Canada Post reported first-quarter results Monday.Darren Calabrese/The Canadian Press
Canada Post swung to a $66-million loss before taxes in the first quarter despite a surge in parcel volumes near the start of the COVID-19 lockdown.
The segment’s net loss from the period ended March 28, compared with a $23-million profit a year earlier.
Revenue increased 2 per cent to $1.68-billion with mail down 0.6 per cent to $729-million and parcels up 10.4 per cent to $666-million.
Canada Post added that the parcels growth rate was higher than a year ago but lower than the first quarter of 2018.
Direct mail revenue fell 8.6 per cent to $230-million amid continued erosion from digital substitution, as well as delays or cancellations of marketing campaigns due to COVID-19.
The cost of operations in the Canada Post segment increased by $93-million, while the Canada Post Group of Companies posted a net loss of $39-million compared with a net profit of $29-million in the first quarter of 2019.
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