PBI 10-Q Quarterly Report June 30, 2025

PITNEY BOWES INC /DE/

10-Ks and 10-Qs

10-Q	Quarter ended Sept. 30, 2025
10-Q	Quarter ended June 30, 2025
10-Q	Quarter ended March 31, 2025
10-K	Fiscal year ended Dec. 31, 2024
10-Q	Quarter ended Sept. 30, 2024
10-Q	Quarter ended June 30, 2024
10-Q	Quarter ended March 31, 2024
10-K	Fiscal year ended Dec. 31, 2023
10-Q	Quarter ended Sept. 30, 2023
10-Q	Quarter ended June 30, 2023
10-Q	Quarter ended March 31, 2023
10-K	Fiscal year ended Dec. 31, 2022
10-Q	Quarter ended Sept. 30, 2022
10-Q	Quarter ended June 30, 2022
10-Q	Quarter ended March 31, 2022
10-K	Fiscal year ended Dec. 31, 2021
10-Q	Quarter ended Sept. 30, 2021
10-Q	Quarter ended June 30, 2021
10-Q	Quarter ended March 31, 2021
10-K	Fiscal year ended Dec. 31, 2020
10-Q	Quarter ended Sept. 30, 2020
10-Q	Quarter ended June 30, 2020
10-Q	Quarter ended March 31, 2020
10-K	Fiscal year ended Dec. 31, 2019
10-Q	Quarter ended Sept. 30, 2019
10-Q	Quarter ended June 30, 2019
10-Q	Quarter ended March 31, 2019
10-K	Fiscal year ended Dec. 31, 2018
10-Q	Quarter ended Sept. 30, 2018
10-Q	Quarter ended June 30, 2018
10-Q	Quarter ended March 31, 2018
10-K	Fiscal year ended Dec. 31, 2017
10-Q	Quarter ended Sept. 30, 2017
10-Q	Quarter ended June 30, 2017
10-Q	Quarter ended March 31, 2017
10-K	Fiscal year ended Dec. 31, 2016
10-Q	Quarter ended Sept. 30, 2016
10-Q	Quarter ended June 30, 2016
10-Q	Quarter ended March 31, 2016
10-K	Fiscal year ended Dec. 31, 2015
10-Q	Quarter ended Sept. 30, 2015
10-Q	Quarter ended June 30, 2015
10-Q	Quarter ended March 31, 2015
10-K	Fiscal year ended Dec. 31, 2014
10-Q	Quarter ended Sept. 30, 2014
10-Q	Quarter ended June 30, 2014
10-Q	Quarter ended March 31, 2014
10-K	Fiscal year ended Dec. 31, 2013
10-Q	Quarter ended Sept. 30, 2013
10-Q	Quarter ended June 30, 2013
10-Q	Quarter ended March 31, 2013
10-K	Fiscal year ended Dec. 31, 2012
10-Q	Quarter ended Sept. 30, 2012
10-Q	Quarter ended June 30, 2012
10-Q	Quarter ended March 31, 2012
10-K	Fiscal year ended Dec. 31, 2011
10-Q	Quarter ended Sept. 30, 2011
10-Q	Quarter ended June 30, 2011
10-Q	Quarter ended March 31, 2011
10-K	Fiscal year ended Dec. 31, 2010
10-Q	Quarter ended Sept. 30, 2010
10-Q	Quarter ended June 30, 2010
10-Q	Quarter ended March 31, 2010
10-K	Fiscal year ended Dec. 31, 2009

PROXIES

DEF 14A	Filed on May 13, 2025
DEF 14A	Filed on March 27, 2025
DEF 14A	Filed on May 6, 2024
DEF 14A	Filed on April 18, 2024
DEF 14A	Filed on May 2, 2022
DEF 14A	Filed on March 18, 2022
DEF 14A	Filed on March 19, 2021
DEF 14A	Filed on March 18, 2020
DEF 14A	Filed on March 15, 2019
DEF 14A	Filed on March 23, 2018
DEF 14A	Filed on March 24, 2017
DEF 14A	Filed on March 24, 2016
DEF 14A	Filed on March 27, 2015
DEF 14A	Filed on March 27, 2014
DEF 14A	Filed on March 25, 2013
DEF 14A	Filed on March 23, 2012
DEF 14A	Filed on March 25, 2011
DEF 14A	Filed on March 26, 2010

pbi-20250630

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 10-Q

☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE

SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended June 30, 2025

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE

SECURITIES EXCHANGE ACT OF 1934

For the transition period from ________________ to ________________

Commission file number: 1-03579

PITNEY BOWES INC .

