I would now like to turn the conference over to Harald Hagenauer, Head of Investor Relations. Please go ahead.
Good afternoon, ladies and gentlemen. Welcome to this conference call for Austrian Post. Today, we would like to highlight Q4 and the full year results of 2022, financial figures and also some non-financial figures. Presentation will be held by our CFO, Walter Oblin . With that, I will say, Walter, let's go.
Good afternoon, ladies and gentlemen. It's a pleasure to have the opportunity to present to you our full- year results for 2022. Let me start on page two, giving you the usual overview about who we are and how we report. Most of you are well aware we report in three business segments, Mail, Parcel & Logistics, and Retail & Bank, with Mail and Parcel & Logistics being two strong, stable, profitable segments over the last years. Retail & Bank is a growing, still unprofitable segment. Group revenue last year, EUR 2.5 billion revenues. Pretty much same revenue as 2021. With an EBIT of EUR 188 million, I think we delivered a solid result in an environment which was very difficult for postal companies throughout Europe.
Page three shows you the transformation of the company over the last decade and a little bit more. In 2009, we were still a company standing on one foot, a strong Mail business. In the meantime, we are standing on two strong feet, still strong despite the structural decline, a Mail business which is still strong and generating substantial profits and cash flows, and with an equally strong, in terms of revenues, equally strong Parcel business, which also delivers a substantial profit contribution to the group. Third, again, in a growth mode is the segment Retail & Bank.
A year after the termination of the cooperation with BAWAG P.S.K. in 2019, and with the launch of bank99 in 2020, we have doubled segment revenues over the last two years. Breakeven for this segment is targeted for 2024. Page four, o ur environment was difficult, was challenging over the last 12 months and continues to be. The main drivers, the main trends in the market I think are well-known. Rising energy costs, driving strong inflation, which at the same time puts pressure on consumer sentiment and has caused parcel volumes to consolidate and retreat after two years of record growth.
In our portfolio also quite important, a very difficult macroeconomic environment in Turkey, with strong inflation and a lira, which, in particular, in Q4 2021, strongly depreciated and provided additional challenges, in particular in our group P&L, which of course is denominated in euro. Staying in Turkey, our thoughts and prayers are with the victims of the devastating earthquake a few weeks ago. We also have lost colleagues from Aras Kargo, and many colleagues and partners are affected in various ways by this tragedy. Of course, our colleagues in Turkey and also in Austria are trying to help and make at least small contributions in this massive tragedy. Moving back to our business and our financials on page six.
Here, I think we try to give a brief overview about the highlights of the last year. We had a difficult start in Q1 with group revenues down -7%, coming almost equally from both Mail and Parcel. Quarter-over-quarter, we came back into a growth mode, with an overall, I would say, quite strong second half year. We were able to come back to a group revenue level, which was slightly surpassing 2021 revenues in millions. I think it's a good signal to be able to report here a positive revenue development. Volumes came back, and of course, we also implemented price increases, which also supported revenues.
Q4, I think in particular, was a decent quarter. Group revenues increasing by 3% and also EBIT was 4% above the group EBIT in 2021. Page seven shows you the development of group revenues on a more detailed level. Total group revenues, as I said, +0.1%, EUR +2.5 million. I would say flat revenues. Mail, surprisingly resilient with despite the structural decline of the Mail business in volume terms, revenues down only -0.5%, which of course slightly positive. Parcel & Logistics down -2.5%. Here in particular, the depreciation of the lira put pressure on revenues.
Outside Turkey, we with the strong second half of the year, we came back to a slight growth for the full year, +0.8%. In the segment, Retail & Bank growing by 64%. This is for a large part due to the inorganic impact of the acquisition of the Austrian retail business of ING. Group earnings, moving to page eight, down 8%, with EUR 188.4, I think still a respectable, solid result in this very challenging environment. Mail, slightly up by EUR 4.5 million on a quite strong level, Parcel & Logistics in consolidation, consolidating mode, certain normalization after certain one-off revenues fell away, and after, in particular, our Turkish earnings also normalized.
