The Postal Service has reported its financial results for fiscal year 2023’s second quarter (Jan. 1-March 31, 2023). Here are some highlights:
• Revenue. Total operating revenue was $19.3 billion, a decrease of 2.4 percent compared with the same quarter last fiscal year. First-Class Mail revenue increased 0.5 percent, and Marketing Mail revenue decreased 4.3 percent. Shipping and packages revenue decreased 2.1 percent.
• Volume. Total volume was 28.6 billion pieces, down 9.4 percent compared with the same quarter the previous fiscal year. First-Class Mail volume decreased 8.1 percent, and Marketing Mail volume declined 11.0 percent. Shipping and packages volume decreased 5 percent.
• Expenses. Total operating expenses for the quarter were $22.0 billion, an increase of 7.6 percent compared with the same quarter last fiscal year. However, excluding costs outside of USPS control, such as the retiree benefits expense for the amortization of underfunded Civil Service Retirement System and Federal Employees Retirement System plans, expenses increased by 3.3 percent.
• Net loss. On a generally accepted accounting principles (GAAP) basis, net loss for the quarter totaled $2.5 billion, an increase in net loss of $1.8 billion, compared with a net loss of $639 million for the same quarter last year. On a non-GAAP basis, adjusted loss was $498 million, compared with adjusted income of $427 million for the same quarter last year.
“The Postal Service is making rapid progress with our 10-year transformation and modernization plan, which has already produced strong service performance and efficiency improvements and is creating a much more capable and effective operational model for the nation,” said Postmaster General Louis DeJoy.
“We continue to focus on achieving break-even financial results for the 10-year period, although inflationary and economic conditions, as well as administrative hurdles, have proven difficult. The increase in the pace of change now required to achieve our financial goals will continue to be balanced with providing service performance throughout the nation,” he said.
The Postal Service’s May 9 news release has additional information.