(Exact name of registrant as specified in its charter)

State of incorporation:

Delaware

I.R.S. Employer Identification No.

06-0495050

Address of Principal Executive Offices:

3001 Summer Street,

Stamford,

Connecticut

06926

Telephone Number:

(203)

356-5000

Securities registered pursuant to Section 12(b) of the Act:

Title of Each Class

Trading Symbol(s)

Name of Each Exchange on Which Registered

Common Stock, $1 par value per share

PBI

New York Stock Exchange

6.7% Notes due 2043

PBI.PRB

New York Stock Exchange

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes þ No o

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes þ No o

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer

Accelerated filer

☐

Non-accelerated filer

Smaller reporting company

☐

Emerging growth company

☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No þ

As of July 25, 2025, 172,122,996 shares of common stock, par value $1 per share, of the registrant were outstanding.

PITNEY BOWES INC.

INDEX


		Page Number

Part I - Financial Information:

Item 1:	Financial Statements

	Condensed Consolidated Statements of Operations for the Three and Six Months Ended June 30, 2025 and 2024	3

	Condensed Consolidated Statements of Comprehensive Income for the Three and Six Months Ended June 30, 2025 and 2024	4

	Condensed Consolidated Balance Sheets at June 30, 2025 and December 31, 2024	5

	Condensed Consolidated Statements of Cash Flows for the Six Months Ended June 30, 2025 and 2024	6

	Notes to Condensed Consolidated Financial Statements	7

Item 2:	Management’s Discussion and Analysis of Financial Condition and Results of Operations	29

Item 3:	Quantitative and Qualitative Disclosures about Market Risk	38

Item 4:	Controls and Procedures	38


Part II - Other Information:

Item 1:	Legal Proceedings	39

Item 1A:	Risk Factors	39

Item 2:	Unregistered Sales of Equity Securities and Use of Proceeds	39

Item 3:	Defaults Upon Senior Securities	39

Item 4:	Mine Safety Disclosures	39

Item 5:	Other Information	39

Item 6:	Exhibits	40


Signatures		41

PART I. FINANCIAL INFORMATION

Item 1: Financial Statements

PITNEY BOWES INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited; in thousands, except per share amounts)


	Three Months Ended June 30,				Six Months Ended June 30,
	2025		2024		2025		2024
Revenue:
Services	$	290,423	$	297,253	$	608,855	$	619,943
Products	90,880		108,262		184,070		222,386
Financing and other	80,606		84,230		162,404		168,685
Total revenue	461,909		489,745		955,329		1,011,014
Costs and expenses:
Cost of services	144,240		158,196		300,113		322,677
Cost of products	54,487		60,672		105,406		123,426
Cost of financing and other	15,656		20,398		33,163		41,685
Selling, general and administrative	170,542		192,804		336,457		379,636
Research and development	3,601		7,259		8,364		14,885
Restructuring charges	13,806		30,399		15,206		34,165

Interest expense, net	24,937		28,253		49,207		55,559
Other components of net pension and postretirement cost	1,947		( 382 )		3,801		( 769 )
Other (income) expense	( 6,578 )		—		17,609		—
Total costs and expenses	422,638		497,599		869,326		971,264
Income (loss) from continuing operations before taxes	39,271		( 7,854 )		86,003		39,750
Provision for income taxes	9,296		2,271		20,606		17,771
Income (loss) from continuing operations	29,975		( 10,125 )		65,397		21,979
Loss from discontinued operations, net of tax	—		( 14,742 )		—		( 49,731 )
Net income (loss)	$	29,975	$	( 24,867 )	$	65,397	$	( 27,752 )
Basic earnings (loss) per share:
Continuing operations	$	0.17	$	( 0.06 )	$	0.36	$	0.12
Discontinued operations	—		( 0.08 )		—		( 0.28 )
Net income (loss)	$	0.17	$	( 0.14 )	$	0.36	$	( 0.16 )
Diluted earnings (loss) per share:
Continuing operations	$	0.17	$	( 0.06 )	$	0.36	$	0.12
Discontinued operations	—		( 0.08 )		—		( 0.27 )
Net income (loss)	$	0.17	$	( 0.14 )	$	0.36	$	( 0.15 )

See Notes to Condensed Consolidated Financial Statements

PITNEY BOWES INC.

