Pitney Bowes Discloses Strong Financial Results for Second Quarter 2025 and Issues CEO Letter

July 30, 2025 at 16:10 PM EDT

Highlights SendTech and Presort Continue to Support Meaningful Earnings and Cash Flow Growth

Increases Share Repurchase Authorization From $150M to $400M Following $130M Share Buybacks Over the Past 120 Days

Increases Dividend for Third Consecutive Quarter

Modifies Aspects of Full-Year Outlook, Including a Slight Reduction to Revenue Guidance, a Reduction to Top-End of EBIT Guidance and a Raise to Adjusted EPS Guidance

CEO Letter Shares Update on Strategic Review Priorities and Timeline

Pitney Bowes Inc. (NYSE: PBI) (“Pitney Bowes” or the “Company”), a technology-driven company that provides SaaS shipping solutions, mailing innovation, and financial services to clients around the world, today disclosed its financial results for the second quarter of 2025. In conjunction with this announcement, Pitney Bowes’ CEO, Kurt Wolf, has released a letter to shareholders to provide his commentary on the quarter and updates on strategic initiatives. This letter issuance supports a format change to the Company’s quarterly earnings calls, whereby management will deliver abbreviated commentary in order to devote additional time to more useful, interactive Q&A.

Q2 2025 Financial Highlights

Revenue was $462 million, down 6% year over year
GAAP EPS was $0.17, an improvement of $0.30 year over year
Adjusted EPS was $0.27, an improvement of $0.16 year over year
GAAP net income of $30 million, an improvement of $55 million year over year
Adjusted EBIT was $102 million, an improvement of $28 million or 37% year over year
GAAP cash from operating activities was $111 million, up $31 million year over year
Free Cash Flow was $106 million, and excluded $8 million of restructuring payments

Earnings per share results are summarized in the table below:

	Second Quarter
	2025	2024
GAAP EPS	$0.17	($0.14)
Loss from discontinued operations, net of tax	-	$0.08
Restructuring charges	$0.06	$0.13
Foreign currency loss on intercompany loans	$0.07	-
Transaction and strategic review costs	$0.01	$0.04
Benefit in connection with Ecommerce Restructuring	($0.03)	-
Adjusted EPS	$0.27	$0.11

Q2 2025 CEO Commentary & Letter

To read and/or download a copy of this quarter’s CEO letter please click here.

Q2 2025 Business Segment Reporting

SendTech Solutions

SendTech Solutions offers physical and digital shipping and mailing technology solutions, financing, services, supplies and other applications for small and medium businesses, retail, enterprise, and government clients around the world to help simplify and save on the sending, tracking and receiving of letters, parcels and flats.

	Second Quarter
($ millions)	2025	2024	% Change Reported
Revenue	$312	$339	(8%)
Adj. Segment EBITDA	$113	$108	5%
Adj. Segment EBIT	$101	$96	5%

SendTech revenue decline was driven by the end of the recent product migration, which largely concluded at the end of 2024, the ongoing shift from equipment placement to lease extensions and a decrease in mailing install base.

Adjusted Segment EBITDA and EBIT improvement was driven by simplification and cost reduction initiatives.

Presort Services

Presort Services provides sortation services that enable clients to qualify for USPS workshare discounts in First Class Mail, Marketing Mail, Marketing Mail Flats and Bound Printed Matter.

	Second Quarter
($ millions)	2025	2024	% Change Reported
Revenue	$150	$147	2%
Adj. Segment EBITDA	$45	$36	25%
Adj. Segment EBIT	$36	$27	33%

Higher revenue per piece and product mix drove revenue growth. Adjusted Segment EBITDA and EBIT improvement was driven by cost reduction initiatives.

Change to Segment Reporting

Effective April 1, 2025, we revised our segment reporting to report the revenue and related expenses of a cross-border services contract in our SendTech Solutions reporting segment, which was previously reported in Other. Prior periods have been recast to conform to the current period presentation.

