Royal Mail shares slump below first day close on poor revenues

Royal Mail shares have fallen to levels not seen since last October after a fresh warning parcel revenues may come in below expectations.

Shares in the company, privatised nine months ago, fell almost 4% in early trading to 447p, below the 455p level at which it closed on its first day of trading last October. The move came in response to a trading statement in which chief executive Moya Green said the group has seen "weaker than expected performance in UK parcels" in the first three months of the financial year, with revenues dropping 1% despite an increase in volumes. Though the group has seen better performance in the letters part of the business, parcel delivery is a greater concern for investors, since it is the la...