£5m. windfall for States as Guernsey Post makes profit

GUERNSEY POST will deliver £5m. in surplus funds to the States, it has been revealed.

The move, which will require a States resolution, was announced in the utility's annual report for 2011 and 2012, which showed a pre-tax profit of £400,000 – a £1.3m. improvement on last year's loss of just under £1m.

And chief executive Boley Smillie, pictured, said Guernsey Post was hoping to make roughly the same level of profit at the end of the current financial year, despite predictions of a £16m. hole in revenue created by the loss of LVCR goods.

'We are delighted to have made a profit last year and to be predicting a profit this year even though we will be feeling the full extent of the loss of LVCR,' he said.

He added that the profit, which has also allowed the utility to return a shareholder dividend of £89,000 to the States, had been due to a combination of factors.