uphold and respect internationally recognised human rights within our own operations, those of our subsidiaries, and throughout our value chain, which encompasses our consumers and end-users.

The scope of the policy extends to PostNL’s workforce, all value chain workers, including delivery partners, and consumers and end-users of our products and services. This policy is applicable across PostNL and its subsidiaries, and we also expect our contractors, suppliers, business partners, and other entities associated with our operations globally to adhere to it.

The provisions within our human rights policy are based on established international human rights standards. PostNL’s commitment to upholding these standards is reflected in our alignment with the International Bill of Human Rights, the International Labour Organization’s Declaration on Fundamental Principles and Rights at Work, the UN Guiding Principles on Business and Human Rights (UNGPs), and the OECD Guidelines for Multinational Enterprises on Responsible Business Conduct.

Objectives of the human rights policy

Our aim at PostNL is to leverage our position and progressively encourage business partners in our value chain to uphold similar values and practices concerning human rights. Key contents include a description of our Human Rights governance structure and our Human Rights Due Diligence approach (identification, prevention and mitigation of impacts, tracking progress, reporting and providing access to remedy). This policy underscores our commitment to managing material social impacts and their associated risks, including those identified in our DMA, with exceptions for the topic of training and skills development and the risks related to access to products and services. Additionally, the policy addresses our commitment to preventing any form of child labour, forced or compulsory labour, and human trafficking within our operations and our value chain.

Scope of the human rights policy

Our Human Rights Policy covers all material social topics throughout the value chain with the exception of the material social topics training & skills development and the risks related to access to products and services. The policy is accessible to all stakeholders, including potentially affected groups, through publication on our internal SharePoint and our website. We continually engage with both internal and external stakeholders to identify our most material human rights concerns. More information can be found in Our governance within this section.

Regarding our engagement with value chain workers, we have established processes to engage directly with deliverers or indirectly through delivery partners acting as workers’ representatives with insights into the working conditions of those employed in our operations. More information can be found in Our governance within the Workers in the value chain section. Engagement with consumers and end-users is critical to maintaining service quality, customer satisfaction, and regulatory compliance. More information can be found in Our governance within the Consumers and end-users section.

Remedy mechanisms

Remedy mechanisms are determined by the relationship between PostNL and the adverse impact in question. In alignment with the UNGPs, we are committed to providing access to remedies when PostNL causes or contributes to a negative impact linked to our activities or those of business partners in the context of our operations. We encourage all employees, workers, suppliers, and partners to report any human rights concerns or potential abuses that they encounter across the value chain. If employees believe a violation of the Business Principles occurs, employees can turn directly to the Integrity Office or the Security Office. Additionally, PostNL's procedure on whistleblowing is in place.

Occasionally, we receive grievances regarding potential non-compliance with human rights within the value chain, often related to working conditions. Each grievance is assessed, and investigations are conducted when appropriate. In cases where multiple grievances arise on similar issues, we implement preventative measures to address recurring concerns. No reported cases of non-compliance with consumer and end-user rights occurred in 2024. No severe human rights violations with the workers in our value chain have required public disclosure, but partnerships with some delivery partners have been discontinued in 2024 due to unprofessional conduct.

Monitoring and compliance

To ensure compliance with our human rights policy, we utilise multiple monitoring mechanisms. On 29 January 2025, we convened an initial meeting to establish a dedicated Human Rights Committee. This committee has been appointed to oversee our due diligence processes and conduct structural reviews of our human rights policy. Ultimate accountability for human rights compliance lies with our Board of Management. The Chief Human Resources Officer (CHRO) holds the highest responsibility for implementing this policy, supported by the Human Rights Committee. The policy was developed in consultation with our central works council (COR) and the PostNL Integrity Committee.

Our Guidelines for Delivery Partners mandate that third-party suppliers adhere to human rights standards and fair labour conditions, including provisions on forced or compulsory labour, child labour, precarious employment, worker safety, and other human rights matters, as outlined by the OECD and ILO standards. We are rolling out a third-party risk management process to monitor compliance of delivery partners with this guideline. Additionally, protection of consumer and end-user privacy is managed by our Chief Privacy Officer (CPO) and Data Protection Officer (DPO), who conduct regular audits, compliance checks, and prompt incident reporting.

Business principles and group policy on integrity

At PostNL, we place great importance on honesty, transparency, and integrity in both our business practices and the way we treat individuals inside and outside the organisation. As a large company with a diverse workforce, respectful behaviour is important to how we interact with each other and our partners. Our business principles outline our core values and the standards of behaviour we expect from everyone working for or with PostNL. We are committed to respecting one another and embracing our differences, ensuring equal treatment and opportunities for all.

Our Business Principles cover the social material topics measures against violence and harassment, working time, health & safety, and access to product and services. Our Group Policy on Integrity covers the social material topic measures against violence and harassment.

We aim for all employees to feel respected, valued, and safe, with zero tolerance for discrimination based on age, disability, nationality, gender, marital status, race, religion, or sexual orientation. Further details on our business principles and group policy on integrity can be found in the Governance Disclosures, Our policies.

Group procedure on (un)desirable behaviour

PostNL’s policy commitments regarding (un)desirable behaviour are outlined in the group procedure on (un)desirable behaviour, developed in 2024 as part of a dedicated action plan (see Our performance in this section, specifically measures against violence and harassment later on in this section). We maintain a zero-tolerance policy towards any form of threat, violence, or harassment—whether physical or verbal. This includes, but is not limited to, bullying, sexual harassment, discrimination, aggression, and violence. No form of undesirable behaviour is permitted within our organisation.

Scope of the group procedure

The scope of this policy applies to our entire workforce, including temporary workers and delivery partners involved in our operations—in short, all individuals working within the PostNL Group under an agreement. Our group procedure on (un)desirable conduct covers the material topic measures against violence & harassment in the workplace. We expect everyone who works at or on behalf of PostNL to understand what constitutes (un)desirable behaviour, to actively prevent undesirable behaviour, and to take appropriate action when they observe it. Our employees are expected to recognise undesirable behaviour, understand how to prevent it, and know the steps to take should it occur. Additionally, we emphasise the importance of fostering and demonstrating desired behaviour in our daily interactions.

Objectives of the group procedure on (un)desirable behaviour

The aim of the procedure is to promote desirable behaviour while preventing and addressing undesirable conduct. It provides clear guidance for employees who experience or witness inappropriate behaviour in the workplace. We are committed to ensuring a safe and respectful working environment by protecting everyone who works with and for us from undesirable behaviour and its negative consequences. PostNL fosters a culture in which employees are encouraged and empowered to speak up. In line with the procedure, management is required to report any (suspected) instances of undesirable behaviour in the workplace. These incidents must be documented using the incident registration tool (IRIS) or reported directly to our Integrity & Security Department. Further details on the procedure can be found in Our performance below.

3.1.4 Our performance

In 2024, we implemented various measures aimed at addressing the material impacts on our own workforce. In this section we explain the structured processes to monitor and assess the effectiveness of these actions, ensuring continuous improvement, as well as their related targets.

Diversity and inclusion

Actions

PostNL is dedicated to creating a safe and diverse working environment through a range of training programmes across all business units, including Operations. These initiatives, which support our six diversity focus areas: LGBTIQ+, age, diversity in thinking, cultural background, gender, and opportunities for individuals needing extra assistance, include:

3D (Three Dimensions of Diversity) training

A structured framework that broadens the concept of diversity beyond visible characteristics, incorporating personal experiences and workplace dynamics to promote a more inclusive and intersectional approach to DEI.

DISC

A behavioural assessment tool designed to improve workplace communication and collaboration by identifying distinct personality styles and their influence on team interactions.

Cultural Craftsmanship

A strategic approach to fostering cultural awareness, adaptability, and mutual respect, enabling the development of inclusive work environments and culturally intelligent leadership.

Intercultural Communication training

A targeted training programme that equips individuals with the skills to navigate cross-cultural interactions effectively, minimising misunderstandings and enhancing inclusive workplace communication.

Tailored interventions

In addition to standard programmes, PostNL offers tailored interventions as needed, addressing specific requests or urgent situations. These initiatives form a key part of our HR strategy for the short, medium, and long term, helping raise awareness and deepen understanding of diversity.

Subsidy-supported training

Each programme meets the criteria of the ‘Maatwerkregeling Duurzame Inzetbaarheid & Eerder Uittreden’ (MDIEU) subsidy, allowing PostNL to receive a 40% subsidy per course, contributing to employee vitality.

Resources and evaluation

PostNL’s 24 dedicated trainers are overseen by HR, which also manages the budget for these programmes. Each session is evaluated, with lessons integrated into future training. Effectiveness is measured through our DEI survey, conducted every four years.

Targets

PostNL has set specific DEI targets, as well as for health and safety. To accelerate progress towards these objectives, we have launched and expanded several initiatives. These include raising awareness and actively strengthening the leadership pipeline with female successors, enhancing the recruitment and selection process for senior management, and further reinforcing our diversity networks.

Reinforcing our commitment to DEI, PostNL aims to achieve 36% female representation in senior management by 2030, while our original target was set at 33% by 2025 (base year 2018: 21%).

In addition to the formal target mentioned above, we also track the effectiveness of our DEI efforts by setting ambitions around achieving a balanced gender composition within the Board of Management and the Supervisory Board. We met our ambitions in 2024, with 50% female representation in the Board of Directors and 37% female representation within the Supervisory Board.

Support through diversity networks

This goal is supported by our DEI networks, including the Women Inclusion Network (WIN), and focuses on increasing female representation in leadership roles across PostNL. The percentage is based on data from central HR systems, covering 100% of our workforce.

Defining and tracking progress

PostNL reports annually on progress, as tracked by the State of our People HR report. By the end of 2024, 35% of senior management positions were held by women. Gender diversity is a key focus in our updated recruitment and selection processes for senior roles (PAO).

Employee representation and monitoring

The central works council has actively contributed to setting these targets, ensuring employee representation in the process. Management monitors progress through the State of our People dashboard, and we gather further insights through workforce engagement, particularly from WIN initiatives like Vertical Mobility research, which explores barriers to female career advancement.

Metrics

PostNL Workforce by region number of employees
2023 - 2024

The total workforce of PostNL decreased by 3% in 2024. The reduction in headcount was largely a consequence of the ongoing tight labour market, which has made recruiting and, for certain roles, retaining the right people increasingly challenging. For instance, at Mail in the Netherlands, we had over 1,000 vacancies. However, dedicated programmes have been instrumental in addressing this issue, helping us reduce the number of vacancies and strengthen our workforce in critical areas.

PostNL Workforce by age group number of employees
2023 - 2024

Despite the decline in the number of employees our age distribution remains stable. This is due to our continued efforts on age diversity; we strive to maintain a healthy age distribution.

PostNL Workforce by gender number of employees
2023 - 2024

The number of female employees decreased compared to 2023, while the number of male employees remained relatively stable. This trend is primarily due to a higher influx of men than women. While the outflow of male employees can be offset by new hires, the same does not apply to female employees.

PostNL Senior management as indicated
2023 - 2024

In recent years, PostNL has made significant strides in promoting diversity, achieving a growth of more than 10% in the proportion of women compared to 2023. This progress has been driven by a more rigorous recruitment and selection process, the targeted deployment of talent management, and the support of our Women Inclusion Network, which enhances the visibility of talented female leaders and supports them in their transition to senior management. Additionally, the restructuring implemented on 1 January 2023 has resulted in the explicit appointment of female leaders to strategically important positions. With diversity embraced as a strategic priority by both the Board of Directors and the Executive Committee, we are on track not only to meet the target of 36% women in senior management by 2030 but also to achieve the same representation at the next management level. This has established a strong foundation for the continued advancement of women within PostNL.

The majority of our employees have a permanent contract. Most of our contracts are part-time, due to the nature of the jobs on offer, especially mail deliverers. We mainly hire full-timers within e-commerce , where the hires are predominantly male. From July 2024, newly hired mail deliverers were offered temporary contracts.

PostNL Workforce by other dimensions number of employees
2023 - 2024

PostNL Turnover as indicated
2023 - 2024

The total turnover and voluntary turnover rates are relatively stable, while the absolute turnover decreased slightly. Due to the operational nature of many of the jobs across PostNL, we employ a relatively high percentage of part-time and seasonal employees, which means our turnover rate is high compared to other sectors.

PostNL New hires as indicated
2023- 2024

The total number of new hires increased by 4% in absolute terms, with a slight rise in both the proportion of male and female hires. Additionally, the age group of new hires under thirty experienced the highest absolute growth.

Working time

Actions

In 2024, PostNL took two key actions to mitigate the potential negative impact and business risks associated with working time for our workforce. First, we developed a comprehensive action plan aimed at ensuring compliance with legislation, preventing adverse effects related to working time, and promoting a healthy work-life balance. Second, we introduced targeted measures to prevent or reduce excessive working hours, forming part of our broader commitment to enhancing employees’ overall work-life balance.

Working time agreements

In line with legal requirements regarding working hours and vacation, PostNL has implemented additional agreements on working time through its collective labour agreements (CLA). Regular discussions with labour unions ensure that relevant labour topics, including working time, are continuously addressed.

Collective labour agreements

The collective labour agreement (CLA) for mail deliverers, effective from 1 January 2024 to 31 December 2025, sets out specific provisions for the delivery schedule and the conditions under which extensions may apply. This CLA applies to all mail deliverers within our Mail in the Netherlands operations.

In addition, the broader PostNL CLA was renewed in 2024. The new CLAs for PostNL and Saturday deliverers, covering employees in our Dutch operations except mail deliverers, came into effect on 1 April 2024 and will remain in place until 30 June 2026. These agreements focus on ensuring legal compliance, mitigating risks, and promoting a healthy work-life balance.

Important CLA provisions include enhanced rest periods, shorter night shifts, and the option for employees aged 60 and above to reduce working hours, with further reductions from age 63. These measures ensure compliance with legal standards while preventing risks related to excessive working hours and promoting work-life balance.

The chief HR officer oversees the implementation of CLA agreements, with the HR Legal and Reward department responsible for their execution. A dedicated HR team manages CLA negotiations. In Belgium, distinct employment schemes for blue- and white-collar workers, renewed in 2022, include similar agreements on working time. Additionally, PostNL has reached agreements with its works council to implement supplementary scheduling rules for specific groups, such as Transport employees.

Working time compliance project

In February 24, a working time compliance project was launched. This project identifies and addresses non-compliance within operations to protect employees and prevent legal risks. The project covers key networks, including Mail in the Netherlands, E-commerce Operations, Logistics Solutions, and Transport Services, with systematic assessments and improvements embedded across all networks.

Legal compliance and monitoring

Legal requirements to ensure compliance with working time laws and regulations are integrated into our workforce scheduling system. When these requirements are not met, such as in cases where working hours exceed allowable limits, this is flagged in our management information systems. As part of our ongoing working time compliance project, we are actively identifying such instances and investigating their root causes. Each network undergoes a structured process to ensure compliance, consisting of the following steps:

• Collect scheduling and working time management data

• Identify instances of non-compliance with working time legislation and/or CLAs

• Conduct root cause analysis in collaboration with management and, where applicable, affected stakeholders

• Define and implement targeted improvement initiatives

• Develop a structured process to continuously collect relevant management data

• Implement a Plan-Do-Check-Act cycle to monitor and manage compliance within the network.

This comprehensive approach encompasses the development of policies, processes, communication strategies, and the implementation of appropriate tools to ensure compliance at all levels of the organisation.

The first three steps of this action plan serve as the foundation through which the project team determines the necessary and appropriate actions in response to any negative impact on the workforce within a particular network. By combining a data-driven approach with active stakeholder engagement within each business unit, we can identify underlying causes and address them effectively through targeted interventions.

Monitoring and PDCA implementation

While a formal mechanism to monitor the overall effectiveness of the action plan is still in development, non-compliance is systematically tracked through our workforce scheduling system. Relevant management teams monitor these instances, and a Plan-Do-Check-Act (PDCA) cycle will be implemented for each network. Although management information provides insights for potential remediation, no concrete actions have been taken yet, as the project is still in the implementation phase across networks. By the end of 2024, implementation was completed in selected networks, with ongoing work in others.

Further expansion and accountability

Currently, the action plan applies only to contractual employees. Once fully implemented across the initial networks, we will consider expanding to other networks or affected groups, such as temporary staffing workers. The chief HR officer is accountable for the action plan, supported by a project manager. Once the PDCA cycle is fully embedded, responsibility for tracking effectiveness and managing compliance will shift to the networks operational management teams.

Targets

PostNL currently does not have any targets in place to measure the effectiveness of the above mentioned policy commitment and actions as we are still in the early stage of implementing the action plan and exploring meaningful and practical ways to track progress across the organisation.  

Tracking effectiveness through the PDCA cycle

Alternatively, we track effectiveness as part of the roll-out of the working time compliance project using a PDCA cycle that is implemented for each network within scope. This will enable management to track the effectiveness of actions in mitigating impacts on people and reducing business risks. The aim is to achieve full compliance with applicable laws and regulations while adhering to the additional working time agreements. This mechanism will also serve as a means to assess the effectiveness of both identified actions.

Legal integration and risk mitigation

By integrating legal requirements into our workforce scheduling system and proactively identifying instances of non-compliance, we support management in addressing and mitigating potential negative impacts. Through our working time compliance project and additional agreements on working hours, we are committed to ensuring that our practices do not cause or contribute to material adverse effects. We take proactive measures to mitigate associated business risks, safeguarding our ability to rely on a healthy, engaged, and productive workforce. When tensions arise between preventing or mitigating material impacts and other business priorities, we strive to balance business objectives with stakeholder interests to the best of our ability.

Employment and inclusion of persons with disabilities

Actions

Our diversity, equity and inclusion policy is designed to eliminate all forms of discrimination, including harassment, while promoting equal opportunities for all. We are committed to fostering diversity, equity and inclusion across our organisation, with a focus on supporting LGBTQ+ communities, such as through our LGBTIQ+ network, and creating opportunities for individuals with a distance from the labour market. Our human rights policy further addresses the employment and inclusion of people who require additional guidance.

The onboarding process was enhanced in 2024, introducing a dedicated application process via job coaches through a separate web portal. Furthermore, onboarding has been segmented into two distinct streams: Operational and people-focused support. These improvements remain ongoing, with further enhancements—such as additions to the social administration request form—scheduled to continue at least until 2026.

Recognising the need for tailored working hours, we provide flexibility in scheduling to accommodate small work packages. This approach enables us to collaborate with employees from our target group, ensuring optimal work arrangements that meet their needs. While significant progress was made in 2024, this initiative remains ongoing and will continue in close cooperation with job coach organisations.

Policy impact

This diversity, equity and inclusion policy is focused on providing a positive impact by ensuring tailored support to individuals, enabling them safe access to the labour market, fostering their ability to learn and grow, enhancing their employability, and ensuring their full and effective participation in society on an equal footing with others. Further information on PostNL’s human rights commitments related to employment and inclusion of individuals with disabilities can be found in Our policies, within the Own workforce section.

Upholding policy impacts

PostNL is committed to ensuring that our diversity, equity and inclusion practices do not adversely affect our workforce. We use a variety of mechanisms to uphold our policy commitments, ensuring that the additional guidance provided to those in need, via job coaching organisations, contributes to a positive impact. This guidance does not result in any material negative consequences for our workforce, but rather fosters an inclusive environment that benefits all employees.

Job coaching organisations

PostNL provides guidance to employees with additional support needs through our internal job coaching organisation. The main aim of this organisation is to facilitate safe access to the labour market for individuals in the target group, offering opportunities for learning, development, and improved employability, ensuring full and effective participation in society on an equal footing with others.

Organisation's responsibility

The job coaching organisation is responsible for the recruitment and selection process for these employees, while job coaches offer specialised support not only to the targeted employees but also to their colleagues and managers. Additionally, the organisation manages grant applications (financial compensation that sustains the employment of the target group) and oversees relationship management with local municipalities and the Employee Insurance Agency (UWV). The scope of this organisation covers both our internal workforce and those employed through social enterprises within the operations of our Mail in the Netherlands, TGN, and Parcels Netherlands networks.

Who we employ

PostNL employs over 3,300 individuals with a distance to the labour market, of which 1,426 (as of December 2024) held individual contracts with PostNL. Our job coaching coverage extends to 8 out of 10 delivery areas, supported by a team of seven job coaches. In the remaining two areas, the organisation adopts a reactive approach, responding to incoming requests as they arise. The job coaching organisation works closely with operational networks to share insights and actively seek suitable work placements for the target group, with a focus on both the short- and medium-term future.

Monitoring effectiveness

The effectiveness of the job coaching organisation is measured through a dashboard that tracks recruitment and retention data, which is reviewed monthly by an internal steering committee. A second dashboard is used to manage and monitor financial flows, including subsidies. The team consists of seven job coaches, with oversight provided by a dedicated project manager. Strategic decisions are made by the dedicated steering committee.

Additional activities

We have several initiatives aimed at addressing specific barriers faced by employees in our target group, with a focus on enhancing their work experience and increasing their contributions to the organisation.

Examples of employability initiatives at Mail in the Netherlands include:

• Physical discomfort: a pilot programme with noise-cancelling headphones was launched to help employees manage sensory overload which is still running;

• Reducing time pressure: Workload adjustments have been made for 200 persons, with municipal subsidies compensating for extra time needed to complete tasks. This initiative will run into 2025;

• Onboarding process: Candidates can apply independently or with assistance. If required, we support subsidy applications for those receiving unemployment benefits this program will run into 2026;

• Tailored working hours: We assess and adjust work hours based on individual needs which is an ongoing initiative.

We launched pilots to expand the target group, including status holders (refugees), school students, recipients of certain state benefits, and the long-term unemployed. A notable success is the Connect Carrier, an electric cargo bike for wheelchair users, now deployed at Mail in the Netherlands delivery operations.

We monitor the effectiveness of these initiatives through internal dashboards that track recruitment and retention, with a dedicated working group and steering committee oversee progress.

Targets

In 2019, as part of the Sandd acquisition, PostNL committed to ensuring that, by the end of 2024, 7.5% of all mail delivery hours in the Netherlands would be performed by individuals with a distance to the labour market. We determine this percentage based on the total hours of postal delivery. This supports our diversity, equity and inclusion goals by creating opportunities for disadvantaged job seekers.

The target applies to Mail in the Netherlands operations, with recruitment and support provided through our internal job coaching organisation and via cooperation with Social Work companies and social delivery partners. The target group is defined by the government under the job agreement (banenafspraak). Employees are not involved in the tracking or setting of these targets. Progress is reviewed every six months, involving Mail in the Netherlands management and the works council. By the end of 2024, 8% of all mail delivery hours were fulfilled by this group. We gather feedback through the engagement monitor and the job coaching organisation.

Policy effectiveness

The effectiveness of our policies and actions is monitored through Social Entrepreneurship Performance Ladder (Prestatieladder Socialer Ondernemen (PSO)) certification. This independent, science-based tool measures how well organisations support the participation of groups of persons with disabilities or in need of guidance in the Dutch labour market.

Since joining the PSO in 2021, PostNL achieved Level 2 certification in 2022, followed by Level 3 in 2024. To ensure continued compliance with the achieved level, audits are conducted every two years. Our goal is to maintain PSO Level 3 by expanding employment opportunities for under-represented groups, including refugees and the long-term unemployed. This certification serves as a key measure of the effectiveness of our employment and inclusion initiatives.

Training and skills development

Actions

At PostNL, we are committed to the continuous growth and development of our employees through strategic investments in comprehensive training and skills development programmes. This commitment is realised through three action plans:

• License to operate trainings

• License to perform trainings

• Shaping a learning culture.

These initiatives are designed to be rolled out across the short, medium, and long term.

Licence to operate trainings 

In alignment with our commitment to operational excellence, we ensure that all employees are equipped with the required skills, knowledge, and certifications through our License to Operate training programmes. These programmes are designed to ensure that individuals can safely and competently perform their roles, operate specific equipment or machinery, and meet the demands of their current job. By addressing the risks associated with inadequate training and under-qualification, we enhance productivity, improve cost efficiency, and contribute to higher employee satisfaction. The scope of these trainings extends beyond our direct workforce to include non-employees and contracted workers, ensuring consistent standards across our operations.