I think Logistics down EUR -30 million, but still I would say quite decent profit margin for the segment. We'll come later to that. Retail & Bank improving still in a start-up loss mode, but improving by EUR 13 million, so I think right direction. In corporate, more or less flat. Page nine summarizes the well-known strategy. Three business directions. First, defending our market leadership and profitability in the core business, meaning our Austrian core Mail and Parcel business. Pillar number two, profitable growth in new markets, meaning international Parcel markets, but also value-added solutions across the value chain. Strategic pillar number three, the development of retail and digital offerings for private customers and SMEs. This includes our bank, this includes our Retail network, this includes digital offerings for consumers.
Then fourth, and overarching priority, the topic of sustainability, diversity and customer orientation. We have a clear aspiration to be a leader in sustainable logistics, and I think by various metrics, are a leader in this field. Page 10, now moving through those strategy pillars, starting with our addressed letter mail business. I think over the last years, we would look at this and say this has proven to be quite resilient despite the previous digitization acceleration caused by the pandemic. We have seen mail volumes declining in a very stable way, around 4.5% now over the last over the last, yeah, roughly 10 years, and on average also over the last three years.
Last year, relatively moderate decline of 2.6%. Of course, there were some helpful, one-off mailings, partly due with anti-inflation measures of the government, energy bonus, climate bonus. We had a presidential election. We had utilities having to send out price increases various times throughout the year. Still, I would say quite a resilient Mail volume. You see also the quarterly development where Q1 was the only negative quarter volume-wise. Over the last three quarters, we had a slight positive development. I think our strategy remains unchanged.
We want to offer a strong, good quality to our customers at a moderate price level despite having had to raise prices quite substantially over the last months due to the inflation and the cost pressures that we have. We remain one of the cheapest Mail markets in Europe. You see here the usual comparison. Of course, with the high inflation we have, further price increases will have to follow. This is a reminder of the measures we implemented last year, July, increasing the Economy product, October 1st, the priority product, and the end of the year pretty much all other products.
Page 12, Direct Mail and Mediapost remains a strong business pillar for the Austrian Mail business with a revenue of around EUR 430 million. All these product groups are structurally under pressure. Our media customers, the Direct Mail, and the relevant customer groups, in particular the stationary retailers, we were quite concerned around this time of last year with the rising energy costs, with strongly rising paper costs, that we would have to suffer significant customer and volume losses in this field. Fortunately, this did not happen and also this segment proved quite resilient. Volume-wise, we were actually slightly up. However, we have to be, we have to expect that this segment remains structurally under pressure.
In particular, the rest direct mail has been in continuous decline over the last years. Also on net rates, I think we have to expect pressure here. Moving now to the growing part of our portfolio. The parcel business in Austria last year, almost flat volume, slightly down -1.4%. This after two years of record growth, where over two years we increased by 50%. The consolidation we've seen in Austria is small compared to what we've seen in other countries. I think, positively for us, it mostly happened in Q1 and Q2.
In Q3 and Q4 we were back into growth mode, both volume wise but also revenue wise, which led to for the full year a small revenue increase of 1.5%. We remain the clear market leader in the Austrian parcel market, shown by the most recent market share statistics published by an independent agency. The Austrian market last year had around 360 million parcels. 52% were delivered by Austrian Post. In the B2C market, we are still market leader. In B2B, where we only pretty much entered on as a, as an independent offering, around goods, things like visible, we are the clear number two as a market share around 30%.
To defend this market leadership, we have substantially invested in our logistics infrastructure with a comprehensive investment program over the last years. This is now coming into its last phase. Accordingly, we have had strong and really above historical levels CapEx spending last year, EUR 152 million, actually a little bit less than we had guided for. Reason for this mostly being supply chain disruptions on deliveries, they also savings and some projects we entered due to the volume developments, which were fairly below budget. For this year we guide order of magnitude EUR 160 million-EUR 180 million. As of 2024, we expect CapEx to go down to a more sustainable level in line with depreciation.
Page 16 shows you why we believe that CapEx levels will go down basically with the last big sorting center of Vienna, our comprehensive investment program comes to an end. Of course, there will be further construction activity in similar projects, but not this comprehensive form. We have now with Vienna pretty much either built new or substantially expanded almost every logistics center in Austria, have more or less tripled our sorting capacity and are in a good shape for the growth of the next years. Page 17 gives you an update on our staff structure development. 2022 was a year where we, of course, also adjusted our staff base to lower volumes. Total headcount down - 266 FTE.
