Pitney Bowes ( (PBI) ) has released its Q3 earnings. Here is a breakdown of the information Pitney Bowes presented to its investors.
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Pitney Bowes is a technology-driven company that specializes in providing SaaS shipping solutions, mailing innovation, and financial services to clients worldwide, including a significant portion of the Fortune 500 companies.
In the third quarter of fiscal year 2024, Pitney Bowes reported a slight decline in revenue at $499 million, a 1% decrease compared to the previous year. Despite reporting a GAAP EPS loss of $0.75, the company achieved an improved adjusted EPS of $0.21, indicating a positive trend compared to the previous year.
Among the key highlights, Pitney Bowes reported a 22% increase in adjusted EBIT, reaching $103 million, and a significant improvement in free cash flow by $19 million to $75 million. The company’s strategic initiatives, including the GEC exit and cost rationalization, have led to $90 million in annualized cost savings and are expected to continue yielding financial benefits.
Pitney Bowes has made notable progress in its Presort Services and SendTech Solutions segments, with Presort Services increasing revenue by 9% and achieving a 59% rise in adjusted EBIT. SendTech Solutions, although facing a 4% revenue decline, showed a 5% improvement in adjusted segment EBIT, driven by strategic shifts to SaaS models.
Looking ahead, Pitney Bowes is focused on continuing its strategic initiatives to enhance profitability and strengthen its financial foundation into 2025. The company has updated its full-year guidance, forecasting a low-single-digit decline in revenue but raising its adjusted EBIT expectations to between $355 million and $360 million.