Skills prioritisation

We place great importance on ensuring our drivers are equipped with the skills needed to navigate to PostNL destinations safely and efficiently. In 2024, this included comprehensive driving education for 20 participants and mandatory refresher courses for all drivers, totalling 800 participants.

Within TGN, we provide training for our 800 drivers through on-the-job sessions and online e-learning via the Mijn Leerplein learning platform. For our Mail in the Netherlands operations, training is delivered through the external platform Knowingo, which offers guidance on preparation, delivery, and sorting processes. Using interactive quizzes accessible via smartphones, Knowingo personalises the learning experience based on users’ knowledge levels and learning needs.

This platform enables us to efficiently train employees—including mail deliverers, sorters, and call centre staff—by enhancing factual knowledge and awareness. In 2024, 6,018 employees across seven departments, including 5,129 mail deliverers, participated in an average of 46 quizzes, amounting to a total of 4,588 training hours.

Licence to perform trainings 

Our License to Perform in the Future training programme is designed to equip employees with the knowledge, skills, and behaviours that not only enhance their current job performance but also prepare them for future job demands. This ensures that our workforce is well-prepared to support the future performance of PostNL, while also fostering employee development for new roles, promoting sustainable employability, and contributing to organisational growth. The target audience for these trainings includes employees across all business units within PostNL.

Leadership development and role-specific training

In 2024, we continued to invest in leadership development across various programmes and target groups, supporting the growth and advancement of our workforce. As part of this commitment, we offered full secondary vocational education (MBO) programmes for logistics supervisors and team leads, with 72 completing the training. Following the restructuring of our Mail in the Netherlands organisation, we introduced distinct roles for people coaches and logistics coaches, enabling a more tailored approach to management responsibilities. This structure helps us better align management profiles with specific duties, enhancing team support and operational efficiency. To equip leaders for these new roles, we conducted extensive training sessions for 381 participants across different levels of the organisation.

Digital Learning Labs for transformation

The Digital Learning Labs play a vital role in equipping our workforce with the skills needed to drive PostNL's digital transformation. These labs provide focused knowledge and skills training in three areas:

• Customer experience

• Digital acceleration

• Agile methodology.

In 2024, employees completed 330 Digital Learning Labs. Alongside these, we also organised an AI Hackathon, which attracted 75 participants. This reflects the growing interest and engagement in developing AI-driven solutions and acquiring essential digital skills for the future. Through these targeted initiatives, we empower our workforce to stay innovative, adaptable, and aligned with our strategic ambitions, ensuring the continued delivery of exceptional value to our customers and stakeholders.

In 2024, we welcomed 229 visitors (5% of targetgroup) and they have completed 330 labs. Since the programme's inception, a total of 465 visitors (11% of targetgroup) have participated, with 1,135 labs successfully completed. This initiative supports our ongoing efforts to strengthen digital capabilities across the organisation.

Shaping a learning culture 

At PostNL, we are dedicated to cultivating a culture of continuous learning and development, creating an environment that actively promotes knowledge sharing and personal growth. As an employer, we enable employees to take charge of their own sustainable employability, while providing the necessary resources and support. Through our internal learning platform, Mijn Leerplein, we enhance the learning agility of our workforce across all business units, fostering adaptability and a swift learning capability that mitigates risks and drives positive results. In line with our ongoing commitment to learning and development, in 2025, we will initiate a pilot to extend access to Mijn Leerplein to segments of workers within our value chain, starting with those in the e-commerce sector.

Enhancing learning accessibility and usability

Through the enhancement of Mijn Leerplein, we aim to improve accessibility and usability of learning activities. A number of initiatives have been implemented to ensure that employees can easily find the learning opportunities that align with their individual needs. Actions include streamlining the platform's interface to improve navigation and simplify the process of accessing relevant learning content. Additionally, we are integrating the GoodHabitz platform to offer a comprehensive range of courses and resources and will further roll the GoodHabitz platform out in 2025. To further personalise the experience, we introduced personal segmentation. These improvements have resulted in an increase in engagement, with 3,529 participants actively using Mijn Leerplein.

Centralised training

By centralising our training programmes on a single platform, we aim to improve accountability and data tracking, addressing gaps in platforms that currently lack these features. This transition will enable us to gather more comprehensive data to measure the effectiveness of our training initiatives, as outlined in our target section.

Promoting learning agility

We are also committed to enhancing learning agility across the organisation, enabling employees to swiftly acquire, adapt, and apply new skills in a variety of contexts. To support this, we offer learning agility assessments to employees from salary scale 5 onwards, providing valuable insights into their strengths and areas for development. This approach empowers employees to take ownership of their growth and actively pursue development opportunities. In 2024, 831 colleagues have received their learning agility report, reinforcing our ambition to cultivate a more adaptable and forward-thinking workforce.

Resources and evaluation 

We assess the number of participants and training hours within our systems, tracking the effectiveness of activities across various digital platforms. However, challenges remain in terms of trackability, as not all platforms provide comprehensive coverage, leading to incomplete data and an incomplete overview. To address this, we are developing Mijn Leerplein as the unified platform for all training programmes.

In terms of resources, a dedicated team, including L&D advisors, an L&D coordinator, and an L&D manager, is responsible for designing and executing learning and development strategies under the frameworks of 'Licence to Perform' and 'Shaping a Learning Culture.'

Targets

We have not yet set strategic or corporate-level targets for our action plans, as we are still in the process of assessing our training needs and resources. There are various ways to identify training requirements at both the organisational and team levels to support future target setting. Firstly, we are conducting a skills gap analysis focused on digital competencies, which will serve as a benchmark and target for building a digitally skilled workforce. Secondly, several management teams are actively defining specific training needs, such as expertise in occupational health and safety (ARBO) within HR. Thirdly, every employee is responsible for their sustainable employability and has a personal development target outlined in their individual attention form.

Monitoring and tracking effectiveness

In the meantime, we monitor several indicators to track the effectiveness of our action plans. To evaluate the impact of our training initiatives, we include a question in our employee engagement monitor regarding employees’ perceptions of training opportunities within the organisation. This feedback provides valuable insights into the current state of training across the group, business units, and departments.

Tracking indicators

For the Licence to Operate and Licence to Perform training action plans, we track two important indicators: the number of training hours per full-time equivalent (FTE) and the cost per FTE. These metrics provide insight into both the volume of training delivered and the cost efficiency of our programmes, with our overarching ambition being to improve the effectiveness of our training initiatives. We are in the process of aligning these measures with the CSRD metrics, which will come into effect in 2025.

Regarding the Sharpen a Learning Culture initiative, we monitor engagement and participation rates on Mijn Leerplein, our central hub for training programmes. While we currently compare these rates against historical data, we have not yet set a defined ambition level for future performance.

Metrics

PostNL Employee engagement Share of engaged employees
2023 - 2024

In 2024, the average engagement score was 67% (2023: 68%), calculated as a weighted average of the 67% result from the spring measurement and an increase to 68% in the autumn measurement. We are pleased that, despite the various measures we have had to implement over the past year, we have maintained strong commitment from our employees. The average response rate was 45%. Within the relevant business units, we will actively work with these findings to take appropriate actions and improve. More information on the scores can be found in the Social value chapter.

Health and safety

Actions

Occupational health and safety working conditions management system

In 2024, PostNL enhanced its risk and incident management by replacing its Health & Safety tool with the occuptional health and safety working conditions (OHSAS) management system, integrating risk and incident processes. This system provides a structured, automated approach to mitigating workplace risks, supporting continuous improvement in health and safety. Aligned with ARBO regulations and ISO 45001, this management system follows the Plan-Do-Check-Act (PDCA) cycle to promote compliance, risk management, and employee well-being.

Risk mitigation

When risks are identified, an action plan is created, detailing responsibilities and timelines, with outcomes monitored until risks are mitigated or resolved. The system ensures actions are tracked, and effectiveness is evaluated, ensuring ongoing improvement in workplace safety. In case accidents occur, PostNL provides comprehensive insurance coverage to support employees financially affected by workplace incidents. We offer psychological assistance for those experiencing traumatic events and comply with the Dutch Wet Verbetering Poortwachter to support employees' reintegration after accidents. These actions ensure financial security, emotional support, and effective recovery for our employees.

Expansion of scope of the management system

The new OHSAS management system, introduced in late 2024, will be further expanded in 2025 to cover all Dutch business entities. While PostNL’s policy applies to both its workforce and temporary workers, independent contractors and partners remain responsible for their own health and safety policies. However, PostNL remains actively engaged to ensure that standards are upheld across our operations. More information on the implementation of OHSAS management system can be found in the Social Value chapter.

Commitment to ISO 45001 standards

PostNL’s commitment to ISO 45001 standards is demonstrated through adherence to the PDCA cycle, guiding continuous improvement in workplace health and safety. External audits are conducted annually, with full recertification every three years. PostNL’s latest recertification was completed in 2024.

Rolling out a digital health survey 

To enhance employee health, safety, and well-being, PostNL has launched a digital health survey initiative aimed at identifying long-term health risks associated with, but not limited to working at PostNL. By implementing this initiative, we align with regulatory standards such as the Periodic Occupational Health Examination (PAGO), which is incorporated in the digital health survey. We strongly believe we can only strengthen workplace health management by also looking beyond health in a workplace environment. The initiative targets potential health concerns highlighted by the risk assessment tool, such as nocturnal labour and physically demanding tasks, while also promoting health awareness in both employees’ working and private lives, reducing absenteeism and increasing labour productivity. Summarized health data is collected from employees through questionnaires, enabling workforce segmentation and the implementation of preventive measures that improve overall vitality.

After a successful pilot of the digital health survey in 2024 within the Transport department, the survey will be made available to all PostNL employees later in the first quarter of 2025. Additional promotional campaigns will be issued gradually per department to emphasize the importance to employees even more, starting with our parcels department.

Alignment with regulatory standards

With the initiative we align with regulatory standards. For example, we have incorporated the mandatory Periodic Occupational Health Examination (PAGO) in a broader digital health survey. We strongly believe we can only strengthen workplace health management by also looking beyond health in a workplace environment. After a successful pilot of the digital health survey in 2024 within the Transport department, the survey will be made available to all PostNL employees later in the first quarter of 2025. Additional promotional campaigns will be issued gradually per department to emphasize the importance to employees even more, starting with our parcels department.

Management of physical labour 

At PostNL, we are committed to ensuring a safe and healthy working environment for all our employees. As part of our ongoing efforts, we continuously assess and enhance our occupational health and safety activities to align with best practices and regulatory requirements. More information on the actions we took to manage physical labour during 2024 can be found in the Safeguarding occupational health and safety section of the Social value chapter on pages 64-66.

Traffic safety 

At PostNL, we are committed to improving traffic safety through structured initiatives that include driver education, mandatory training, and public awareness efforts. Our drivers receive targeted training, including annual refresher courses, supported by online modules, to ensure up-to-date safe driving practices. These programmes, however, do not extend to delivery partners. Further details on our traffic safety training programmes are outlined earlier in the section on ‘Actions on training and skills development’.

Supporting traffic safety campaigns

PostNL actively supports national traffic safety campaigns, such as Veilig Verkeer Nederland’s ‘Onze scholen zijn weer begonnen,’ raising awareness about the risk of accidents involving schoolchildren. We use a train-the-trainer model, where drivers trained by Verkeersgroep Nederland educate their colleagues. Special focus is given to heightened vigilance near schools, with attention to blind spots and pedestrian crossings. We have also added 2,200 magnetic traffic awareness stickers to our vans, targeting both time-critical (TGN) and e-commerce operations. Awareness efforts are also extended to delivery partners.

Additionally, we engage with communities by offering ‘dode-hoek’ (blind spot) lessons at primary schools and have equipped our larger TGN trucks with ‘fietsenvangers’ (bike catchers) to reduce cyclist accidents.

New Health and Safety board

PostNL has adopted a dual-structured approach to managing its health and safety impacts, excluding absenteeism. This framework comprises both centralised and decentralised elements, ensuring a balance between strategic oversight and operational adaptability.

The central health and safety organisation is responsible for developing policies and safeguarding their consistent implementation across the company. Its efforts are guided by the strategic direction set by the newly established Health and Safety board, ensuring alignment with company-wide safety standards and regulatory requirements.

Alongside this, decentralised operational teams adapt these policies to their specific working environments. By addressing everyday safety challenges at a local level, they ensure that the policies are not only implemented but effectively embedded within each business unit. This structured yet flexible approach strengthens PostNL’s commitment to a safe and secure working environment for all employees.

Improved leadership structure in operations to lower absenteeism 

Our workforce has a higher-than-average age distribution (see the workforce characteristics metrics earlier for a breakdown of PostNL's headcount by age), which may contribute to higher absenteeism linked to age-related health factors. Our approach to tackle this included several key initiatives across the company aimed at supporting both employees and managers in reducing absenteeism. For example, to create a more supportive work environment that meets employee needs and reduces absenteeism, we have restructured leadership at Mail in the Netherlands, splitting first, second, and third-line leadership into logistics and people-focused roles (this structure is unrelated to the 'three lines model' that we use for monitoring risk within the organisation).

The logistics team manages operations, while the people team focuses solely on employee management. This structure, now being piloted within Parcels, allows dedicated attention to personnel matters without operational distractions. Early results from Parcels are encouraging, and full implementation is planned by 2025. However, outcomes at Mail in the Netherlands remain inconclusive due to additional factors, such as:

• first line of People management at Mail NL work with a considerably higher span of control. Potentially offsetting benefits of the targeted approach;

• an older workforce, with longer absenteeism terms.

Dedicated absence management team

We have established a dedicated absence management team, including case managers, reintegration, and absenteeism advisors. While the employee’s direct supervisor remains the main point of contact, the case manager plays an important role in supporting the supervisor throughout the process. This team handles all aspects of absenteeism, from immediate cases to long-term reintegration and strategic analysis, aligning with our broader health and safety objectives.

Enhanced oversight

To enhance oversight, an absenteeism board, comprising business unit and HR directors, regularly reviews absenteeism data to ensure strategies are effectively implemented. Additionally, targeted meetings such as the absenteeism steering group in Mail in the Netherlands and bi-weekly sessions within Parcels address unit-specific absenteeism, combining data analysis with case insights to ensure responsive, tailored actions.

Other effectiveness trackers

We actively monitor work-related accidents requiring notification to the labour inspectorate, including incidents resulting in permanent damage, hospitalisation, or fatalities. Our goal is to minimise these occurrences, aiming for zero accidents requiring notification. Fatalities from work-related injuries are tracked, while recordable accidents are monitored. We also monitor traffic safety, specifically road traffic accidents with third party death. All these metrics are reported as part of our Health & Safety metrics in Our performance within the Own workforce section. Our ambition is to prevent all fatal traffic accidents.

Targets

In line with our health and safety policy, we set a 7% absenteeism target for 2024, aiming to prevent work-related absences and facilitate a timely return to work. The recorded absenteeism rate across the organisation in 2024 was 8.5%. This target applies to all business units within PostNL Netherlands and is closely monitored through our absenteeism reporting at corporate, business unit, and team levels. These reports enable us to assess the effectiveness of our improved management structure and evaluate how well people-focused roles support employee well-being and reduce absence rates. For 2025, we have set a target of 7.6%. Absenteeism remains a key indicator of our progress in enhancing workplace health and safety, and we continue to refine our approach to achieve sustained improvements in this area.

Setting absenteeism target

We have set the absenteeism target using a combined approach: an outside-in perspective, incorporating input from external stakeholders and market research, alongside an inside-in approach that draws on insights from various business units and internal teams. This ensures the target reflects both external trends and internal developments. PostNL sets targets by analysing current performance data and anticipating trends for the upcoming year. This process includes considering factors like seasonality over a 12-month period to ensure targets are both realistic and aligned with expected conditions. Employees are not involved in the tracking or setting of these targets.

Metrics

PostNL Occupational health and safety as indicated
2023 - 2024

Our ISO 45001 certification was successfully renewed in 2024 by DNV. By the end of the year, 97% of our workforce was operating at an ISO 45001-certified site.

PostNL Health and safety as indicated
2023 - 2024

Fatalities resulting from work-related injuries and work-related ill health, along with the recordable accident rate, are new metrics introduced as part of the 2024 implementation of the CSRD. As such, no comparative data from previous periods is available.

We are pleased to report that for 2024, no fatalities related to work-related injuries and work-related ill health were recorded among our own workforce or workers in the value chain at a PostNL site. However, we must report 456 recordable work-related accidents involving our employees in 2024.

PostNL Road traffic safety as indicated
2023 - 2024

Regrettably, we report four road traffic accidents resulting in third-party fatalities across our operations in 2024. Two of these accidents involved collisions between PostNL vehicles and mobility scooters, both of which led to the tragic loss of the third-party victims. The third accident occurred when a PostNL truck was involved in a head-on collision with a passenger car, resulting in the death of the car’s driver. In the fourth incident, a cyclist fell following a collision with a PostNL vehicle and later passed away as a result of the injuries.

These accidents are deeply distressing, and we remain committed to preventing fatalities through initiatives, such as training, that enhance road safety awareness and promote responsible driving behaviour. Our ‘rate of road traffic accidents with third-party death per million kilometres travelled’ is below one percent per million kilometres.

PostNL Absenteeism as indicated
2023 - 2024

Absenteeism at PostNL increased by 0.8 percentage points compared to 2023. To address this trend, we are committed to reducing physical workload, alleviating overall work pressure, and mitigating occupational risks. Due to our higher-than-average age distribution among our employees, as can be seen by the metric Headcount by age, our absenteeism may also be negatively influenced by age-related health factors. 

Measures against violence and harassment in the workplace

Actions

PostNL uses the Employee Engagement Monitor and Diversity Monitor to assess potential impacts and risks, including questions on integrity and undesirable behaviour. Survey results are analysed alongside investigations and incident reports to identify structural issues and inform a targeted approach. In 2024, we focused on two key actions: continuing our integrity e-learning programme and implementing an action plan to address undesirable behaviour. These initiatives aim to mitigate negative impacts on our workforce and address material risks.

Integrity e-learning

In October 2023, PostNL launched its integrity e-learning programme, outlining our business principles, the expected behaviours aligned with these principles, and the procedures for reporting any violations. This training includes a dedicated module on addressing undesirable behaviour. It is mandatory for management and office personnel within all business units and is offered as an optional resource to employees outside this target group. The training is also a compulsory part of our onboarding programme. More information on how we institute and monitor integrity e-learning can be found in the Our policies and Our performance of the Governance disclosures.

Expected outcomes and accountability

The integrity e-learning aims to enhance employee awareness of the behaviours expected within PostNL, contributing to a workplace that is safe, respectful, and inclusive. The director of Audit & Security holds accountability for this initiative, while the PostNL integrity officer manages implementation. HR data analysts track completion rates, and an external party is responsible for the development and maintenance of the training.

Dedicated action plan on (un)desirable behaviour

Between 2024 and 2025, PostNL initiated a dedicated project (action plan) aimed at defining and communicating the desired workplace behaviour, while enhancing and developing mechanisms to prevent, identify, mitigate, and address instances of undesirable behaviour. This project is designed to reach all PostNL employees, with expected indirect benefits for non-employees, such as temporary staff and other workers operating at PostNL locations. Objectives of the project include ensuring compliance, clarifying governance structures, improving incident management and follow-up processes, raising workforce awareness, enhancing management knowledge, and upgrading existing tools.

Project structure

The project is structured around three work streams, each targeting specific aspects of the workforce and addressing various topics. Collectively, the action plan focuses on prevention by clearly communicating expected behaviour and on mitigation by tackling instances of undesirable behaviour throughout the entire workforce. Accountability for delivering the action plan is shared between PostNL’s security and HR departments, with support from a dedicated project manager. Additionally, multiple individuals from across the organisation contribute to the work streams, ensuring broad involvement in achieving the project’s goals.

Policy and processes 

PostNL has developed a group-wide procedure on (un)desirable behaviour to provide clear guidance to our workforce. This procedure defines desirable and undesirable behaviour, outlines the steps employees can take if they experience undesirable behaviour, and details the formal process for reporting incidents. By implementing this procedure, PostNL aims to strengthen the prevention of such behaviour, ensure clarity on how it is addressed, highlight available support measures, and guarantee appropriate follow-up for reported incidents.

Strengthening the governance structure

To support this, we have further refined our governance structure, clearly defining roles and responsibilities in managing this issue. In addition to the external confidential advisors already available, we have appointed two internal confidential advisors, with a specific protocol for their roles currently under development.

We have also established a Plan-Do-Check-Act cycle, assigning clear roles and responsibilities, with a central coordinator on (un)desirable behaviour appointed to oversee this process. Reporting to our Audit & Security department, the central coordinator is responsible for centrally managing incident assessments and ensuring appropriate follow-up across relevant departments.

Furthermore, the existing PostNL business principles and code of conduct (Gedragslijn) will be updated in due course to include a dedicated section on (un)desirable behaviour and the expectations we have of our employees in this regard. The Code of Conduct is an integral part of our onboarding programme, and all new employees are required to sign it upon joining, confirming their understanding and commitment to these principles.

Implementation and communication 

PostNL has developed a comprehensive communication strategy and plan to ensure that policies, procedures, and actions are effectively conveyed to the workforce. This approach uses appropriate messaging and tone of voice tailored to each target group. The strategy primarily focuses on proactively informing employees about expected behaviour, clarifying PostNL’s process for addressing undesirable behaviour, and equipping managers with the necessary training to handle such situations in accordance with established procedures.

In December 2024, we launched a dedicated intranet page, providing employees with access to all new and existing materials. Additionally, key stakeholders—including HR business partners, management teams, and confidential advisors—were briefed on the newly developed procedure and related actions.

In the first quarter of 2025, we will continue to prioritise communication and training for employees and managers on (un)desirable behaviour, fostering open discussions within teams, and ensuring proper guidance and follow-up in cases of undesirable behaviour. Looking further into 2025 and beyond, we are developing additional initiatives focused on prevention and ongoing awareness-building, reinforcing a safe and respectful workplace culture.

Tooling 

The incident reporting process has been streamlined by removing references to undesirable behaviour from other channels, such as the HR complaints form. The HR service desk has been instructed to redirect any concerns related to undesirable behaviour to the dedicated incident reporting tool.

Additionally, the psychosocial workload questionnaire within PostNL’s health and safety identification and evaluation tool is being expanded to cover (un)desirable behaviour. This enhancement is referenced in other sections of the Social disclosures, Our policies.

Mitigating impacts and associated risks 

PostNL is committed to ensuring that our operations do not adversely affect our workforce. We achieve this by implementing clear policies, structured procedures, and specific actions aimed at safeguarding employee welfare. Through these measures, PostNL not only protects the well-being of its workforce but also mitigates potential business risks that could arise from such impacts, as well as the operational dependencies on our people.

In cases where tensions emerge between business demands and the well-being of our employees, PostNL remains steadfast in its commitment to maintaining a safe, respectful, and inclusive workplace. This priority extends to all individuals working for or with the company, ensuring that our operational practices align with our core values of safety and respect.

Some of the steps we take to achieve this include: establishing clear guidelines that promote employee well-being and embedding them across all aspects of our operations; implementing programmes and initiatives to monitor and improve workplace conditions, such as safety training and mental health support; and fostering open communication with employees, unions, and partners to address concerns promptly and collaboratively.

Targets

PostNL has not yet established strategic or corporate-level targets for managing (un)desirable behaviour, as our approach is still in the implementation phase. Nevertheless, we have alternative processes in place and are exploring additional methods to assess the effectiveness of our actions.

The effectiveness of our integrity e-learning is primarily tracked by measuring completion rates. More information on how we institute and monitor integrity e-learning can be found in the Our policies and Our performance of the Governance disclosures.

We are investigating ways to structurally measure the effectiveness of our dedicated action plan by monitoring results from both the employee Engagement Monitor and the Diversity Monitor. Additionally, we track incidents and signals related to undesirable behaviour, with ongoing analysis of investigation results. The PostNL integrity office provides quarterly reports to the Board of Management on the number, categories, and trends of such incidents, alongside recommendations for improving our current approach. The Integrity Committee advises on improvements to be made to the current approach.