The change from expensive civil servant and old collective labor agreement employees to employees under the new collective wage agreement, of course, continuous. Since 2009, every new entrant is in the new collective wage agreement, with an average cost per collective hour, which is around 50% of civil servants leaving us. Moving now to our second strategy pillar, profitable growth in near markets. Page 18 shows you our geographic portfolio. Strategy focus clearly is here, growing parcel markets east and southeast of Austria. In addition to that, we have a EUR 50 million Mail business in Germany. Pretty much this is a sales subsidiary without own network activities.
In East and Southeast Europe, including Turkey, last year, we delivered around 250 million parcels with a total revenue of around EUR 420.3 million. We see that our Eastern European parcel portfolio still was in the growth mode despite the strong growth that also happened here between 2019 and 2021. Whereas in Turkey, after the strong growth of 2020, we were also in a consolidation mode. 52 was a very difficult, disappointing starting to the year volume-wise. Volumes also recovered. Page 19 shows you more details for Aras Kargo. Of course, the high inflation also forced us to improve or to increase prices.
As a result, revenue in Turkish lira grew by 68% despite parcel volumes being down by 9%. The company being in a decent profitability point, I would say, industry average, but clearly down from levels that were far above industry average in 2021. In euro terms, the already mentioned strong depreciation of the lira at the end of 2021 weighed on our revenues and our earnings after translating them to Euro terms. Overall, we lost around EUR 40 million revenues in the cargo business despite the 58% growth in the past year. Moving to strategy pillar number three, the growth in the consumer and retail segment.
Here, one of our priorities is building up a very focused, risk-averse, financial services business under the brand bank99. I think you're aware that we launched this bank on April 1st out of the home office into a lockdown. We will celebrate the third anniversary in a few weeks, actually in two weeks. After three years now and the acquisition of the Austrian retail business of ING, I think we have a bank with critical mass. 260,000 customers, a balance sheet of EUR 3.2 billion. A credit portfolio of consumer and mortgage loans of EUR 1.6 billion, and investment asset management business of around EUR 500 million asset under management.
I think particularly worth highlighting here the increase in in-interest income from almost zero in 2021 to EUR 34 million in 2024. This has to do with the acquisition of the loan portfolio, but also with the change in the interest environment, whereas a year ago, we paid negative interest rates to the Oesterreichische Nationalbank. We are now earning interest on the deposits we hold for our customers, and we've also built up as the bank99 books. It shows that there is quite a potential, the interest rates, the current interest rate environment provides tailwinds to the bank99. Given this, we are quite optimistic to see a turnaround for the bank99 in.
To see a breakeven for bank99 in 2024, and a substantial step from the around EUR 29 million losses that we incurred this year to breakeven at a substantial step for the current year. Moving to page 21, as part of our consumer strategy of moving back to our postal business, we have quite early embarked on self-service solutions.
You see here the increase both in number of facilities, but also more importantly, number of parcels that go through these 24/7 self-service solutions, providing both customer benefits, with customers can 24/7 access postal services and at the same time, productivity improvements and cost savings because the most intense part is a parcel that is taken back to the post office when the consumer is not at the home where the consumer has grew up and with additional process costs. 23 million parcels have flown through our self-service solutions last year. We continue to build out this base of self-service. Now, moving to page 22 and moving to the green arrow in the center of our strategy, the topic of sustainability.
We have established a comprehensive sustainability measurement program, activity program along the three dimensions of economy and customers, where we try to make our product and service offering more sustainable. The dimension of environment and climate where lighthouse projects such as e-mobility, green delivery in certain areas and other measures have been pursued in the dimension of people and social. This portfolio of activities constantly being renewed and accelerated. Page 23 shows you the two lighthouse projects that we have been pursuing since quite some time already. Topic number one is the electric mobility in our Austrian last mile. Not buy any new combustion engine vehicles, but only electric vehicles.
