Pitney Bowes Discloses Financial Results for Fourth Quarter and Full Year 2025 and Issues CEO Letter

Delivered Strong Earnings and Cash Flow Performance in 2025, Reflecting Continued Focus on Accretive Capital Allocation, Disciplined Cost Management and Improved Operational Execution

Deployed Significant Cash Flow into Repurchasing 12.6 million shares for $127 million and Reducing $114 million of Principal Debt in Q4 2025

Releases Full-Year 2026 Guidance and New CEO Letter, which Summarizes Recent Progress and Go-Forward Priorities

SHELTON, Conn., February 17, 2026–(BUSINESS WIRE)–Pitney Bowes Inc. (NYSE: PBI) (“Pitney Bowes” or the “Company”), a technology-driven company that provides digital shipping solutions, mailing innovation, and financial services to clients around the world, today disclosed its financial results for the fourth quarter and full year 2025. In conjunction with this announcement, CEO, Kurt Wolf, has released a letter to shareholders to provide his commentary on the quarter and updates on strategic initiatives. To read and/or download a copy of this quarter’s CEO letter please click here.

Financial Highlights:The following tables summarize the Company’s financial highlights for the fourth quarter and full year 2025:

1 Adjusted EPS, Adjusted EBIT, and Free Cash Flow are non-GAAP measures. Definitions for these metrics can be found in the Use of Non-GAAP Measures section. Reconciliations of non-GAAP measures to comparable GAAP measures can be found in the attached financial schedules.

Update on Capital Allocation

In Q4, the Company repurchased 12.6 million shares for $127 million. From January 1, 2026 through February 13, 2026, the Company repurchased an additional 1.2 million shares for $12 million. As a result of the successful execution of the share repurchase program, Pitney Bowes’ Board of Directors (the “Board”) recently increased the Company’s repurchase authorization by $250 million. As of February 13, 2026, there was $359 million in capacity remaining under the authorization.

In Q4, the Company reduced principal debt by $114 million through a combination of a tender offer for the 2037 and 2043 Notes, open market repurchases of the Term Loan B and 2027 Notes, and scheduled amortization payments.

The Board approved a regular quarterly dividend of $0.09 per share, payable on March 30, 2026, to shareholders of record as of February 27, 2026.

In Q4, the Company entered into buy-in contracts with insurance carriers to transfer the risk associated with approximately $875 million of projected benefit obligations from the Company’s U.S. Qualified and Canadian Qualified Pension Plans.

Business Segment Reporting

SendTech SolutionsSendTech Solutions offers physical and digital shipping and mailing technology solutions, financing, services, supplies and other applications for small and medium businesses, retail, enterprise, and government clients around the world to help simplify and save on the sending, tracking and receiving of letters, parcels and flats.

SendTech revenue decline in the fourth quarter was driven by the impact of prior year product migration and a decrease in the mailing install base. The product migration concluded at the end of 2024, and the Company expects segment year-over-year revenue decline to be less steep going forward. Shipping-related revenues declined 5% year-over-year in the fourth quarter.

SendTech achieved increased Adjusted EBITDA and EBIT through disciplined cost management. Gross margin expanded 180 basis points in the fourth quarter due to cost optimization actions and a shift to higher margin revenue streams. In the fourth quarter, operating expenses declined $28 million year-over-year primarily from cost reduction initiatives.

Presort ServicesPresort Services provides sortation services that enable clients to qualify for USPS workshare discounts in First Class Mail, Marketing Mail, Marketing Mail Flats and Bound Printed Matter.

Revenue decline in the fourth quarter was driven by a 10% reduction in volumes due to previously communicated client losses and market decline. Total volume sorted in the fourth quarter 2025 was 3.4 billion pieces of mail.

Adjusted Segment EBITDA and EBIT declined due to the decrease in revenue and reduced operating leverage from lower volumes. This decline was partially offset by improved operating expenses and a favorable $5 million prior period accounting adjustment.

Pitney Bowes provides the following guidance for Revenue, Adjusted EBIT, Adjusted EPS and Free Cash Flow in 2026.

***As a reminder, to read and/or download a copy of this quarter’s CEO letter, please click here***

Q4 and Full Year 2025 Earnings Conference Call

Management will discuss the Company’s results in a webcast tomorrow, February 18, 2026, at 8:00 a.m. ET. Instructions for accessing the earnings results call are available on the Investor Relations page of the Company’s website at www.pitneybowes.com.

