Canada Post has reported a C$44 million profit before tax in Q1 of 2017, driven in a large part by a 12.5% increase in parcel volumes.

The Canadian postal operator released a statement saying that the revenue from parcels have increased by $45 million (10.8%). Domestic parcels led in this category, and these continued to grow strongly, with revenues increasing by $36 million (12.1%) while volumes grew by 4 million pieces (10.7%).

Meanwhile, transaction mail volumes fell by 56 million pieces (5.9%) and revenues fell by $32 million (3.8%)

Direct Marketing volumes also took a hit. These fell by 3 million pieces (0.3%) and revenues for this fell by $10 million (3.4%). However the largest product category by volume (neighbourhood Mail) saw revenues grow by $1 million (0.4%) and volumes grow by 1.5%.

The Canada Post Group of Companies – which includes Purolator Holdings, SCI Group and Innovapost as well as the Canada Post segment – reported a profit before tax of $65m, up from $35m in Q1 2016. Canada Post said that increase was “primarily driven by positive results in the Purolator segment, which reported a profit before tax of $17m in the first quarter of 2017, due to business growth, compared to a loss before tax of $12m in the same period in 2016.” 
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