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(Unaudited; in thousands)


	Three Months Ended June 30,				Six Months Ended June 30,
	2025		2024		2025		2024
Net income (loss)	$	29,975	$	( 24,867 )	$	65,397	$	( 27,752 )
Other comprehensive income (loss), net of tax:
Foreign currency translation, net of tax of $ 238 , $( 158 ), $ 333 and $( 654 ), respectively	41,459		( 5,018 )		61,008		( 20,417 )
Net unrealized loss on cash flow hedges, net of tax of $( 559 ) and $( 972 ), respectively in 2024	—		( 1,676 )		—		( 2,917 )
Net unrealized gain (loss) on investment securities, net of tax of $ 221 , $( 8 ), $ 1,161 and $( 312 ), respectively	703		( 25 )		3,698		( 992 )

Amortization of pension and postretirement costs, net of tax of $ 1,699 , $ 1,654 , $ 3,365 and $ 3,282 , respectively	5,137		5,007		10,189		10,048
Other comprehensive income (loss), net of tax	47,299		( 1,712 )		74,895		( 14,278 )
Comprehensive income (loss)	$	77,274	$	( 26,579 )	$	140,292	$	( 42,030 )

See Notes to Condensed Consolidated Financial Statements

PITNEY BOWES INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited; in thousands, except per share amount)


	June 30, 2025		December 31, 2024
ASSETS
Current assets:
Cash and cash equivalents (includes $ 77,001 and $ 140,125 , respectively, reported at fair value)	$	285,177	$	469,726
Short-term investments (includes $ 3,922 and $ 3,926 , respectively, reported at fair value)	15,606		16,374
Accounts and other receivables (net of allowance of $ 7,653 and $ 7,723 , respectively)	155,317		159,951
Short-term finance receivables (net of allowance of $ 13,103 and $ 13,302 , respectively)	506,989		535,608
Inventories	79,001		59,836
Current income taxes	1,300		10,429
Other current assets and prepayments (net of allowance of $ 11,349 and $ 19,373 , respectively)	82,600		66,030


Total current assets	1,125,990		1,317,954
Property, plant and equipment, net	193,264		218,657
Rental property and equipment, net	23,004		24,587
Long-term finance receivables (net of allowance of $ 6,683 and $ 8,374 respectively)	638,625		610,316
Goodwill	748,530		721,003
Intangible assets, net	16,767		15,780
Operating lease assets	113,136		113,357
Noncurrent income taxes	103,767		99,773

Other assets (includes $ 165,921 and $ 173,525 , respectively, reported at fair value)	275,755		276,089
Total assets	$	3,238,838	$	3,397,516

LIABILITIES AND STOCKHOLDERS’ DEFICIT
Current liabilities:
Accounts payable and accrued liabilities	$	742,804	$	873,626
Customer deposits at Pitney Bowes Bank	608,937		645,860
Current operating lease liabilities	27,276		26,912
Current portion of long-term debt	15,150		53,250
Advance billings	76,231		70,131
Current income taxes	18,508		2,948


Total current liabilities	1,488,906		1,672,727
Long-term debt	1,881,565		1,866,458
Deferred taxes on income	41,063		49,187
Tax uncertainties and other income tax liabilities	12,538		13,770
Noncurrent operating lease liabilities	100,244		100,804
Noncurrent customer deposits at Pitney Bowes Bank	51,977		57,977
Other noncurrent liabilities	199,354		215,026
Total liabilities	3,775,647		3,975,949

Commitments and contingencies (See Note 14)

Stockholders’ deficit:
Common stock, $ 1 par value ( 480,000 shares authorized; 270,338 shares issued)	270,338		270,338

Retained earnings	2,669,992		2,671,868
Accumulated other comprehensive loss	( 764,276 )		( 839,171 )
Treasury stock, at cost ( 95,116 and 87,932 shares, respectively)	( 2,712,863 )		( 2,681,468 )
Total stockholders’ deficit	( 536,809 )		( 578,433 )
Total liabilities and stockholders’ deficit	$	3,238,838	$	3,397,516

See Notes to Condensed Consolidated Financial Statements

PITNEY BOWES INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited; in thousands)


	Six Months Ended June 30,
	2025		2024
Cash flows from operating activities:
Net income (loss)	$	65,397	$	( 27,752 )
Loss from discontinued operations, net of tax	—		49,731
Adjustments to reconcile net income or loss to net cash from operating activities:
Depreciation and amortization	57,086		57,332
Allowance for credit losses	5,161		7,321
Reduction in allowance for DIP Facility	( 8,024 )		—
Stock-based compensation	12,287		6,093
Amortization of debt fees	3,599		6,167
Loss on debt redemption/refinancing	24,364		—
Restructuring charges	15,206		34,165
Restructuring payments	( 21,518 )		( 26,697 )
Pension contributions and retiree medical payments	( 18,129 )		( 17,300 )
Loss on sale of assets	5,430		4,195
Loss (gain) on revaluation of intercompany loans	24,624		( 5,350 )


