The U.S. Postal Service continues to bleed red ink.
In its fiscal 2023 third quarter, which ended June 30, the Postal Service lost $860 million on an adjusted, non-GAAP basis, compared with an adjusted $459 million loss. On a GAAP basis, the net loss was $1.7 billion, compared to net income of $59.7 million in the year-earlier quarter.
Operating revenue declined 0.9% to $18.6 billion, the Postal Service said.
Shipping and package volume in the quarter was down 2.4% to 1.7 billion pieces from 1.74 billion. Shipping and package revenue remained virtually flat at $7.5 billion.
Total revenue came in at $18.57 billion, down from $18.7 billion in the year-earlier quarter. Volume fell to 27 billion pieces from 30.4 billion. First-class mail and marketing mail posted a combined drop of about 2 billion pieces.
Total operating expenses rose 9.6% to $20.5 billion, the Postal Service said.
When the Postal Service launched its 10-year “Deliver for America” plan in March 2021, it had hoped to be at financial breakeven by FY 2023. That objective was abandoned some time ago. On Tuesday, Postmaster General Louis DeJoy told the agency’s board of governors that “significant inflation costs,” among other strains, have added $6 billion of unplanned cost in 2023 and “will be in our operating cost base well into the future.”
Brokerage Compliance Symposium
The day before F3. Every compliance issue you face - fraud exposure, carrier liability, FMCSA rules, cargo theft, insurance gaps - navigated by attorneys and operators defining best practices in a changing industry.
F3 Awards Dinner
The night before F3. FreightTech100 companies honored. FreightTech 25 and Shipper of Choice winners revealed live. Cocktail reception into dinner and live music - 300 industry leaders in one purpose-built room.
F3: Future of Freight Festival
Industry-defining keynotes, rapid-fire technology demos, and industry leaders networking in experiences across Chattanooga - plus the inaugural F3 Awards Dinner featuring the FreightTech and Shipper of Choice reveals.
The day before F3. Every compliance issue you face - fraud exposure, carrier liability, FMCSA rules, cargo theft, insurance gaps - navigated by attorneys and operators defining best practices in a changing industry.
The Signal at Chattanooga Choo Choo • Chattanooga, TN Register NowThe night before F3. FreightTech100 companies honored. FreightTech 25 and Shipper of Choice winners revealed live. Cocktail reception into dinner and live music - 300 industry leaders in one purpose-built room.
The Signal at Chattanooga Choo Choo • Chattanooga, TN Register NowIndustry-defining keynotes, rapid-fire technology demos, and industry leaders networking in experiences across Chattanooga - plus the inaugural F3 Awards Dinner featuring the FreightTech and Shipper of Choice reveals.
The Signal at Chattanooga Choo Choo • Chattanooga, TN Register Now