Key Highlights

  • Consensus EPS of 0.35 compares with second-quarter GAAP diluted EPS of 0.36 and adjusted EPS of 0.43.
  • Consensus revenue of USD 458.24 million compares with second-quarter revenue of USD 451,498 thousand, against USD 461,909 thousand.
  • Management raised 2026 adjusted EPS guidance to 1.55 to 1.70 from 1.50 to 1.65 and reaffirmed revenue guidance.
  • Adjusted free cash flow was USD 148 million, up 39%, and the company cut debt by USD 201 million.

Pitney Bowes (NYSE:PBI) reports third-quarter results on Wednesday, Oct. 28, after the market closes. Consensus stands at EPS of 0.35 on revenue of USD 458.24 million, and the company has a market capitalization of USD 2.37 billion.

Pitney Bowes provides mailing technology through its SendTech Solutions segment and mail sortation through Presort. Second-quarter revenue was USD 451,498 thousand against USD 461,909 thousand, and net income was USD 49,908 thousand against USD 29,975 thousand.

Estimates Against Second-Quarter Results and Raised Guidance

The EPS estimate of 0.35 is below the second-quarter GAAP diluted EPS of 0.36, which compared with 0.17 a year earlier, and below adjusted EPS of 0.43, which compared with 0.27. The estimates table does not state its EPS basis. The revenue estimate of USD 458.24 million is above the USD 451,498 thousand reported.

Management raised 2026 adjusted EBIT guidance to USD 445 million to USD 475 million from USD 425 million to USD 465 million, adjusted free cash flow guidance to USD 360 million to USD 410 million from USD 345 million to USD 380 million, and reaffirmed revenue guidance of USD 1.80 billion to USD 1.86 billion.

What Management Guided and What It Left Open

Management said elevated fuel costs, about USD 6 million of impact in Presort in the second quarter, are anticipated to continue through the second half. It also cited the loss of commercial drivers after a change in CDL rules.

Management left open the path of core SendTech, saying it does not see growth in the second half given continued meter losses and a strategic reduction in the bank's balance sheet. It gave no third-quarter dollar guidance.

SendTech, Presort and Cost Detail

SendTech revenue was USD 309 million, down 1%, and adjusted segment EBIT was USD 123 million, up 21%, including a USD 5 million tariff refund and a USD 14 million reduction in operating expenses. Presort revenue was USD 143 million, down 5%, and adjusted segment EBIT was USD 20 million against USD 36 million.

Presort mail volume was 3.3 billion pieces, down 3%. Adjusted EBIT was USD 116 million, up 13%, and income before income taxes was USD 65,491 thousand against USD 39,271 thousand. Net interest expense was USD 28,580 thousand against USD 24,937 thousand.

Debt, Buybacks and Dividend

The company reduced debt by USD 201 million between the end of the first quarter and July 29, 2026, which moved its nearest maturity to March 2029. It repurchased 4.5 million shares for USD 53 million at an average of 11.75, and weighted-average diluted shares were 139 million against 181 million.

Cash from operations was USD 153 million against USD 111 million. Cash was USD 266,833 thousand against USD 284,887 thousand at year-end. A quarterly dividend of 0.10 per share is payable on Sept. 8, 2026. The estimates table lists a market capitalization of USD 2.37 billion.

Figures to Follow in the Release

Reported EPS against 0.35 and revenue against USD 458.24 million are the headline comparisons. Other markers are SendTech meter trends, Presort volumes and the raised adjusted EBIT range.