2024.07.0113:18:00UTC+00Pitney Bowes Implements Approx. $70 Mln In Long-term Savings; Increases Savings Targets

Pitney Bowes Inc. (PBI) has provided an update on the initial phase of its cost rationalization initiative. To date, the company has identified and implemented approximately $70 million in cost savings, the majority of which were realized in the second quarter. As part of these efforts, approximately $25 million in non-recurring charges are expected to be recorded in the same period. The cost savings predominantly stem from general corporate expense reductions and specific cuts in SendTech and Presort expenses.

Pitney Bowes' management has also outlined additional opportunities to achieve further efficiencies in the coming months. Consequently, the company has raised its initial savings target from $60 million to a range of $120 million to $160 million.

In addition to its cost-saving measures, Pitney Bowes continues to focus on other strategic initiatives, such as an accelerated strategic review of its Global Ecommerce division, cash optimization, and balance sheet deleveraging.