Canada Post released its 2015 financial results today. Our record parcels growth in 2015 made Canada Post the largest parcel company in the country and contributed to a profit before tax of $63 million for the Canada Post segment. Declining Transaction Mail volumes continue to present a significant challenge, falling by nearly a quarter billion pieces in 2015.
Key results for the Canada Post segment compared to 2014
- Revenue increased by $137 million or 9.1 per cent to $1.65 billion.
- Volumes rose by 16 million pieces or 9.7 per cent.
- Parcels now generate more than 25 per cent of our revenue.
- Volumes fell by 6.1 per cent.
- Revenue declined by $13 million or 0.4 per cent to $3.2 billion.
- Since peaking in 2006, volumes of Domestic Lettermail, the largest product category, have fallen by 32 per cent or 1.6 billion pieces.
- Direct Marketing contributed almost $1.2 billion in revenue in 2015.
- Volumes rose by 0.2 per cent or 10 million pieces. Revenue fell by $11 million or 0.9 per cent.
Employee benefit expenses: Significant volatility in pension and other employee benefit expenses continues to pose a challenge to Canada Post. Expenses rose by $189 million mainly because of a decline in the discount rates used to calculate benefit plan costs in 2015. This was partially offset by the positive impact of strong pension asset returns in 2014.
Read the 2015 Annual Report for more details. A copy of the Focus on our Business Newsletter highlighting the 2015 Annual Report will arrive at your home in the coming days.