2025 Full-Year Outlook

Pitney Bowes has updated its full-year revenue guidance, from a $1.95 billion to $2 billion range to a $1.90 billion to $1.95 billion range. This update, which is almost entirely attributable to Presort, stems from previously overemphasizing EBIT margins at the expense of winning and retaining certain Presort clients, which would have been profitable at lower margins. New management has reversed former management’s policy to ensure Presort can leverage its strength and scale as the market leader under Debbie Pfeiffer. The Company also has raised its Adjusted EPS guidance from $1.10 to $1.30 range to a $1.20 to $1.40 range. The Company has tightened its Adjusted EBIT guidance by lowering the top end of the range and reaffirms its previously disclosed full-year guidance for Free Cash Flow. The Company’s current financial guidance is as follows:

$ millions, except EPS	Low	High
Revenue	$1,900	$1,950
Adjusted EBIT	$450	$465
Adjusted EPS	$1.20	$1.40
Free Cash Flow	$330	$370

Q2 2025 Earnings Conference Call

Management will discuss the Company’s results in a webcast today at 5:00 p.m. ET. Instructions for accessing the earnings results call are available on the Investor Relations page of the Company’s website at www.pitneybowes.com.

About Pitney Bowes

Pitney Bowes (NYSE: PBI) is a technology-driven company that provides SaaS shipping solutions, mailing innovation, and financial services to clients around the world – including more than 90 percent of the Fortune 500. Small businesses to large enterprises, and government entities rely on Pitney Bowes to reduce the complexity of sending mail and parcels. For the latest news, corporate announcements, and financial results, visit www.pitneybowes.com/us/newsroom. For additional information, visit Pitney Bowes at www.pitneybowes.com.

Adjusted Segment EBIT

Adjusted Segment EBIT is the primary measure of profitability and operational performance at the segment level. Adjusted Segment EBIT includes segment revenues and related costs and expenses attributable to the segment, but excludes interest, taxes, general corporate expenses, restructuring charges, and other items not allocated to a business segment. We also report Adjusted Segment EBITDA as an additional useful measure of segment profitability and operational performance, which is calculated as Adjusted Segment EBIT plus depreciation and amortization expense of the segment.

Use of Non-GAAP Measures

Pitney Bowes’ financial results are reported in accordance with generally accepted accounting principles (GAAP). Pitney Bowes also discloses certain non-GAAP measures, such as revenue growth on a constant currency basis, adjusted earnings before interest and taxes (Adjusted EBIT), adjusted earnings before interest, taxes, depreciation and amortization (Adjusted EBITDA), adjusted earnings per share (Adjusted EPS) and free cash flow.

Revenue growth on a constant currency basis excludes the impact of changes in currency exchange rates from the prior period under comparison. Constant currency change is calculated by converting the current period non-U.S. dollar denominated revenue using the prior year’s exchange rate. We believe that excluding the impacts of currency exchange rates provides a better understanding of the underlying revenue performance.

Adjusted EBIT, Adjusted EBITDA and Adjusted EPS exclude the impact of restructuring charges, foreign currency gains and losses on intercompany loans, certain costs associated with the Ecommerce Restructuring, gains and losses on debt redemptions and other unusual items that we believe are not indicative to our core business operations.

Free cash flow adjusts cash flow from operations calculated in accordance with GAAP for capital expenditures, restructuring payments and other special items. Management believes free cash flow provides better insight into the amount of cash available for other discretionary uses.

Reconciliations of non-GAAP measures to comparable GAAP measures can be found in the attached financial schedules and at the Company's web site at: https://www.investorrelations.pitneybowes.com/