Other, net	6,573		4,411
Changes in operating assets and liabilities, net of acquisitions/divestitures:
Accounts and other receivables	4,820		27,099
Finance receivables	71,202		42,412
Inventories	( 17,705 )		( 5,676 )
Other current assets and prepayments	( 5,356 )		( 22,793 )
Accounts payable and accrued liabilities	( 142,328 )		( 41,194 )
Current and noncurrent income taxes	8,706		( 14,134 )
Advance billings	3,314		865
Net cash from operating activities - continuing operations	94,709		78,895
Net cash from operating activities - discontinued operations	—		1,050
Net cash from operating activities	94,709		79,945
Cash flows from investing activities:
Capital expenditures	( 30,230 )		( 30,783 )
Purchases of investment securities	( 7,603 )		( 19,909 )
Proceeds from sales/maturities of investment securities	18,530		36,377
Net investment in loan receivables	( 61,650 )		( 3,892 )
DIP Facility reimbursement	8,024		—

Acquisition	( 2,200 )		—

Other investing activities, net	1,029		804
Net cash from investing activities - continuing operations	( 74,100 )		( 17,403 )
Net cash from investing activities - discontinued operations	—		( 10,310 )
Net cash from investing activities	( 74,100 )		( 27,713 )
Cash flows from financing activities:

Proceeds from the issuance of debt	775,000		—
Principal payments of debt	( 804,442 )		( 28,266 )
Premiums and fees paid to redeem/refinance debt	( 20,598 )		—
Dividends paid to stockholders	( 23,606 )		( 17,785 )
Customer deposits at Pitney Bowes Bank	( 42,923 )		( 612 )
Common stock repurchases	( 90,274 )		—
Other financing activities, net	( 1,649 )		( 8,850 )
Net cash from financing activities - continuing operations	( 208,492 )		( 55,513 )
Net cash from financing activities - discontinued operations	—		( 5,294 )
Net cash from financing activities	( 208,492 )		( 60,807 )
Effect of exchange rate changes on cash and cash equivalents	3,334		( 2,689 )
Change in cash and cash equivalents	( 184,549 )		( 11,264 )
Cash and cash equivalents at beginning of period	469,726		600,054


Cash and cash equivalents at end of period	$	285,177	$	588,790

See Notes to Condensed Consolidated Financial Statements

PITNEY BOWES INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited; table amounts in thousands unless otherwise noted, except per share amounts)

1. Description of Business and Basis of Presentation

Description of Business

Pitney Bowes Inc. (we, us, our, or the company) is a technology-driven company that provides SaaS shipping solutions, mailing innovation, and financial services to clients around the world - including more than 90 percent of the Fortune 500. Small businesses to large enterprises, and government entities rely on Pitney Bowes to reduce the complexity of sending mail and parcels.

Basis of Presentation

The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (GAAP) for interim financial information and the instructions to Rule 10-01 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In addition, the December 31, 2024 Condensed Consolidated Balance Sheet data was derived from audited financial statements but does not include all disclosures required by GAAP. In management's opinion, all adjustments, consisting only of normal recurring adjustments, considered necessary to fairly state our financial position, results of operations and cash flows for the periods presented have been included. Operating results for the periods presented are not necessarily indicative of the results that may be expected for any other interim period or for the year ending December 31, 2025. These statements should be read in conjunction with the financial statements and notes thereto included in our Annual Report to Stockholders on Form 10-K for the year ended December 31, 2024 (2024 Annual Report).

Effective April 1, 2025, we revised our segment reporting to report the revenue and related expenses of a cross-border services contract in our SendTech Solutions reporting segment, which was previously reported in Other. Prior periods have been recast to conform to the current period presentation. Other operations now includes the revenue and related expenses of prior operations and shared services of the Global Ecommerce reporting segment that did not qualify for discontinued operations treatment.

Effective January 1, 2025, we revised our reporting presentation of revenue and cost of revenue to better align with our offerings. We now report Services revenue and Cost of services, which includes the previously reported Business services and Support services, Products revenue and Cost of products, which includes the previously reported Equipment sales and Supplies and Financing and other revenue and Cost of financing and other, which includes the previously reported Financing and Rentals. Additionally, we revised our corporate expense allocation methodology to allocate all marketing and innovation expenses to our SendTech Solutions segment due to a change in how these functions are now managed. Prior periods have been recast to conform to the current period presentation.

