Canada Post segment posts $270 million loss for 2018
Canada Post recorded a loss before tax of $270 million for 2018. Three main non-recurring items factor into the result:
- Resolving pay equity for previous years, which cost the Corporation $280 million.
- The labour disruption in the fall, which created an estimated revenue shortfall of $195 million and resulted in a net impact of $135 million to the loss before taxes.
- And an update to workers compensation liabilities, which saved the company $48 million.
Had it not been for these non-recurring factors, Canada Post would have recorded a profit in 2018.
The segment’s $270 million loss is a decline of $346 million compared to 2017. Going forward, Canada Post estimates the significant pay and benefit improvements related to pay equity for Rural and Suburban Mail Carriers will cost $140 million a year.
Two important trends continued in 2018: the strong growth in parcels and the significant decline in mail volumes. Parcels generated 38 per cent of the segment’s revenue in 2018, compared to 34 per cent in 2017 and only 21 per cent in 2011. Canada Post remains the country’s leading parcel delivery company.
The results were released today, along with the 2018 Canada Post annual report, which is completely digital for the first time.
Key results for the Canada Post segment in 2018 compared to 2017:
Parcels
- Total Parcels volumes increased by 54 million pieces or 21.7 per cent.
- Revenue increased by $308 million or 13.6 per cent.
- For Domestic Parcels, volumes grew by 20 million pieces or 10.9 per cent, and revenue increased by $254 million or 15.3 per cent.
Transaction Mail
- Transaction Mail volumes fell by 187 million pieces or 6.2 per cent.
- Revenue decreased by $151 million or 5.5 per cent.
- Canadians mailed 2.4 billion (44 per cent) fewer pieces of mail in 2018 than in the peak year of 2006.
Direct Marketing
- Direct Marketing volumes fell by 169 million pieces or 3.9 per cent.
- Revenue decreased by $23 million or 2.4 per cent.
- Volumes and revenue were negatively affected by the labour disruption in the last quarter.
The annual report meets accessibility standards so that any visually impaired reader has access to the same information as a fully sighted reader. This allows text-to-voice software programs to:
- Read aloud in the correct pronunciation for French or English.
- Tab through the page by headers and subheaders, giving non-sighted readers a quick way to skim the page for information.
- Read aloud the information in all infographics and tables according to accessibility best practices.
- Provide a description of what a photograph or illustration looks like.
2019/04/18
Canada Post segment reports $94-million loss before tax in third quarter
Canada Post recorded a $94-million loss before tax in the third quarter (July, August and September), mainly due to the costs of implementing an arbitrator’s final pay equity ruling on how much delivery employees in suburban and rural Canada are paid.
For the first three quarters of 2018, Canada Post is reporting a loss before tax of $266 million, compared to a profit before tax of $13 million for the same period in 2017. Without costs related to the pay equity ruling, we would have reported a small profit before tax for the first three quarters of 2018.
Pay equity costs and the impact of rotating strikes in October and November are major factors in Canada Post projecting a loss for 2018.
However, our Parcels business continues to grow strongly, and Canada Post remains the country’s leading parcel delivery company. We’ve grown our Parcels revenue year over year in 25 of the last 26 quarters.
Key results for the Canada Post segment in Q3 2018 compared to Q3 2017
Parcels
- Parcels revenue increased by $106 million or 21.2 per cent.
- Volumes increased by 14 million pieces or 23.3 per cent.
- Over the first three quarters of 2018, Parcels revenue increased by $322 million or 21.8 per cent, and volumes increased by 44 million pieces or 26.7 per cent when compared to the same period in 2017.
Transaction Mail
- Transaction Mail volumes have been eroding for 12 straight years.
- Volumes decreased by 35 million pieces or 4.6 per cent, while revenue decreased by $24 million or 3.6 per cent.
- For the first three quarters of 2018, Transaction Mail volumes decreased by 119 million pieces or 4.9 per cent and revenue decreased by $103 million or 4.6 per cent, compared to the same period in 2017.
Direct Marketing
- Direct Marketing revenue decreased by $5 million or 1.9 per cent.
- Volumes decreased by 44 million pieces or 3.9 per cent.
- Over the first three quarters of 2018, Direct Marketing revenue decreased by $9 million or 1.1 per cent and volumes decreased by 54 million pieces or 1.5 per cent when compared to the same period in 2017.
2018/11/28
Canada Post segment reports $242-million loss before tax in second quarter
The Canada Post segment is reporting a $242-million loss before tax in the second quarter, which ended June 30, 2018. This is mainly in recognition of estimated costs associated with adjusting how RSMC employees are paid.
Discussions are under way with the Canadian Union of Postal Workers to reach an agreement to resolve the issue of pay equity for RSMC. As we continue to work towards a meaningful resolution, we have an obligation to reflect the estimated financial impact in the corporate financial results.