Forward-Looking Statements

This document contains “forward-looking statements” about the Company’s expected or potential future business and financial performance, including, but not limited to, statements about future revenue and profitability, earnings guidance, future events or conditions, capital allocation strategy, expected cost savings and efficiency improvements, and strategic initiatives and priorities. Forward-looking statements are not guarantees of future performance and involve risks and uncertainties that could cause actual results to differ materially from those projected. Factors which could cause future financial performance to differ materially from expectations include, without limitation, changes in postal regulations or the operations and financial health of posts in the U.S. or other major markets or changes to the broader postal or shipping markets; accelerated or sudden decline in physical mail volumes or shipping volumes; the loss of some of our larger clients; changes in trade policies, tariffs and regulations;; global supply chain issues adversely impacting our third party suppliers’ ability to provide us products and services; periods of difficult economic conditions, the impacts of inflation and rising prices, higher interest rates and a slow-down in economic activity, including a global recession, or a U.S. government shutdown, to the Company and our clients; changes in foreign currency exchange rates; changes in labor and transportation availability and costs; inability to successfully execute on our strategic initiatives; and other factors as more fully outlined in the Company's 2024 Form 10-K Annual Report and other reports filed with the Securities and Exchange Commission during 2025. Pitney Bowes assumes no obligation to update any forward-looking statements contained in this document as a result of new information, events, or developments.

Pitney Bowes Inc.
Consolidated Statements of Operations
(Unaudited; in thousands, except per share amounts)

	Three Months Ended June 30,						Six Months Ended June 30,
		2025			2024			2025		2024
Revenue:
Services	$	290,423		$	297,253		$	608,855	$	619,943
Products		90,880			108,262			184,070		222,386
Financing and other		80,606			84,230			162,404		168,685
Total revenue		461,909			489,745			955,329		1,011,014

Costs and expenses:
Cost of services		144,240			158,196			300,113		322,677
Cost of products		54,487			60,672			105,406		123,426
Cost of financing and other		15,656			20,398			33,163		41,685
Selling, general and administrative		170,542			192,804			336,457		379,636
Research and development		3,601			7,259			8,364		14,885
Restructuring charges		13,806			30,399			15,206		34,165
Interest expense, net		24,937			28,253			49,207		55,559
Other components of net pension and postretirement cost		1,947			(382	)		3,801		(769	)
Other (income) expense		(6,578	)		-			17,609		-
Total costs and expenses		422,638			497,599			869,326		971,264

Income (loss) from continuing operations before taxes		39,271			(7,854	)		86,003		39,750
Provision for income taxes		9,296			2,271			20,606		17,771
Income (loss) from continuing operations		29,975			(10,125	)		65,397		21,979
Loss from discontinued operations, net of tax		-			(14,742	)		-		(49,731	)
Net income (loss)	$	29,975		$	(24,867	)	$	65,397	$	(27,752	)

Basic earnings (loss) per share:
Continuing operations	$	0.17		$	(0.06	)	$	0.36	$	0.12
Discontinued operations		-			(0.08	)		-		(0.28	)
Net income (loss)	$	0.17		$	(0.14	)	$	0.36	$	(0.16	)

Diluted earnings (loss) per share:
Continuing operations	$	0.17		$	(0.06	)	$	0.36	$	0.12
Discontinued operations		-			(0.08	)		-		(0.27	)
Net income (loss)	$	0.17		$	(0.14	)	$	0.36	$	(0.15	)

Weighted-average shares used in diluted earnings per share		181,005			178,696			182,708		181,342

The sum of the earnings per share amounts may not equal the totals due to rounding.

Pitney Bowes Inc.
Consolidated Balance Sheets
(Unaudited; in thousands)

Assets	June 30, 2025			December 31, 2024
Current assets:
Cash and cash equivalents	$	285,177		$	469,726
Short-term investments		15,606			16,374
Accounts and other receivables, net		155,317			159,951
Short-term finance receivables, net		506,989			535,608
Inventories		79,001			59,836
Current income taxes		1,300			10,429
Other current assets and prepayments		82,600			66,030
Total current assets		1,125,990			1,317,954
Property, plant and equipment, net		193,264			218,657
Rental property and equipment, net		23,004			24,587
Long-term finance receivables, net		638,625			610,316
Goodwill		748,530			721,003
Intangible assets, net		16,767			15,780
Operating lease assets		113,136			113,357
Noncurrent income taxes		103,767			99,773
Other assets		275,755			276,089
Total assets	$	3,238,838		$	3,397,516