As a result of the wind-down of a majority of the Global Ecommerce reportable segment in August 2024, certain revenues and expenses for the three and six months ended June 30, 2024 are reported as discontinued operations in our Condensed Consolidated Financial Statements. See Note 4 for further information.

During the first quarter of 2025, we identified an error and recorded an out of period adjustment of $ 4 million to correct an overstatement of revenue in prior periods. The impact of the adjustment is not material to the consolidated financial statements for any interim or annual periods prior to 2025 and is not expected to be material to the 2025 annual period.

During the first quarter of 2024, we identified an error and recorded an out of period adjustment of $ 5 million to correct an understatement of revenue in prior periods, of which $ 4 million originated in 2020 and prior. The impact of the adjustment was not material to the consolidated financial statements for any interim or annual periods.

Accounting Pronouncements Not Yet Adopted

In November 2024, the Financial Accounting Standards Board (FASB) issued ASU 2024-03, Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses, which requires more detailed information about specified categories of expenses included in certain expense captions presented on the face of the income statement. This standard is effective for fiscal years beginning after December 15, 2026, and interim periods within fiscal years beginning after December 15, 2027, with early adoption permitted. We are currently assessing the impact this standard will have on our disclosures.

In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures , which requires additional income tax disclosures, including the rate reconciliation and taxes paid. This standard is effective for annual periods beginning after December 15, 2024. We currently do not expect the adoption of this standard to have a material impact on our disclosures.

PITNEY BOWES INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited; table amounts in thousands unless otherwise noted, except per share amounts)

2. Revenue

Disaggregated Revenue

The following tables disaggregate our revenue by source and timing of recognition:


	Three Months Ended June 30, 2025
	SendTech Solutions		Presort Services		Revenue from services and products		Revenue from leasing transactions and financing		Total consolidated revenue
Major service/product lines
Services	$	140,230	$	150,193	$	290,423	$	—	$	290,423
Products	54,149		—		54,149		36,731		90,880
Financing and other	—		—		—		80,606		80,606



Subtotal	194,379		150,193		344,572		$	117,337	$	461,909
Revenue from leasing transactions and financing	117,337		—		117,337


Total revenue	$	311,716	$	150,193	$	461,909

Timing of revenue recognition from services and products
Services/products transferred at a point in time	$	69,650	$	—	$	69,650
Services/products transferred over time	124,729		150,193		274,922
Total	$	194,379	$	150,193	$	344,572


	Three Months Ended June 30, 2024
	SendTech Solutions		Presort Services		Other		Revenue from services and products		Revenue from leasing transactions and financing		Total consolidated revenue
Major service/product lines
Services	$	146,781	$	146,858	$	3,614	$	297,253	$	—	$	297,253
Products	56,441		—		—		56,441		51,821		108,262
Financing and other	—		—		—		—		84,230		84,230



Subtotal	203,222		146,858		3,614		353,694		$	136,051	$	489,745
Revenue from leasing transactions and financing	136,051		—		—		136,051


Total revenue	$	339,273	$	146,858	$	3,614	$	489,745

Timing of revenue recognition from services and products
Services/products transferred at a point in time	$	71,694	$	—	$	—	$	71,694
Services/products transferred over time	131,528		146,858		3,614		282,000
Total	$	203,222	$	146,858	$	3,614	$	353,694

PITNEY BOWES INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited; table amounts in thousands unless otherwise noted, except per share amounts)



	Six Months Ended June 30, 2025
	SendTech Solutions		Presort Services		Revenue from services and products		Revenue from leasing transactions and financing		Total consolidated revenue
Major service/product lines
Services	$	280,848	$	328,007	$	608,855	$	—	$	608,855
Products	107,401		—		107,401		76,669		184,070
Financing and other	—		—		—		162,404		162,404



Subtotal	388,249		328,007		716,256		$	239,073	$	955,329


Revenue from leasing transactions and financing	239,073		—		239,073


Total revenue	$	627,322	$	328,007	$	955,329

Timing of revenue recognition from services and products
Services/products transferred at a point in time	$	136,053	$	—	$	136,053
Services/products transferred over time	252,196		328,007		580,203
Total	$	388,249	$	328,007	$	716,256



	Six Months Ended June 30, 2024
	SendTech Solutions		Presort Services		Other		Revenue from products and services		Revenue from leasing transactions and financing		Total consolidated revenue
Major service/product lines
Services	$	295,023	$	316,665	$	8,255	$	619,943	$	—	$	619,943
Products	117,895		—		—		117,895		104,491		222,386
Financing and other	—		—		—		—		168,685		168,685