The business continues to see strong growth in e-commerce. In the second quarter, we remained the country’s leading parcel delivery company. We have grown Parcels revenue year over year in 24 of the last 25 quarters – dating back to 2012.
Key results for the Canada Post segment in Q2 2018 compared to Q2 2017
Parcels
Parcels revenue grew by $106 million or 19.6 per cent
Parcels volumes increased by 13 million pieces or 24.1 per cent
Domestic Parcels continued to grow strongly, as revenue increased by $81 million or 20.5 per cent and volumes grew by 6 million pieces or 14.5 per cent.
Transaction Mail
Transaction Mail revenue decreased by $33 million or 6 per cent
Volumes decreased by 34 million pieces or 5.9 per cent
The ongoing decline in mail volumes remains a significant challenge.
Direct Marketing
Revenue fell by $1 million or 2 per cent
Volumes grew by 13 million pieces but fell by 0.6 per cent when adjusted for trading days
Revenue for Neighbourhood Mail increased by $4 million or 1.3 per cent while volumes increased by 27 million pieces or 1.3 per cent.
(All revenue amounts for 2017 were restated as a result of new accounting standards.)
2018/08/28
Le secteur Postes Canada enregistre une perte avant impôts de 242 millions de dollars au deuxième trimestre
Le secteur Postes Canada enregistre une perte avant impôts de 242 millions de dollars pour le deuxième trimestre, qui a pris fin le 30 juin 2018. Cela s’explique surtout par les coûts estimés associés à l’ajustement de la rémunération des FFRS.
Les discussions se poursuivent avec le Syndicat des travailleurs et travailleuses des postes afin de parvenir à une entente à propos de la question de l’équité salariale des FFRS. Alors que nous cherchons un règlement judicieux, nous avons l’obligation de tenir compte des répercussions financières estimées dans les résultats financiers de l’entreprise.
Le cybercommerce continue de connaître une solide croissance. Au deuxième trimestre, nous sommes demeurés le chef de file du pays en matière de livraison de colis. Nous avons enregistré une augmentation des revenus du secteur Colis sur 12 mois pour 24 des 25 derniers trimestres – remontant à 2012.
Principaux résultats du secteur Postes Canada au deuxième trimestre de 2018 par rapport au deuxième trimestre de 2017
Colis
Les revenus du secteur Colis ont augmenté de 106 millions de dollars ou de 19,6 %.
Les volumes ont connu une hausse de 13 millions d’articles ou de 24,1 %.
Les colis du régime intérieur ont poursuivi leur forte croissance, avec une hausse des revenus de 81 millions de dollars, ou 20,5 %, et une augmentation des volumes de 6 millions d’articles, ou 14,5 %.
Courrier transactionnel
Les revenus du secteur Courrier transactionnel ont diminué de 33 millions de dollars, soit 6 %.
Les volumes ont baissé de 34 millions d’articles, soit 5,9 %.
Le déclin des volumes de courrier demeure un défi considérable.
Marketing direct
Les revenus ont reculé de 1 million de dollars ou de 2 %.
Les volumes ont augmenté de 13 millions d’articles, mais ont baissé de 0,6 % après rajustement en fonction du nombre de jours commerciaux.
Les revenus du secteur Courrier de quartier ont augmenté de 4 millions de dollars, soit 1,3 %, tandis que les volumes ont connu une hausse de 27 millions d’articles, soit 1,3 %.
(Tous les revenus pour l’exercice 2017 ont été retraités à la suite de l’adoption de nouvelles normes comptables.)
2018/08/28
Canada Post segment reports $70-million profit before tax in first quarter
The Canada Post segment is reporting a $70-million profit before tax for the first quarter of 2018, which ended March 31.
The growth in Parcels volumes was driven by strong performance from major commercial customers and by Canada Post’s solid delivery performance as consumers order more products online. The growth continues the positive momentum Canada Post achieved in 2017, when employees delivered record Parcels volumes.
Revenue for Q1 2017 was restated as a result of new accounting standards.
Key results for the Canada Post segment in Q1 2018 compared to Q1 2017
Parcels
Parcels revenue grew by $110 million or 24.6 per cent.
Parcels volumes increased by 17 million pieces or 33.0 per cent. Some of that growth occurred as Transaction Mail Inbound Letter-post migrated to Parcels due to changes in international induction procedures.
Transaction Mail
Transaction Mail revenue decreased by $46 million or 4.1 per cent.
Volumes decreased by 50 million pieces or 4.0 per cent.
Direct Marketing
Revenue decreased by $3 million, which is an increase of 0.5 per cent when adjusted for trading days. Volumes fell by 23 million pieces or 0.5 per cent.
Revenue for Neighbourhood Mail remained constant while volumes decreased slightly, by seven million pieces.
2018/05/25