An Post's net loss widened to €38m in 2021 from €18m the year before as a result of disruption caused by Brexit and Covid, according to the company.
Annual revenue in 2021 was €891m compared with €916m in 2020.
The company booked a profit of €16.2m before depreciation, amortisation, transformation costs, one-off items, net finance income and tax, according to its annual report, published at its AGM on Thursday.
The company estimated that replacement staff and PPE purchases, reduced post office transactions, and a postponed price increase, all necessitated by the pandemic, cost it €50m per year in 2020 and 2021.
Cash generated from operating activities was €4.6m compared with an outflow of €9.8m the previous year.
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The An Post pension scheme is amongst the largest schemes in the state. The assets totalled more than €4 billion at the end of December 2021, with a surplus of €500m of assets over liabilities. The return on plan assets through 2021 was €307m.
The company said there was continued growth in new financial services products such as An Post Money credit cards, loans, and current accounts, and community banking with the addition of Bank of Ireland to post office banking.
David McRedmond, CEO of An Post, said: “No-one could have predicted the seismic geo-political changes of the past couple of years, all of which have shaped An Post as we lived up to our purpose to act for the common good, now and for generations to come.
“Thanks to the transformation of An Post delivered by staff over the previous three years, the balance sheet had a strong cash surplus which could fund the costs of providing the public service through the pandemic.
“Our focus now post-pandemic is to move back into profitable growth. I am delighted that the Post Office network in 2022 is on course to grow revenues by 5% and to move back into profit after two years of losses in the pandemic.
"The post office network has so far delivered top-line growth and profit in 2022, while An Post Commerce, the delivery network, has moved strongly back into profit during the company's H2 2022."
McRedmond stated that An Post Commerce, the delivery network, is also moving back into growth and strong profit in the second-half of 2022, as the company gains share in contract parcels, offsetting consumer softness which is reducing eCommerce across Europe by 10%.
The CEO explained: “While the pandemic is largely behind us, the impact of Brexit remains profound. An Post has worked with the major e-tailers such as Amazon and M&S to provide a seamless service, and with Royal Mail to improve postal flows.
"But the abject failure of the state-owned UK Post Office to implement new export rules into the EU has collapsed over-the-counter trade, with exports through this channel for citizens and SMEs into Ireland down 58%.
"Ireland was the first country to implement the new EU customs regime and it will be mandated across the EU from the end of 2022."
