USPS revenues up 2nd second consecutive year

(December 5, 2014) The package business continued to pay dividends for the Postal Service, which ended the fiscal year with an increase in operating revenue for the second consecutive year, CFO Joe Corbett says in his latest Dollars and ȼhange video.
“After four straight years of declines, this is certainly a welcome result,” Corbett says.

Year-end results showed operating income was up $1.98 billion as expenses fell $500 million. Revenues were driven by a 9.1 percent increase in shipping and package income, Corbett says.

USPS also reduced expenses by consolidating almost 1,000 delivery routes and facilities, centralizing more than 10,000 delivery points and improving efficiency at almost 1,700 Post Offices through the Post Plan.

However, the year’s strong performance wasn’t enough to offset $90 billion in liabilities and the lack of postal reform legislation.

Mail volumes declined by 2.7 billion pieces and “lingering and unnecessary legislative burdens” contributed to a $5.5 billion net loss, Corbett says.

Despite these challenges, 2014 was the Postal Service’s best year since 2008. “Our employees turned in a tremendous effort,” Corbett says.

via USPS News Link