Pitney Bowes (NYSE: PBI) is a technology-driven company that provides digital shipping solutions, mailing innovation, and financial services to clients around the world – including more than 90 percent of the Fortune 500. Small businesses to large enterprises, and government entities rely on Pitney Bowes to reduce the complexity of sending mail and parcels. For the latest news, corporate announcements, and financial results, visit www.pitneybowes.com/us/newsroom. For additional information, visit Pitney Bowes at www.pitneybowes.com.

Adjusted Segment EBIT is the primary measure of profitability and operational performance at the segment level. Adjusted Segment EBIT includes segment revenues and related costs and expenses attributable to the segment, but excludes interest, taxes, general corporate expenses, restructuring charges, and other items not allocated to a business segment. We also report Adjusted Segment EBITDA as an additional useful measure of segment profitability and operational performance, which is calculated as Adjusted Segment EBIT plus depreciation and amortization expense of the segment.

Pitney Bowes’ financial results are reported in accordance with generally accepted accounting principles (GAAP). Pitney Bowes also discloses certain non-GAAP measures, such as adjusted earnings before interest and taxes (Adjusted EBIT), adjusted earnings before interest, taxes, depreciation and amortization (Adjusted EBITDA), adjusted earnings per share (Adjusted EPS) and free cash flow.

Adjusted EBIT, Adjusted EBITDA and Adjusted EPS exclude the impact of restructuring charges, foreign currency gains and losses on intercompany loans, certain costs associated with the Ecommerce Restructuring, gains and losses on debt redemptions and other unusual items that we believe are not indicative to our core business operations.

Free cash flow adjusts cash flow from operations calculated in accordance with GAAP for capital expenditures, restructuring payments and other special items. Management believes free cash flow provides better insight into the amount of cash available for other discretionary uses.

Reconciliations of non-GAAP measures to comparable GAAP measures can be found in the attached financial schedules and at the Company’s web site at: https://www.investorrelations.pitneybowes.com/. We do not provide a reconciliation of forward‑looking non‑GAAP measures to the most comparable GAAP measures because items necessary for such reconciliation are not available on a reasonable basis without unreasonable efforts.

Forward-Looking Statements

This document contains “forward-looking statements” about the Company’s expected or potential future business and financial performance, including, but not limited to, statements about future revenue and profitability, earnings guidance, future events or conditions, capital allocation strategy, expected cost savings and efficiency improvements, and strategic initiatives and priorities. Forward-looking statements are not guarantees of future performance and involve risks and uncertainties that could cause actual results to differ materially from those projected. Factors which could cause future performance to differ materially from expectations include, without limitation, changes in postal regulations or the operations and financial health of posts in the U.S. or other major markets or changes to the broader postal or shipping markets; declines in physical mail volumes or shipping volumes; the loss of customers, including some of our larger clients; changes in trade policies, tariffs and regulations; global supply chain issues adversely impacting our third party suppliers’ ability to provide us products and services; periods of difficult economic conditions, the impacts of inflation and rising prices, higher interest rates and a slow-down in economic activity, including a global recession, or a prolonged U.S. government shutdown, to the Company and our clients; changes in foreign currency exchange rates; changes in labor and transportation availability and costs; inability to successfully execute on our strategic initiatives; and other factors as more fully outlined in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024 and subsequent reports filed with the Securities and Exchange Commission. Pitney Bowes assumes no obligation to update any forward-looking statements contained in this document as a result of new information, events, or developments, except as required by law.

Consolidated Statements of Operations

(Unaudited; in thousands, except per share amounts)

Three Months Ended December 31,

Cost of financing and other

Selling, general and administrative

Other components of net pension and postretirement cost

Income (loss) from continuing operations before taxes

Provision (benefit) for income taxes

Income (loss) from continuing operations

Income (loss) from discontinued operations, net of tax

Basic earnings (loss) per share:

Diluted earnings (loss) per share:

Weighted-average shares used in diluted earnings per share

The sum of the earnings per share amounts may not equal the totals due to rounding.