As a result, we now have more than 3,000 electric vehicles in our fleet. Target for this year is to increase to 4,000, and by 2030, the aim is to have eliminated the last combustion engine. Second lighthouse project is photovoltaic facility. By the end of last year, we had around 4 megawatts in installed base. The target for this year is to end up those around 8 megawatts peak, which would mean that roughly 10% of our electricity is self-generated through PV. The target for 2030 is to generate around one third of our electricity through photovoltaics. Page 24 shows you some of the progress we have made in non-financial indicators, for part of page CO₂ emissions on various dimensions.
An interesting message is that in Austria, where we have a very good data quality, we every year make a step in the right direction. Last year, all the emissions down 2%, emissions relative to revenue or relative to transported tonnage down 2.1.6%. CO₂ emissions, including Scope 3, shows an increase. I think here we have to be frank and admit that our database is not yet as robust as we would like it to be. In particular, the historic database we're talking here about emissions of among others, emissions of subcontracted delivery partners in countries like Turkey. Of course, the measurement and the modeling is refined every year.
I think we, at this kind of 22, we have a decent quality, but we would not see this change as reflecting our true progress. On employee and social indicators, I think across the board, development in the positive direction, women in leadership positions, share of women in total staff. The biggest challenge being employee turnover, where we have not moving in the right direction. The reason for this being, among other things, a very hot Austrian labor market where almost any business, be it a small restaurant or big industrial groups, have challenges finding and retaining the people they need. Moving to page 25, this was now the second year where we had to apply the EU taxonomy regulation after having to report the taxonomy eligibility figures last year.
This year had to evaluate the share of revenue, CapEx, and OpEx that was not only Taxonomy-eligible, but also compliant. You see here the figures in the right lower corner revenue around 33%, CapEx around 20%, OpEx around 7.4%. I think we have to add that this regulation is still evolving, including specific rules that are hard to understand and lead to quite counterintuitive results. For example, we could not declare our e-mobility fleet as Taxonomy-compliant. Because why? Because there is a Do No Significant Harm criterion, which says that you have to use the most energy- efficient tires.
Austria is a alpine country where we're using all-year tires that also fulfill the legally required winter tire requirements. As a result, we could not achieve the efficiency and noise level requirements under the Do No Significant Harm regulations and could not declare our electric mobility as Taxonomy- compliant. Another example is that for CapEx, in particular building CapEx, to be Taxonomy compliant, you have to prove that all the garbage during the construction phase of new building is 70% at least recycled. Currently, I think there is no standard how to prove this. We are using the highest standards in just about any sustainable in our logistics buildings, of course.
It was this proof of recycling of construction garbage that we could not match, and accordingly, we took a conservative approach and came up with those numbers. Now a point more reflective of the ambition and the activities that we have in place are the ESG ratings that we get from different rating agencies, as shown on page 26. I think we typically come out substantially above peers and typically among the top group of companies in our industry. I think we are particularly proud of being back on the CDP A list last year, being among the top 1.5% of companies rated by CDP.
Let me now move to a little bit more detail on our group financial indicators, and I will go more quickly through the rest of this presentation. Page 27 summarizes the most important takeaways. I've commented on revenue, EBITDA margin slightly up. EBIT margin slightly down due to our depreciation level. Earnings per share down a little bit stronger due to one-offs in the financial income and operating free cash flow at a solid level of EUR 183 million. Page 28 shows our full P&L. I don't wanna comment on the details here and allow me to move quite directly into our segment details of page 29.
Our Mail division, Letter Mail & Business Solutions down -4%. As I already commented, quite resilient with revenue development compared to previous year, improving from quarter to quarter, also supported by the price increases I've mentioned. Direct Mail down -0.7%. Here the development rather in the opposite direction. Recovery effects after the pandemic in the first two quarters, and then pressure from rising energy and paper costs causing our customers to cut back on direct mail in Q3 and Q4. Overall, for the full year, we said -0.7%, I think are reflecting a quite resilient Direct Mail business. Moving to page 30 we show you the P&L highlights of our Mail segment.
