Financial problems continue to prevail at the Postal Service (USPS) after reporting losses estimated at $2.5 billion so far in the third quarter.
Although the figure is lower than the $3.1 billion lost in the same period a year ago, the agency attributes the difference to the reduction in compensation to its workforce, which saved $416,000,000 million and increased operating income by $1.1 billion.
In mid-March, David Steiner, CEO of the USPS, warned that without major changes, the agency could run out of cash by early 2027, despite some measures implemented to restructure it.
The USPS, which operates as an independent agency funded primarily by the sale of postal services, is subject to a $15 billion debt limit in effect since 1990, which has already been reached.
In fact, the agency has been racking up losses for years. In fiscal year 2025 alone, it reported a deficit of $9 billion, a figure similar to the $9.5 billion recorded in 2024.
During this quarter, operating income was $19.9 billion dollars, which represents an increase of 6.1% compared to last year, but when compared to the $20.2 billion dollars of the previous quarter it denotes a decline.
Through a statement, Steiner warned about the problem the federal agency is going through.
“The Postal Service continues to face a severe liquidity crisis, and our financial losses this quarter reflect the systemic challenges inherent to our business model and regulatory framework established by Congress,” he wrote.
The manager also faces an initiative promoted by the Senate to add more than 70 new ZIP codes, since such a measure would cost the USPS nearly $800 million dollars.
