Pitney Bowes Inc. - PBI STOCK NEWS

Pitney Bowes (NYSE: PBI) has provided an update on its cost rationalization program, announcing $70 million in cost reductions implemented in the past month. The company has increased its savings targets to $120-$160 million, up from the initial $60-$100 million. These savings are expected to impact pre-tax earnings predominantly in the second half of 2024 and fully in 2025. The cost reductions mainly stem from general corporate, SendTech, and Presort expense reductions. Additionally, $25 million of non-recurring charges will be recorded in Q2. Pitney Bowes is also undergoing a strategic review of its Global Ecommerce segment to eliminate ongoing losses. Interim CEO Lance Rosenzweig emphasized the company's accelerated transformation efforts and the focus on long-term profitability and financial health. The company plans to provide more details during the second-quarter earnings call.

Pitney Bowes (NYSE: PBI) announced the opening of a new 45,000 square foot Presort Services operating center in Maryland Heights, MO, serving the St. Louis market.

The center processed nearly 100,000 pieces of mail on its first day and now handles up to 1.2 million pieces daily. Equipped with advanced sorters, conveyors, and nine loading docks, it supports various mail types, including First Class Letters and Marketing Mail.

Debbie Pfeiffer, EVP and President of Pitney Bowes Presort Services, highlighted the facility's role in enhancing efficiency and service.

The center joins Pitney Bowes' national Mail Exchange Network, with an open house planned for early fall.

Pitney Bowes (NYSE: PBI), a global shipping and mailing company, will host an investor conference call at 8:00 AM ET on Wednesday, May 29. The call will introduce the newly appointed interim CEO, Lance Rosenzweig, and discuss the company's recent strategic initiatives. Participants can register for the call via a provided link, and a replay will be available on the Pitney Bowes Investor Relations website for those unable to attend live.

Pitney Bowes announced the appointment of Lance Rosenzweig as interim CEO, replacing Jason Dies. The company aims to achieve $60M-$100M in annual cost savings and improve cash and balance sheet management to expedite debt paydown.

The Board established a Value Enhancement Committee to oversee strategic reviews, particularly of the Global Ecommerce (GEC) segment, and retained two consulting firms for support.

Rosenzweig, with extensive leadership experience, will help drive efficiency and shareholder value. The company plans a new CEO search and announced an investor call for May 29 to discuss these initiatives.

Pitney Bowes Inc. (NYSE:PBI) declared a quarterly cash dividend of $0.05 per share on its common stock. The dividend payment is scheduled for June 7, 2024, to stockholders of record on May 23, 2024.

Pitney Bowes (NYSE: PBI) announced its financial results for the first quarter of 2024, with net income improving by $5 million compared to the prior year. Adjusted EBIT grew by over $23 million while operating expenses declined by 8%. Revenue remained flat at $831 million. Cost reduction actions from the 2023 restructuring plan generated significant benefits, with expected savings exceeding $75 to $85 million. SendTech Solutions saw a 6% increase in adjusted segment EBIT, while Presort Services achieved a 7% revenue growth and a 39% increase in adjusted segment EBITDA. Global Ecommerce experienced a 2% revenue decline due to changes in cross-border revenue, but domestic parcel volumes grew by 20%. The company is maintaining guidance for 2024, expecting revenue growth to range from flat to a low-single digit decline.

Lakeview Investment Group & Trading Company is urging Pitney Bowes to expedite the sale of their GEC unit to reduce leverage, achieve a higher EV / EBITDA multiple, and nearly double their share price. They emphasize the need for permanent leadership due to turnover in top positions.

Pitney Bowes has been named to Forbes' Best Employers for Diversity 2024 list for the sixth year in a row, highlighting the company's commitment to diversity and inclusion. The recognition is based on a survey of over 170,000 U.S.-based employees, with Pitney Bowes standing out for its diverse workforce composition, inclusive leadership team, and strong emphasis on diversity and inclusion initiatives. The company has also been previously recognized for its efforts in promoting gender equality and LGBTQ+ workplace inclusion.

Pitney Bowes celebrates its 20-year partnership with Reading Is Fundamental by organizing 20 events in 20 cities across the country. The company is actively involved in promoting children's literacy through volunteer activities and distributing literacy kits to children in need. The partnership has been instrumental in providing books and resources to support reading proficiency among elementary students, with a focus on promoting lifelong learning and opportunity.