Revenue, as I already commented, down -0.5%. EBIT margin at good 12.9%. Moving to our Parcel Logistics division on page 39. Total segment revenue down 0.5%, with Austria and Eastern Europe up in lower single digit numbers. Turkey, for the already mentioned reasons, volume decline and particular development down 13.4%. Also the sub-segment Logistics Solutions down 13%. This is due to certain pandemic one-off revenues, including health logistics, coming down last year, and this year probably coming back to zero. Not for the full segment, but for one of them.
Page 32, Parcel & Logistics division, was EUR 88.8 million, and an EBIT margin of 7.3%, I think a quite respectable result in this difficult year. Of course, lower than the record year of 2022, our Parcel segment remains a strong second pillar next to the Mail segment. Retail & Bank division, page 33, revenue up 64%, with the pure financial services income increasing by a factor of 2.5. Of course, the inorganic impact, please remember that ING, the closing of this transaction was in December 2021. In 2021, we only had one month of the inorganic revenue in the P&L, whereas in 2022, we had 12 months.
The inorganic impact was substantial, but we also had organic growth and growth through the interest income and the change in the interest environment, which I mentioned. Page 34 shows you that we are still in a ramp-up loss mode here with - EUR 26.7 million EBIT for this segment. Target for the bank in the segment is to break even in 2024. For 2023, I think the effect will be to make a significant step towards breakeven. Page 35 shows you our balance sheet. I think the summary is we continue to operate a healthy, rather conservative balance sheet.
It has grown substantially over the last years, with our financial services assets and, of course, also liabilities, now that the bank exceeding a balance sheet of EUR 3 billion. We see that here in blue. The equity was EUR 710 million, quite stable over the last years. I think overall, we have limited leverage. The real financial liability, meaning loans, bank loans and other loans, total EUR 150 million. The rest is either asset liabilities, provisions and other non-financial liabilities. On the asset side, I would like to highlight a very small level of intangible assets.
Goodwill, I think there is quite low impairment, like of which. Page 36 shows you our usual cash flow summary of operating free cash flow in the middle. This is the free cash flow before growth CapEx and acquisitions at EUR 183 million. This is the cash flow where we want to cover our dividend with some buffer. I later come to our dividend proposal. Actual terms, it's less than EUR 100 million. I think you see here that our dividend is well covered by this operating free cash flow.
You suggest to look at the gross CapEx to be covered by our strong balance sheet, given that it is a one time payout over one time CapEx, as part of this already commented major comprehensive expansion program. Moving to our dividend proposal for our AGM, page 37. The proposal is EUR 1.75. We stick to our dividend policy, pay out at least 75% of group net profits. Pay out ratio is potentially higher at 95%. The small decline reflects the 8% EBITDA decline that's included in this dividend proposal. We have at least in the third substantial crisis, financial crisis, 2009, 2010 pandemic and now energy decline crisis, however you wanna call it.
I think we've proven in the 3rd crisis that we deliver on our commitment to pay out an effective dividend and that we operate a business model which is able to deliver substantial revenues and earnings also in difficult times. I think page 38 summarizes our track record and again reflects what I've just said. 13 years of stable and slightly growing revenues despite a continually structurally declining Mail business. Stable, slightly expanded profit margins. I think we've met our guidance every year. Have paid out an effective dividend policy, as mentioned, also in substantial economic crises, and have made progress in decarbonizing our logistics. Let me close on page 39 with our outlook for 2023.
At this time of the year, of course, a little bit cautious and more uncertain than later in the year. Overall, I think inflation will be the major challenge this year. We have collective wage agreement coming up this effective date, July 1st. On the revenue side, of course, we have limited visibility, and after three years where this time of the year, we had something substantial, substantially new that we did not have in our budgets coming our way. I think we are a little bit cautious still. This year has started in a quite controlled way, and we are optimistic that we can deliver growth for group revenues in the lower to middle single-digit range. Mail probably a slight decline.
Parcel & Logistics in the growth in the upper single-digit range. The aspiration clearly is to further grow in the Retail & Bank segment. Also, this payment on the interest rate side. I have already mentioned our CapEx guidance to be in the range of around EUR 150 million-EUR 180 million. On the earnings side, the objective is to come as close as possible to the previous year level. Of course, we have only five months of the year, and I think we'll be able to give a little bit more clarity when we communicate our Q1 results in May. I would say, overall, we do not look that pessimistic into the full year.