Metrics

PostNL Incidents and complaints as indicated
2023 - 2024

Unfortunately, undesirable behaviour sometimes occurs, such as bullying, sexual harassment, discrimination, or aggression. Throughout 2024, we actively raised awareness on these issues, leading to an increase in reported incidents, in line with our expectations.

We are pleased to report that in 2024, no material fines or significant penalties were imposed on PostNL as a result of incidents of discrimination. The incidents and complaints metrics were introduced as part of the 2024 implementation of the CSRD. As these are newly established, no comparative data from previous periods is available.

3.2 Workers in the value chain

At PostNL, we recognise that fostering a responsible value chain not only drives business success but also contributes to societal value by addressing sustainability challenges, such as reducing carbon emissions, promoting fair labour practices, and ensuring efficient resource use.

In this section, we elaborate on material topics such as health and safety, working hours, and safeguarding against violence and harassment in the workplace. Our workers in the value chain consist of delivery partners with personnel providing services in accordance with a transport agreement signed with PostNL, and self-employed delivery partners providing services in accordance with a transport agreement signed with PostNL.

3.2.1 Our strategy

With help of our Double materiality assessment, we assessed and identified the most material sustainability matters, also those relating to our workers in the value chain. For further information on how our material topics relate to our value chain, please see section Our value chain and material topics within the General disclosures. For more information on how we engage in a dialogue with our workers in the value chain, please see section Interests and views of stakeholders within the General disclosure. Identifying our most material impacts helps us to prioritise our actions to prevent and mitigate identified sustainability matters.

For our workers in the value chain, we identified (potential) material impacts, risks or opportunities on the following topics:

• Working time

• Health and safety

• Measures against violence and harassment in the workplace.

More on how we address these material topics can be found in Our policies and in Our performance later in this Workers in the value chain section.

Connection to our strategy

PostNL, a people-centric company, relies on its workforce and supplier relationships to stay competitive and achieve its strategic goal of being the preferred delivery provider. To safeguard its future, PostNL's corporate strategy focuses on delivering a distinctive customer experience through nine strategic priorities. This includes focusing on key ESG topics from the Double Materiality Assessment, while also improving human rights due diligence.

For a more elaborate explanation on how we invest in our people, please see pages 31-35 in Our strategy chapter.

PostNL identifies various categories of value chain workers:

• Workers working for upstream suppliers that (can) work on our site providing purchased services, which could include logistics, consulting, marketing services, or maintenance activities.

• Workers working for contractors hired by PostNL working in our operations to deliver work or services. Services outsourced by PostNL to subcontractors and third-party providers.

• Workers working for downstream customers as direct end-user's of PostNL's service and business clients of PostNL, categorized by risk levels.

The visual on the previous page provides a detailed depiction of our material impacts and risks relating to our workers in the value chain; as discussed above, these are only applicable to delivery partners (work contracted out). No material risks or impacts related to child labour, forced labour, or compulsory labour were identified. Also, no material positive impacts on value chain workers were identified.

3.2.2 Our governance

At PostNL, we aim to create a safe and inclusive environment for everyone working with or for us, including the employees of our delivery partners who represent us daily. Through direct and indirect engagement, structured interactions, and accessible grievance mechanisms, we work collaboratively to improve conditions, minimise risks, and foster a respectful, transparent partnership across our value chain.

Engagement with our workers in the value chain

We aim to create a culture where everyone working for or with PostNL feels safe and empowered to share their views. A key part of our operations involves delivery partners, whose workers represent us daily. While responsibility for worker engagement rests with these partners, we ensure engagement to gain insights into their workers’ conditions and satisfaction. This is central to our due diligence, informing decisions and managing impacts.

Direct engagement

Collaboration barometer

Each year, PostNL conducts a collaboration barometer survey to systematically assess the satisfaction of our delivery partners and their workers regarding their collaboration with PostNL. This survey serves as our primary form of direct engagement with delivery workers, who are invited to share their perspectives through a set of targeted questions. The survey covers a wide range of operational topics, allowing us to identify areas of dissatisfaction, evaluate the effectiveness of existing measures, and pinpoint where further improvements are needed.

Ability to raise concerns
The survey allows delivery partners and their workers to raise concerns about PostNL’s processes and interactions, helping us address potential issues and improve collaboration. The director of Sourcing Netherlands oversees the process for all Dutch delivery partners, while the director of Sourcing Belgium manages it for the Belgian networks. Effectiveness is measured by participation rates and annual reviews of survey content. In 2024, we prioritised increasing participation through newsletters and on-site engagement with delivery partners and workers.

Indirect engagement

Sounding board group

PostNL has established a delivery partner sounding board group within Parcels Netherlands, who act as representatives of themselves and their workers, including women and migrant workers, on matters related to their collaboration with PostNL. The topics discussed within this forum can include any material negative impacts identified for workers in our value chain, such as measures to prevent violence and harassment in the workplace, health and safety protocols, and working hours. In line with our commitment to transparency and due diligence, a member of this sounding board group was invited to participate in the PostNL double materiality external stakeholder validation meeting, offering their insights and perspectives on various issues.

Group agenda
The group meets three times a year, covering all stages of engagement and focusing on informing or consulting delivery partners about decisions or developments that may affect them. Agenda items for discussion can be proposed by both PostNL and the sounding board members, ensuring a balanced and collaborative approach. The director of Sourcing Netherlands oversees this process, ensuring that the outcomes of these discussions inform PostNL’s broader strategic approach as part of their operational responsibilities.

Evaluation of group
The effectiveness of the sounding board group is evaluated by asking participating delivery partners to assess its functioning after each meeting, allowing us to make any necessary improvements to the process.

Structural conversation with local sourcing specialists

Direct interaction between PostNL’s local sourcing specialists and delivery partners is key to maintaining strong partnerships. Delivery partners represent both their business interests and those of their workers within our operations. In the Netherlands and Belgium, structured meetings are held at least annually between sourcing specialists, depot or process managers, and delivery partners, ensuring alignment and addressing specific needs. Additional meetings can be arranged as needed by either PostNL or the delivery partners throughout the year.

Evaluations and reviews
These interactions cover a wide range of topics, including potential material negative impacts for workers within the value chain, encompassing all stages and forms of collaboration. For instance, one aspect of these annual conversations is the joint review by the sourcing specialist and delivery partner of the structure of delivery routes. This evaluation ensures that routes can be completed within the legal working time limits, with adjustments made as required. The local sourcing specialists are operationally responsible for ensuring these discussions take place and that their outcomes guide the approach to delivery partner engagement at a site level. Within Transport, adherence to regulations concerning rest and driving times is embedded into our planning systems.

Monitoring the process
The overall responsibility for overseeing this process lies with the director of Sourcing Netherlands for our Dutch business units (Transport, time critical (TGN), Extra@Home, Mail in the Netherlands, and Operations Netherlands) and the director of Sourcing Belgium for our Belgian networks (Parcels Belgium and Logistics Solutions Belgium). Local sourcing specialists are required to document the outcomes of these discussions in our internal systems to enable the Sourcing department to monitor their completion and effectiveness.

Grievance and remedy

At PostNL, we want to ensure that our operations and those of our partners and suppliers respect and uphold human rights standards and labour practices. This includes acknowledging our responsibility to provide or support in remediation when our actions or policies result in or contribute to material negative impacts on workers in our value chain. Our commitment to providing access to remedy is set out in our Human Rights policy. 

PostNL is committed to ensure all workers in the value chain that may be negatively affected are able to access our grievance mechanism and channels to raise concerns in relation to each material impact identified as part of our Double materiality assessment in the General disclosures. Any external stakeholder of PostNL has access to our central grievance mechanism and all grievances raised through this mechanism are assessed.

Grievance mechanisms and channels to raise concerns

PostNL provides a central grievance mechanism where workers in the value chain can report (suspected) violations or other potential human rights issues in our own operations or our value chain. The process to file a report is outlined in our Group Procedure on Incident reporting. PostNL management is required to report any (suspected) integrity-related violations occurring within PostNL in the central incident reporting system, including those involving workers in the value chain (Group Procedure on Incident Reporting). Further details on incident reporting and investigations can be found in Our policies within the Governance disclosures.

In addition, delivery partners and their workers can also share concerns or grievances directly with locally responsible PostNL management or Sourcing specialists. In case of health and safety incidents and complaints involving delivery partner workers working for PostNL, PostNL expects its delivery partners to enable their workers to report such incidents, register the incident themselves and, where necessary implement remediating measures to avoid reoccurrence. In case of general complaints or concerns shared by delivery partner workers not related to (severe) human rights issues, the report can be addressed directly by local management in collaboration with the local Sourcing specialist. They define the follow-up actions. In case of an (alleged) breach of our business principles or relevant laws and regulations responsible management is required to report these in our central incident reporting system (IRIS).  

Providing remedy

Responsible operational management and Sourcing develop a specific remediation plan tailored to the nature and severity of the specific case based on Security’s investigation findings (where applicable) and any additional information collected by the Sourcing department. In case of severe violations of a worker’s rights by one of our delivery partners, PostNL can exercise the right to terminate the business relationship. Where appropriate, affected workers are involved in the design of remediation measures to ensure their needs and perspectives are adequately addressed. 

In case of proven violations of law or policy PostNL will, where appropriate and permitted by law, take immediate appropriate corrective action (Human Rights policy). More information on the Human Rights Policy can be found in Our policies within the Own Workforce section.

Transparent communication

A person filing a report through the central grievance mechanism is informed that their report has been successfully received within a period of seven days. Within three months they will receive information on the assessment of their report by local operational management or Security and informed of its main findings. In case the report was made directly to local operational management or Sourcing, the local Sourcing specialist will inform the reporting party on the status of their report. 

In line with privacy protection and information confidentiality we ensure that information is shared on a ‘need to know’ basis or when the parties involved have a right to receive it. During an investigation restraint and careful consideration is given to the (timing of) communication towards both the person(s) involved and other stakeholders. In urgent cases, immediate action is taken to address the situation and mitigate potential risks. If the investigation confirms that a violation has occurred, the affected parties are informed of the next steps and the remediation measures to be implemented.

Assessing effectiveness of remedy

PostNL monitors effectiveness of remediation at certain stages in the follow-up process, depending on the specific issue and the remediation plan. Remediation is covered by the regular risk inventarisation and evaluation procedures (as part of our health and safety management system), allowing us to monitor the effectiveness of remediating measures. PostNL Sourcing also keeps track of incidents reported per delivery partner, where multiple incidents of the same nature can lead to increasingly stringent remediating actions. In addition, we perform analysis across integrity related incidents reported through our central grievance mechanism to identify areas where action is required.

Operational-level grievance mechanism

PostNL offers an operational-level grievance mechanism in the form of our Group Whistleblowing Procedure and our Group Procedure on Incident reporting, both of which are applicable to all PostNL entities. Any (suspected) violation of the PostNL business principles, human rights or applicable laws and regulations are to be reported through this grievance mechanism. This mechanism allows any affected individual – or their representative - across the value chain to file a report directly through mail, chat or phone with the Integrity Office or the Security Office of PostNL. These channels are publicly available to all internal and external stakeholders on our website. In addition to the availability of direct channels, PostNL managers can also file a report in the incident registration tool (IRIS) on behalf of workers in the value chain, see earlier in this section. Reports can also be made anonymously through these channels.

All grievances and follow-up actions reported through these channels are centrally logged into IRIS to maintain a single source of truth with regards to reported incidents. In case of a grievance raised by a delivery partner worker concerning their employer, operational management and Sourcing log relevant information and follow-up actions in their local system (LPM) as well. This allows Sourcing to maintain complete and more detailed records for each delivery partner in their domain and keep track of incidents per delivery partner over time.

PostNL monitors and evaluates its procedures and reported incidents to safeguard compliance and continuous improvement and provide a safe and respectful working environment for those working for and with us. A procedure has been developed for our Sourcing specialists in our Operations NL and Parcels Belgium networks explaining what steps to take when an incident is reported by delivery partner (workers). In addition, we use training to ensure awareness of this grievance mechanism among PostNL management and staff. The PostNL integrity e-learning training is mandatory for all management and staff and includes a module on incident reporting. Explaining the procedure and importance that managers report any suspected violation of business principles, including human rights issues among workers in the value chain.  

Channels to raise concerns for delivery partner workers

PostNL’s Parcel’s delivery partners and their workers in the Netherlands and Belgium can turn directly to the locally responsible Sourcing specialist or operational manager to share concerns or report incidents or (suspected) violations. Every operational site has a dedicated Sourcing specialist who is accessible to workers. Sourcing specialists and local operational management are available in case a delivery partner worker wants to initiate a conversation or report something. 

In Belgium, a central coordinator was installed in line with the new Belgian Parcel Delivery Act, providing all delivery partners and their workers with a central channel to raise concerns, report incidents or receive guidance as to their rights and duties. To ensure awareness of this channel, posters were placed in all Belgian operational sites explaining its purpose and how to access it through a central e-mail address managed by the coordinator. The rest of the process is the same as mentioned above in operational-level grievance mechanisms for PostNL.

In case an incident is reported through these local channels, operational management is required to file a report in PostNL's central incident reporting system (IRIS) in line with the Group Procedure on Incident Reporting mentioned earlier. In parallel to any potential investigation by the Security department, the local Sourcing specialist will also assess the reported incident, collect additional information and discusses their findings with the Manager Sourcing. Collected information and findings are logged in the Sourcing system (LPM). Sourcing and operational management decide if and what remediating measures are required depending on the nature and severity of the incident. Where applicable, the Sourcing specialist informs the delivery partner in question and documents the outcomes of this conversation in the LPM system.

Safeguarding trust and protection

PostNL has clear policies in place to protect individuals, including workers in the value chain, using listed processes and channels against retaliation. Our commitments to protection against retaliation are included in our Human Rights policy and Group Procedure on Whistleblowing. All reports of suspected misconduct and potential investigations as a result of those are handled in a confidential manner. Any form of external or internal publicity is to be avoided unless allowed under applicable law. 

As described in our Whistleblowing procedure, any PostNL Stakeholder who reports an (alleged) breach of our business principles or relevant laws and regulations, which the PostNL Stakeholder reasonably believes, or may reasonably believe, to be true, will be given protection for such reporting. This protection means that PostNL will not discharge, demote, suspend, threaten, harass or in any manner discriminate against any PostNL Stakeholder in the terms and conditions of employment. PostNL does not tolerate any form of threat, retaliation or other action against a PostNL Stakeholder who has made or assisted in the making of a report of suspected misconduct. Any such threat, retaliation or other action must immediately be reported to the director Audit & Security.

Respecting the privacy of individuals who are involved in, or witness to, an incident is an important consideration in dealing with incident reports, which often contain personal and other sensitive information. PostNL staff must comply with the PostNL Group Policy on Privacy whenever personal and/or medical information about employees or others is collected, stored, transmitted, used or disclosed. Consistent with the PostNL Group Policy on privacy, appropriate security safeguards must be in place when transmitting and storing information. 

There is currently no structural method in place for PostNL to assess the extent workers in the value chain are aware of, and trust, the listed channels or processes as a way to raise their concerns and have them addressed.

3.2.3 Our policies

At PostNL, we prioritise the protection and well-being of all individuals within our value chain through several important policies, including our human rights policy, health and safety policy, business principles, and the PostNL group procedure on whistleblowing. These policies foster a safe and inclusive working environment, ensuring that the rights of all employees, contractors, suppliers, and stakeholders are safeguarded.

Human rights policy

Our human rights policy sets clear expectations for ethical conduct across PostNL’s global operations. This applies to our employees, contractors, suppliers, business partners, and other stakeholders formally associated with our business activities. More information on this policy can be found in Our policies within the Own workforce section.

Health and safety policy

The PostNL health and safety policy is designed to ensure that our workforce, including those in our value chain, remains safe, healthy, and protected from harm arising from work-related activities. We are committed to continuously improving working conditions, preventing workplace accidents, and reducing risks, all in compliance with Dutch legislation and ISO 45001 standards. More information on this policy can be found in Our policies within the Own workforce section.

Business principles

Our business principles are foundational to how we operate, reflecting the core values and behaviours we expect from all individuals working for or with PostNL. We emphasise respect, equality, and inclusion, fostering a workplace where everyone feels valued and secure. More Information on our business principles can be found in the Governance disclosures, Our policies.

3.2.4 Our performance

In 2024, we implemented various measures aimed at addressing the material impacts on workers within our value chain. These initiatives support our efforts to manage impacts and risks while seizing opportunities. This section provides information on how we measure the effectiveness of our social related disclosures and their related targets.

PostNL acknowledges that understanding negative impacts within the value chain and determining the company’s role in these impacts may take time, as does developing and implementing appropriate response measures. We have therefore adopted the following approach:

General and specific approach to addressing material negative impacts

PostNL uses a structured approach to manage material negative impacts within the value chain. This includes rolling out updated delivery contracts and detailed guidelines for our delivery partners. Compliance checks, audits, and reporting systems support effective compliance management and promote a safe working environment within our value chain.

Initiatives to contribute to additional material positive impacts

In addition to preventing and mitigating negative impacts, PostNL is committed to encouraging positive change. We implement initiatives such as the Right to Work compliance programme, which ensures that all employees of delivery partners possess a valid work permit.

The third-party risk management tool, which we continue to develop, contributes to increased compliance and transparency in our value chain, fostering positive impacts in terms of better working conditions and enhanced safety. This tool allows us to closely monitor risks related to health and safety, working hours, and measures against violence and harassment.

Progress made during the reporting period

In 2024, PostNL made significant progress by implementing new measures in both the Netherlands and Belgium. This included the rollout of updated delivery guidelines and the pilot launch of the third-party risk management tool. Additionally, we took further steps to ensure compliance with the Belgian Postal Act and introduced external audits for our operations in the Netherlands. These initiatives have strengthened compliance and enhanced risk management across our value chain.

Goals for continued improvement

PostNL remains committed to continuously improving the safety and well-being of workers across our value chain. In 2025, we will roll out the third-party risk management tool to enhance visibility into compliance levels and identify areas for improvement among our delivery partners. We monitor the effectiveness of our impact management processes through compliance checks, audits, and structured evaluation meetings between the Sourcing department and delivery partners, ensuring timely identification and resolution of issues. This approach will enable us to monitor the effectiveness of our initiatives on an ongoing basis and make necessary adjustments to further enhance compliance and working conditions.

Cross-cutting actions and targets for all three material topics

Actions

Further implementation of an updated delivery contract, including new guidelines for delivery partners

In 2024, we introduced an updated delivery contract with new guidelines for delivery partners in the Netherlands and Belgium, focusing on health and safety, regulated working hours, payment issues, and preventing workplace violence and harassment. They aim to enhance well-being by ensuring safe and fair working conditions for our delivery partners.

The implementation of the contract and guidelines for all delivery partners at Parcels in the Netherlands took place between January and April 2024, while at Parcels in Belgium, it commenced on 1 February 2024. This reflects our commitment to the OECD guidelines and our business principles. By the end of April, the process was successfully completed, with 100% of delivery partners from Parcels in the Netherlands and Parcels in Belgium signing the document.

The roll-out at other business units, such as TGN, Transport and Logistic Solutions, will continue through 2025 and 2026 to ensure full adoption. While the contract in Belgium remains unchanged, the updated guidelines have been fully implemented.

Expected outcomes

The implementation of these guidelines and updated contracts is expected to improve working conditions, reduce the risk of overwork, and strengthen protections against workplace violence, enhancing employee morale and reducing legal and reputational risks. To manage these material risks, we enforce strict compliance with delivery partners, who must adhere to these standards. Our approach includes engagement and integrating the guidelines into sourcing and operations, with effectiveness monitored through audits, compliance checks, and the collaboration barometer feedback tool. By engaging with delivery partners and sharing best practices, we demonstrate our commitment to corporate social responsibility and sustainable business practices in line with OECD guidelines. We prioritise worker safety, ensuring alignment with CSR objectives while safeguarding our workforce. These efforts reflect our commitment to responsible business practices, fostering a safer, more compliant working environment across our value chain.

Building and piloting a third-party risk management tool

In 2023, we launched a pilot project to implement a third-party risk management (TPRM) tool, aimed at enhancing safety, compliance, and sustainable business practices with delivery partners. The TPRM tool is designed to monitor delivery partners' adherence to the Guideline for Delivery Partners and to log instances of non-compliance, as well as other potential risk indicators, such as questionnaires, relevant news articles, and inquiries from government agencies. This comprehensive system provides an overview of the risks tied to each delivery partner, enabling us to manage and mitigate these risks more effectively. This tool focuses on health and safety, working hours, and safeguarding against workplace violence, aligning with our business principles and OECD guidelines.

In 2024, we tested the tool as a pilot in multiple locations, across the Netherlands and Belgium, offering improved monitoring of health and safety, working time compliance, and incidents of workplace harassment. The use of the TPRM tool also helps reduce operational disruptions, mitigate legal and reputational risks, and control operational costs. Following the pilot phase, the aim is to roll-out the tool at Parcels in the Netherlands in 2025. The TPRM tool strengthens oversight, reduces risks, and fosters better relationships with delivery partners, enhancing our approach to managing material impacts on value-chain workers.

Targets

We have not yet set strategic or corporate-level targets for our cross-cutting actions. PostNL currently monitors the signing of updated delivery contracts and tracks adherence to specific terms on individual level. Our engagement is primarily with delivery partners, who employ and manage the parcel deliverers directly. While PostNL does not manage deliverers directly, we acknowledge our responsibility within the value chain to address concerns raised by deliverers regarding health and safety, working hours, or workplace conditions.

At the contract level, quality KPIs are monitored through a dedicated dashboard, with performance discussed at least yearly between the sourcing advisor and the delivery partner. Operational checks are also conducted to ensure compliance with requirements relating to vehicles and clothing. In alignment with our commitment to responsible chain management, all delivery partners must hold the PayChecked certification. This certification, audited annually by an independent third party, verifies adherence to collective labour agreements, supporting compliance with employment standards and fair labour practices.

Our TPRM tool (detailed above) will enable tracking of compliance, allowing the sourcing department to systematically evaluate the effectiveness of our policies and actions across the delivery network.

Working time

Actions

PostNL’s compliance measures aim to achieve several outcomes, positively impacting working conditions and aligning with regulatory objectives. These are:

Strengthening legal compliance

By introducing a new contract addendum in Belgium and the Netherlands, focusing on health and safety, regulated working hours, payment issues and preventing workplace violence and harassment, and through regular communications and updates, delivery partners are required to align with laws intended to improve working conditions for parcel deliverers and to demonstrate ethical business conduct. This mitigates legal risks and reinforces adherence to regulations without interfering with the operational independence of delivery partners.

Improving worker conditions and safety

Compliance with working time regulations ensures fair working hours, adequate rest periods, and adherence to social security obligations. This reduces fatigue-related risks, creating a safer and healthier work environment for delivery partner workers. Therefore we provide our delivery partners with a fair compensation to cover operating costs, pay remunerations to delivery drivers that exceed what is stipulated in the sector's collective labour agreement, and ensure our partners retain a margin to manage a healthy and sustainable business. We continuously monitor payments and, when necessary for example in case of indexation, refine our pricing model. To meet the requirements of the Belgium Postal Act, we additionally review the time registrations done by our delivery partners for their deployment in Belparcel, the online tool launched mid July by the Belgian government. Awareness efforts are supported by informative posters and routine inquiries to ensure delivery partners are adhering to time registration protocols.

Enhancing oversight and reducing labour exploitation

In the Netherlands and, prior to the amendments of 2023 to the Belgian Postal Act, also in Belgium, PostNL exercises oversight over delivery partners’ compliance, by the use of daily access controls to validate delivery drivers’ identity and work, residence and driver's permit and monitoring Right to Work certifications (RTW). RTW forms one component of our Registration of New Persons (RNP) procedure, which was introduced to prevent unauthorised employment and labour exploitation, safeguarding worker rights across the supply chain. More information on RTW and RNP can be found in Measures against violence and harassment in the workplace later in this section.