Subtotal	412,918		316,665		8,255		737,838		$	273,176	$	1,011,014


Revenue from leasing transactions and financing	273,176		—		—		273,176


Total revenue	$	686,094	$	316,665	$	8,255	$	1,011,014

Timing of revenue recognition from services and products
Services/products transferred at a point in time	$	148,159	$	—	$	—	$	148,159
Services/products transferred over time	264,759		316,665		8,255		589,679
Total	$	412,918	$	316,665	$	8,255	$	737,838

Our performance obligations for revenue from services and products are as follows:

Services revenue includes revenues from digital shipping and mailing technology solutions and the maintenance, professional and subscription services related to those solutions, mail processing services and cross-border solutions. Revenues for mail processing services and cross-border solutions are recognized over time using an output method based on the number of parcels or mail pieces either processed or delivered, depending on the service type, since that measure best depicts the value of goods and services transferred to the client over the contract period. Contract terms for these services initially range from one to five years and contain annual renewal options. Revenue for shipping subscription services is recognized ratably over the contract period as the client obtains equal benefit from these services throughout the period. Revenue for maintenance and subscription services is recognized ratably over the contract period, which ranges from one to five years, and revenue for professional services is recognized when services are provided.

Products revenue generally includes the sale of mailing and shipping equipment and related supplies. We recognize revenue upon delivery for self-install equipment and supplies and upon acceptance or installation for other equipment.

PITNEY BOWES INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited; table amounts in thousands unless otherwise noted, except per share amounts)

Financing and other revenue includes revenue from sales-type and operating leases, finance income, late fees and investment income, gains and losses at the Pitney Bowes Bank.

Advance Billings from Contracts with Customers


	Balance sheet location	June 30, 2025		December 31, 2024		Increase/ (decrease)
Advance billings, current	Advance billings	$	67,351	$	63,732	$	3,619
Advance billings, noncurrent	Other noncurrent liabilities	$	418	$	159	$	259

Advance billings are recorded when cash payments are due in advance of our performance. Revenue is recognized ratably over the contract term. Items in advance billings primarily relate to maintenance services on mailing equipment. Revenue recognized during the period includes $ 46 million of advance billings at the beginning of the period. Current advance billings shown above at June 30, 2025 and December 31, 2024 does not include $ 9 million and $ 6 million, respectively, from leasing transactions.

Future Performance Obligations

Future performance obligations primarily include maintenance and subscription services bundled with our leasing contracts. The transaction prices allocated to future performance obligations will be recognized as follows:


	Remainder of 2025		2026		2027-2030		Total
SendTech Solutions	$	134,071	$	221,393	$	320,647	$	676,111

The amounts above do not include revenue for performance obligations under contracts with terms less than 12 months or revenue for performance obligations where revenue is recognized based on the amount billable to the customer.

PITNEY BOWES INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited; table amounts in thousands unless otherwise noted, except per share amounts)

3. Segment Information

Our reportable segments are SendTech Solutions and Presort Services. SendTech Solutions includes the revenue and related expenses from physical and digital shipping and mailing technology solutions, financing, services, supplies and other applications to help simplify and save on the sending, tracking and receiving of letters, parcels and flats. Presort Services includes the revenue and related expenses from sortation services to qualify large volumes of First Class Mail, Marketing Mail and Marketing Mail Flats/Bound Printed Matter for postal worksharing discounts.

Other operations includes the revenue and related expenses of prior operations and shared services of the Global Ecommerce reporting segment that did not qualify for discontinued operations treatment.

Management, including our Chief Executive Officer, who is the Chief Operating Decision Maker (CODM), measures segment profitability and performance using adjusted segment earnings before interest and taxes (EBIT). Adjusted segment EBIT is calculated as segment revenues less the related costs and expenses attributable to the segment. Adjusted segment EBIT excludes interest, taxes, general corporate expenses, restructuring charges, and other items not allocated to our segments. Management believes that adjusted segment EBIT provides investors a useful measure of operating performance and underlying trends of the business. Adjusted segment EBIT may not be indicative of our overall consolidated performance and therefore, should be read in conjunction with our consolidated results of operations. The following tables provide information about our reportable segments and a reconciliation of adjusted segment EBIT to income or loss from continuing operations before taxes.