Consolidated Balance Sheets

Accounts and other receivables, net

Short-term finance receivables, net

Other current assets and prepayments

Property, plant and equipment, net

Rental property and equipment, net

Long-term finance receivables, net

Liabilities and stockholders’ deficit

Accounts payable and accrued liabilities

Customer deposits at Pitney Bowes Bank

Current operating lease liabilities

Current portion of long-term debt

Tax uncertainties and other income tax liabilities

Noncurrent operating lease liabilities

Noncurrent customer deposits at Pitney Bowes Bank

Other noncurrent liabilities

Accumulated other comprehensive loss

Total stockholders’ deficit

Total liabilities and stockholders’ deficit

Cash Flows From Operating Activities:

Loss from discontinued operations

Adjustments to reconcile net income to net cash provided by operating activities:

Depreciation and amortization

Allowance for doubtful accounts and credit losses

Allowance for DIP Facility

Pension contributions and retiree medical payments

Loss on sale/disposal of fixed assets

Loss (gain) on revaluation of intercompany loans

Deferred tax provision (benefit)

Changes in operating assets and liabilities, net of acquisitions:

Accounts payable and accrued liabilities

Net cash from operating activities – continuing operations

Net cash from operating activities – discontinued operations

Net cash from operating activities

Cash Flows From Investing Activities:

Purchase of investment securities

Proceeds from sales / maturities of investment securities

DIP Facility reimbursement (disbursement)

Net investment in loans receivables

Other investing activities

Net cash from investing activities – continuing operations

Net cash from investing activities – discontinued operations

Net cash from investing activities

Cash Flows From Financing Activities:

Proceeds from issuance of long-term debt

Payments to redeem long-term debt

Change in customer deposits at PB Bank

Dividends paid to stockholders

Premium and fees paid to redeem/refinance debt

Other financing activities

Net cash from financing activities – continuing operations

Net cash from financing activities – discontinued operations

Net cash from financing activities

Effect of exchange rate changes on cash and cash equivalents

Change in cash and cash equivalents

Cash and cash equivalents at beginning of period

Cash and cash equivalents at end of period

Three Months Ended December 31,

Sending Technology Solutions

Adjusted Segment EBIT & EBITDA

Three Months Ended December 31,

Sending Technology Solutions

Reconciliation of Adjusted Segment EBITDA to income or loss from continuing operations before taxes:

Depreciation and amortization – reportable segments

Gain (loss) on debt transactions

Foreign currency (loss) gain on intercompany loans

Transaction and Strategic review costs

Charges in connection with Ecommerce Restructuring

Income (loss) from continuing operations before taxes

Sending Technology Solutions

Reconciliation of Adjusted Segment EBITDA to income or loss from continuing operations before taxes:

Depreciation and amortization – reportable segments

Foreign currency (loss) gain on intercompany loans

Transaction and Strategic review costs

Charges in connection with Ecommerce Restructuring

Income (loss) from continuing operations before taxes

Adjusted segment EBIT excludes interest, taxes, general corporate expenses, restructuring charges, foreign currency gains and losses from the revaluation of intercompany loans and other items that are not allocated to a business segment.

Other operations includes the revenue and related expenses of our former Global Ecommerce business that did not qualify for discontinued operations treatment.

Reconciliation of Reported Consolidated Results to Adjusted Results

(Unaudited; in thousands, except per share amounts)

Three Months EndedDecember 31,

Reconciliation of reported net income (loss) to adjusted net income, adjusted EBIT and adjusted EBITDA

(Income) loss from discontinued operations, net of tax

Provision (benefit) for income taxes

Income (loss) from continuing operations before taxes

Foreign currency loss (gain) on intercompany loans

Transaction and Strategic review costs

Charges in connection with Ecommerce Restructuring

(Gain) loss on debt transactions

Adjusted net income before tax

Adjusted net income before tax

Depreciation and amortization

Reconciliation of reported diluted earnings (loss) per share to adjusted diluted earnings per share

Diluted earnings (loss) per share – GAAP

(Income) loss from discontinued operations, net of tax

Foreign currency loss (gain) on intercompany loans

Transaction and Strategic review costs

(Gain) loss on debt transactions

Charges in connection with Ecommerce Restructuring

Tax on settlement of investment securities

Tax benefit from affiliate reorganization

Adjusted diluted earnings per share

The sum of the earnings per share amounts may not equal the totals due to rounding.

Reconciliation of reported net cash from operating activities to free cash flow

Net cash from operating activities – continuing operations

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