The proliferation of package delivery companies is hurting revenue at Canada Post, which posted a pretax loss of $290 million in the third quarter of 2023.
Sales fell particularly in the parcels and transaction mail divisions, Canada Post said on Friday.
The company’s revenue fell $44 million, or 2.7%, this quarter compared to the third quarter of 2022. Pretax loss increased by $63 million during the same period in 2022 and 2023.
Since the start of 2023, Canada Post’s revenue has fallen by $154 million, down 3.5% compared to the same period last year.
However, parcel sales remained relatively stable in the third quarter, only declining by 0.3%, while parcel volumes processed increased by 12.1%.
“Although parcel volumes increased, an increasingly competitive parcel delivery market continued to weigh on sales in the parcels division,” the state-owned company noted.
Transactional mail revenue fell 7.7%, reflecting a 7.5% volume decline in the third quarter compared to 2022.