	Revenue
	Three Months Ended June 30,				Six Months Ended June 30,
	2025		2024		2025		2024
SendTech Solutions	$	311,716	$	339,273	$	627,322	$	686,094
Presort Services	150,193		146,858		328,007		316,665
Total segment revenue	461,909		486,131		955,329		1,002,759
Other	—		3,614		—		8,255
Total revenue	$	461,909	$	489,745	$	955,329	$	1,011,014


	Three Months Ended June 30,				Six Months Ended June 30,
	2025		2024		2025		2024
SendTech Solutions
Revenue	$	311,716	$	339,273	$	627,322	$	686,094

Less:
Cost of revenue	105,653		120,647		211,683		244,491
Operating expenses	104,808		122,603		217,357		249,666
Adjusted segment EBIT	$	101,255	$	96,023	$	198,282	$	191,937

Presort Services
Revenue	$	150,193	$	146,858	$	328,007	$	316,665

Less:
Cost of revenue	96,153		100,800		200,787		208,127
Operating expenses	18,100		19,010		36,501		41,161
Adjusted segment EBIT	$	35,940	$	27,048	$	90,719	$	67,377

PITNEY BOWES INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited; table amounts in thousands unless otherwise noted, except per share amounts)


	Adjusted Segment EBIT
	Three Months Ended June 30,				Six Months Ended June 30,
	2025		2024		2025		2024
SendTech Solutions	$	101,255	$	96,023	$	198,282	$	191,937
Presort Services	35,940		27,048		90,719		67,377
Total adjusted segment EBIT	137,195		123,071		289,001		259,314
Reconciliation of adjusted segment EBIT to income or loss from continuing operations before taxes:
Other operations	—		( 4,121 )		—		( 4,831 )

Interest expense, net	( 37,499 )		( 44,218 )		( 75,384 )		( 88,127 )
Corporate expenses	( 34,902 )		( 44,293 )		( 67,019 )		( 86,495 )
Restructuring charges	( 13,806 )		( 30,399 )		( 15,206 )		( 34,165 )


Gain (loss) on debt redemption/refinancing	282		—		( 24,364 )		—
Foreign currency (loss) gain on intercompany loans	( 17,029 )		712		( 24,624 )		5,350
Benefit in connection with Ecommerce Restructuring	6,296		—		6,755		—



Transaction and Strategic review costs	( 1,266 )		( 8,606 )		( 3,156 )		( 11,296 )

Income (loss) from continuing operations before taxes	$	39,271	$	( 7,854 )	$	86,003	$	39,750

4. Discontinued Operations

On August 8, 2024, we entered into a series of transactions designed to facilitate an orderly wind-down of a majority of the Company’s Global Ecommerce reporting segment. In connection with the wind-down, an affiliate of Hilco Commercial Industrial, LLC (“Hilco”) subscribed for 81 % of the voting interests in the subsidiary, DRF Logistics, LLC owning a majority of the Global Ecommerce segment’s net assets and operations (DRF Logistics, LLC and its subsidiary, DRF LLC, the “Ecommerce Debtors”) for de minimis consideration (the “GEC Sale”), with a subsidiary of Pitney Bowes retaining 19 % of the voting interests and 100 % of the economic interests.

Subsequent to the GEC Sale, the Ecommerce Debtors, at the direction of their own governing bodies, filed petitions to commence Chapter 11 bankruptcy cases and conduct an orderly wind-down of the Ecommerce Debtors (the “GEC Chapter 11 Cases”). As a result of the GEC Chapter 11 Cases, the Company determined that it no longer had control of the Ecommerce Debtors and therefore, the Ecommerce Debtors were deconsolidated. We refer to the GEC Sale, the GEC Chapter 11 Cases and any associated transactions as the “Ecommerce Restructuring”.

On November 25, 2024, the Bankruptcy Court confirmed the Ecommerce Debtors’ Third Amended Joint Plan of Liquidation (the “Plan”) and on December 9, 2024, the Plan became effective in accordance with its terms, substantially consummating the separation of the Company from the Ecommerce Debtors.

In connection with the GEC Chapter 11 Cases, we provided a senior secured, super-priority debtor-in-possession term loan (the "DIP Facility") to the Ecommerce Debtors and provided initial funding of $ 28 million. Through June 30, 2025, we've received repayments of $ 19 million. The remaining unpaid balance on the DIP Facility is fully reserved and future repayments will be recorded as income.

We account for the investment in the Ecommerce Debtors using the equity method, but have ascribed a fair value of our economic interest in the Ecommerce Debtors of zero . We do not anticipate receiving any recovery or distribution from our economic equity interest and remain exposed to the economic risks and continued costs applicable to the Ecommerce Debtors through our investment in the DIP Facility.

