The group of companies, which includes its Canada Post segment and three non-wholly owned principal subsidiaries, reported net profits of $198 million in 2014.
Canada Post Group posted net profits of $198 million in fiscal year 2014, compared to a $29 million loss in 2013, according to the company’s yearly financial report. The group, which includes its Canada Post segment and three non-wholly owned principal subsidiaries – Purolator Holdings Ltd., SCI Group Inc. and Innovapost Inc – had revenues from operations of $7.98 billion in 2014, up 5.5 percent from the previous year.
The group’s Canada Post segment reported a profit before tax of $194 million in 2014, considerably better than the $125-million loss before tax in 2013.
The group attributed its results primarily to strong growth in its parcel business, lower employee benefit costs and new pricing measures for transaction mail.
Revenues from Canada Post segment’s parcel unit increased $120 million to more than $1.5 billion in 2014 and revenue from domestic parcels, the largest parcels product category, surpassed $1 billion for the first time.
Transaction mail, which includes mostly letters, bills and statements, volumes fell 5.2 percent, or 214 million pieces, compared to 2013. A tiered pricing structure introduced at the start of the second quarter offset much of the impact of declining mail volumes, however, as transaction mail revenue still increased 8 percent, or $238 million, from the previous year.
In 2014, direct marketing revenue fell 3 percent to as volumes decreased by 2.2 percent, or 112 million pieces.
Canada Post Group back in black
