Japan Post announced on the 28th that its postal business posted an operating loss of 32.2 billion yen for fiscal 2025, falling into the red for the fourth straight year. The company had initially forecast a profit of 6.7 billion yen, but the decline in mail volume was larger than expected. While the loss narrowed from the 63 billion yen deficit in the previous fiscal year, it remained in negative territory. Domestic mail revenue rose by 53.3 billion yen year on year, as the impact of the October 2024 postage rate revision was felt throughout the year. However, operating expenses also increased by 18.6 billion yen, partly due to higher personnel costs from base pay raises. The improper driver roll-call issue in collection and delivery operations also had a certain negative impact on earnings. For fiscal 2026, Japan Post indicated that returning to profitability would be difficult, as revenue growth is not keeping pace with rising costs.
JAPAN POST HOLDINGS Co., Ltd.Mail volume decline larger than expected, causing fourth consecutive operating loss.