Post Office's loss nearly triples to over $1.5 billion, while revenue and volume increase
The U.S. Postal Service reported a fiscal first-quarter loss than nearly tripled to $1.54 billion from $540 million, as expenses increased, while revenue and volume increased. The controllable loss for the quarter ended Dec. 31 was $103, after a controllable profit of $353 million last year. Controllable results exclude items outside of management control, such as adjustments to workers compensation expenses caused by actuarial revaluation and discount rate changes, and the amortization of retirement liabilities. Total revenue increased 2.9% to $19.71 billion, as a 1.2% decline in first-class mail revenue to $6.62 billion was offset by an 8.7% rise in shipping and packages revenue to $6.46 billion and 4.9% growth in marketing mail revenue to $4.67 billion. Total volume grew 1.3% to 40.25 billion pieces. "We continued to drive growth in our package business and expanded use of the marketing mail channel during the quarter," said Postmaster General Megan Brennan. "We remain focused on aggressive management of the business, legislative reform, and pricing system reform, all of which are necessary to put the Postal Service on firm financial footing." Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.