To ensure compliance with the Belgian Postal Act, PostNL Belgium has proactively introduced new compliance checklists for our delivery partners, including the mandatory registration of parcel delivery companies with the BIPT. This registration serves as a quality label, offering an initial indication of a company's reliability. Additionally, we have appointed a dedicated coordinator—a key figure in strengthening oversight and ensuring compliance. The coordinator serves as the primary point of contact for delivery partners and drivers, to address concerns. In line with legal requirements, PostNL’s coordinator has also drafted a vigilance plan, as mandated for all parcel delivery companies. This plan outlines measures to prevent and address violations related to working conditions and social security not only within the organisation itself but also in the value chain. PostNL will continue to monitor the plan’s implementation, providing regular updates to ensure alignment with evolving regulations.

Increasing awareness and transparency

Newsletters and compliance checks ensure delivery partners are informed about legal updates and responsibilities, promoting better adherence to the regulations. Additionally, ensuring compliance with the Belgian Postal Act, parcel deliverers who work for and with PostNL, are informed about their rights and obligations regarding working conditions, remuneration and other regulations. Therefore every deliverer receives an information document, drafted by the transport associations and validated by the social partners. The most recent version can be consulted on postnl.be in three languages.

Mitigating risks and protecting reputation

Through these measures, PostNL mitigates the negative impacts of inadequate mechanisms for regulating working hours and resting times, while reducing reputational risks. By ensuring delivery partners respect fair labour standards, PostNL reinforces its commitment to ethical and responsible operations within the value chain.

Corrective actions are promptly taken when material risks related to non-compliance are identified. These actions may include providing guidance, implementing stricter controls, or working collaboratively with delivery partners to resolve issues. The effectiveness of these measures is regularly reviewed to ensure continued compliance and to mitigate potential negative impacts.

External audits for irregularities

In early 2024, PostNL introduced an additional measure to strengthen oversight of its delivery partners in the Netherlands, particularly in response to any warning signs of irregularities. This involves external audits conducted by third-party experts to ensure compliance with regulatory standards, especially regarding payment practices and working hours.

The audits are primarily aimed at verifying compliance with the Wet Aanpak Schijnzelfstandigheid (WAS) and the Wet Arbeid Vreemdelingen (WAV). Each external audit is tailored to address specific risks identified. For instance, audits may include a thorough review of contracts between delivery partners and their personnel, payment practices, or compliance with legal standards.

A key component of this initiative is the PayChecked certificate, which is obtained by delivery partners through official channels and certifies compliance with wage payment and employee contract regulations. If PostNL detects warning signs that a delivery partner, despite holding a PayChecked certificate, may not have their operations fully in order, an additional external audit is commissioned. This audit rechecks all the points covered under the PayChecked certification and carries out additional investigation, depending on the specific risks identified.

Since the introduction of this initiative, four audit points had been conducted by the end of 2024. These audit points play a critical role in identifying and mitigating risks associated with non-compliance, thereby enhancing the integrity of our operations and contributing to the improvement of working conditions for value-chain workers.

The need for action is assessed through our compliance monitoring processes. If a delivery partner reports an issue regarding working hours or labour conditions, it is reviewed by the Sourcing department and escalated to headquarters if necessary. Each report is evaluated to determine required actions, the scale of the issue (local or national), and the party responsible for addressing it.

Targets

No strategic or corporate level targets have been defined to manage the topic of Working time.

Compliance with laws designed to improve working conditions and promote ethical business practices

The vigilance plan PostNL drafted in line with the legal requirements of the Belgian Postal Act provides a framework for further internal tracking and reporting on compliance actions. Compliance is assessed through both qualitative and quantitative measures, with 2024 serving as the baseline year.

External audit for irregularities

The effectiveness of policies related to managing irregularities with delivery partners is internally managed through several established steps, with further compliance monitoring systems in development:

Independent audits and certification

All delivery partners of PostNL in the Netherlands are required to hold a PayChecked certificate, achieved through an external audit by an independent firm to verify compliance with wage payments and contract standards. This serves as an initial control mechanism.

Supplemental audits based on warning signs

When reports of irregularities, such as unauthorised working hours or labour issues, arise, PostNL may initiate an additional audit through one of two external companies. If non-compliance is found, the delivery partner is required to implement corrective actions within a set timeframe, with PostNL monitoring to ensure resolution. The effectiveness of each audit is measured by its ability to address the initial concerns, and insights gained are used to enhance future audit objectives. Currently, there is no formal process or defined ambition level for tracking audit effectiveness.

Base period, ambition level, and indicators

In 2024, PostNL piloted the third-party risk management (TPRM) system and set that year as the base period to measure improvements in compliance and working conditions. The defined level of ambition is to achieve consistent adherence to compliant working standards across the value chain, with the tracking of incidents and corrective actions. Qualitative and quantitative indicators—such as the number of additional audits conducted, resolution rates of non-compliance issues, and trends in compliance requests from labour inspection—are used to evaluate progress effectively.

Health and safety

Actions

At PostNL, ensuring a safe and healthy working environment for our employees and delivery partners remains a top priority. To mitigate risks and promote well-being, we have implemented targeted initiatives, including the mandatory ‘Kennistoets’ health and safety module. By signing the delivery contract and guidelines, the delivery partners are required to comply with PostNL’s comprehensive safety expectations and ensure their drivers undergo training. This includes awareness training on the European Agreement on the International Carriage of Dangerous Goods by Road (ADR) for handling hazardous materials (Bewustwordingstraining in vervoer voor gevaarlijke stoffen).

Delivery partners also agree to a detailed description of PostNL’s health and safety standards, which cover maintaining a safe, clean, and healthy workplace, taking proactive measures to prevent accidents and injuries, providing essential safety and ADR training, addressing safety-related incidents and complaints, and prioritising traffic safety. The delivery contract stipulates that only competent, trained, and qualified drivers may be employed, with successful completion of ADR awareness training and annual follow-up sessions being mandatory.

Additionally, delivery partners are responsible for ensuring safe working practices, adhering to appropriate working hours, and implementing robust measures to combat violence and harassment. Our Sourcing department supports these efforts by distributing newsletters, facilitating discussions with delivery partners, and reinforcing the importance of compliance with legal and regulatory standards. Oversight of these activities falls within the remit of the Operations division, which assesses actions through PostNL’s overarching health and safety policy.

In cases where delivery partners report health and safety issues within PostNL’s sphere of influence, these are forwarded to our headquarters for review. Each report is thoroughly evaluated to determine whether action is required, the scope of the issue (national or local), and the appropriate party to address it. PostNL actively engages with delivery partners and other stakeholders to ensure grievances or complaints are heard and resolved effectively. This includes discussions and updates on legal and compliance matters. Where a material negative impact is identified, PostNL takes immediate corrective actions to mitigate the issue. These measures may include providing additional guidance, introducing stricter controls, or collaborating closely with delivery partners to resolve challenges.

Safety measures, such as dock adjustments and evacuation drills, apply for delivery partners and staff. The Sourcing department aligns with the policies for PostNL staff, while the Operations department (depots) identifies and addresses safety issues. Reported issues are centrally reviewed to ensure our safety protocols remain effective. More information on our health and safety policy can be found in Our policies within the Own workforce section.

Targets

At present, the effectiveness of health and safety initiatives is not systematically monitored due to the absence of specific targets or centralised tracking tools. While local checks are conducted, and feedback on depot safety conditions is gathered from delivery partners during evaluation meetings, there is no integrated dashboard or system to record the volume of feedback, track follow-up actions, or assess the overall impact and effectiveness of these initiatives.

Implementation of updated delivery contract and guidelines

We continue to monitor the implementation of our updated delivery contracts through our LPM IT system. By the end of 2024, we had achieved compliance across all delivery partners operating within Parcels Netherlands and Parcels Belgium. We are on track to ensure the full implementation throughout other smaller organizational departments such as TGN.

Progress is systematically tracked through regular reports generated by the system, ensuring compliance is assessed for all delivery partners within our operations in the Netherlands and Parcels Belgium. This structured approach reinforces adherence to our guidelines, enhancing operational effectiveness across our delivery network.

Development of third-party risk management tool

We launched a pilot for the third-party risk management (TPRM) tool at two locations, leveraging the insights gained to enhance its usability and deliver more actionable intelligence. This pilot serves as a crucial foundation for developing a comprehensive roadmap towards broader implementation. Its initiation establishes a baseline for measuring progress, with the ultimate goal of delivering a fully operational, user-friendly tool that enables the identification of relevant risks and strengthens risk management across the supply chain.

Our health and safety strategy also includes initiatives to improve working hours and reinforce measures against violence and harassment. Both the introduction of updated delivery contracts and the development of the TPRM tool contribute to fostering a safer working environment, ensuring compliance with our safety standards.

Measures against violence and harassment in the workplace

Actions

As part of PostNL’s broader efforts to address material risks related to value-chain workers, we have implemented the Right to Work (RTW) compliance initiative. This forms one component of our Registration of New Persons (RNP) procedure, which was introduced to prevent labour exploitation and ensure that all workers within our value chain are legally employed.

The RTW check, carried out via DataChecker, ensures that delivery partners can verify the legal status of their workers before employment. This policy requires all employees of delivery partners in the Netherlands and Belgium to provide a valid Right to Work certificate, ensuring workers are legally eligible to work in their respective countries and preventing labour exploitation. The initiative, which began in the Netherlands in October 2023, had been fully implemented by the end of 2024 in the Netherlands at TGN, Parcels and Mail in the Netherlands, and in Belgium.

Monthly reviews of reported issues allow us to assess the need for any further action and ensure that any risks are effectively mitigated. The need for action is assessed through PostNL’s general policies, including the business principles and the OECD guidelines. PostNL has implemented internal checks and balances to enforce this policy. Delivery partners must verify and provide proof of workers' legal status before employment. Any issues reported by a delivery partner that fall within PostNL’s influence are forwarded to headquarters for review. Each report is carefully evaluated to determine whether action is required, whether the issue is national or local, and which party is responsible for addressing it.

PostNL works closely with delivery partners to ensure they understand the importance of this policy and are capable of implementing it effectively. This includes providing guidance and support to partners to help them comply with the certification requirements. Through ongoing communication, PostNL strengthens its collaboration with delivery partners to enhance compliance and build capacity for effective implementation.

This initiative is expected to lead to improved labour practices, safeguarding workers from discrimination, harassment, and exploitation, while enhancing the overall integrity of our supply chain.

Targets

Right to Work (RTW) initiative

No strategic or corporate level targets have been defined to manage the topic of the Right to Work Compliance Initiative. The effectiveness of the RTW initiative is tracked by monitoring compliance through the Sourcing department, which verifies that each delivery partner employee has a valid RTW certificate. The base period for evaluating the initiative's progress and effectiveness is set as October 2023, when implementation began in the Netherlands. As part of the control system, we also carry out random physical checks.

Compliance tracking for the RTW certificates is ongoing but does not yet include a centralised dashboard or monitoring tool. Instead, checks are conducted as certificates are collected from each delivery partner. The Right to Work (RTW) compliance initiative has been fully implemented, ensuring that all deliverers have the necessary documentation. This initiative is integrated into the broader strategy for preventing labor exploitation and maintaining supply chain integrity. Compliance is continuously monitored through internal systems to ensure adherence to regulatory requirements.

Monitoring and managing impact

At PostNL, we are committed to improving the monitoring and management of working time, health and safety, and anti-violence measures across our value chain. Although local oversight exists, challenges remain in fully implementing a comprehensive monitoring dashboard.

In 2024, the TPRM process was implemented to address issues related to health and safety, measures against harassment and violence, and working time. This process plays a critical role in identifying, managing, and resolving incidents across our value chain. If a signal of misconduct is received, it is reported via the IRIS system by the operational management of the depot. The Sourcing contact person gathers all relevant information and discusses the case with the manager Sourcing Distribution. Together, they decide on the necessary actions and ensure proper documentation. For example, a report of underpayment by a delivery partner led to an additional audit by the Sourcing department. The complaints were subsequently withdrawn, and the audit revealed no irregularities.

The TPRM process is also used to handle severe human rights issues and incidents within the upstream and downstream value chain. When such incidents are reported, they are documented in the IRIS system, and the Sourcing team collaborates with the depot to investigate and resolve the issue. Actions are monitored and documented until the case is closed, ensuring all necessary steps are taken to address and rectify the situation. No severe human rights violations or incidents have been identified that require further disclosure.

Our Sourcing department provides delivery partners with tailored guidance on managing potential risks related to working time, health and safety, and the prevention of violence and harassment. This guidance is delivered through two key channels:

Newsletters: Used to communicate general information, such as updates on regulations, best practices, and guidelines for maintaining safe and compliant operations.

One-on-one conversations: During direct conversations, delivery partners receive case-specific advice on issues such as preventing workplace violence, ensuring proper working hours and resting times, and creating safe environments for workers.

These measures are not mandatory but aim to empower delivery partners to inform their employees effectively and adopt appropriate practices to mitigate risks.

To address gaps, we are developing a third-party risk management tool, focusing on high-risk areas like violence and harassment, child labour and payment practices.

Serious human rights concerns are recorded through the IRIS system, with close collaboration between our Sourcing team and depot staff to ensure timely resolution. No severe human rights violations have required public disclosure, but partnerships with some delivery partners have been discontinued due to unprofessional conduct.

Various resources are dedicated to managing worker impacts, including compliance audits, updated contracts, and continuous partner communication.

PostNL’s approach to addressing material risks related to value chain workers integrates with our existing risk management processes. This ensures a cohesive framework for monitoring and managing risks across all material topics. Specifically, the processes developed, such as compliance audits, the TPRM tool, and the implementation of updated delivery contracts, are aligned with our broader risk management strategy. By embedding these actions into existing structures, we aim to systematically identify, assess, and address risks while ensuring continuous alignment with our corporate responsibility objectives.

3.3 Consumers and end-users

In this section, we provide further insight into the specific initiatives and measures we have taken to ensure the privacy of our consumers and end-users, while also promoting equal access to our products and services. By sharing these actions, we aim to strengthen trust, accountability, and engagement with our stakeholders, encouraging other organisations to place a stronger emphasis on social responsibility.

3.3.1 Our strategy

With help of our Double materiality assessment, we assessed and identified the most material sustainability matters, also those relating to consumers and end-users. For further information on how our material topics relate to our value chain, please see section Our value chain and material topics within the General disclosures. For more information on how we engage in a dialogue with consumers and end-users, please see section Interests and views of stakeholders within the General disclosures.

Identifying our most material impacts helps us to prioritise our actions to prevent and mitigate identified sustainability matters.

For consumers and end-users, we identified (potential) material impacts, risks or opportunities on the following topics:

• Privacy

• Access to products and services.

More on how we address these material topics can be found in Our policies and in Our performance later in this Consumers and end-users section.

Connection to our strategy

PostNL’s Parcels network is a critical delivery service in the Benelux. As the universal postal service provider in the Netherlands, PostNL ensures wide accessibility of its Mail network.

It invests in out-of-home channels, digital services, and enhanced accessibility for individuals with disabilities as part of its strategy to improve service quality, tracked through NPS KPIs. However, challenges such as rising labour costs and labour capacity constraints pose risks to the affordability, accessibility, and reliability of postal services.

We remain committed to our legally mandated USO, delivering mail by the next day, five days a week. However, PostNL supports modernising postal regulations, including adjustments to the USO, in line with changes seen across Europe. Ensuring the long-term sustainability of the Dutch postal service will require collaboration with the government.

PostNL prioritises consumer privacy, both for physical mail and digital data, and heavily invests in its digital channels to ensure compliance with GDPR. To mitigate risks of non-compliance or litigation, it keeps up to date with cybersecurity frameworks like NIS2 and conducts monthly maintenance to strengthen its privacy control systems.

For a more elaborate explanation on how we invest in our people, please see pages 25-35 in Our strategy chapter and pages 36-48 in the Customer value chapter.

The table on the previous page provides a detailed depiction of our material impacts and risks relating to consumers and end-users. PostNL’s business model does not expose consumers or end-users to increased harm, and no material negative impacts have been identified regarding consumers and end-users. The identified risks primarily apply to the MailNL network, where maintaining affordability, accessibility, and reliability remains a challenge.

3.3.2 Our governance

At PostNL, engaging with consumers and end-users is essential for providing a distinctive customer experience and achieving our ambition to remain the favourite delivery service. Our approach is divided into direct and indirect engagement whilst providing adequate grievance mechanisms.

These processes allow us to collect and analyse feedback, respond to concerns, and improve service delivery. We focus on positive material impacts through our state-of-the-art solutions, ensuring easy access to reliable postal and parcel logistics services. This includes customer and consumer proximity, secure, inclusive, and accessible digital services, and accessible and affordable pricing for mail services.

Engagement with our consumers and end-users

PostNL actively engages with consumers through direct and indirect channels to enhance service quality and meet evolving needs. Direct engagement includes gathering real-time feedback via surveys, digital platforms, and personalized customer care, ensuring targeted improvements and inclusivity. Indirect engagement involves structured dialogues with stakeholders and external experts to address broader consumer concerns, ensure compliance, and refine services.

Direct engagement

The direct engagement with consumers is essential to continuously improving our services through the variety of channels. This feedback informs our strategic decisions and enhances the customer experience across all stages of engagement. We engage with consumers and end-users through information, consultation, and participation. PostNL also conducts research, particularly with groups with digital and physical accessibility challenges, to understand their experiences on both physical and digital platforms. Consumers also actively influence service improvements through real-time feedback on these platforms. Groups with physical accessibility challenges such as individuals with disabilities, the elderly, and those with limited mobility, are a key focus of this research, as these consumers often face specific challenges in accessing our services. We use the feedback besides identifying the service/customer issues, also for evaluating the effectiveness of the solution. Through ongoing review, we identify further improvements to ensure our services remain responsive to consumer needs.

PostNL is committed to improving accessibility, particularly for people with disabilities. We are enhancing the accessibility of our digital channels, including the PostNL app and Track & Trace, through collaboration with external experts. These efforts are guided by the European Accessibility Act (EAA) and the Web Content Accessibility Guidelines (WCAG), ensuring that barriers for users with visual, hearing, or motor impairments are identified and addressed. Specialised training is provided to our customer care teams to assist consumers with digital accessibility challenges, including offering verbal support for visually impaired individuals and flexible delivery options for those with mobility challenges. Additionally, PostNL retail points are designed with physical accessibility in mind, ensuring locations are wheelchair-friendly and easily accessible by public transport.

NPS survey

The NPS survey is an important method for gathering insights into service elements such as accessibility, affordability, and reliability. This structured feedback informs our mitigation strategies, helping us identify areas for improvement and take targeted actions. NPS surveys are conducted after service interactions, providing ongoing data to assess service effectiveness and make necessary adjustments.

Data collection
Data is collected at various intervals, from biannual surveys to continuous feedback, ensuring immediate and long-term improvements through direct and structural changes. Important metrics include the NPS outcome, trend analysis, and the NPS participation rate (percentage of customers participating). Feedback from NPS surveys and social media monitoring helps address recurring issues and enhance accessibility. Our NPS improvement plan includes a goal to enhance proactive communication with consumers, especially in cases of service disruption such as delayed deliveries.

PostNL app

The app personalises the interaction with our consumers using thumbs-up or thumbs-down feedback system and functionalities such as re-routing deliveries and delivery preferences, giving consumers greater control over their interactions with PostNL. To measure the effectiveness of these engagement strategies, we track several key metrics, including the number of times the feedback button is used.

Customer Care department

The Customer Care department includes both the customer service team and Chatbot Daan, which provides 24/7 automated support and feedback collection to identify common consumer issues and adjust processes proactively. Chatbot Daan is being further developed with AI to evolve into a more advanced conversational platform. The customer service team offers personalised support via chat, phone, and letter during regular business hours, ensuring human assistance when needed.

Feedback from these interactions helps refine processes and enhance satisfaction. Important metrics, such as the problem-solving capabilities of Chatbot Daan and the customer care contact ratio, support continuous improvement. PostNL provides ongoing staff training to ensure consumers with digital and physical accessibility challenges receive the care they need, reflecting our commitment to inclusivity and accessibility across all operations.

Social media platforms

We actively monitor social media platforms, allowing us to engage with consumers in real time. Feedback gathered from social media interactions helps us quickly address any emerging concerns, ensuring that we stay connected with our users and make timely service improvements. This ongoing monitoring complements other feedback channels, giving us a comprehensive view of consumer sentiment and service quality to measure the effectiveness of these engagement strategies, we track several key metrics, including the statistics from social media platforms, including qualitative interactions.

Indirect engagement

At PostNL, indirect engagement is a key element of our strategy to ensure that consumer needs and concerns are considered at all stages of service development and improvement. Our Public Affairs department collect indirect feedback from credible proxies through structured dialogues. These processes help us maintain compliance, gather diverse perspectives, and ensure our services are accessible and consumer-focused. 

ACM and Geschillencommisie

PostNL's Data Governance Board ensures compliance with GDPR and PostNL’s privacy policy, providing an additional layer of governance over data usage and privacy. PostNL’s Public Affairs department collaborates and communicates with external mechanisms, including VNO-NCW and Thuiswinkel.org. The Consumentenbond and the Geschillencommissie also provide an independent review mechanism, further reinforcing transparency and fair complaint handling.

These engagements inform our mitigation strategies and help refine service offerings to meet evolving consumer needs. Additionally, PostNL ensures compliance with laws and regulations, which are monitored by the Dutch Authority for Consumers and Markets (ACM).

PostNL has engaged in communications with the Consumentenbond. However, following their withdrawal from joint creation of General Terms, we are now exploring alternative ways to involve the consumer perspective in setting general terms with the Geschillencommissie. These engagements inform our mitigation strategies and support the refinement of service offerings to address evolving consumer needs.

External experts

PostNL also collaborates with external experts to assess and improve the accessibility of our digital services. This collaboration enables PostNL to comply with international accessibility standards and continually improve the user experience. Consumers and external experts participate in testing new products and services, which ensures our offerings are user-friendly and compliant with accessibility standards. PostNL collaborates with independent external parties for periodic reviews of our complaints management and remediation processes. These reviews, including ISO certification audits, validate the effectiveness of our engagement strategies and provide critical input for refining our approach to service management. We monitor the outcomes of these audits and specific accessibility improvements based on feedback from external experts. We do not have metrics to track effectiveness with this stakeholder collaboration.

Grievance mechanisms and channels to raise concerns

At PostNL, our structured processes ensure that we address negative impacts promptly, with a continued focus on service quality and trust. Complaints are handled by our Customer Care department, which tracks every issue from submission to resolution. We maintain strict confidentiality and provide protections against retaliation, in line with the Dutch Whistleblower Protection Act. Our internal policies safeguard individuals who raise concerns. Our remediation processes and grievance channels align with our broader strategy of minimizing negative impacts while improving service offerings.

PostNL offers multiple accessible grievance mechanisms, including its website, app, phone service, and social media platforms. Complaints are managed internally, ensuring consistency and reliability, with escalation protocols for serious issues. Feedback is analysed to identify improvement opportunities. To ensure centralised complaint management, our business partners, including retailers and parcel deliverers, are required to direct complaints through our formal channels to ensure centralized management.

Providing remedy

Remediation at PostNL is based on thorough investigations and may include financial compensation through the sender, corrective measures, or actions to prevent recurrence. In cases with material impacts, we involve affected individuals in designing the remediation process. We track complaints from submission to resolution, ensuring a comprehensive and responsive approach to remediation. Stakeholders are engaged through surveys and feedback mechanisms to improve our processes. External audits and reviews, along with our internal evaluations, ensure our practices align with the UN Guiding Principles on Business and Human Rights, the OECD Guidelines for Multinational Enterprises, and PostNL's cybersecurity protocols. These practices help us maintain transparency and integrity in data handling during remediation efforts.

Transparent communication

At PostNL, we prioritise clear communication, keeping consumers informed throughout the entire process, including any remedy steps taken. All grievances are handled confidentially, and personal data is managed in compliance with GDPR and our Group Policy on Privacy. We use a central SIEM system to quickly detect and address potential data breaches, with oversight from the Data Governance Board ensuring privacy and security across all operations.

Consumer concerns
Consumers can raise concerns anonymously through third-party representation, with data protected according to regulations. In cases of suspected misuse, such as fraud, personal data may be used for investigation, including reviewing video footage, and shared with third parties like delivery partners to resolve complaints.