With those targets, I think we of course, are also committed to delivering further another year also in 2023 on our dividend value proposition. Thank you very much for your attention, and I'm very happy to take questions now.
Ladies and gentlemen, at this time, we will begin the question and answer session. Anyone who wishes to ask a question may press star followed by one on their touch-tone telephone. If you wish to remove yourself from the question queue, you may press star followed by two. If you're using speaker equipment today, please lift the handset before making your selections. Anyone who has a question may press star followed by one at this time. One moment for the first question, please. The first question comes from Ivar Billfalk-Kelly from UBS. Please go ahead.
Good afternoon. Thank you for the presentation and for taking my questions. It feels like it's been a while since we spoke about Amazon's insourcing. Is it fair to assume that your loss of market share this year is down to increased insourcing from Amazon, or are other players also taking share from you? Within that, please, can you share what proportion of volumes are currently delivered for Amazon, and how much of this might be at risk from future increases in sourcing? Secondly, within the banking division, there's progress being made there. Beyond the break-even target for 2024, what's the ultimate long-term target of profitability now, and how has that changed in the context of higher interest rates? Maybe finally, just a high level.
In the past, you've spoken about your property portfolio, and some ongoing development. Can you give us an update on what the current plans are and what the likely long-term financial impact might be of that? Thank you.
Well, thank you for your questions, Ivar. You're right that we have seen now three, four, five years of Amazon insourcing and Amazon building out their logistics networks in substantial areas of Austria. Of course, all the postal numbers that we have shown include a share of Amazon volume that has been declining. We are not 100% sure whether the market statistics that I have shown in the middle of my presentation fully reflect these numbers. These are numbers that are collected from the individual players, we have no transparency what other market players have forwarded to these independent agencies.
I think at the same time, looking at what Amazon has done in recent months, I think the speed of their build-out of their logistics networks seems to have slowed. I think we are, at least for the time being, we are not budgeting substantial further losses of our Amazon market share in the next quarter. Look, question number one, question number two, and on the detailed shares of what share of Amazon volume we transport, if we don't have the insight into Amazon delivery, that's to us with me that I cannot give you the details. On the banking side, of course, the aspiration is to go beyond break even and contribute profits to the group.
I think our business plans show a double-digit million figures as of 2025 as contributions to the group. As I'm not in a position to make forecast on interest rates for the next three years and beyond, I'm a little bit hesitant to lean out too much with this comment on that topic. Of course, the current environment provides tailwinds and helps how long this will last remains to be seen. I think currently, probably we can expect this to last longer than we would have expected a year ago.
On property, you're right that we have on the one hand, a constant portfolio cleanup on smaller pieces of real estate that has happened over the last years and will continue to happen with, you know, smaller parts of real estate being put to the market and generating a single-digit contribution to cash flows and also extraordinary income every year. At the same time, we have two, three big real estate projects. One is, that is coming to an interesting phase, is our project on the central station in Linz, where we had where we have left a logistics center a few years ago and have pursued an urban development project together with the city of Linz.
We are now close to getting the permit to permanently change this from a logistics permit to a, you know, a much bigger and more dense permit allowing office buildings, residential use. Once we have achieved that permit, I think we will also look at how to realize some of the value increase that comes with this, the change permit. That is probably for the next year.
That's very clear. Thank you very much.
The next question comes from Marco Limite from Barclays. Please go ahead.
Hi, good afternoon. Thanks for taking my questions. My first question is about volume repricing, both in Mail and Parcel. If you could give us broad guidance about average price increases for parcel and letters, and whether you think you will be able to pass through inflation. The second question related still to the same topic and of course to your answer. Given that you're guiding for Parcel & Logistics revenues up high single-digit in 2023, would be interested to know what's your volume growth assumption for 2023. Third question, there are some industry data that show that the start of the year has been quite soft across Europe. Yeah, just wondering about exit rates, in Jan and February for parcel volume. Thank you very much.
