Why was Royal Mail (LON: RMG) share buzzing?

Summary 

  • Postal and courier company Royal Mail released a new stamp collection featuring UK’s marine wildlife.
  • Royal Mail’s shares have risen over 230 per cent in the last year due to covid-19 induced rise in online shopping.

UK-based multinational postal and courier company Royal Mail PLC (LON: RMG) was in the news after the company released a new stamp collection consisting of 14 new stamps featuring marine wildlife from the British Isles. The company’s stock has performed tremendously well, giving a return of over 232 per cent to its investors in the last one year. Also, the company was reportedly preparing to appeal against a record £50 million fine imposed by the industry regulator for alleged anti-competitive behaviour.

Royal Mail PLC (LON: RMG)’s share price performance

Royal Mail’s shares closed at GBX 570.80, down by 0.70 per cent on 13 July. Meanwhile, the FTSE 100 index, which it is a constituent of, also closed a tad lower at 7,124.72. Royal Mail’s market cap stood at £5.748 billion.

(Image Source: Refinitiv)

Also Read: Why are Royal Mail shares on a rising spree in 2021? 

Royal Mail’s new marine wildlife stamp collection

The delivery company released a new set of 14 stamps showing images of the UK’s diverse marine life. The company collaborated with marine biologist David Sims to help create the new collection, and all of the designs were approved by the Queen.

10 out of the 14 newly released stamps consist of images highlighting mammals, fish, birds and coral reefs found in cold water. Some of the wildlife shown in the stamps include cuckoo wrasse, bottlenose dolphins and others.

 

The remaining four stamps feature images showing the aquatic food chain shown as a mini fact sheet. Some images of the food chain stamps include the transfer of energy to a top predator from algae and other similar themes.

The stamps will be priced at £14.50 and are currently available for preorder. They are slated to go on general sale from 22 July.

The UK coastal waters are home to approximately 3,000 different types of animal and plant species.

Royal Mail and covid-19 impact

The company’s share price rise has seen a sharp surge during the pandemic, jumping over 200 per cent in the last year. This boost in its share prices is primarily owed to covid-19, as lockdowns and restrictions have given a boost to online shopping, which thus increased delivery and courier activity across the country.

Royal Mail’s group revenue in FY 2021 rose by 16.6 per cent to £12.638 billion. Also, the group’s FY 2021 adjusted operating profit rose by 116.0 per cent, getting equal contributions from both the Royal Mail and GLS business divisions.

Also Read: 5 FTSE stocks to start the day with - BP, Rolls Royce, Morrisons, Royal Mail, Tesco

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