August 26, 2025
RED FM News Desk
Toronto, ON – Canada Post posted a pre-tax loss of $407 million in the second quarter of 2025, marking a significant downturn from a $46 million profit during the same period last year.
The Crown corporation attributes the sharp decline largely to falling parcel volumes, driven by ongoing uncertainty surrounding collective bargaining with approximately 55,000 postal workers. Earlier this year, employees rejected a contract offer during a government-mandated vote, prompting a new round of negotiations.
In a statement, Canada Post warned it is losing millions of dollars in daily business as customers increasingly turn to alternative carriers amid concerns of a possible labour disruption.
While letter mail volumes saw a modest rise in the quarter, the company noted that this was largely due to one-time federal election-related mailings, rather than sustained growth. Parcel volumes, a key revenue driver in recent years, dropped significantly.
In contrast, Purolator—a parcel delivery company partly owned by the Canada Post Group of Companies—reported a pre-tax profit of $82 million for the quarter, slightly up from $81 million in Q2 2024.
Canada Post continues to face mounting financial pressure as labour tensions persist and competition intensifies in the parcel delivery market.
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