City analysts expect Royal Mail to report a 16pc fall in annual operating profit before one-off charges to £562m despite the demise of two rivals.
The weaker performance by the 500-year-old postal service is expected even though it has taken on extra parcel volumes following the collapse of CityLink in December last year and the suspension of delivery services by Whistl last week. It is now handling more than 2m extra letters a day.
The Royal Mail, which floated on the stock exchange 18 months ago, is under huge pressure from a structural decline in the number of letters. The parcels arm is also being hit by online shopping site Amazon setting up its own delivery service.