We review the effectiveness of our communication and complaint processes, using feedback to improve services. Data is securely stored and breaches are promptly reported to the Dutch Data Protection Authority (AP). All employees are bound by non-disclosure agreements, ensuring ongoing privacy protection.

Assessing the effectiveness of remedy

At PostNL, we systematically evaluate the effectiveness of our remediation processes by tracking key performance indicators such as customer satisfaction, complaint resolution times, and the recurrence of similar issues. These assessments are integrated into our ongoing improvement programs, ensuring that lessons learned from customer feedback are used to enhance service quality and prevent future negative impacts.

Calibration session with customer service employees allows us to measure the impact of our training programs on customer satisfaction and ensure that our employees are equipped to handle complaints efficiently and empathetically. The external audits, along with external feedback from stakeholders, provide an additional layer of oversight, ensuring that our systems remain effective, transparent, and aligned with consumer rights.

Operational-level grievance mechanism

PostNL operates a structured complaint management system, for example Chatbot Daan, that allows consumers and end-users to submit complaints through the various accessible channels. This system reduces waiting times and ensures that customers are directed to the appropriate department for swift resolution. All complaints are centrally registered by our Customer Care team, ensuring consistency and transparency.

PostNL evaluates complaints based on severity, with routine issues such as lost or damaged parcels being resolved promptly through established processes. We escalate serious issues, such as fraud or privacy breaches, to senior management or dedicated teams for further investigation. The senior management monitors the escalation process to guarantee swift and effect action. Our cybersecurity measures, including central monitoring and incident response systems, ensure that personal data involved in these investigations remains protected.

PostNL's Data Governance Board ensures compliance with GDPR and PostNL’s privacy policy, providing an additional layer of governance over data usage and privacy. PostNL’s Public Affairs department collaborates with external mechanisms, including VNO-NCW and Thuiswinkel.org, the Consumentenbond and the Geschillencommissie to offer an independent review mechanism, reinforcing transparency and fair complaint handling.

PostNL continuously assesses its complaint management system through key performance indicators, such as resolution times and customer feedback. Reports track complaints by volume and resolution times to ensure recurring issues are addressed promptly. In addition to internal reviews, we collaborate with external partners to audit and evaluate the complaints management system, ensuring that our processes are effective and continuously improving.

Safeguarding trust and protection

PostNL ensures all grievances are confidential and compliant with privacy laws. Individuals using grievance channels are protected from retaliation, as outlined in our human rights policy and whistleblowing procedure. Confidence in these processes is assessed through surveys, enabling refinements. Grievances are handled with respect for privacy, and individuals may raise concerns anonymously or through third-party representation if they prefer. Our policies guarantee the confidentiality and protection of personal data.

PostNL encourages all stakeholders to report any suspected misconduct, with the assurance of protection from retaliation. Reports are handled confidentially, without public exposure unless legally required. Any form of reprisal, such as demotion, harassment, or discrimination, is not tolerated. Should retaliation occur, immediate reporting to the Director of Audit & Security is mandated. Respecting privacy remains a priority, especially in incident reporting, ensuring sensitive information is protected through secure data protocols, as outlined in our Privacy Policy. By continuously analysing feedback, PostNL ensures that its grievance mechanisms remain accessible and trusted by all stakeholders.

Monitoring

The most senior roles overseeing the engagement processes are: Directeur Customer Care, Directeur CX Insights & Quality Management, Directeur Consumer and Directeur CX Transformation. We are enhancing the accessibility of its digital channels. These efforts are guided by the European Accessibility Act (EAA) and Web Content Accessibility Guidelines (WCAG), ensuring that barriers for users with visual, hearing, or motor impairments are identified and addressed.

3.3.3 Our policies

We have identified two material topics related to consumers and end-users: privacy and access to products and services. PostNL places great importance on handling the personal data of its customers and consumers with the utmost care, adhering to all applicable laws and regulations, such as the General Data Protection Regulation (GDPR) and GDPR Implementation Act. To this end, we have established a Group Policy on Privacy, which outlines the fundamental principles we follow regarding the use of personal data. While PostNL does not have a specific group policy on 'Access to Products and Services', relevant information is integrated across various policy documents.

Privacy policy

At PostNL, we prioritise safeguarding personal data, treating it with the same care as physical mail. Privacy protection is embedded in our operations, with our approach governed by the PostNL group policy on privacy and our business principles. Our measures ensure compliance with privacy laws, including the GDPR and the General Data Protection Regulation Implementation Act.

Our privacy policy provides clear guidelines for the secure handling of personal data, supporting stakeholder collaboration. These privacy standards apply across the entire company, ensuring full legal compliance in all regions and business units where we operate. The group policy on privacy covers personal data management throughout the entire value chain, without exceptions. It is managed by the privacy office and overseen by the Board of Management, with responsibilities delegated to the CFO and CPO. Our Privacy policy covers the material topic privacy.

The privacy office works closely with Group Legal, Audit & Security, and IT to monitor legal developments and ensure up-to-date privacy controls. Our structured approach follows the Plan-Do-Check-Act (PDCA) cycle, ensuring continuous improvement and compliance across all business activities.

Policies relating to access to products and services

There are three main policies linked to access to products and services: the business principles, the human rights policy, and the cybersecurity policy. These policies manage PostNL's material impacts, risks and opportunities related to consumers and/or end-users. They are designed to address all consumers and end-users, ensuring that the needs and rights of specific groups, as well as the broader consumer base, are considered.

Our policies, including our business principles and human rights policy (which covers only those items that relate to fundamental rights), guide our approach to ensuring that the needs of specific groups, as well as the broader consumer base, are met. This comprehensive approach allows us to mitigate risks and leverage opportunities, ensuring PostNL remains a reliable and secure service provider for all.

Business principles

The business principles are central to ensuring that our products and services remain accessible, reliable, and inclusive. They emphasise our commitment to consumer proximity and maintaining affordable prices, particularly for mail services. PostNL is committed to safeguarding personal data, as reflected in our principle.

More Information regarding our business principles can be found on pages 131-133 in the Business principles, policies and procedures section of the Corporate governance chapter.

Human rights policy

At PostNL, our human rights policy is a pillar of our commitment to providing secure, inclusive, and accessible services that positively impact our customers and the communities we serve. As a critical player within the international, parcels, and mail networks, we recognise our responsibility in society. More Information on our human rights policy can be found in Our policies within the Own workforce section.

Cybersecurity policy

Cybersecurity is essential to safeguarding our services and protecting customer data. The policy aims to manage and protect PostNL assets and data from cyber security incidents by implementing a baseline of security measures to reduce risks to an acceptable level. Our cybersecurity policy covers the material topic access to products and services. Our cybersecurity policy aligns with business principles and external standards, including ISO/IEC 27001 and the NIST Cybersecurity Framework, ensuring a structured approach to managing IT risks. Under the leadership of the chief information officer (CIO) and chief information security officer (CISO), the policy is applied across all large and medium-sized entities within PostNL, specifically those based in the Netherlands, focusing on compliance, baseline security, risk assessments, and governance.

The Plan-Do-Check-Act (PDCA) cycle supports continuous improvement, with updates planned for 2025 to incorporate stakeholder input and align with ISO 27005 standards. Our commitment to cybersecurity strengthens trust in our services.

3.3.4 Our performance

In 2024, we implemented a range of initiatives aimed at addressing the key material impacts, risks and opportunities on our consumers and end-users. These initiatives are designed to help us manage material impacts and risks while also exploring new opportunities. Additionally, we have established robust processes to monitor and assess the effectiveness of these actions, ensuring continuous improvement and alignment with our strategic objectives.

Two key actions have significantly contributed to safeguarding the privacy of our consumers and end-users:

Further implementation and enhancement of the privacy framework

The privacy control framework was updated in August 2023 and was implemented and refined throughout 2024. This ongoing effort ensures compliance with privacy regulations and addresses emerging challenges in the privacy landscape, reinforcing PostNL’s commitment to protecting sensitive information.

Update of the privacy statement

The process to revise the privacy statement began in the second quarter of 2024, culminating in its publication on PostNL's website on 1 November 2024. This regularly reviewed initiative underscores our dedication to maintaining transparency and ensuring alignment with evolving privacy requirements.

Privacy

Actions

At PostNL, the protection of personal data is integral to both our operational integrity and the innovation of our services. To ensure robust data protection, we have embedded several frameworks within our risk management system, including a dedicated privacy framework. This framework helps achieve policy goals by lowering the risk of legal issues and non-compliance through active privacy management. It protects customer privacy, which builds trust and loyalty, and checks ensure PostNL stays compliant, safeguarding its reputation and supporting its goal to be a trusted brand.

In 2023, we undertook a comprehensive review of the state and effectiveness of our privacy control framework, building on our earlier GDPR implementation. This framework was further enhanced throughout 2024 to address emerging privacy challenges and ensure ongoing compliance. Collaboration between the privacy office (second line) and business departments (first line) is central to this initiative.

Implementation of comprehensive privacy governance and control framework

PostNL has implemented several frameworks within its risk management system, including a dedicated privacy framework. In 2023, we performed an integral review of the current status and adequacy of our privacy control framework as a follow-up on the earlier GDPR implementation. This framework was further implemented and refined throughout 2024 to address emerging privacy challenges and ensure ongoing compliance. The privacy office and business departments collaborate on this initiative. The GDPR is an EU regulation (Algemene verordening gegevensbescherming - AVG) that aims to protect all EU citizens from privacy and data breaches in today’s data-driven world.

Main elements of the privacy control framework include:

• Governance and accountability: Reviews of governance and processes to uphold accountability in personal data protection.

• Processing register: Keeping a detailed record of data processing activities in OneTrust, which is audited twice a year. The check on controls by the business itself should take place quarterly.

• Data protection impact assessments (DPIA): Conducting DPIAs to identify and mitigate potential privacy risks, with processes reviewed during audits.

• Data breach reporting: Developing and following a process for reporting and managing data breaches, which are also subject to audit reviews.

• Data processing agreements: Ensuring all data processing agreements with third-party vendors comply with GDPR, checked twice a year in audits and quarterly by the business itself.

This framework is updated yearly and reviewed whenever a new service is introduced. In February 2024, a new dashboard was developed to monitor the processing register and data protection impact assessments, ensuring comprehensive oversight. We aim to include all privacy-related matters in self-assessments and audits to stay 'in control'. By maintaining up-to-date records and conducting audits, the framework supports continuous compliance and adaptation to new privacy challenges. This comprehensive approach helps mitigate litigation and non-compliance risks, safeguards consumers' and end-users' privacy, prevents reputational damage, and ultimately fosters trust and loyalty among consumers and end-users.

Framework's scope

The framework's scope encompasses all PostNL group companies, affecting consumers and end-users across all countries. This annual and ongoing initiative, where the privacy control framework is implemented and executed by 31 December 2024, addresses risks related to litigation, non-compliance, and reputational damage due to data privacy breaches. PostNL believes that it is vital to handle the personal data of its customers and consumers with due care and adhere to all applicable laws and regulations, thereby enhancing trust and loyalty among consumers and end-users. The framework reduces negative impacts on consumers, ensures compliance with GDPR, and supports continuous compliance and adaptation to new privacy challenges.

Measuring effectiveness

The effectiveness of the privacy control framework is measured through practical implementation of privacy safeguards, with self-assessments and audits.

Update of privacy statement

PostNL is committed to protecting personal data and complying with relevant laws and regulations. On 1 November 2024, we updated the privacy statement for our Dutch entities to reflect the use of personal data for all (new) services, ensuring compliance with GDPR requirements and transparency for consumers. This update helps mitigate risks of non-compliance and potential fines.

The privacy statement is yearly reviewed to stay current with service changes, with effectiveness monitored through consumer feedback and privacy-related complaints. Collaboration between the privacy office and business departments ensures accurate content, maintaining trust and safeguarding privacy. Our proactive approach reduces risks of GDPR non-compliance, litigation, and reputational damage, supporting long-term business sustainability.

Targets

At PostNL, we have not established specific strategic or corporate-level targets regarding the privacy control framework and privacy statement. However, we continuously monitor the effectiveness of our privacy policies and related actions through alternative mechanisms. These actions remain process-driven, focusing on ensuring adherence to relevant standards and regulations. Our primary focus is on internal performance metrics to ensure compliance and safeguard operational integrity. While no external targets are currently in place, we continue to closely monitor the implementation of our initiatives.

Privacy control framework 

Each year, we ensure the 100% ‘effective’ implementation of three critical controls within the privacy control framework. These controls include:

• Registration of all processing activities and the performance of data protection impact assessments (DPIAs)

• Notification and incident management, including the registration of data breaches

• Management of data processing agreements.

In June 2024, we conducted a comprehensive review of our privacy controls, identifying areas that require further improvement. While several controls were deemed effective, it was clear that the privacy framework has not yet reached its intended level of maturity. Progress continues to be assessed against the baseline set in 2023, with the aim of achieving full effectiveness in the implementation of privacy controls.

PostNL has not established external targets for privacy controls, as the privacy control framework is embedded within the broader organisation and is an integral part of our overarching risk management framework, specifically following the Three Lines Model. Throughout 2023, we focused on the implementation of this model across the 10 key compliance domains. Clear roles and responsibilities have been defined with Executive Committee members, explicitly outlining the first, second, and third lines of defence for each compliance domain. This comprehensive internal structure ensures that privacy controls are effectively managed, rendering external targets unnecessary.

Privacy statement

PostNL tracks the effectiveness of its privacy statement updates through alternative processes. Our 2024 approach included updating the privacy statement to ensure it accurately reflects how PostNL handles personal data and provides complete information on all personal data used for services, thereby avoiding GDPR fines. The privacy statement is published on the PostNL website, is publicly accessible, and has a clearly indicated revision date. The statement applies to all businesses and services featuring the PostNL logo and was last modified on 1 November 2024.

Key indicators of the effectiveness of these updates include:

• Yearly updates: The privacy statement is reviewed and updated yearly to reflect current practices and ensure accurate descriptions of all personal data used for all new services, avoiding fines under GDPR for incomplete information.

• Public accessibility: The privacy statement is published on the PostNL website, including a revision date, ensuring transparency.

• Revision date: The latest revision date, 1 November 2024, is clearly indicated.

These indicators ensure that our privacy practices remain up-to-date, publicly accessible, and compliant with GDPR requirements. The defined level of ambition for PostNL is to ensure that the privacy statement is accurately updated, reflecting current data handling practices and providing complete information on personal data usage for all services to avoid GDPR fines.

Access to products and services

Actions

As part of our double materiality assessment, we have identified four focus areas within the topic of 'Access to products and services':

• Digital accessibility

• Physical accessibility

• Affordability of Mail in the Netherlands

• Cybersecurity.

This section outlines the measures we have taken to address material impacts on consumers and end-users as well as our strategies to mitigate material risks and leverage opportunities that directly affect our consumers and end-users. Furthermore, we evaluate the effectiveness of these initiatives in each of the four areas.

Digital accessibility

In 2024, we focused on two major initiatives to maintain and enhance our digital accessibility and branding: the formalisation of policies and procedures in compliance with the European Accessibility Act (EAA) 2025, and the implementation of new branding across all digital communication channels. These initiatives were supported by a comprehensive investigation into the accessibility of our digital consumer channels and biannual research focused on user groups with digital accessibility challenges, such as those with low literacy, ensuring our efforts were thorough and inclusive.

The Digital Channels and Interactions (DC&I) department, with a dedicated DC&I team, is responsible for leading efforts to comply with the EAA 2025. This includes the formalisation of policies and procedures, as well as the implementation of new branding strategies to ensure all digital communication channels are accessible. Furthermore, monthly customer research is conducted, focusing on the accessibility of digital channels for user groups with digital accessibility challenges. This research helps PostNL track the effectiveness of its accessibility initiatives and make the necessary improvements.

Formalisation of policies and procedures in compliance with the European Accessibility Act (EAA) 2025

In 2024, we launched an initiative to formalise policies ensuring compliance with the EAA by 2025. This initiative focuses on embedding accessibility in our digital development processes, covering digital services for all PostNL business units and directly impacting our downstream value chain, including consumers and business customers.

In July 2024, we engaged an external consultant to assess the accessibility of all digital consumer channels, ensuring compliance with WCAG and EAA requirements. By the end of 2024, investigations were completed for most channels, with the remaining assessments scheduled for completion in the first half of 2025. The findings have been incorporated into our action plan, and identified issues are being actively addressed by dedicated teams.

Additionally, we launched a biannual research programme to evaluate accessibility for groups with digital accessibility challenges, including individuals with low literacy. This initiative strengthens our commitment to improving both digital and physical accessibility, promoting inclusivity, and ensuring compliance across all services.

Implementation of new branding in digital communication

The second major initiative in 2024 was the implementation of a new branding strategy across all digital communication channels. This initiative involved updating our visual identity and design elements to ensure consistency and accessibility across all digital interfaces. The scope of these actions also covered our digital services for all PostNL business units and impacted the downstream value chain, particularly focusing on consumers and end-users who interact with our digital platforms.

Ensuring compliance with the WCAG and the EAA was a key priority throughout this process, reinforced by insights from the investigation into our digital consumer channels. By incorporating these accessibility findings into our brand updates, we have ensured that our digital platforms not only adhere to our refreshed brand guidelines but also meet the highest accessibility standards.

The main findings from our accessibility investigations include:

1. Form accessibility issues, such as missing form labels and unclear error messages, making up for approximately 35% of identified issues. This affects people with a variety of disabilities, including visual impairments.

2. Content structure problems including inconsistent heading hierarchies and improper table markup, representing 25% of findings.

3. Navigation barriers for people with visual and motor impairments, accounting for 20% of cases.

These findings are being addressed through:

• A priority-based roadmap for resolving the issues following our agile way of working

• Integration of a design system with built-in accessibility features

• Mandatory accessibility acceptance criteria.

The biannual research on user groups with digital accessibility challenges played a supportive role in this branding initiative as well. By continuously assessing the accessibility needs of diverse user groups, we were able to refine our digital branding to be more inclusive and user-friendly. This approach not only reinforced our commitment to social inclusion but also helped us provide a consistent, reliable, and accessible experience for all users across our digital platforms.

Fraud prevention

To strengthen the security of our digital services and safeguard consumer data, we introduced two important initiatives in 2024. These initiatives included the integration of an anti-phishing code in our email communications and the launch of the PostNL eID system. These measures were essential in protecting customer information, reducing the risk of unauthorised access, and reinforcing trust in our services.

Implementation of anti-phishing code in our e-mail communication

In 2024, we implemented an anti-phishing code across all customer email communications to enhance security and protect consumer data. By enabling PostNL user accounts to set up a personal anti-phishing code, we provide consumers with a trusted and secure digital environment. This action supports our broader goals of offering secure, inclusive, and accessible digital services. It addresses reputational, compliance, and financial risks related to meeting affordability, accessibility, and reliability standards in our digital postal services. The anti-phishing code, available to all PostNL accounts worldwide, is a valuable component of our strategy to manage cybersecurity threats and ensure data protection.

The initiative started in 2022 and was fully implemented in 2024, positively impacting consumers and end-users throughout our value chain. The Digital & BIT Digital department is responsible for this action, with a dedicated team contributing to enhancing the overall security of our operations. By completing this initiative within a short time frame, we have strengthened our risk management strategy, ensuring that we continue to meet the evolving needs of our consumers and end-users while safeguarding their data. We track the effectiveness of this measure by monitoring the number of user accounts that have activated the anti-phishing functionality, which helps us maintain the integrity and trustworthiness of our digital services.

Introduction of validated ID-account (PostNL eID)

In 2024, we introduced PostNL eID in the Netherlands and Belgium, a secure digital identity system to enhance protection for consumers managing services like delivery preferences, parcel rerouting, and accessing Mijn PostNL. This initiative strengthens our commitment to data security, safeguarding consumer information, and ensuring trust in our services. By using secure methods such as transaction data and iDIN verification, we reduce the risk of unauthorised access, addressing key reputational and compliance risks.

PostNL eID is integral to our broader goal of providing secure, inclusive, and accessible digital services across the value chain. Led by our Digital & BIT Digital department, this initiative has strengthened our risk management and reinforced consumer trust. As we continue to monitor and refine this system, our focus remains on delivering secure, user-friendly solutions.

We have seen positive results, including increased trust, reduced phishing, and improved user experience, especially for groups with digital accessibility challenges. The implementation of EAA-compliant policies, along with refreshed branding, supports our aim to ensure accessibility for all users. Ongoing monitoring through monthly customer research and tracking key metrics ensures our services remain secure, inclusive, and compliant.

Physical accessibility

In 2024, PostNL allocated resources to enhance physical accessibility and ensure the affordability, accessibility, and reliability of our postal and parcel services. Two key initiatives focused on expanding the number of PostNL retail points in Belgium and increasing the availability of automated parcel lockers (APLs) in the Netherlands. These efforts, supported by ongoing financial and operational resources, played an important role in improving service accessibility and reliability for customers.

The cost-savings programme represents another pivotal area of resource allocation. This initiative prioritises investments in process automation, digitalisation, and enhancements to operational efficiency, all designed to preserve the affordability of postal services. These efforts, combined with investments in infrastructure, support PostNL’s overarching strategy of addressing customer needs while managing reputational, compliance, and financial risks. By year end, significant progress had been achieved, with these initiatives continuing to align with our dedication to fostering social inclusion and delivering high-quality services to consumers and end-users.

Expansion PostNL retail points in Belgium

By the end of 2024, we operated 1,150 locations, a year-on-year decline that was caused by the challenging retail market. Despite this, we remain committed to reaching 1,350 locations by the end of 2025, ensuring our services stay accessible and reliable for all consumers and end-users. This initiative, a critical step in our service development within PostNL Belgium, involves reconfiguring our PostNL retail location network to enhance the physical accessibility of our services.

By increasing the number of PostNL points, we aim to meet and exceed the expected standards of accessibility, while mitigating potential reputational, compliance, and financial risks associated with failing to meet these standards. The broader scope of this action impacted our retail operations, customers, delivery partners, and employees, particularly in Belgium, with a medium-term project completion expected by the end of 2025. Our proactive approach in expanding PostNL points ensure that we continue to provide high-quality, accessible services that meet the evolving needs of consumers and business customers alike.

Expansion of automated parcel lockers (APLs) in the Netherlands

In 2024, PostNL expanded its network of APLs by 25% compared to 2023, aiming for a 50% increase by the end of 2025. This expansion improves the physical accessibility of our services, enabling consumers to choose when and where to collect or send parcels, benefiting those not at home during the day. By the end of 2024, we had installed 1,083 APLs in the Netherlands.

From March 2024, we opened our APL network to third-party carriers, starting with GLS Netherlands. This shared network, available 24/7, is a sustainable and economical solution, benefiting consumers, SMEs, and e-tailers.

This expansion aligned with our strategic focus on improving access to products and services, ensuring our offerings remained flexible, secure, and reliable. The scope of this action impacted the downstream value chain, particularly consumers, delivery partners, and retailers, with full implementation expected by the end of 2025. This initiative supported our commitment to physical proximity and convenience, enhancing service accessibility and convenience for all consumers and end-users, while also addressing potential reputational, compliance, and financial risks related to failing to meet expected standards of affordability, accessibility, and reliability.

The effectiveness of these measures is assessed through indicators such as customer satisfaction rates and successful implementation of expansion targets. This ensures that we continue to meet regulatory requirements while providing reliable, high-quality services to consumers and end-users. Success is measured by achieving expansion targets, gathering customer feedback, and evaluating financial impacts, ensuring that we continue to provide physically accessible, reliable services.

Affordability Mail in the Netherlands

In response to the challenges posed by declining mail volumes and rising operational costs, we launched three initiatives in 2024 to maintain the accessibility and affordability of our services. These included the reduction of our public mailbox network, the implementation of a comprehensive cost-savings programme, and adjustments to postal service frameworks for business mail. These actions are critical to ensuring the continued affordability, reliability, and accessibility of our services, while mitigating potential reputational, compliance, and financial risks.

Reduction of the mailbox network

In 2024, we continued to implement our strategy to streamline the public mailbox network, aiming for a reduction of approximately 10% by mid-2025. By the end of 2024, we had reached 50% of our target, and full implementation remains on track according to our timetable.