Liabilities and stockholders' deficit
Current liabilities:
Accounts payable and accrued liabilities	$	742,804		$	873,626
Customer deposits at Pitney Bowes Bank		608,937			645,860
Current operating lease liabilities		27,276			26,912
Current portion of long-term debt		15,150			53,250
Advance billings		76,231			70,131
Current income taxes		18,508			2,948
Total current liabilities		1,488,906			1,672,727
Long-term debt		1,881,565			1,866,458
Deferred taxes on income		41,063			49,187
Tax uncertainties and other income tax liabilities		12,538			13,770
Noncurrent operating lease liabilities		100,244			100,804
Noncurrent customer deposits at Pitney Bowes Bank		51,977			57,977
Other noncurrent liabilities		199,354			215,026
Total liabilities		3,775,647			3,975,949

Stockholders' deficit:
Common stock		270,338			270,338
Retained earnings		2,669,992			2,671,868
Accumulated other comprehensive loss		(764,276	)		(839,171	)
Treasury stock, at cost		(2,712,863	)		(2,681,468	)
Total stockholders' deficit		(536,809	)		(578,433	)
Total liabilities and stockholders' deficit	$	3,238,838		$	3,397,516

Pitney Bowes Inc.
Business Segment Revenue
(Unaudited; in thousands)


	Three Months Ended June 30,							Six Months Ended June 30,
		2025			2024	% Change			2025			2024	% Change


Sending Technology Solutions	$	311,716		$	339,273	(8	%)	$	627,322		$	686,094	(9	%)
Presort Services		150,193			146,858	2	%		328,007			316,665	4	%
Total reportable segments		461,909			486,131	(5	%)		955,329			1,002,759	(5	%)
Other		-			3,614	(100	%)		-			8,255	(100	%)
Total revenue, as reported		461,909			489,745	(6	%)		955,329			1,011,014	(6	%)
Impact of currency on revenue		(2,686	)						(551	)
Total revenue, constant currency	$	459,223		$	489,745	(6	%)	$	954,778		$	1,011,014	(6	%)

Pitney Bowes Inc.
Adjusted Segment EBIT & EBITDA
(Unaudited; in thousands)



	Three Months Ended June 30,
	2025							2024							% change
	Adjusted Segment EBIT ⁽¹⁾		D&A		Adjusted Segment EBITDA			Adjusted Segment EBIT ⁽¹⁾		D&A		Adjusted Segment EBITDA			Adjusted Segment EBIT		Adjusted Segment EBITDA

Sending Technology Solutions	$	101,255	$	11,731	$	112,986		$	96,023	$	11,524	$	107,547		5	%	5	%
Presort Services		35,940		9,139		45,079			27,048		8,955		36,003		33	%	25	%
Total reportable segments	$	137,195	$	20,870		158,065		$	123,071	$	20,479		143,550		11	%	10	%

Reconciliation of Adjusted Segment EBITDA to income or loss from continuing operations before taxes:
Other operations⁽²⁾						-							(4,121	)
Depreciation and amortization - reportable segments						(20,870	)						(20,479	)
Interest expense, net						(37,499	)						(44,218	)
Corporate expenses						(34,902	)						(44,293	)
Restructuring charges						(13,806	)						(30,399	)
Foreign currency (loss) gain on intercompany loans						(17,029	)						712
Transaction and Strategic review costs						(1,266	)						(8,606	)
Benefit in connection with Ecommerce Restructuring						6,296							-
Gain on debt redemption/refinancing						282							-
Income (loss) from continuing operations before taxes					$	39,271						$	(7,854	)



	Six Months Ended June 30,
	2025							2024							% change
	Adjusted Segment EBIT ⁽¹⁾		D&A		Adjusted Segment EBITDA			Adjusted Segment EBIT ⁽¹⁾		D&A		Adjusted Segment EBITDA			Adjusted Segment EBIT		Adjusted Segment EBITDA

