It has 31,322 USPS-managed retail post offices. It had positive average annual cash flow of $3 billion over the previous three fiscal years. This tool will tell you when it’s coming, Don’t panic! Supplies. The fact that the USPS can come close to profitability while charging only 55 cents to mail a letter across the country is nothing short of astounding. The cost of retiree health care coverage is further inflated by the fact that only 74% of the nearly 500,000 retirees and their family members covered by those policies are fully enrolled in Medicare. Postal Service reported operating revenue of $71.1 billion for fiscal year 2019 (October 1, 2018 - September 30, 2019), an … Operating revenue ticked up 3.3 percent to $19.3 billion between Oct. 1 and Dec. 31, 2015, driven largely by a record volume of package delivery. It’s interesting that Congress requires 100% funding for 75 years in advance for the USPS when,according to The Motley Fool,the U.S. Government is only 42% funded. USPS now has three straight years of operating in the black, with a total operating profit of $3.2 billion since 2013. Sort by: Issue Date. Those had increased over the previous year by … Last year, the U.S. But even with the drop in revenue and volumes from traditional letters, the USPS makes money on that business. There’s no substitute for the Postal Service for much of the country.”, (Copyright (c) 2020 CNN. And they are certainly not because of its contracts to handle delivery of Amazon packages, no matter what President Donald Trump claims about losses on those deliveries. "There is … OPERATING PROFIT. Chart 1. Postal Service turned a profit in a financial quarter for the first time in five years, though President Obama still proposed the agency slash 12,000 employees in his fiscal 2017 budget. The lower revenues were driven largely by accelerated declines in First-Class and Marketing Mail volumes. As part of his budget, Obama -- as he did last year -- proposed Congress make the recession-induced surcharge permanent. Postal law, and investigations of those contracts, have confirmed that the USPS makes money on the contracts it has with Amazon and other major shippers. Government Executive uses cookies for analytics and personalization. The 1993 law would have required taxpayers to provide the USPS a total of $1.2 billion over 42 years. Despite increased revenue of $555 million in the first six months of Fiscal Year 2019 compared to the same period last year, USPS reported an operating loss of $909 […] Posted in postal news Tagged NALC, postal news, usps financials. In its last complete fiscal year, the USPS had 496,934 career employees. WASHINGTON — The U.S. Profits grew $1.1 billion over the same period last year, when the Postal Service lost $754 million. Retirees are still covered because the USPS made payments in the past. Revenue came to $69.6 billion, down from $71.5 billion last year. This marks 13 years of consecutive losses for the USPS, totaling $77.8 billion. Mail Volume […] But in reality, the agency is generating billions in cash. © 2021 by Government Media Executive Group LLC. The USPS booked positive cash flow of nearly $2 billion in the nine months ending June 30, up from $1.3 billion in the same period a year ago. Meanwhile, the plan to eliminate Saturday service is dead. Collectors. RISING USPS REVENUE OVER TIME MAIL REVENUE PERFORMANCE DRIVES PROFITS. It does receive reimbursement for lawmakers mailings (franked mail) and to subsidize non-profit’s special mailing discounts (which is underfunded). Postal Service Has Not Earned a Profit in Almost a Decade The government-owned enterprise has lost $51.7 billion since 2007. Help us tailor content specifically for you: Agencies Have Distributed 200K Vaccine Doses, Guidance on Carrying Over More Annual Leave, Agencies Generally Complying With Trump Diversity Training Changes, Podcast: Native Communities, the Federal Government and the Pandemic, USPS Records First Profit in Five Years as Obama Calls for Shedding 12K Postal Jobs, Help Us Find the Government’s Boldest Innovators, Route Fifty eBook: IT Priorities for State Governments. The USPS booked positive cash flow of nearly $2 billion in the nine months ending June 30, up from $1.3 billion in the same period a year ago. The financial problems have nothing to do with the expected surge in mail-in ballots for the election in November. Cards & Envelopes. The public may view the reports by going to, How to register your school/organization for closings and delays, 190 Mass. Under the Postal Accountability and Enhancement Act of 2006, the USPS is required to pay $5.4 billion to $5.8 billion annually, through 2016, to pay for future retiree health benefits. While the Postal Service has long lobbied for the modified delivery schedule, it has dropped that proposal from its “must-have” list in legislation. All this red ink has flowed despite USPS’s aggressive move [1] into the parcel delivery business. Postal Service turned a profit in a financial quarter for the