This initiative ensures continued accessibility for all citizens, including those with limited mobility, while adapting to the ongoing decline in mail volumes. In accordance with the Postal Act, mailbox locations were optimised to meet statutory distance requirements—1,000 metres in urban areas and 2,500 metres in regions with fewer than 5,000 inhabitants. A key enhancement in this process was the introduction of combined parcel and letter lockers (PBA), designed to improve customer convenience. At the same time, the availability of lowered and medical mailboxes was safeguarded to accommodate diverse user needs.

Cost-savings programme

Our cost-savings programme, which has evolved over two decades, is a critical component of our strategy to keep mail services affordable. This programme focuses on automating, digitalising, and optimising processes across Mail in the Netherlands, enabling us to control costs despite the ongoing volume decline. Important advancements were made in 2023, including the centralisation of sorting locations and the introduction of new sorting machines. 

Extending the programme

While the programme is well-established, key components have been extended into 2025 and the years there after to ensure long-term affordability, accessibility, and reliability of postal services. These efforts are essential in addressing the evolving needs of our customers while ensuring the financial sustainability of our operations. Progress is on track, with cost savings aligning with our expectations, despite challenges in the digital mail initiative. The scope of this programme impacted various segments of our value chain, particularly in customer service and delivery, affecting consumers, end-users, and employees.

The Transformation Office focuses on implementing key actions within the cost-savings programme to ensure PostNL remains financially sustainable. These actions aim to control costs while keeping services affordable, especially in light of the ongoing volume decline. Key components include:

1. Automating and digitalising processes: The programme continues to increase automation and digitalisation across operations. This includes optimising sorting processes, the introduction of new sorting machines, and further digitalisation of services. These measures reduce reliance on manual labour, driving efficiencies across the mail handling process.

2. Redesigning products: Certain products, such as the number of mailboxes and delivery frequency of non-USO products, are being redesigned to better align with demand and reduce unnecessary operational costs. This ensures services remain accessible while managing costs.

3. Optimising sorting and delivery processes: The centralisation of sorting locations and the introduction of advanced sorting machines were key milestones in 2023. These measures help streamline mail processing and ensure a more efficient and cost-effective delivery system.

4. Management operating system changes: Adjustments to the management operating system are being implemented to enhance monitoring and control of costs, providing more flexibility to respond to changing needs and optimising resource allocation.

Outcome and alignment

The expected outcome of this programme is to ensure that PostNL continues to provide reliable, affordable postal services to consumers and end-users. The ongoing focus on automation, digitalisation, and process optimisation directly addresses the risk of failing to meet affordability, accessibility, and reliability standards.

These actions also align with PostNL's policy objectives by:

1. Maintaining affordability: Ensuring postal services remain financially accessible to all consumers

2. Enhancing service reliability: Improving operational efficiency, which helps maintain high service standards

3. Mitigating reputational and compliance risks: By meeting regulatory requirements and customer expectations, the programme reduces reputational and compliance risks.

This ongoing programme will help us continue to meet customer needs, ensuring PostNL remains sustainable and resilient in the long term.

Adjustment of postal services

To ensure the affordability and sustainability of postal services in the future, we are engaged in ongoing discussions with the Dutch government to make the necessary adjustments to the Postal Act. This adjustment is vital to maintain the financial viability of the USO amidst the ongoing annual decline in mail volumes and increasing labour costs. More information on this, including PostNL’s request for temporary government financial support under the Dutch General Administrative Law Act to cover net USO costs for 2025 and 2026, can be found in the Future of Mail box in the Our operating context chapter.

PostNL is committed to maintaining physical accessibility, ensuring regulatory compliance, and providing reliable, high-quality services to consumers and end-users. These efforts are actively steered and monitored by our transformation office, with success measured through the achievement of expansion targets, collection of customer feedback, and assessment of financial impacts. Through these actions, PostNL continues to deliver physically accessible, reliable postal services, meeting the evolving demands of our customers and the regulatory landscape.

Cybersecurity

In 2024, as part of our commitment to secure and reliable service access, we focused on strengthening several components of our cybersecurity programme in all PostNL business units. This included the implementation of an information security management system (ISMS), the integration of a risk management framework within ISMS, the enhancement of third-party risk management (TPRM) processes, and the establishment of strong security fundamentals for our operational technology (OT) systems. These efforts are essential to maintaining the security and accessibility of our products and services, benefiting consumers and end-users alike.

In 2024, we laid the groundwork for this cybersecurity programme as part of our internal control framework (ICFR), using a risk-based approach to identify and address cybersecurity threats. The security management system introduced in 2024 helps us anticipate, prioritise, manage, and monitor these risks. In 2025, we will build upon these initial measures to further strengthen our defences.

Implementation of information security management system (ISMS)

As part of the cyber security programme, in 2024 PostNL initiated the implementation of a comprehensive information security management system (ISMS). This system is integral to our broader strategy aimed at managing and mitigating risks to our information assets. It involves establishing and enforcing control frameworks, policies, and procedures critical to our information security governance. The ISMS ensures that we maintain robust security standards, particularly in safeguarding consumer data and reinforcing the trust that our customers and end-users place in us. This action is directly relevant to consumers and end-users, as it impacts the accessibility to PostNL’s products and services.

The primary objective of the ISMS is to reduce the risk of IT and cybersecurity breaches, which could disrupt essential PostNL services. Such breaches carry substantial risks, including operational interruptions, financial losses, potential claims, and reputational damage. By implementing and maintaining the ISMS, PostNL aims to ensure continuous, secure access to our services for consumers and end-users, supporting our commitment to social inclusion and reliable service delivery.

Integration of risk management framework within ISMS

In 2024, PostNL further strengthened its cybersecurity efforts by integrating a risk management framework within the ISMS. This framework is a critical component of our broader cybersecurity strategy, designed to assess, analyse, and address risks associated with information and operational technologies. By embedding this framework within the ISMS, we aim to enhance our ability to identify and mitigate cyber risks, ensuring that our information assets are protected and that our services remain secure and reliable for consumers and end-users.

The implementation of this risk management framework is vital in reducing the likelihood of business disruptions caused by IT and cybersecurity breaches. Such breaches could impact consumer access to essential PostNL services, leading to operational interruptions, financial losses, and potential damage to our reputation. Through this initiative, PostNL seeks to ensure continuous service availability, minimise costs, protect our reputation, and reduce potential claims, all while supporting our commitment to social inclusion and reliable service delivery.

Enhancement and optimisation of third-party risk management (TPRM) processes

In 2024, PostNL initiated the enhancement and optimisation of our TPRM processes as part of the cyber security programme. This effort focuses on revising and improving the tools and questionnaires used to assess and manage risks within PostNL’s supply chain. By strengthening these processes, we aim to reduce the likelihood of IT and cybersecurity breaches that could disrupt essential services for our consumers and end-users. This initiative supports our broader goal of maintaining secure and reliable services, which is critical for protecting our reputation, controlling costs, and minimising potential claims.

The enhancement of TPRM processes is crucial for mitigating the risks posed by third-party suppliers to PostNL’s operations. Effective risk management within our supply chain is vital if we are to ensure that our services remain secure and accessible, thereby safeguarding the trust of our consumers and end-users. This action aligns with our commitment to ensuring that consumer access to products and services is uninterrupted, even in the face of cybersecurity threats.

Establishing robust security fundamentals in OT systems

In 2024, PostNL strengthened the security of its operational technology (OT) systems as part of our cyber security programme, aimed at protecting OT infrastructure from cyber threats and ensuring uninterrupted service. This initiative is crucial for mitigating risks tied to our consumer impacts and dependencies, maintaining service reliability, and safeguarding our reputation.

The cyber security programme, including the ISMS, risk management framework, TPRM processes, and OT security, impacts all business units across the value chain. The ISMS has been implemented for the NIS-2 / ICFR scope of applications, with further expansion planned for 2025. This marks the completion of the first version of the ISMS. TPRM will follow in 2025, and OT security by mid-2026. Key milestones have been met, aligning with ISO27005 standards.

Effectiveness is monitored through evaluations and progress tracking, ensuring secure and reliable services while maintaining customer trust and satisfaction.

Targets

In 2024, we set a target for affordability. No targets have been defined for the actions relating to digital accessibility, physical accessibility and cybersecurity. These actions remain process-driven, focusing on ensuring adherence to relevant standards and regulations. Our primary focus is on internal performance metrics to ensure compliance and safeguard operational integrity. However, we continuously monitor the effectiveness of our policies and related actions through alternative mechanisms.

Digital accessibility

Preparations for EAA 2025 compliance

In line with PostNL's commitment to the European Accessibility Act (EAA), our Digital Channels and Interaction (DC&I) department is steering efforts to ensure compliance by 2025. Although no formal strategic or corporate targets have been set for this objective, PostNL is actively monitoring progress through a structured, management-led approach. Monthly alignment meetings, along with comprehensive documentation, support the tracking of actions to enhance digital accessibility. We also have audits and customer surveys, with a specific focus on individuals with dyslexia—marking the first research conducted among groups with digital accessibility challenges. The base year for tracking improvements has been set at 2024, as part of our ongoing commitment to enhance digital accessibility and reduce risks related to non-compliance. Our ambition is focused on achieving compliance with the EAA by adhering to WCAG 2.1 standards, ensuring secure, inclusive, and accessible services for all users.

Fraud prevention

The Digital department is responsible for overseeing the adoption and effectiveness of cybersecurity measures within PostNL. While no formal targets have been set, the department employs an alternative process to monitor progress. Specifically, we track the adoption rate of the anti-phishing code among user accounts and the number of validated PostNL eID accounts, as well as the frequency of validation checks. These figures are reviewed on a regular basis to measure progress from the baseline set in 2024.

We use quantitative indicators, including the number of user accounts that have activated the anti-phishing code and the number of validated PostNL eID accounts, to assess this progress. The base period for these measurements is the year 2024. Our ambition is to strengthen our cybersecurity framework by encouraging broad user adoption and validation of PostNL e-D accounts, ensuring the trust of our customers remains high.

Physical accessibility

Our Retail departments in the Netherlands and Belgium are responsible for driving the expansion of PostNL points and APLs. Although no formal targets have been established, we monitor progress through an alternative tracking process. This includes the use of quantitative indicators, such as the number of PostNL locations and the percentage of national coverage. The base period for tracking was set in 2024.

Our ambition is to sustain and improve the national coverage percentage of PostNL locations, ensuring this growth aligns with PostNL’s broader strategic objectives.

Affordability Mail in the Netherlands

Given the ongoing decline in mail volumes and rising cost pressures, particularly those related to labour, PostNL has identified the need for continuous cost-saving measures. To ensure the postal network remains affordable, we set a target to realise approximately €40 million in cost savings in 2024. These savings are critical to offset the impact of declining mail volumes, further exacerbated by increasing labour costs. Our approach is focused on enhancing the efficiency of our sorting and delivery processes, ensuring that we continue to provide reliable and accessible postal services across the Netherlands.

Alignment with our objectives

This target supports our goal of maintaining a sustainable postal network by addressing volume decline through cost savings and moderate pricing, aligning with the USO to serve all Dutch citizens efficiently and affordably. As stated, "we aim to mitigate volume decline through a moderate pricing policy and cost-savings initiatives, by further improving its sorting and delivery processes" (see press release Q4 2023 for more information).

Target specifics and baseline

The 2024 target of approximately €40 million in additional savings builds on the €39 million saved in 2023, establishing 2023 as the baseline year for progress. "For 2024, we assume to achieve around €40 million in cost savings, based on further adjustments of processes in the current business model that is built to meet the USO requirements" (see press release Q4 2023 for more information). Each year, a new cost-saving target is established; however, no specific target has yet been set for 2025. Potential savings could arise from measures such as the removal of letterboxes, enhanced efficiency through organisational restructuring, and other strategic initiatives.

Scope of the target

The target focuses on Mail in the Netherlands within the Dutch market, aiming to sustain postal services by impacting both upstream (labour and logistics) and downstream (customer services) value chains.

Methodology and interim milestones

The target is grounded in the scenario of an ongoing volume decline in the Dutch mail market, projected at 7%-9% for 2024. This projection considers historical data from 2023 and 2022, where cost savings were €39 million and €27 million, respectively. The data is derived from internal operational metrics and market analysis.

PostNL directly engages with its workforce and their representatives in setting targets through discussions at the executive committee (EC) and management team (MT) levels, where input from department directors, who represent their teams, is considered. This inclusive approach ensures that the targets reflect the needs and expectations of the workforce, contributing to a more cohesive and supportive work environment. The progress is monitored monthly by the Transformation Office, with results reviewed at the EC and MT levels, where department directors provide feedback based on their teams' performance. Quarterly updates from the CEO and CFO further enhance transparency, allowing employees to see how their input has shaped the targets and the company’s strategic direction. This ongoing engagement ensures that the workforce remains informed and involved in monitoring progress, enabling timely adjustments if necessary. Through annual collaboration with department directors and reviews by the EC and MT, PostNL ensures alignment with company goals and the continued involvement of stakeholders in the target-setting process.

The transition to a new service level, such as delivering standard mail within two to three days, aligns with similar regulatory adjustments seen in other European countries, reflecting a broader trend towards optimizing postal services in a sustainable manner.

Performance and monitoring

In 2024, we achieved approximately €40 million in cost savings through targeted adjustments to processes in our current business model. These initiatives are essential as we adapt to changing market dynamics while ensuring a sustainable and customer-focused mail delivery service.

Continuous improvement

We are committed to ongoing improvement through workforce feedback and quarterly briefings by the CEO and CFO. By focusing on operational efficiency and ongoing engagement with our stakeholders, we remain confident in our ability to meet our goals and continue delivering value across our network. As highlighted in our Q4 2023 press release, “PostNL set a clear direction to keep postal service in the Netherlands sustainable.”

Cybersecurity

PostNL has not set strategic or corporate-level targets for cybersecurity. Instead, we track the effectiveness of our cybersecurity measures through alternative processes, ensuring vigilant protection of our operations and services. Our information security management system (ISMS) and enhanced risk management processes allow continuous monitoring, reporting, and mitigation of cybersecurity risks, preventing breaches that could disrupt services and harm our reputation.

We have assessed the compliance score for all business units within the scope of NIS-2. This assessment determines the extent to which the IT assets in scope for each business unit meet the fundamental requirements of NIS-2. The resulting scores range from 31% to 76%. Progress is tracked using qualitative and quantitative indicators, such as incident counts, compliance with cybersecurity management controls, and information security assessment outcomes. These are reviewed quarterly by our business information security officer (BISO), who documents improvements and monitors follow-up actions. In June 2024, PostNL’s management conducted an assessment of our cybersecurity controls. While most controls were found to be effective, the assessment highlighted areas requiring further development to achieve the desired level of maturity in our cybersecurity framework. Progress is measured from a baseline set in 2023, with the goal of achieving full effectiveness in implementing cybersecurity controls by the end of 2024.

Integrated cybersecurity management

Cybersecurity controls are fully integrated into our overarching risk management framework, making external targets unnecessary. The Three Lines Model ensures comprehensive management:

• First line: BIT directors manage cybersecurity threats in their areas according to PostNL’s risk-based approach.

• Second line: Continuous monitoring and risk mitigation are overseen by the ISMS and related frameworks, with effectiveness tracked by the BISO.

• Third line: Internal Audit conducts independent reviews to verify compliance with internal and external requirements.

This integrated approach guarantees the continuous protection of PostNL’s assets and data, maintaining secure and reliable services for our consumers and end-users.

Each of our actions is aligned with PostNL’s broader risk management framework to address material risks. This report specifies how each action manages these risks within a comprehensive approach:

• Cybersecurity: The ISMS and TPRM are integral to managing operational and reputational risks. These initiatives help prevent disruptions in essential services and protect customer data, aligning with PostNL’s overall risk strategy.

• Digital and physical accessibility: Actions, such as EAA compliance and expanding physical service points, mitigate reputational, financial, and compliance risks related to service accessibility for all customer segments. This alignment supports our commitment to meeting regulatory and societal expectations.

• Affordability of MailNL: Our cost-savings programme and adjustments to postal service frameworks are central to managing financial and reputational risks, particularly in light of rising labour costs and decreasing mail volumes.

Metrics

PostNL Customer value performance indicators as indicated
2023 - 2024

We have kept our average number one position in relevant markets. Monthly tracking NPS of our most important journey and of our touchpoints allows us to focus on enhancing customer experience, leading to actionable insights and improvements. For example, we have worked on improving important customer journeys such as I receive a package (for consumers), I get updated about my shipments (for business customers), and I become a customer. We are also continuously working on improving our digital channels such as the app and the business portal. We help SMEs to realize their full potential, and we ensure a seamless interaction with PostNL for consumers and customers.

In 2024, delivery quality for Parcels in the Netherlands reached 97%, aligning with our expected target range for the year. Throughout the year, we successfully implemented a first-in, first-out (FIFO) strategy to manage our unsorted stock efficiently. At the start of the third quarter, we temporarily scaled down total network capacity as a cost-saving measure, anticipating lower parcel volumes during the summer holiday period. However, during certain weeks, volumes exceeded expectations, leading to delays.

In the fourth quarter, we observed a surge in parcel volumes at the start of the week, surpassing our network capacity. Our peak season, which started at the end of November, was challenging this year. Because of the short period of time between Black Friday and Sinterklaas, we had to process a high number of parcels in a short period. Nevertheless, our FIFO strategy enabled us to limit most delays to a maximum of one day. Overall, we believe this performance reflects the effectiveness of our strategy in 2024. For 2025, we aim to maintain at least the same level of delivery quality by carefully balancing network capacity, customer satisfaction, and cost efficiency. Delivery quality at Mail in the Netherlands faced challenges in 2024, primarily due to staffing shortages at PostNL, higher levels of sick leave, and a strained labour market. For more information on delivery quality at Mail in the Netherlands, please see the Future mail box on page 16 in the Our operating context chapter or the performance summary of the delivery quality of Mail in the Netherlands on pages 38-39 in the Customer value chapter.

Additionally, necessary adjustments to our processes and organisational structure had a temporary negative impact on operational quality. Parcel volumes grew by 7% in 2024, with domestic volumes increasing by 1.4%, while our market share remained broadly stable. International parcel volumes continued to grow significantly, rising by 33% year-on-year. However, the volume growth was accompanied by mix effects—both in customer segments and product types—that were less favourable than anticipated, leading to increased client concentration.

Section 4 : Governance disclosures

4.1 Business conduct

Our business principles are the cornerstone of our operations, guiding our decisions when engaging in business activities or forming partnerships. We expect that everyone associated with PostNL – employees, third parties, business partners, and suppliers – adheres to these principles. The business principles also outline the standards we uphold and what our stakeholders can expect from PostNL.

In line with the requirements of ESRS G1, we integrate our corporate culture with our business conduct, focusing specifically on adherence to the code of conduct and business principles. Key aspects of our corporate culture include promoting and communicating our business principles, whistleblowing and incident reporting mechanisms, integrity-focused e-learning programme, employee engagement monitoring, due diligence for delivery partners, integrity workshops, and reviewing Board of Management expenses.

More information on our corporate culture and business conduct can be found on pages 131-133 in the Business conduct and integrity approach section of the Corporate governance chapter.

4.1.1 Our strategy

Using our Double materiality assessment, we assessed and identified the most material sustainability topics, including those relating to the governance domain. More information on how our material topics relate to our value chain can be found in the Our value chain and material topics section within the General disclosures. Identifying our most material impacts helps us prioritise actions to prevent and mitigate sustainability issues we have identified.

Within the governance domain, we identified (potential) material impacts, risks or opportunities on the following topics:

• Corporate culture

• Protection of whistle-blowers

• Management of relationships with suppliers including payment practices

• Corruption and bribery.

More information on how we address these material topics can be found in the Our policies and Our performance later in this Business conduct section.

Connection to our strategy

As an organisation committed to sound business conduct, PostNL's business principles and integrity process provide the framework to conduct business ethically and responsibly. More information can be found in the Corporate governance chapter, specifically on pages 136-141, which provide a detailed explanation of how we uphold and foster an ethical and responsible business culture.

4.1.2 Our governance

PostNL’s supplier relationship management forms a strategic element of our operational and sustainability initiatives. By implementing a transparent procurement policy, consistent payment practices, and a comprehensive supplier evaluation framework, PostNL ensures its partnerships with suppliers align with corporate goals and regulatory requirements.

Supplier relationship management approach

PostNL maintains supplier relationships based on its procurement strategies with the company’s operational goals and sustainability commitments. Supplier interactions are governed by PostNL’s procurement policy, which highlights how supplier engagements are managed and how PostNL tries to minimise associated risks to avoid supply chain disruptions.

Procurement approach

PostNL adopts a hybrid procurement model, with centralised procurement by the Procurement and Services department overseeing most activities, while specialised areas such as (inter)national transport and contracting delivery partners handle specific sourcing needs. This approach enables departments to utilise their expertise in supplier management effectively while ensuring alignment with PostNL’s strategic objectives.

Risk mitigation through supplier assessments

To manage risks related to its supply chain, PostNL’s Procurement and Services departments uses several methods, such as risk workshops, plotting (essential) suppliers in Krajic matrices and a risk assessment matrix. This matrix categorises suppliers based on sustainability risk levels (green, yellow, red) and tailors follow-up actions accordingly. For instance, suppliers identified as “red” face on-site audits or visits, either by PostNL or third-party evaluators. Suppliers in high-risk regions are subject to more stringent checks, including regular visits or audits.

Ongoing monitoring and continuous improvement

PostNL continuously monitors supplier performance through evaluations, sustainability ratings, and improvement plans. For suppliers with identified risks or low sustainability ratings, PostNL works collaboratively to draw up improvement plans. Failure to comply with these plans may result in termination of the partnership. In this way, PostNL tries to professionalise its supply chain. More information on PostNL’s procurement policy can be found later in this section.

Timely payment practices

PostNL is committed to ensuring the timely payment of all supplier invoices, including those from both small and medium enterprises (SMEs) and non-SMEs, wherever possible. To achieve this, PostNL has introduced measures to streamline the payment process in a standardised manner. This includes the use of an automated system for invoice processing and payments, which operates on a weekly payment-run schedule. While the majority of payments are processed automatically, a defined procedure is in place to manage exceptions that require manual handling. Payment terms for suppliers are aligned with contractual agreements. Specifically, for SMEs, payment periods comply with Dutch legislation, which stipulates a maximum of 30 days.

Sustainable procurement

PostNL prioritises sustainability in its procurement processes. Through the sustainable procurement policy, PostNL emphasises both supplier selection and ESG criteria and support for local and certified suppliers.

Supplier selection and ESG criteria

Sustainability criteria are embedded within PostNL’s supplier selection process through a comprehensive evaluation of ESG performance. For instance, suppliers engaged by the Procurement and Services department are required to participate in assessments such as EcoVadis and comply with PostNL’s business principles as well as the set of guidelines for suppliers. Suppliers that do not meet these standards are required to submit improvement plans. Failure to comply may result in the termination of their contracts.

Support for local and certified suppliers

PostNL’s Procurement and Services department actively encourages suppliers to certify to foster long-term relationships. This aligns with PostNL’s circular economy goals by ensuring that suppliers operate sustainably and contribute to PostNL’s overall environmental targets.

Training and capacity building

At PostNL, the Procurement and Services department has conducted a series of training sessions to enhance engagement and dialogue with suppliers. These sessions and workshops have centred on sustainability, ethical procurement, and adherence to environmental laws and regulations. The sessions included guidance on integrating sustainability criteria into the supplier selection process.

Supplier code of conduct

PostNL has developed a code of conduct for its suppliers, which outlines the expected behaviour and compliance with ethical and sustainability standards. This code is incorporated into supplier contracts, and compliance is monitored through regular evaluations and audits.

Integration into supplier contracts

PostNL’s business principles and set of guidelines for suppliers are integral to our supplier contracts. Suppliers are required to comply with these guidelines, which cover a wide range of ethical, social, and environmental standards. For new suppliers, signing the business principles and guidelines is a prerequisite for entering into a business relationship with PostNL.

