Pitney Bowes (PBI) investor relations material

Executive summary

• Q2 2026 net income rose 66% year-over-year to $49.9–$50 million, with adjusted EBIT up to $142.7 million and adjusted EPS up to $0.43.

• Revenue for Q2 2026 was $451–$451.5 million, down 2% year-over-year, but profitability improved across key metrics.

• Raised full-year 2026 guidance for adjusted EBIT, adjusted EPS, and adjusted free cash flow, while reaffirming revenue guidance.

• Reduced debt by over $200 million since Q1 2026 and repurchased 4.5 million shares for $53 million in Q2.

• Completed 2025 restructuring plan, eliminating 550 positions and incurring $45 million in charges.

Financial highlights

• GAAP EPS increased to $0.36 from $0.17; adjusted EPS rose 59% to $0.43.

• Adjusted EBIT for Q2 2026 was $116–$142.7 million, up year-over-year.

• Adjusted free cash flow increased 39% to $153 million.

• Gross margin for Q2 2026 was 55.7%, with SendTech at 69.2% and Presort at 26.3%.

• SG&A expense decreased 25% year-over-year in Q2 2026.

Outlook and guidance

• Full-year 2026 revenue guidance reaffirmed at $1.8–$1.86 billion.

• Adjusted EBIT guidance raised to $445–$475 million; adjusted EPS to $1.55–$1.70; adjusted free cash flow to $360–$410 million.

• Revenue expected to decline low to mid-single digits due to ongoing secular decline in mailing.

• Higher transportation and fuel costs, as well as competitive pricing pressures, expected to persist.