Pitney Bowes Inc. (NYSE: PBI), an eCommerce company, recently released its financial and operational results for the second quarter of 2021. The company reported $899 million in revenue, a 7% growth on a reported basis (6% when the impact of the currency is excluded.
According to Pitney Bowes CEO and President Marc B. Lautenbach, each business made a positive contribution to the quarter yet again. Eminently, Global eCommerce made remarkable progress and was EBITDA positive in the period, putting the company on track to its commitment of EBITDA positive for the entire year. In addition, Presort and SendTech services also grew and were more profitable than they were in the same period last year. As a result, the CEO believes the company is well-positioned to reach its goal of achieving improved profitable revenue growth.
Financial summary
In the second quarter of 2021, the company’s GAAP EPS and Adjusted EPS were $0.11. The EPS reflects a $0.03 tax benefit linked with UK tax legislation change. GAAP cash from operations was $79 million with $87 million of free cash flow.
Global Ecommerce EBIT margin grew by more than 200 basis points compared to 2020, with EBITDA being positive. Presort and SendTech both grew in revenue and EBITDA over last year.
About the companies
Global Ecommerce offers a platform for domestic retail and shipping. This includes delivery, returns and fulfillment, and global e-commerce transactions.
On the other hand, Presort services provide sortation services to qualify voluminous marketing mail, first-class mail, marketing mail flats, and bound printed matter. The company mostly offers these services for workshare postal discounts.
Sending Technology Solutions provides digital and physical shipping and mailing technologies, financing services, supplies, and other applications to small organizations to help them save and simplify sending, tracking, and receiving mail.
Pitney Bowes’expectations for the full year 2021 continues to be in line with its previous communications. It expects the annual revenue to grow in the low to mid-single-digit spectrum. The company also expects adjusted EPS to grow over last year, mainly due to the improvement in Global E-commerce, which the company also expects will be EBITDA positive for the full year 2021.
