The Postal Service has reported its financial results for the first quarter of fiscal year 2023 (Oct. 1-Dec. 31, 2022). Here are some highlights:
• Revenue. Operating revenue was $21.5 billion, an increase of 1 percent compared with the same quarter last fiscal year. Shipping and packages revenue increased 2.4 percent, and First-Class Mail revenue increased 1.5 percent. Marketing Mail revenue decreased 2.4 percent.
• Volume. Total volume was 33.4 billion pieces, down 4.8 percent compared with the same quarter the previous fiscal year. First-Class Mail volume declined 4.5 percent, while shipping and packages volume declined 3.5 percent. Marketing Mail volume declined 4.7 percent.
• Expenses. Operating expenses for the quarter decreased $129 million, or 0.6 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 $1.1 billion, or 5.3 percent.
• Net loss. The Postal Service had a net loss of approximately $1 billion for the fiscal year’s first quarter, compared with a net loss of $1.5 billion for the same quarter last fiscal year.
“We are making demonstrable progress with our Delivering for America plan. We continue to focus on service reliability for the American public as we modernize our outmoded and aging postal network to move mail and packages in an integrated network and deliver to nearly 165 million delivery points, six days a week, while covering our costs,” said Postmaster General Louis DeJoy.
“Our initiatives in cost reduction and revenue growth are underway. However, in addition to facing the same inflation and other post-COVID economic realignment issues that every business is facing, we continue to operate in an administrative environment beyond our control that slows the pace of improvement.”
The Postal Service’s Feb. 9 news release has additional information.