Sending Technology Solutions	$	198,282	$	23,412	$	221,694		$	191,937	$	23,429	$	215,366		3	%	3	%
Presort Services		90,719		18,408		109,127			67,377		17,713		85,090		35	%	28	%
Total reportable segments	$	289,001	$	41,820		330,821		$	259,314	$	41,142		300,456		11	%	10	%

Reconciliation of Adjusted Segment EBITDA to income or loss from continuing operations before taxes:
Other operations⁽²⁾						-							(4,831	)
Depreciation and amortization - reportable segments						(41,820	)						(41,142	)
Interest expense, net						(75,384	)						(88,127	)
Corporate expenses						(67,019	)						(86,495	)
Restructuring charges						(15,206	)						(34,165	)
Foreign currency (loss) gain on intercompany loans						(24,624	)						5,350
Transaction and Strategic review costs						(3,156	)						(11,296	)
Benefit in connection with Ecommerce Restructuring						6,755							-
Loss on debt redemption/refinancing						(24,364	)						-
Income from continuing operations before taxes					$	86,003						$	39,750

(1)	Adjusted segment EBIT excludes interest, taxes, general corporate expenses, restructuring charges, foreign currency gains and losses from the revaluation of intercompany loans and other items that are not allocated to a business segment.
(2)	Other operations includes the revenue and related expenses of our former Global Ecommerce business that did not qualify for discontinued operations treatment.

Pitney Bowes Inc.
Reconciliation of Reported Consolidated Results to Adjusted Results
(Unaudited; in thousands, except per share amounts)

	Three Months Ended June 30,						Six Months Ended June 30,
		2025			2024			2025			2024

Reconciliation of reported net income (loss) to adjusted EBIT and adjusted EBITDA
Net income (loss)	$	29,975		$	(24,867	)	$	65,397		$	(27,752	)
Loss from discontinued operations, net of tax		-			14,742			-			49,731
Provision for income taxes		9,296			2,271			20,606			17,771
Income (loss) from continuing operations before taxes		39,271			(7,854	)		86,003			39,750
Restructuring charges		13,806			30,399			15,206			34,165
Foreign currency loss (gain) on intercompany loans		17,029			(712	)		24,624			(5,350	)
Transaction and Strategic review costs		1,266			8,606			3,156			11,296
Benefit in connection with Ecommerce Restructuring		(6,296	)		-			(6,755	)		-
(Gain) loss on debt redemption/refinancing		(282	)		-			24,364			-
Adjusted net income before tax		64,794			30,439			146,598			79,861
Interest, net		37,499			44,218			75,384			88,127
Adjusted EBIT		102,293			74,657			221,982			167,988
Depreciation and amortization		28,762			28,483			57,086			57,332
Adjusted EBITDA	$	131,055		$	103,140		$	279,068		$	225,320

Reconciliation of reported diluted earnings (loss) per share to adjusted diluted earnings per share
Diluted earnings (loss) per share	$	0.17		$	(0.14	)	$	0.36		$	(0.15	)
Loss from discontinued operations, net of tax		-			0.08			-			0.27
Restructuring charges		0.06			0.13			0.06			0.15
Foreign currency loss (gain) on intercompany loans		0.07			-			0.10			(0.02	)
Transaction and Strategic review costs		0.01			0.04			0.01			0.05
Benefit in connection with Ecommerce Restructuring		(0.03	)		-			(0.03	)
Loss on debt redemption/refinancing		-			-			0.10
Adjusted diluted earnings per share	$	0.27		$	0.11		$	0.61		$	0.29

The sum of the earnings per share amounts may not equal the totals due to rounding.

Reconciliation of reported net cash from operating activities to free cash flow
Net cash from operating activities - continuing operations	$	111,388		$	79,910		$	94,709		$	78,895
Capital expenditures		(13,343	)		(16,466	)		(30,230	)		(30,783	)
Restructuring payments		8,412			11,708			21,518			26,697
Free cash flow	$	106,457		$	75,152		$	85,997		$	74,809