RM:We look at issues that affect our share price

[POSTMAN]

https://www.myroyalmail.com/news/2014/0 ... performing" onclick="window.open(this.href);return false;

How our business is performing

We look at issues that affect our share price

During the first three weeks of April our share price fell by around 7%. Over the same period the FTSE was up 1%.

There are lots of reasons why investors – large or small – decide to sell or buy shares.

And it’s often difficult, if not impossible, to prove why a share price has gone up or down.

However, there were a few events and milestones relating to Royal Mail that attracted external attention during April.

These included Ofcom’s decision to investigate certain changes to our Access contracts, following a complaint by TNT Post UK.

During April, the contractual restrictions preventing the government from selling its remaining shares expired.

Busy period

It has been a busy period across the postal industry, with many of the postal services companies announcing their financial results.

Deutsche Post announced its financial results on 12 March. Its forecasts for 2014 were a little below market expectations and this caused a 2.3% fall in its share price.

Austrian Post’s shares fell 4.3% when it published its financial results on 13 March. Its results gave a disappointing outlook on letter volume declines.

These examples show how the price of any shares can go down as well as up, depending on the demand for shares.

The way a share price has performed in the past does not indicate how it may perform in the future.

Results

Royal Mail will announce its results for the financial year ended 30 March 2014 on 22 May. You will be able to see our announcement and watch our management present these results to the City on the Investor Relations page of http://www.royalmailgroup.com" onclick="window.open(this.href);return false;.

If you are not sure whether any investment is right for you, you should talk to an authorised financial adviser. You should not interpret any information in this publication as a recommendation by Royal Mail to buy, sell or hold shares in any company.