Chief Financial Officer Joe Corbett reviews the Postal Service’s latest financial results in a “Dollars and Change” video released this week.
During fiscal year 2020’s first quarter (Oct. 1-Dec. 31, 2019), USPS recorded total revenue of $19.4 billion and total operating expenses of $20.1 billion, leaving the organization with a net loss of $748 million.
First-Class Mail and Marketing Mail revenue and volumes declined during the quarter compared to the same period one year earlier. Shipping and packages revenue increased, although volume was down.
To help restore financial stability, Corbett says the Postal Service must “aggressively close sales contracts, manage costs and innovate. Our relentless focus is on understanding our customers’ needs and providing cost-effective prices to meet their expanding delivery needs.”
Other steps include continuing to match work hours to work load and growing products and services like Marketing Mail and Informed Delivery.
“We will continue to focus on actions we can take under current laws and regulations to grow revenue and reduce expenses, but that alone will not be enough,” Corbett says.
“We will also need legislative and regulatory changes that will allow us to transform our business model to give us flexibility to effectively respond to ongoing volume declines and rapidly evolving market conditions.”