USPS

The United States Postal Service (USPS) said this week it is taking steps to implement what it called a new strategic approach, regarding its contracts with package consolidator companies, which they define as those who consolidate large volumes of packages for entry into various points of the USPS network.

Operating revenue, at $18.8 billion, increased 1.0%, or $191 million, annually, and total quarterly volume, at 26.566 million pieces, fell 1.7% annually. USPS also reported a quarterly net loss of $2.5 billion, compared to a $1.7 billion quarterly loss a year ago, matching the fiscal second quarter.

Operating revenue, at $19.7 billion, were up 2.1%, or $410 million, annually, and total quarterly volume, at 28.011 million pieces, fell 2.1% annually. USPS also reported a quarterly net loss of $1.5 billion, compared to a $2.5 billion quarterly loss a year ago.

Following the news that UPS has been awarded what it labeled a “significant air cargo contract” by the United States Postal Service (USPS), which used to be handled by its biggest competitor, FedEx, there has been no shortage of feedback and opinions on the development.

Atlanta-based global freight transportation and logistics services provider UPS said earlier today it has been awarded what it labeled a “significant air cargo contract” by the United States Postal Service (USPS). UPS officials said that this contract takes effect immediately while also expanding the existing relationship between UPS and USPS. And the company added that after a transition period, UPS will be the primary air cargo provider for USPS, moving the majority of USPS’s United States air cargo.

The current state of the business relationship between Memphis-based freight transportation and logistics services provider FedEx and the United States Postal Service (USPS) received a fair amount of attention on the former’s fiscal second quarter earnings call late last year.

ShipMatrix observed that based on its data of millions of parcels shipped during Cyber Week pointed to online orders being delivered “at levels better than in the last several years,” with the respective OTPs for FedEx, UPS, and the USPS, coming in at 97.8%, 98.0%, and 95.2%, respectively.

A sure sign that the holiday season getting closer each day are the respective announcements made by carriers, transportation and logistics services providers, and shippers alike, announcing their “help wanted” signs have been hung, as they look for seasonal workers.

The USPS cited various investments it has made, in advance of the 2023 Peak Season, including: hiring 10,000 seasonal employees; utilizing 348 new package sorting machines; increasing daily processing capacity to approximately 70 million; moving 95% of volume via more reliable ground transportation, for First Class Mail and more than 95% of First-Class packages; and its new USPS Ground Advantage Shipping Service

Various reports published late last week indicated that Seattle-based global e-commerce giant Amazon is in the process of rebooting its Amazon Shipping service, which is designed to compete with the parcel duopoly of UPS and FedEx, that it halted at the onset of the pandemic.

Fiscal year 2023 second quarter earnings results, for the United States Postal Service (USPS), which were issued earlier this week, saw a 0.9% decrease, or $168 million, in operating revenue, to $18.6 billion, while total volume was off 11.4% annually.

USPS officials attributed the operating revenue loss to declining volumes seen mainly in the organization’s Marketing Mail and Shipping and Packages categories.

While the United States Postal Service (USPS) has seen what could be viewed as mixed fiscal year 2023 earnings results, in that it in February it reported 1.0% operating revenue gain and a $1.0 billion net loss, a trio of parcel experts told LM that the organizations is making inroads. These inroads come on the heels of its "Delivering for America 10-Year Strategic Plan” that was rolled out in March 2021 and focused on achieving financial sustainability and service excellence, in order to meet...

Fiscal year 2023 first quarter earnings results, for the United States Postal Service (USPS), which were issued yesterday, saw a 1.0%—or $206 million—increase in operating revenue, to $21.5 billion, with volumes down 1.7 billion pieces—or 4.8%—annually. While operating income increased, USPS said that it had a $1.0 billion net loss, which it said was a $519 million decrease in net loss compared to a $1.5 billion net loss, for the same quarter a year ago.

After stating in July that it was preparing to cut down on its Sunday delivery services in remote and rural areas of the United States, from 95% to 80% of the U.S. population, Memphis-based global freight transportation and logistics services provider FedEx is now reducing its Sunday delivery footprint to around 50% of the country, according to various reports.