Ongoing compliance monitoring

PostNL assesses its suppliers’ adherence to the code and identifies areas for improvement. If a supplier is found to be in non-compliance, PostNL works with them to implement corrective actions. Suppliers that consistently fail to meet these standards may face contract termination.

Vulnerable suppliers

PostNL identifies vulnerable suppliers—those at significant economic or environmental risk—through its risk assessment processes. These suppliers may include those in high-risk geographical areas or industries facing significant ESG challenges.

More information on the skills, expertise and composition of the Board of Management and Supervisory board can be found on pages 128-131 in the Corporate governance chapter and pages 118-122 in the Report of the Supervisory Board.

4.1.3 Our policies

At PostNL, we are dedicated to maintaining the highest standards of business conduct. To support this, we have implemented a comprehensive integrity policy, a whistleblowing policy, and the group procedure for fraud prevention, alongside other group-wide procedures, and codes of conduct. These measures enable us to manage our operations in alignment with our business principles and core values, ensuring integrity and transparency across all levels of our business.

Additionally, PostNL’s supplier relationship management forms a strategic element of our operational and sustainability initiatives. By implementing a transparent procurement policy, consistent payment practices, and a comprehensive supplier evaluation framework, PostNL ensures its partnerships with suppliers align with corporate goals and regulatory requirements.

Integrity policy

PostNL is dedicated to conducting its operations responsibly and adheres to the PostNL business principles and core values. This entails an ethical and transparent approach to business practices. At PostNL, integrity is defined as compliance with the PostNL business principles. The aim of this group policy on integrity, applicable to all PostNL entities and it’s suppliers, is to establish the mandate and responsibilities regarding integrity-related matters. A well-functioning integrity framework must be maintained, which incorporates:

• Establishing and upholding the PostNL business principles

• An integrity office overseeing the integrity programme

• An Integrity Committee advising the Board of Management

• Handling integrity-related incidents and reporting.

Our integrity programme focuses on governance, training, awareness, and response. The integrity office manages the integrity programme on a daily basis. As part of the programme, policies are reviewed and updated annually to align with laws, regulations, and best practices, ensuring transparency for all stakeholders and maintaining a robust speak-up mechanism. The office is also responsible for the monitoring of the integrity e-learning. All employees in managerial, procurement, sales and head office functions are required to perform the mandatory bi-annual integrity e-learning, including the BoM and EC members, and is part of the onboarding process for new employees. While the e-learning is not mandatory for SB members, the director Audit & Security has regular meetings with the Chairs of the SB and the AC where integrity-related topics, policies and issues are addressed. The training is also accessible to other employees and they are invited to follow the training on a voluntary basis.

Whistleblowing policy

PostNL's whistleblowing policy, developed in accordance with the Dutch law on 'Wet Bescherming Klokkenluiders' and the Belgian implementation of the EU directive, serves as a critical mechanism for maintaining transparency, combating fraud, bribery, and corruption, and protecting whistleblowers. This policy outlines the procedures for reporting any suspected misconduct, whether it involves current or former employees, flexible workers, interns, subcontractors, or any other stakeholders associated with PostNL group companies. Both the integrity and whistleblowing policies are applicable to both internal and external stakeholders. The integrity policy also refers to the whistleblowing procedure, both of which are publicly available on our website.

PostNL strongly encourages all stakeholders to promptly report any concerns regarding suspected fraud, questionable accounting practices, or other forms of misconduct. This helps to safeguard our operational integrity and supports compliance with contractual obligations to our customers. More information on these actions and initiatives can be found on pages 136-141 in the Ethics and compliance section of the Corporate governance Chapter.

Procurement policy

PostNL is a large enterprise with global operations, which adds complexity to its procurement and sourcing landscape. While PostNL has a centralised Procurement and Services department responsible for managing procurement practices and supplier relations, in certain cases, it has pragmatically decentralised processes to specialist departments or functions for more effective management.

The general aim of the policy is to enhance the professionalism of purchasing within PostNL by leveraging consolidated purchasing power, reducing the supplier base, emphasising sustainable procurement practices, mitigating risks, and ensuring adherence to applicable laws and regulations. This approach is designed to optimise service delivery to our internal customers. By integrating diverse procurement and sourcing methodologies into a cohesive group-wide policy, PostNL seeks to simplify purchasing processes and ensure alignment across the organisation with the company’s strategic priorities and governance framework.

The procurement policy outlines the following:

• Different approaches of procurement used in the organisation

• Compliance with all applicable laws and regulations and appropriate social and governance practices governing our local and global businesses

• Promotion of procurement procedures in a way that reduces environmental impact while selecting suppliers and procurement of goods and services

• Suppliers are provided with equal opportunities for transactions with the PostNL group.

The enforcement of this group policy across our upstream value chain helps create a positive impact through cooperation with our suppliers. This policy mandates that all procurement activities should be carried out in accordance with the PostNL business principles and the set of guidelines for suppliers. PostNL is committed to reducing the number of suppliers and fostering long-term partnerships. As part of the contract renewal process, suppliers are informed of updates to the procurement policy and its accompanying annexes. These documents are publicly available on PostNL’s website, ensuring transparency and accessibility. Key documents, such as the PostNL business principles and the set of guidelines for suppliers, are integral components of supplier contracts.

Group procedure on fraud prevention

At PostNL, we are committed to upholding the highest standards of integrity and ethical conduct across all aspects of our business. To safeguard our operations and reputation, we have established comprehensive fraud prevention, anti-bribery, and anti-corruption policies, procedures, and reporting mechanisms. These measures ensure compliance with applicable laws and regulations, both in the Netherlands and the international markets in which PostNL operates.

Given the global scope of our activities, we recognise the importance of adhering to international anti-bribery and anti-corruption legislation, including the UK Bribery Act 2010, the U.S. Foreign Corrupt Practices Act (FCPA), and the UN convention of anti-corruption and bribery (UNCAC). Our internal procedures are developed in alignment with these frameworks, as well as relevant Dutch legislation, to ensure that PostNL's business practices are in compliance with legal requirements.

This approach is especially critical when interacting with third parties globally, ensuring that all interactions, particularly those within jurisdictions governed by the UK Bribery Act and FCPA, adhere to these stringent standards. PostNL's policies guide our conduct and mitigate risks related to corruption and bribery, supporting our commitment to business integrity across the value chain.

Monitoring policies

The implementation of these group policies throughout our value chain establishes a robust foundation for conducting business ethically, fostering positive impact, and reducing potential regulatory, legal, and reputational risks associated with misconduct. The policies and business principles are communicated to various stakeholders via tailored channels: for employees, these are accessible through addenda to employment contracts, integrity e-learning, or the intranet; for suppliers and delivery partners, they are incorporated into contracts or available via our website. Responsibility for these policies, including their execution, implementation, and monitoring, has been delegated by the BoM to the director of Audit & Security. This delegation, and thus ownership, also encompasses the PostNL business principles, the PostNL group procedure on fraud prevention, and the PostNL group procedure on whistleblowing. Monitoring involves ongoing review and reporting by the Corporate Security Officer, regular audits, compliance checks, and the reporting of incidents. The Integrity Committee evaluates the reports and processes on a quarterly basis.

More information on our business principles, alongside other group-wide procedures and codes of conduct, can be found on pages 131-133 and pages 136-137 in the Corporate governance chapter, while more information on the group procedure for fraud prevention is available in the Prevention of fraud, bribery and corruption section in the Corporate governance chapter.

The director of Procurement and Services is responsible for the execution, implementation and monitoring of the procurement policy. The monitoring process includes periodic review and checks to ensure that group-wide procurement practices are in line with the latest standards. The effectiveness of the policy is monitored and improved by:

• Ensuring that the different departments and personnel in the organisation responsible for procurement are from time to time informed and are aware of the procurement policy and procedure(s) and apply it effectively in practice

• Ensuring that procurement spend is compliant (according to the outlined contractual agreements)

• Having regular evaluations, including sustainability assessments, with contracted suppliers to ensure they comply to the procedures/KPIs/agreements mentioned in the contracts.

These checks facilitate ratings for sustainability assessments such as the Carbon Disclosure Project (CDP), Ecovadis, the MVO-Register foundation/Fira, the Workforce Disclosure Initiative (WDI) and the International Post Corporation (IPC) and compliance with various international certifications such as ISO 14001, ISO 45001 and BREEAM.

4.1.4 Our performance

In 2024, we conducted a range of initiatives aimed at addressing the key material impacts, risks and opportunities related to our business conduct. In this section, we highlight our robust processes to monitor, measure and assess the effectiveness of these actions, ensuring continuous improvement and alignment with our strategic objectives.

Corporate culture

Actions

To support the execution of our policies, we have undertaken the following actions:

• Conducted an annual update and approval of integrity and security-related policies and procedures

• Promoted awareness of integrity-related policies and procedures, such as business principles

• Discussed integrity and security-related issues in the Integrity Committee and recommended improvements

• Reported on integrity to the Board of Management, Executive Committee, and Supervisory Board

• Developed a code of conduct

• Implemented due diligence for delivery partners.

Annual update and approval of integrity and security-related policies and procedures

In line with our commitment to uphold the highest standards of integrity and security, PostNL regularly reviews and updates its policies and procedures. The PostNL business principles were last updated in November 2023, with a comprehensive renewal process currently underway. These updated principles are expected to be ready for implementation in 2025.

Promoting awareness of integrity-related policies and procedures

At PostNL, integrity is at the heart of our operations. We actively promote awareness of our integrity-related policies, including the business principles, among employees, suppliers, and business partners. These principles are accessible through various platforms such as employee contracts, integrity e-learning modules, and the company intranet. In 2024, the director of HR and the corporate security officer visited each BU management team to raise awareness and promote adherence to corporate policies.

By January 2024, almost 99% of the target group, or 2,850 employees, had successfully completed the integrity training. Additionally, our policies and principles are readily available to suppliers and delivery partners through contractual agreements and our website.

Development of the code of conduct

We are currently developing an enhanced code of conduct, which will provide a comprehensive framework that incorporates the business principles alongside the existing codes of conduct. The new code of conduct will be rolled out in 2025 and is applicable to all PostNL entities, suppliers, and business partners, ensuring a consistent approach to integrity and ethical behaviour across the entire organisation.

Mitigation of potential integrity risks in the value chain

At PostNL, maintaining and strengthening integrity across the entire value chain is a key priority. We recognise the importance of robust integrity practices not only for our own workforce but also for the broader network of value chain partners. To ensure that integrity risks are effectively mitigated, PostNL's Integrity Committee convenes quarterly to review and resolve any reported breaches or issues.

Based on these discussions, lessons are extracted, and recommendations for improvements are formulated. Our administrative, management, and supervisory bodies play a crucial role in promoting a strong corporate culture and mitigating integrity risks in the value chain. More information on the skills, expertise and composition of the Board of Management and Supervisory board can be found on pages 128-131 in the Corporate governance chapter and pages 118-122 in the Report of the Supervisory Board chapter.

This proactive approach enables PostNL to address potential integrity-related risks and ensure consistent standards throughout the value chain. In line with our commitment to integrity, PostNL continuously updates its policies and frameworks. The integrity policy was most recently revised in August 2019.

Targets

Currently, no formal strategic or corporate-level targets have been established specifically for managing corporate culture. However, PostNL is committed to continuously improving its integrity programme. This includes regular reviews and updates to the integrity policy and procedures, as well as ongoing monitoring of progress in key areas, such as the completion rates of mandatory integrity e-learning courses. These actions safeguard our commitment to integrity and promote a culture of accountability and openness within the organisation.

Protection of whistleblowers

Actions

Whistleblowing reporting and investigation process

The whistleblowing reporting process at PostNL encourages all stakeholders, including current and former employees, contractors, interns, and volunteers, to report any suspected misconduct, including legal violations, threats to public safety, fraud, and irregularities concerning company management. Reports can be made to line managers, the director of Audit & Security, or directly to the Audit Committee for accounting-related issues. Specific procedures are in place for allegations involving senior executive management or Audit & Security staff, requiring reports to be made to the chair or vice chair of the Supervisory Board or the chair of the Audit Committee. Confidentiality is maintained, and retaliation against whistleblowers is strictly prohibited.

The intention remains to provide clarity for all internal and external stakeholders about approved desired and undesirable behaviour, including speak-up mechanisms. This is an ongoing action and has existed since the integrity policy and whistleblowing procedure were formed in May 2011. This procedure was last updated in June 2023.

Targets

Currently, no formal strategic or corporate-level targets have been established specifically for managing protection of whistleblowers. Given the delicate nature of whistleblower protection, it is considered unsuitable to set a specific target for this. Effectiveness is assessed through the timely resolution of 100% of received reports within an appropriate time frame. Whistleblowers are provided with updates at least quarterly.

Management of relationships with suppliers including payment practices

Actions

Sustainable procurement training/workshop

To develop knowledge-sharing and raise awareness of sustainable procurement, PostNL’s Procurement and Services department periodically organises workshops. These sessions aim to enhance expertise in sustainable purchasing and promote the dissemination of best practices throughout the organisation, supporting the professionalisation of our engagement with suppliers. This ongoing activity is embedded across various procurement functions within PostNL, reflecting its relevance across our operations.

Supplier ESG ratings collection

We work closely with our suppliers to continuously enhance the sustainability of the supply chain. Supplier performance is monitored through evaluations and external sustainability assessments, including platforms such as EcoVadis and the MVO-Register. Where necessary, improvement plans are developed to address identified gaps. PostNL strongly advocates for contracted suppliers to achieve recognised certifications, such as ISO standards, actively participate in sustainability initiatives like CDP and SBTi, and demonstrate positive outcomes in independent sustainability assessments.

The objective of this initiative is to steadily increase the proportion of certified or audited sustainable suppliers within our supply chain. This is achieved both by collaborating with new suppliers and by engaging with existing suppliers to support their development. Through constructive dialogue, we identify areas for improvement and jointly establish improvement plans. Suppliers who are unable or unwilling to meet our sustainability expectations may face the risk of non-renewal of their contracts or, ultimately, termination of the partnership. This approach underlines our commitment to embedding sustainability throughout our supply chain.

Development of code of conduct

Our business principles describe what we expect from our business relations and everyone who works with or for PostNL, including delivery partners, suppliers and so on, as well as what they can expect from us. The principles, or code of conduct, provide guidance on how to manage and maintain relationships with business partners (suppliers) through contractual agreements as well as shared expectations.

The updated code of conduct, which provides integral coverage of the business principles, and the existing code of conduct, is currently being developed and will be rolled out in 2025, and will apply all PostNL entities and their suppliers and business partners.

Implementation of due diligence delivery partners

PostNL is committed to upholding good social working conditions for everyone who collaborates with us, including our business partners. We adhere to applicable laws, regulations, and our internal business principles. To strengthen our approach, we introduced due diligence guidelines for our delivery partners at Parcels in the Netherlands between January and April 2024, while at Parcels in Belgium, it commenced on 1 February 2024.

More information can be found in Our policies within this section.

Targets

No strategic or corporate-level targets have been defined to manage the topic of management of relationship with suppliers. However, the effectiveness of the procurement policy and related actions is tracked using internal departmental targets such as increasing the share of contracted suppliers with certification or satisfactory assessment/evaluation on sustainability to foster better supplier relations and ensure value chain sustainability.

Metrics

PostNL Payment practices as indicated
2023 - 2024

Across all categories, the average time taken to pay an invoice is below our standard payment term, at 29 days. In total, 85% of invoices are allocated to the Netherlands, 8% to Belgium, and 7% to Spring. In the Netherlands, the largest supplier categories relate to transport and fleet (34%) and human resources (26%). Of these, 74% of transport and fleet invoices and 62% of human resources invoices are settled within the standard payment term of 30 days. At present, there are no outstanding court cases concerning our payment practices. These payment practices represent newly introduced metrics as part of the 2024 implementation of the CSRD. As a result, no comparative data from previous periods is available.

Corruption and bribery

Actions

Alignment with ISO 37001 management system

In 2024, PostNL aligned its fraud prevention and anti-bribery and anti-corruption procedures with the ISO 37001 standard for anti-bribery management systems, reinforcing our commitment to ethical business practices. The ISO 37001 standard is designed to enhance risk assessment and due diligence procedures, improving our ability to identify and mitigate bribery and corruption risks.

Regular monitoring ensures that our anti-bribery framework remains current and effective amidst evolving risks and regulations. This initiative supports compliance with the ESRS G1 Business Conduct standard, contributing to a more robust approach to fraud prevention.

Promote awareness with integrity-related policies and procedures

PostNL promotes awareness of its integrity policies and procedures through the PostNL integrity programme, which has been in place since the introduction of the fraud prevention procedure in 2017. This programme is built on a strong foundation of risk management and an internal control framework, supported by the PostNL business principles, the group policy on integrity, the group procedure on whistleblowing, and other relevant policies.

To ensure employees, contractors, and associated third parties understand and adhere to these policies, PostNL provides ongoing awareness training, including integrity e-learning, conducts regular risk assessments, and carries out investigations when necessary. Other trainings include:

• Special training for purchasing and services (real estate and procurement)

• Special training for sales (primarily on anti-cartel)

• Training for the security investigators

• Professional education requirements for chartered professionals, such as auditors, risk managers and compliance officers.

Training is also given to members of the administrative, management and supervisory bodies. Business principles are explained to new members who join the Supervisory Board. For senior management, there is a security screening and an introductory meeting where an explanation is given on relevant areas such as the integrity policy and business principles.

Our integrity policies are publicly accessible via our website and on the intranet for employees, reflecting our commitment to a transparent and ethical operational environment. This continuous action ensures all stakeholders are well-informed and contributes to minimising fraud risks.

Incident reporting and investigation process

PostNL's incident reporting process ensures that employees, contractors, agents, and associated third parties can report suspected fraud, bribery, or corruption promptly and confidentially. Reports can be made either through line managers or directly to the PostNL integrity office. All reports are thoroughly investigated by the Integrity Committee, which monitors the investigation process and reports findings to the Board of Management and the Audit Committee. Special procedures are in place for cases involving executive management or Audit & Security staff, as outlined in the PostNL group procedure on whistleblowing.

All allegations and incidents are investigated by security and reported to the BoM and the SB through the Integrity Report, with corruption and bribery always treated as priority cases. Line managers are required to report any breaches of PostNL’s business principles via the PostNL incident reporting system to the director of Audit & Security, who is responsible for overseeing annual reviews and ensuring compliance with the procedure. This measure has been in place since the introduction of the fraud prevention procedure in 2017 and is subject to continuous evaluation for improvement. More information on the incident reporting and investigation process can be found on pages 136-141 in the Ethics and compliance section in the Corporate governance chapter.

Security investigators and internal auditors are separated from the chain of management. Internal Audit & Security is part of Audit and Security, and as such reports directly to the CEO and the Chairs of the Audit Committee and the Supervisory Board. This structure is codified in our integrity policy, which encompasses both the whistleblowing procedure and the group’s anti-fraud and anti-corruption framework.

Whistleblower protection and process timeliness

PostNL’s whistleblowing procedure includes specific measures to protect whistleblowers from retaliation. The confidentiality of whistleblowers is strictly maintained, and their identity is safeguarded. Whistleblowers receive updates at least quarterly, and general information on the investigation's progress and outcome is provided within three months, unless it could harm the investigation. The aim is to ensure that all reported incidents are fully investigated, and fact-based outcomes are provided for relevant breaches.

Records of investigations are retained for seven years unless otherwise required by law. This process has been in place since the formation of the integrity policy and whistleblowing procedure in May 2011, with the most recent update implemented in June 2023. This action is continuously evaluated and updated to reflect best practices.

Targets

PostNL has not established formal strategic or corporate targets related to the prevention and detection of corruption and bribery. Instead, effectiveness is measured through the management of the integrity approach framework. This framework ensures that all reported breaches of business conduct and integrity-related policies are investigated, with appropriate actions taken for remediation, sanctioning, and process improvements.

In terms of training, PostNL’s business principles are delivered through an e-learning platform, developed in collaboration with an external learning and development consultant. Progress is periodically tracked to monitor the completion of the training modules, reinforcing the company's commitment to integrity and ethical conduct.

Metrics

PostNL Confirmed incidents of corruption and bribery as indicated
2023 - 2024

During 2024, PostNL or its employees were not convicted and were not fined for violation of anti-corruption and anti-bribery laws. This represents a new metric introduced as part of the 2024 implementation of the CSRD. As such, no comparative data from previous periods is available.

Section 5 : ESRS content index

This table shows the list of material disclosure requirements, including a reference to where the related disclosures are located in the Sustainability statement.

PostNL ESRS disclosures

Section 6 : Datapoints deriving from other EU legislation

This table, compiled based on Appendix B in ESRS 2, shows the list of datapoints that derive from other EU legislation.
We include a reference to where the related disclosures are located in the Sustainability statement, or indicate when the data point is assessed as 'not material to us', 'phase-in applied', or 'not applicable'.

Section 1 : Appropriation of profit

Extract from the articles of association on appropriation of profit

Under PostNL’s articles of association, the dividend specified in article 31, paragraph 1 will first be paid on the preference shares B if outstanding. Subject to the approval of PostNL’s Supervisory Board, the Board of Management will determine thereafter which part of the profit remaining after payment of dividend on any preference shares B will be appropriated to the reserves (article 31, paragraph 2). The remaining profit after the appropriation to reserves shall be at the disposal of the General Meeting of Shareholders (article 31, paragraph 3). No dividend shall be paid on shares held by PostNL in its own capital (article 31, paragraph 6). Preference shares B were not issued in 2024.

Section 2 : Independent auditor's report

To: the General Meeting of Shareholders and the Supervisory Board of PostNL N.V.

Report on the audit of the financial statements included in the Annual Report 2024

Our opinion

In our opinion:

• the accompanying consolidated primary statements give a true and fair view of the financial position of PostNL N.V. (hereafter: ‘PostNL’ or ‘the Company’) as at 31 December 2024 and of its result and its cash flows for the year then ended, in accordance with IFRS Accounting Standards as endorsed by the European Union (EU-IFRS) and with Part 9 of Book 2 of the Dutch Civil Code;

• the accompanying corporate financial statements give a true and fair view of the financial position of PostNL as at 31 December 2024 and of its result for the year then ended in accordance with Part 9 of Book 2 of the Dutch Civil Code.

What we have audited

We have audited the financial statements 2024 of PostNL based in The Hague, the Netherlands. The financial statements include the consolidated primary statements and the corporate financial statements.

The consolidated primary statements comprise:

1. the consolidated statement of financial position as at 31 December 2024;

2. the following consolidated statements for 2024: profit or loss, comprehensive income, changes in equity and cash flows; and

3. the notes comprising material accounting policy information and other explanatory information.

The corporate financial statements comprise:

1. the corporate statement of financial position as 31 December 2024;

2. the corporate statement of profit and loss for 2024; and

3. the notes comprising a summary of the accounting policies and other explanatory information.

Basis for our opinion

We conducted our audit in accordance with Dutch law, including the Dutch Standards on Auditing. Our responsibilities under those standards are further described in the ‘Our responsibilities for the audit of the financial statements’ section of our report.

We are independent of PostNL in accordance with the ‘Verordening inzake de onafhankelijkheid van accountants bij assurance-opdrachten’ (ViO, Code of Ethics for Professional Accountants, a regulation with respect to independence) and other relevant independence regulations in the Netherlands. Furthermore, we have complied with the ‘Verordening gedrags- en beroepsregels accountants’ (VGBA, Dutch Code of Ethics).

We designed our audit procedures in the context of our audit of the financial statements as a whole and in forming our opinion thereon. The information in respect of going concern, fraud and non-compliance with laws and regulations, climate and the key audit matters was addressed in this context, and we do not provide a separate opinion or conclusion on these matters.

We believe the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Information in support of our opinion

Summary

Materiality

Based on our professional judgement we determined the materiality for the financial statements as a whole at €17 million (2023: €16 million). The materiality is determined with reference to revenues (0.5%). We consider revenues as the appropriate benchmark because it is the most appropriate earnings-based measure which is relatively stable in comparison to operating income and profit before income taxes. We have also taken into account misstatements and/or possible misstatements that in our opinion are material for the users of the financial statements for qualitative reasons.

We agreed with the Supervisory Board that misstatements identified during our audit in excess of €0.8 million would be reported to them, as well as smaller misstatements that in our view must be reported on qualitative grounds.

