Canada Post is reorganising to meet demand from its customers, but still reported losses of CAD 236m (€172.5m) in its 2022 financial results. Revenues grew marginally y-o-y to CAD 10,142m (€7,413m).
Canada Post has been heavily investing in its change from being a primarily postal delivery operation to a parcel delivery operation. Contributing to the postal operator’s 2022 losses was the development of the new, CAD 470m Albert Jackson processing centre in Toronto. When opened this year it will be capable of handling a million parcels a day, or around 50% more than Canada Post’s largest existing facility in Mississauga, Ontario.
At the same time, the postal operator is trialling new packet induction technology at the Mississauga ON site this year as it seeks to further drive efficiencies into the network.
Amongst other highlights, Canada Post has installed 3,900 parcel lockers in apartments and condominiums across the country and a further 4,800 outdoor parcel lockers in 2022. Developing the parcel locker network should reduce missed deliveries and the postal operator’s carbon emissions in years to come.
President and CEO Doug Ettinger said of the results, that in the face of the e-commerce boom that has yet to fully abate, “We evolved and transitioned to become a parcel-driven company while mail volumes continued to decline. In fact, in 2021, for the first time, parcels accounted for half of our annual revenue.” According to the annual report, parcel revenue was CAD 6,493m (€4,745m), or 64% of its revenues in the calendar year.
Ettinger concluded, “There is still much work ahead, but we are committed to the journey. By ensuring Canada Post remains in step with the changing needs of Canadians, we’ll help deliver a stronger Canada while putting the Corporation on the path to long-term financial sustainability.”
Source: Ti Insights
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