Okay. Thank you for your questions. I think on the, on the pricing, I think across the product portfolio, of course, as you rightly said, the aspiration is to forward the inflationary pressure that we have to our consumers, and to our customers in particular, business customers, mostly our customers are business customers. Of course, you know, we have here different product segments from Mail to Parcel. Some we are regulated there. We have a clear framework where we need approval. I think with this inflation, it is has become a little bit easier to get approval. We've shown that with the increases that we have made in Q3 and Q4 and before last year and also start of the year.
Of course, with the speed of cost increases, also the frequency of our price adjustments in the regulated area will increase and something, you know, probably will have to happen this year again. On the other side of the portfolio, we have bilaterally negotiated contracts with very large customers where, of course, also the ability to forward price increases is a little bit lower than on other areas of our product portfolio. I think across the group, the target clearly is to forward inflation.
We will not have a linear development of price increases as opposed to cost increases over the quarters because we will have a substantial cost uplift in Q3 when our collective wage agreement, as we are still that we still have to negotiate in the coming weeks, is expected to happen. Whereas the price increases on the regulated side partly have happened in the quarters mentioned last year. you know, we'll see when we get approval for the next price increase on the Mail side. On the Parcel side, it's typically turn of the year, changes in some areas also throughout the year. Expect some, you know, non-linearity of margin development also over the course of the year.
Overall, I think the aspiration is at least to hold the margins in our forward business across the product portfolio at the order of magnitude where they are, maybe with some time lag in between. I think that is with 11% inflation, which we just have in Austria, that it's difficult to simultaneously forward this always to the customer side. I hope you understand me there. Yeah. That we will show quarters where margins will be under pressure, please expect that. Volume growth 2023, I think we our guidance for parcel revenues is in the higher single-digit margins. We do expect parcel volumes across the group to grow at least a little bit. Yeah.
I think we'll have more clarity once we see a full quarter. The development over the last months has been quite volatile. You have seen it last year. We had 8% volume growth in Q3, substantially lower growth in Q4. Also for the last two months, you know, I have a higher number and a lower number, and I'm not 100% sure whether the higher or the lower number is reflective of what we will see for the next year. Visibility actually in this area is limited. Yeah. I think all the industry, in particular our customers, the online retailers, I think they don't have this visibility for themselves.
Yeah, in start of the year, I think overall we had a controlled start, as I think I mentioned that, into the new year, different from the last three years, where at this time of the year, we knew that we could pretty much put our plans aside, and so we had to make new plans for a very different environment. I think currently the most important planning assumptions seem to hold, with inflation being a little bit higher, which means that we influence prices a little bit more. Overall, I would say we had a controlled start into the year, and that's why we come out with the guidance we have given.
Thank you.
As a reminder, anyone who wishes to ask a question may press star followed by one at this time. It seems there are no further questions at this time, so I hand back to Harald Hagenauer for closing comments. Oh, I'm sorry. There one question still came up from Teresa Schinwald from Raiffeisen Bank International. Please go ahead.
Hi. Thank you for my small question. Could you remind us of the exchange rate you're basing your guidance on? Is it the current one for the Turkish lira? Can you maybe also provide us with a sensitivity regarding the Turkish business and the currency development?
Yeah. I, I please bear with me that I don't have the exact number in my head, but clearly it is above the TRY 20 per EUR for the full year. I think we also have to point at the complexity of the hyperinflationary accounting we are using, where basically, which is a quite complex standard, and where basically it's the interest rate at the end of the exchange rate at the end of the year that is relevant, because every month you're basically readjusting the requirements to the current exchange rate. At the same time, inflationing and indexing the revenues of the last month. It's a little bit complex and even for ourselves not 100% transparent standard that we have to use and apply since last year.
Sorry for making a little bit complicated answer to a simple question. It's definitely higher than the 20 because we think the inflation rate has now been holding for almost 10 months, quite stable, despite the much higher inflation in Turkey against the Eurozone. It is definitely higher. The sensitivity is that I think you can quite easily calculate for yourself. You have around EUR 250 million in revenues and take an industry average by a single-digit profit share. I think you can come up with the sensitivity quite easily. Yeah.
Thank you very much.
There are no further questions now, and I hand back to Harald Hagenauer for closing comments.
If there are no further questions, thank you for participating in this call. If there are some further questions, don't hesitate to call us next day. We are available. Thank you and good afternoon.