Pitney Bowes Revenue Rises, Earnings Fall

Share this content:
Pitney Bowes Inc., an integrated mail and document management solutions company, posted lower first-quarter net earnings yesterday despite strong results from its core postage metering business.


Pitney Bowes, Stamford, CT, the No. 1 postal equipment maker, reported net income of $113.9 million compared with $129.5 million in the year-ago period. Revenue rose to $1.09 billion from $1.05 billion a year ago.


In the quarter, revenue increased 5 percent and operating profit rose 9 percent in the Global Mailing segment, Pitney Bowes's biggest unit, boosted by demand for its digital mailing systems and related services.


Global Mailing "benefited from strong growth in its small-business operations, although the economy caused some delayed decision making for upgrades and new equipment purchases at the high end of the product line," the company said.


Subsidiary PSI Group Inc. added operations and customers in the quarter as the company's presort/work-sharing service network continued to expand in terms of reach and revenue contribution.


Operating profit at the Pitney Bowes Management Services unit, however, declined 37 percent from a year ago.


"Margins were adversely impacted by the initial lower margins, higher start-up costs and delayed implementation associated with new accounts, and the loss of higher-margin business with long-term customers as they continued to downsize," the company said.


The company projects second-quarter earnings per share of 58 cents to 60 cents, on par with analyst estimates.


close

Next Article in Direct Mail

Sign up to our newsletters

Company of the Week

Brightcove is the world's leading video platform. The most innovative and respected brands confidently rely on Brightcove to solve their most demanding communication challenges because of the unmatched performance and flexibility of our platform, our global scale and reliability, and our award-winning service. With thousands of customers and an industry-leading suite of cloud video products, Brightcove enables customers to drive compelling business results.

Find out more here »

Career Center

Check out hundreds of exciting professional opportunities available on DMN's Career Center.  
Explore careers in digital marketing, sales, eCommerce, marketing communications, IT, data strategies, and much more. And don't forget to update your resume so employers can contact you privately about job opportunities.

>>Click Here

Relive the 2017 Marketing Hall of Femme

Click the image above