first time in five years, though President Obama still proposed the agency slash 12,000 employees in his fiscal 2017 budget. Nearly all private sector and government employers that provide retiree health benefits require full participation in Medicare, said Megan Brennan, a former postmaster general, before a House committee last year. In the fiscal year ending September 30, 2018, around 22.4 billion pieces were sent and received in the transaction market. Nonetheless, “2004 and 2005 are the first two years that the USPS showed an actual profit since the Postal Service was reorganized in 1971,” says Strasser. USPS.com Home › Buy Stamps & Shop › Print a Label with Postage › Customer Service › Delivering Solutions to the Last Mile › OTHER USPS SITES. But lawmakers skipped or cut the payments for four years, leaving the USPS with a $1.6 billion IOU. Business Supplies. Despite a solid 1.5 percent rise in revenue compared to last year, USPS reported an operating loss of $1.951 billion. The USPS has massive amount of debt it needs to repay, for which profit would assist. USPS.com Home › Buy Stamps & Shop › Print a Label with Postage › Customer Service › Delivering Solutions to the Last Mile › OTHER USPS SITES. Postal Service reported total revenue of $19.7 billion for the first quarter of fiscal 2019 (October 1, 2018 - December 31, 2018), an increase of $553 million, or 2.9 percent, compared to the same quarter last year. Today, the U.S. AP Ali Meyer-September 22, 2015 1:03 PM These five charts depict the immensity of USPS’s financial challenges. Since October 2018, it has booked about $4 billion in costs above what it is actually having to pay to cover the cost of on-the-job injuries or deaths suffered by postal workers. The U.S. Newsroom › USPS Service Alerts › Forms & Publications › Careers › Site Index › ON USPS.COM. Postal Service (USPS) released its financial report for the 2017 fiscal year in which its leadership detailed a greatly concerning loss of $2.7 billion. Has no dividend. Newsroom › USPS Service Alerts › Forms & Publications › Careers › Site Index › ON USPS.COM. Postal Service (USPS) generated a huge $1.6 billion in profit from Amazon deliveries in the 2019 fiscal year, debunking claims from President Trump that the … USPS Reports $12 million operating profit for Fiscal Year 2017 Second Quarter. Back in the early days when Amazon was not turning a profit, what they were doing was building an incredible network, that covered the entire journey of a product. Obama repeated many of the proposals included in his previous budgets, such as suggesting the Postal Service cut Saturday mail delivery after volume declines to a level the White House expects USPS to hit in late 2018. This material may not be published, broadcast, rewritten, or redistributed. USPS chief financial officer Richard Strasser attributes the decline in profit to rising costs that the Postal Service cannot compensate for via quick price changes. SOURCE FOR OPERATING PROFITS See … Unlike his legislation in the 113th Congress, a bill authored by Sen. Tom Carper, D-Del., also dropped the five-day language. Enter Search term for Search USPS.com. The positive financial news did not prevent Obama from calling for the Postal Service to continue shedding jobs in his fiscal 2017 budget, along with a comprehensive overhaul of the agency’s operations. Postmaster General Megan Brennan on Tuesday echoed the call for congressional action, saying the agency’s positive numbers should not mitigate the need for reform. In brief: The U.S. Seven months into the current fiscal year, the US Postal Service's revenue exceeds its expenses by $1.353 billion. The projected 12,000 USPS job loss in 2017 falls in line with projections released by the Postal Service itself in 2012 as part of its five-year plan. The Postal Service’s operating profits have been driven by improved letter/package revenue. NEXT STORY: A lot of govt agencies run a "profit", that profit is reinvested right back into the govt/agency. The Postal Service is the only federal agency that pre-finances its future retiree health obligations, though the bill would restructure the benefit plan by stretching out the payments over 40 years. Postal Service reported revenue of $69.6 billion for fiscal year 2017 (October 1, 2016 - September 30, 2017), a decrease of $1.8 billion compared to the prior year. The first quarter is typically the best of the year for the Postal Service. Gifts. The agency’s total revenue in fiscal 2019 was $71.2 billion, enough to place it 43rd on the Fortune 500 (higher than Intel) if it were a private company. Issues U.S. The White House again pitched increasing revenue by providing postal management with more flexibility in creating new business opportunities, as well as boosting cooperation with state and local governments to offer services at post offices. USPS noted it would have lost $700 million if not for a temporary price increase set to expire in April. 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