Scope of the group audit

PostNL is the head of a group of components. The financial information of this group is included in the financial statements of PostNL.

This year, we applied the revised group auditing standard in our audit of the financial statements. The revised standard emphasizes the role and responsibilities of the group auditor. The revised standard contains new requirements for the identification and classification of components, scoping, and the design and performance of audit procedures across the group. As a result, we determine coverage differently and comparisons to prior period coverage figures are not meaningful.

We performed risk assessment procedures throughout our audit to determine which of the Group’s components are likely to include risks of material misstatement to the Group financial statements. To appropriately respond to those assessed risks, we planned and performed further audit procedures, either at component level or centrally. We identified 26 components associated with a risk of material misstatement. We as group auditor audit 25 components ourselves. For Spring Hong Kong we used KPMG auditors from Hong Kong (component auditor). We set the component performance materiality levels considering the component’s size and risk profile.

We have performed substantive procedures for 84% of Group revenue and 91% of Group total assets. At group level, we assessed the aggregation risk for the remaining financial information and concluded that there is less than reasonable possibility of a material misstatement.

In supervising and directing our component auditor, we:

• held risk assessment discussions with the component auditor to obtain their input to identify matters relevant to the group audit.

• issued group audit instructions to the component auditor on the scope, nature and timing of their work, and received written communication about the results of the work they performed.

• held meetings with our component auditor to discuss relevant developments, understand and evaluate their work and attended closing meeting with local management.

• inspected the work performed by the component auditor and evaluated the appropriateness of audit procedures performed and conclusions drawn.

We consider that the scope of our group audit forms an appropriate basis for our audit opinion. Through performing the procedures mentioned above we obtained sufficient and appropriate audit evidence about the Group’s financial information to provide an opinion on the financial statements as a whole.

Audit response to the risk of fraud and non-compliance with laws and regulations

In chapter 10 ‘Risk and opportunity management’ of the Annual Report the Board of Management describes its compliance risk assessment and in Chapter 14 ‘Corporate governance’ its regulatory compliance management and fraud risk management.

As part of our audit, we have gained insights into the Company and its business environment and assessed the design and implementation of the Company’s risk management in relation to fraud and non-compliance. Our procedures included, among other things, assessing the Company’s code of conduct, whistleblowing procedures, incidents registers and its integrity committee reports. Furthermore, we performed relevant inquiries with Board of Management, those charged with governance and other relevant functions, such as Audit & Security and Legal and involved forensic specialists in our audit procedures. We have also incorporated elements of unpredictability in our audit, such as 1) the reconciliation of figures as per prior year consolidated financial statements of PostNL to the statutory financial statements of foreign entities, to identify potential errors in the figures of entities not in scope in our audit, and 2) as part of our year-end procedures, we included one additional unannounced component for audit procedures on property, plant, and equipment.

As a result from our risk assessment, we identified the following laws and regulations as those most likely have a material effect on the financial statements in case of non-compliance:

• (Inter)National Postal legislation (USO regulation) including Dutch Postal Act 2009. The Dutch Postal market is regulated via the ACM and the Ministry of Economic Affairs, including oversight on competition legislation and the USO regulation.

• social and labour legislation and health and safety legislation reflecting PostNL’s significant work force and outsourced work.

• data protection and privacy laws such as General Data Protection Regulation (GDPR).

• antibribery, trade sanctions and corruption.

• environmental laws.

Apart from the presumed fraud risk on revenue recognition terminal dues and deferred revenue from stamps, we assessed the presumed fraud risk on revenue recognition on other recorded revenues as not significant, because the individual transactions are single type of simple revenues transactions.

Based on the above and on the auditing standards, we identified the following fraud and non-compliance risks that are relevant to our audit, including the relevant presumed risks laid down in the auditing standards, and responded as follows:

We communicated our risk assessment, audit responses and results to the Board of Management and the Supervisory Board.

Our audit procedures did not reveal other indications and/or reasonable suspicion of fraud and non-compliance that are considered material for our audit.

Audit response to going concern

The Board of Management has performed its going concern assessment and has not identified any going concern risks. To assess the Board of Management’s assessment, we have performed, among other things, the following procedures:

• we considered whether the Board of Management’s assessment of the going concern risks includes all relevant information of which we are aware as a result of our audit;

• we analyzed the Company’s financial position as at year-end and compared it to the previous financial year in terms of indicators that could identify going concern risks; and

• based on the net total current liabilities as at 31 December 2024 and/or geopolitical and economic developments (including (labour)cost increases, volume decline Mail and Dutch Postal law requirements) we evaluated the key assumptions and the sensitivity analyses used by the Board of Management for the cash-flow forecasts to determine the cash need for twelve months from the end of the reporting period.

The outcome of our risk assessment procedures did not give reason to perform additional audit procedures on management’s going concern assessment.

Audit response to climate-related risks 

The Company has set out its targets relating to climate change in chapter 7 ‘Environmental value’ of the Annual Report. PostNL has the ambition to become net-zero by 2040 and to significantly reduce greenhouse gas emissions from its own operations as well as outsourced activities towards 2030. The target is to deliver all parcels and mail emissions-free in the last-mile across the Benelux by 2030.

Management has assessed, against the background of the Company’s business and operations, in detail how climate-related risks and opportunities and the Company’s own targets could have a significant impact on its business or could impose the need to adapt its strategy and operations. Management has considered the impact of both transition and physical risks on the financial statements in accordance with the applicable financial reporting framework, more specifically in relation to valuation of non-current assets, cost increase and demand for the Company's services as described in chapter 10 ‘Risk and opportunity management’ of the Annual Report.

Management prepared the financial statements, including considering whether the implications from climate-related risks, targets and the current and financial effects relating to sustainability matters as disclosed in section 2 'Environmental disclosures' of the Sustainability statement have been appropriately accounted for and disclosed. As part of our audit, we performed a risk assessment on the impact of climate-related risks and the targets set by the Company in respect of climate change on the financial statements and our audit approach. In doing this we performed the following:  

• inquired with management and the Audit Committee of the Supervisory Board on the climate risk assessment integrated in the risk management process of the Company; 

• assessing management’s five-year strategic plan and 2025 business plan which incorporates both targets and strategic actions relating to climate change to understand management's assessment, against the background of the company’s business and operations of the potential impact of climate-related risk and opportunities on the company’s annual report and financial statements and the company's preparedness for this; 

• the Company has disclosed in Section 1 ‘General disclosures’ in the Sustainability statement that it has prepared its sustainability statement in accordance with the European Sustainability Reporting Standards (ESRS). We have read, and considered as part of our risk assessment, this sustainability statement, which includes information over material sustainability matters relating to material impacts, risks and opportunities relating to climate change. As part of this, we have read and considered the information reported over the connectivity of the sustainability statement with the financial statements; 

• evaluating potential climate related fraud risk factors such as the long-term incentive for the Board of Management and have not identified fraud risks relating to climate-related risks for the current year’s financial statements; and 

• as part of our risk assessment procedures, we also challenged management on the valuation of non-current assets as at 31 December 2024, including inquiry on timing of replacement investments needed to meet the climate targets in comparison to the remaining estimated useful life of the assets. 

Based on the above risk assessment procedures performed we concur with management that climate related risks have no material impact on the financial statements, including on the valuation of non-current assets, under the requirements of EU-IFRS.  

Furthermore we have read the ‘Other information’, including the information over material sustainability matters relating to material impacts, risks and opportunities relating to climate change with respect to climate-related risks as included in the annual report and considered whether such information contains material inconsistencies with the financial statements or our knowledge obtained through the audit, in particular as described above and our knowledge obtained otherwise. 

Our key audit matters

Key audit matters are those matters that, in our professional judgement, were of most significance in our audit of the financial statements. We have communicated the key audit matters to the Supervisory Board. The key audit matters are not a comprehensive reflection of all matters discussed.

Compared to last year the key audit matter with respect to ‘Change accounting framework corporate financial statements’ is not included, as this was a non-recurring event last year. The key audit matters ‘Valuation of goodwill of the Mail in the Netherlands CGU' and ‘Claim provisions quality of postal delivery’ are new.

Report on other information included in the Annual Report

In addition to the financial statements and our auditor’s report thereon, the Annual Report contains other information.

Based on the following procedures performed, we conclude that the other information:

• is consistent with the financial statements and does not contain material misstatements; and

• contains the information as required by Part 9 of Book 2 of the Dutch Civil Code for the management report and other information.

We have read the other information. Based on our knowledge and understanding obtained through our audit of the financial statements or otherwise, we have considered whether the other information contains material misstatements.

By performing these procedures, we comply with the requirements of Part 9 of Book 2 of the Dutch Civil Code and the Dutch Standard 720. The scope of the procedures performed is less than the scope of those performed in our audit of the financial statements.

The Board of Management is responsible for the preparation of the other information, including the information as required by Part 9 of Book 2 of the Dutch Civil Code.

Report on other legal and regulatory requirements and ESEF

Engagement

We were initially appointed by the annual general meeting of shareholders as statutory auditor of PostNL on 19 April 2021, as of the audit for the year 2022 and have operated as auditor since that financial year.

No prohibited non-audit services

We have not provided prohibited non-audit services as referred to in Article 5(1) of the EU Regulation on specific requirements regarding statutory audits of public-interest entities.

European Single Electronic Reporting Format (ESEF)

PostNL has prepared its Annual Report in ESEF. The requirements for this are set out in the Delegated Regulation (EU) 2019/815 with regard to regulatory technical standards on the specification of a single electronic reporting format (hereinafter: the RTS on ESEF).

In our opinion the Annual Report prepared in XHTML format, including the (partly) marked-up consolidated financial statements as included in the reporting package by PostNL, complies in all material respects with the RTS on ESEF.

Management of the Company is responsible for preparing the Annual Report including the financial statements in accordance with the RTS on ESEF, whereby management of PostNL combines the various components into one single reporting package.

Our responsibility is to obtain reasonable assurance for our opinion whether the Annual Report in this reporting package complies with the RTS on ESEF. We performed our examination in accordance with Dutch law, including Dutch Standard 3950N ’Assurance-opdrachten inzake het voldoen aan de criteria voor het opstellen van een digitaal verantwoordingsdocument’ (assurance engagements relating to compliance with criteria for digital reporting). Our examination included among others:

• obtaining an understanding of the entity's financial reporting process, including the preparation of the reporting package;

• identifying and assessing the risks that the Annual Report does not comply in all material respects with the RTS on ESEF and designing and performing further assurance procedures responsive to those risks to provide a basis for our opinion, including:

  • obtaining the reporting package and performing validations to determine whether the reporting package containing the Inline XBRL instance document and the XBRL extension taxonomy files have been prepared in accordance with the technical specifications as included in the RTS on ESEF;

  • examining the information related to the consolidated financial statements in the reporting package to determine whether all required mark-ups have been applied and whether these are in accordance with the RTS on ESEF.

Description of responsibilities for the financial statements

Responsibilities of the Board of Management and the Supervisory Board for the financial statements

The Board of Management is responsible for the preparation and fair presentation of the financial statements in accordance with EU-IFRS and Part 9 of Book 2 of the Dutch Civil Code. Furthermore, the Board of Management is responsible for such internal control as management determines it necessary to enable the preparation of the financial statements that are free from material misstatement, whether due to fraud or error.

In that respect the Board of Management, under supervision of the Supervisory Board, is responsible for the prevention and detection of fraud and non-compliance with laws and regulations, including determining measures to resolve the consequences of it and to prevent recurrence.

As part of the preparation of the financial statements, the Board of Management is responsible for assessing PostNL’s ability to continue as a going concern. Based on the financial reporting frameworks mentioned, the Board of Management should prepare the financial statements using the going concern basis of accounting unless the Board of Management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so. The Board of Management should disclose events and circumstances that may cast significant doubt on the Company’s ability to continue as a going concern in the financial statements. 

The Supervisory Board is responsible for overseeing the Company’s financial reporting process.

Our responsibilities for the audit of the financial statements

Our objective is to plan and perform the audit engagement in a manner that allows us to obtain sufficient and appropriate audit evidence for our opinion.

Our audit has been performed with a high, but not absolute, level of assurance, which means we may not detect all material errors and fraud during our audit.

Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. The materiality affects the nature, timing and extent of our audit procedures and the evaluation of the effect of identified misstatements on our opinion.

We have exercised professional judgement and have maintained professional skepticism throughout the audit, in accordance with Dutch Standards on Auditing, ethical requirements and independence requirements. Our audit included among others:

• identifying and assessing the risks of material misstatement of the financial statements, whether due to fraud or error, designing and performing audit procedures responsive to those risks, and obtaining audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than the risk resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control;

• obtaining an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal control;

• evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the Board of Management;

• concluding on the appropriateness of the Board of Management’s use of the going concern basis of accounting, and based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause a company to cease to continue as a going concern;

• evaluating the overall presentation, structure and content of the financial statements, including the disclosures; and

• evaluating whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

We are responsible for planning and performing the group audit to obtain sufficient appropriate audit evidence regarding the financial information of the entities or business units within the group as a basis for forming an opinion on the financial statements. We are also responsible for the direction, supervision and review of the audit work performed for purposes of the group audit. We bear the full responsibility for the auditor’s report.

We communicate with the Supervisory Board regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant findings in internal control that we identify during our audit. In this respect we also submit an additional report to the audit committee in accordance with Article 11 of the EU Regulation on specific requirements regarding statutory audits of public-interest entities. The information included in this additional report is consistent with our audit opinion in this auditor’s report.

We provide the Supervisory Board with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards.

From the matters communicated with the Supervisory Board, we determine the key audit matters: those matters that were of most significance in the audit of the financial statements. We describe these matters in our auditor’s report unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, not communicating the matter is in the public interest.

The Hague, the Netherlands, 24 February 2025

KPMG Accountants N.V.

R.R.J. Smeets RA

Section 3 : Limited assurance report of the independent auditor on the sustainability statement

To: the Board of Management and the Supervisory Board of PostNL N.V.

Our conclusion

We have performed a limited assurance engagement on the sustainability statement in the Annual Report 2024 including the information incorporated in the sustainability statement by reference (hereinafter: the sustainability statement) for 2024 of PostNL N.V. based in The Hague, The Netherlands (hereinafter: PostNL or the Company).

Based on the procedures performed and the assurance evidence obtained, nothing has come to our attention that causes us to believe that the sustainability statement is not, in all material respects:

• prepared in accordance with the European Sustainability Reporting Standards (ESRS) as adopted by the European Commission and in accordance with the double materiality assessment process carried out by the Company to identify the information reported pursuant to the ESRS; and

• compliant with the reporting requirements provided for in Article 8 of Regulation (EU) 2020/852 (Taxonomy Regulation

Basis for our conclusion

We performed our limited assurance engagement on the sustainability information in accordance with Dutch law, including Dutch Standard 3810N ‘Assurance-opdrachten inzake duurzaamheidsverslaggeving’ (Assurance engagements relating to sustainability reporting) which is a specified Dutch standard that is based on the International Standard on Assurance Engagements (ISAE) 3000 (Revised) ’Assurance engagements other than audits or reviews of historical financial information’. Our responsibilities under this standard are further described in the section ‘Our responsibilities for the assurance engagement on the sustainability statement’ section of our report.

We are independent of PostNL in accordance with the ‘Verordening inzake de onafhankelijkheid van accountants bij assurance-opdrachten’ (ViO, Code of Ethics for Professional Accountants, a regulation with respect to independence). Furthermore, we have complied with the ‘Verordening gedrags- en beroepsregels accountants’ (VGBA, Dutch Code of Ethics for Professional Accountants).

We believe the assurance evidence we have obtained is sufficient and appropriate to provide a basis for our conclusion.

Emphasis of matters

We draw attention to section 1 ‘General disclosures’ in the Sustainability statement. The section ‘Ambition’ sets out that the sustainability statement has been prepared in a context of new sustainability reporting standards requiring entity-specific and temporary interpretations.

The section ‘Statement on due diligence’ explains the ongoing due diligence and double materiality assessment process, including robust engagement with affected stakeholders. Due diligence is an on-going practice that responds to and may trigger changes in the Company’s strategy, business model, activities, business relationships, operating, sourcing and selling contexts. The sustainability statement may not include every impact, risk and opportunity or additional entity-specific disclosure that each individual stakeholder may consider important.

Our conclusion is not modified in respect to these matters.

Limitations to the scope of our assurance engagement

Reasonable assurance has been provided on the non-financial statements reported in the Annual Report 2023, however, not in the context of the new sustainability reporting standards (ESRS). Consequently, the corresponding sustainability information and thereto related disclosures have not been subject to reasonable or limited assurance procedures in the context of the ESRS.

In reporting forward-looking information in accordance with the ESRS, the Board of Management of the Company is required to prepare the forward-looking information on the basis of disclosed assumptions about events that may occur in the future and possible future actions by the Company. The actual outcome is likely to be different since anticipated events frequently do not occur as expected.  Forward-looking information relates to events and actions that have not yet occurred and may never occur. We do not provide assurance on the achievability of this forward-looking information.

The references to external sources or websites in the sustainability information are not part of the sustainability information as included in the scope of our assurance engagement. We therefore do not provide assurance on this information.

Our conclusion is not modified in respect to these matters.

Responsibilities of the Board of Management and Supervisory Board’s for the sustainability statement

The Board of Management is responsible for the preparation of the sustainability statement in accordance with the ESRS, including the double materiality assessment process carried out by the Company as the basis for the sustainability statement and disclosure of material impacts, risks and opportunities in accordance with the ESRS. As part of the preparation of the sustainability statement, management is responsible for compliance with the reporting requirements provided for in Article 8 of Regulation (EU) 2020/852 (Taxonomy Regulation). The Board of Management is also responsible for selecting and applying additional entity-specific disclosures to enable users to understand the Company’s sustainability-related impacts, risks or opportunities and for determining that these additional entity-specific disclosures are suitable in the circumstances and in accordance with the ESRS.

Furthermore, the Board of Management is responsible for such internal control as it determines is necessary to enable the preparation of the sustainability statement that is free from material misstatement, whether due to fraud or error.

The Supervisory Board is responsible for overseeing the sustainability reporting process including the double materiality assessment process carried out by the Company.

Our responsibilities for the assurance engagement on the sustainability statement

Our responsibility is to plan and perform the assurance engagement in a manner that allows us to obtain sufficient and appropriate assurance evidence for our conclusion.

Our assurance engagement is aimed to obtain a limited level of assurance to determine the plausibility of sustainability information. The procedures vary in nature and timing from, and are less in extent, than for a reasonable assurance engagement. The level of assurance obtained in a limited assurance engagement is therefore substantially less than the assurance that is obtained when a reasonable assurance engagement is performed.

We apply the quality management requirements pursuant to the Nadere voorschriften kwaliteitsmanagement (NV KM, regulations for quality management) and accordingly maintain a comprehensive system of quality management including documented policies and procedures regarding compliance with ethical requirements, professional standards and applicable legal and regulatory requirements.

Our limited assurance engagement included among others:

• Performing inquiries and an analysis of the external environment and obtaining an understanding of relevant sustainability themes and issues, the characteristics of the Company, its activities and the value chain and its key resources in order to assess the double materiality assessment process carried out by the Company as the basis for the sustainability statement and disclosure of all material sustainability-related impacts, risks and opportunities in accordance with the ESRS.

• Obtaining through inquiries a general understanding of the internal control environment, the Company’s processes for gathering and reporting entity-related and value chain information, the information systems and the Company’s risk assessment process relevant to the preparation of the sustainability statement and for identifying the Company’s activities, determining eligible and aligned economic activities and prepare the disclosures provided for in Article 8 of Regulation (EU) 2020/852 (Taxonomy Regulation), without obtaining assurance evidence about the implementation, or testing the operating effectiveness, of controls.

• Assessing the double materiality assessment process carried out by the Company and identifying and assessing areas of the sustainability statement, including the disclosures provided for in Article 8 of Regulation (EU) 2020/852 (Taxonomy Regulation) where misleading or unbalanced information or material misstatements, whether due to fraud or error, are likely to arise (‘selected disclosures’). We designed and performed further assurance procedures aimed at assessing that the sustainability statement is free from material misstatements responsive to this risk analysis.

• Considering whether the description of the double materiality assessment process in the sustainability statement made by the Board of Management appears consistent with the process carried out by the Company;

• Performing analytical review procedures on quantitative information in the sustainability statement, including consideration of data and trends;

• Reading minutes of the meetings of the Board of Management, the Supervisory Board and of other meetings that are important for the sustainability statement;

• Assessing whether the Company’s methods for developing estimates are appropriate and have been consistently applied for selected disclosures. We considered data and trends, however, our procedures did not include testing the data on which the estimates are based or separately developing our own estimates against which to evaluate management’s estimates;

• Analysing, on a limited sample basis, relevant internal and external documentation available to the Company (including publicly available information or information from actors throughout its value chain) for selected disclosures;

• Reading the other information in the Annual Report to identify material inconsistencies, if any, with the sustainability statement;

• Considering whether:

  • the disclosures provided to address the reporting requirements provided for in Article 8 of Regulation (EU) 2020/852 (Taxonomy Regulation) for each of the environmental objectives, reconcile with the underlying records of the Company and are consistent or coherent with the sustainability statement;

  • the disclosures provided to address the reporting requirements provided for in Article 8 of Regulation (EU) 20202/852 (Taxonomy Regulation) appear reasonable, in particular whether the eligible economic activities meet the cumulative conditions to qualify as aligned and whether the technical screening criteria are met; and

  • the key performance indicators disclosures have been defined and calculated in accordance with the Taxonomy reference framework as defined in Appendix 1 Glossary of Terms of the CEAOB Guidelines on limited assurance on sustainability reporting adopted on 30 September 2024 , and in compliance with the reporting requirements provided for in Article 8 of Regulation (EU) 2020/852 (Taxonomy Regulation), including the format in which the activities are presented;

• Considering the overall presentation, structure and the fundamental qualitative characteristics of information (relevance and faithful representation: complete, neutral and accurate) reported in the sustainability statement, including the reporting requirements provided for in Article 8 of Regulation (EU) 2020/852 (Taxonomy Regulation); and

• Considering, based on our limited assurance procedures and evaluation of the assurance evidence obtained, whether the sustainability statement as a whole, is free from material misstatements and prepared in accordance with the ESRS.

The Hague, the Netherlands, 24 February 2025

KPMG Accountants N.V.

R.R.J. Smeets RA

1 Data extrapolation sustainability statement

This table provides an overview of data extrapolation in the Sustainability statement. Only line items that include extrapolation are shown, including a reference to where the related disclosures are located in the sustainability statement (see 'Notes') and the basis for extrapolation.

We strive to report sustainability performance data based on actuals as much as possible. We may use extrapolation of results of large entities to determine the performance of smaller entities. This reduces the administrative tasks for smaller entities. We only use this method in cases where the extrapolations are reasonably predictable.

Note that we can only report upon the extrapolation of data in scope, if any unavailability of data we disclose upon this in the respective metric disclosure in the Sustainability statement.

PostNL Data extrapolation sustainability statement
2024

2 Glossary and definitions

3 UN Global Compact reference table

PostNL Global compact principles

4 List of group entities

This list presents all legal entities included in the consolidation of the financial statements and the sustainability statement of the PostNL Group as at 31 December 2024.
Legal entities liquidated and/or dissolved by merger during 2024 are not included.

PostNL List of group entities

This list presents PostNL's investments in joint ventures and associates, which are non-consolidated entities.

PostNL Other entities

5 Five-year financial performance

All numbers presented in this appendix are the reported numbers in the respective Annual Reports of 2020 until 2024, unless restated in a later year.

PostNL Five-year performance in € million, unless indicated otherwise
2020 - 2024

• 1 2022 excluding change in pension accounting classification

6 Five-year sustainability performance

All numbers presented in this appendix are the reported numbers in the respective Annual Reports of 2020 until 2024, unless restated in a later year.

PostNL Environmental performance as indicated
2020 - 2024

PostNL Social performance as indicated
2020 - 2024

PostNL Social performance (continued) as indicated
2020 - 2024

PostNL Governance performance as indicated
2020 - 2024