U.S. Postal Service Reports Fiscal Year 2026 Results - Pennsylvania newsroom

The U.S. Postal Service announced its financial results for the 2026 fiscal year on September 30, reporting a net loss of $6.5 billion under generally accepted accounting principles.

That figure compares with a net loss of $9.0 billion for the prior year, according to financial data released by the agency. Operating revenue reached $82.9 billion, marking a 3.0 percent increase from the previous year’s $80.5 billion.

Postmaster General David Steiner pointed to systemic hurdles embedded in the current federal framework. He said that despite ongoing self-help initiatives, the agency continues to grapple with structural deficits.

“While the Postal Service continues to face systemic challenges associated with the business model and regulatory framework established by Congress, the results we are reporting for the year demonstrate solid improvements in revenue generation, cost control and service performance,” said Postmaster General David Steiner.

The reduction in the net loss was driven by a $2.4 billion increase in operating revenue alongside a $2.4 billion decrease in workers’ compensation expenses and a $277 million decrease in retirement expenses. Controllable loss, which excludes certain costs outside management’s reach, dropped to $2.4 billion from $2.7 billion the prior year.

Shipping and packages generated $34.1 billion, up 5.1 percent despite a volume decline of 6,454 million pieces. Marketing mail revenue rose to $16.7 billion, a 5.3 percent increase on slightly lower volumes.

First-Class Mail brought in $26.2 billion, representing a 1.2 percent revenue increase despite a volume drop of 2.2 billion pieces, or 5.1 percent. The agency attributed the overall revenue growth to expansion in the USPS Ground Advantage Shipping and Packages subcategory, steady marketing mail performance, and periodic price adjustments.

Total operating expenses dipped slightly by 0.4 percent to $89.4 billion. Cost-cutting measures over the year included slashing 19 million work hours and streamlining logistics networks.

Chief Financial Officer Luke Grossmann emphasized that internal cost controls alone cannot fix the underlying structural problems.

However, our actions alone cannot resolve the challenges brought on by an outdated business model. We will continue to do our part but we need meaningful legislative, regulatory, and administrative reforms to propel the Postal Service toward long-term financial sustainability. Chief Financial Officer Luke

said Chief Financial Officer Luke Grossmann.

The agency is pressing Congress for specific statutory changes. The Postal Service is seeking legislative actions to establish a more durable business model, which includes addressing pension funding rules with the Office of Personnel Management.

In April, the Postal Regulatory Commission granted a temporary conditional waiver on certain pension amortization payments. The Postal Service also deferred approximately $2.6 billion in normal cost contributions for employees under the Federal Employee Retirement System, though the organization noted these measures do not represent long-term solutions.