Pitney Bowes Reports 8% Revenue Decline to $459.7 Million in Q3 2025

Pitney Bowes Inc. reported a total revenue of $459.7 million for the third quarter of 2025, a decrease of 8% compared to $499.5 million in the same period last year. For the nine months ended September 30, 2025, the company generated $1.415 billion in revenue, down 6% from $1.510 billion in 2024. The decline in revenue was attributed to lower service revenue, which fell by $23 million, alongside a $12 million drop in product revenue and a $4 million decrease in financing and other revenue. Despite the revenue decline, the company reported a net income of $52 million for the third quarter, a significant recovery from a net loss of $138 million in the prior year, primarily due to the absence of losses from discontinued operations.

In terms of profitability, Pitney Bowes achieved an income from continuing operations of $52 million for the third quarter, translating to earnings per share of $0.31, compared to $0.68 in the same quarter of 2024. For the nine-month period, income from continuing operations was $117.4 million, or $0.66 per share, down from $0.81 per share in the previous year. The company’s cost of revenue decreased by 9% to $215.4 million in the third quarter, contributing to an improved gross margin percentage of 66.1%, up from 64.5% a year earlier.

Strategically, Pitney Bowes has been undergoing significant restructuring efforts, including a new worldwide restructuring plan announced in October 2025, which aims to eliminate 300-400 positions and is expected to incur charges between $30 million and $45 million. This plan is anticipated to generate annualized savings of $35 million to $50 million. The company also completed a series of transactions to wind down its Global Ecommerce segment, which included a sale to Hilco Commercial Industrial, LLC, and subsequent Chapter 11 bankruptcy proceedings for the Ecommerce Debtors.

Operationally, Pitney Bowes reported a decrease in customer engagement metrics, with a notable decline in meter populations impacting service revenue. The company’s SendTech Solutions segment, which includes physical and digital shipping solutions, saw a revenue drop of 6% in the third quarter, while Presort Services experienced an 11% decline in revenue due to reduced mail volumes. The company’s total employee headcount is expected to decrease as part of the restructuring efforts, which aim to streamline operations and improve financial performance.

Looking ahead, Pitney Bowes anticipates continued challenges in revenue generation, particularly within its SendTech Solutions and Presort Services segments, due to ongoing market conditions and a shift towards lease extensions rather than new equipment sales. The company remains focused on cost management and operational efficiency to navigate these challenges, while also assessing the impact of external factors such as tariffs and economic conditions on its business.