December 7, 2020

The Postal Service reported a very successful October, much better than their budget plan and last October.  Large growth in packages and election mail were evident, as well as under-spending the plan for personnel expenses.  As October is the first month of fiscal year 2021, it makes one wonder how USPS got their plan so wrong.

• Net income was $405 million versus a plan to lose $478 million, $883 million over plan. Last October saw a loss of $370 million.
• Revenue was $6.990 billion, 6.8 percent over plan and 12.9 percent better than last year.
• Personnel expenses were $5.058 billion, below plan by $417 million or 7.6 percent. They were below last year by $67 million or 1.3 percent. This was largely due to a non-cash adjustment to workers’ compensation which is the impact of discount and inflation rate changes and the actuarial revaluation of new and existing cases.
• First Class volume was 4.526 billion, up 2.1 percent, with revenue of $2.054 billion, up 2.6 percent.
• Marketing Mail volume was 8.511 billion, up 12.1 percent, with revenue of $1.772 billion, up 6.8 percent.
• Total Market Dominant (mail) volume was 13.454 billion, bringing in revenue of $4,184 billion, up 7.5 percent and 3.3 percent, respectively.
• Total Competitive (package) volume was 590 million, and increase of 133 million or 29 percent. Revenue was $2.602 billion, up $665 million or 34.4 percent.