PITNEY BOWES INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited; table amounts in thousands unless otherwise noted, except per share amounts)

Discontinued operations for the three and six months ended June 30, 2024 is comprised of the following:



	Three Months Ended June 30, 2024		Six Months Ended June 30, 2024

Revenue	$	303,426	$	612,666
Cost of revenue	303,225		618,167
Selling, general and administrative	27,200		56,566
Other	3,809		6,671
Total costs and expenses	334,234		681,404
Loss from discontinued operations before taxes	( 30,808 )		( 68,738 )



Tax benefit	( 16,066 )		( 19,007 )
Loss from discontinued operations, net of tax	$	( 14,742 )	$	( 49,731 )

5. Earnings per Share (EPS)

The calculation of basic and diluted EPS is presented below. The sum of the EPS amounts may not equal the totals due to rounding.


	Three Months Ended June 30,				Six Months Ended June 30,
	2025		2024		2025		2024
Numerator:
Income (loss) from continuing operations	$	29,975	$	( 10,125 )	$	65,397	$	21,979
Loss from discontinued operations, net of tax	—		( 14,742 )		—		( 49,731 )


Net income (loss)	$	29,975	$	( 24,867 )	$	65,397	$	( 27,752 )
Denominator:
Weighted-average shares used in basic EPS	179,708		178,696		181,115		177,872
Dilutive effect of common stock equivalents (1)	1,297		—		1,593		3,470
Weighted-average shares used in diluted EPS	181,005		178,696		182,708		181,342

Basic earnings (loss) per share:
Continuing operations	$	0.17	$	( 0.06 )	$	0.36	$	0.12
Discontinued operations	—		( 0.08 )		—		( 0.28 )
Net income (loss)	$	0.17	$	( 0.14 )	$	0.36	$	( 0.16 )

Diluted earnings (loss) per share:
Continuing operations	$	0.17	$	( 0.06 )	$	0.36	$	0.12
Discontinued operations	—		( 0.08 )		—		( 0.27 )
Net income (loss)	$	0.17	$	( 0.14 )	$	0.36	$	( 0.15 )

Common stock equivalents excluded from calculation of diluted earnings per share because their impact would be anti-dilutive:	4,646		7,128		4,646		7,204

(1) Due to the net loss from continuing operations for the three months ended June 30, 2024, an additional 2.4 million of common stock equivalents were also excluded from the calculation of diluted earnings per share.

We utilize the control number concept in the computation of diluted earnings per share to determine whether potential common stock equivalents are dilutive. The control number used is income from continuing operations. The control number concept requires that the same number of potentially dilutive securities applied in computing diluted earnings per share from continuing operations be applied to all other categories of income or loss, regardless of their anti-dilutive effect on such categories.

PITNEY BOWES INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited; table amounts in thousands unless otherwise noted, except per share amounts)

6. Inventories

Inventories are stated at the lower of cost, determined on the first-in, first-out (FIFO) basis, or net realizable value. Inventories consisted of the following:


	June 30, 2025		December 31, 2024
Raw materials	$	31,064	$	20,405
Supplies and service parts	20,931		15,095
Finished products	27,006		24,336


Total inventories	$	79,001	$	59,836

7. Finance Assets and Lessor Operating Leases

Finance Assets

Finance receivables are comprised of sales-type leases, secured loans and unsecured loans. Sales-type leases and secured loans are financing options for the purchase or lease of Pitney Bowes equipment or other manufacturers' equipment and are generally due in installments over periods ranging from three to five years . Unsecured loans are revolving credit lines offered to our clients for postage, supplies and working capital purposes. Unsecured loans are generally due monthly; however, clients may rollover outstanding balances. Interest is recognized on finance receivables using the effective interest method. Annual fees are recognized ratably over the period covered and client acquisition costs are expensed as incurred. All finance receivables are in our SendTech Solutions segment and we segregate finance receivables into a North America portfolio and an International portfolio.

Finance receivables consisted of the following:


	June 30, 2025						December 31, 2024
	North America		International		Total		North America		International		Total
Sales-type lease receivables
Gross finance receivables	$	901,674	$	123,527	$	1,025,201	$	946,294	$	120,109	$	1,066,403
Unguaranteed residual values	34,589		6,273		40,862		36,361		5,890		42,251
Unearned income	( 255,916 )		( 37,881 )		( 293,797 )		( 257,971 )		( 34,674 )		( 292,645 )
Allowance for credit losses	( 11,549 )		( 2,063 )		( 13,612 )		( 12,659 )		( 2,324 )		( 14,983 )
Net investment in sales-type lease receivables	668,798		89,856		758,654		712,025		89,001		801,026
Loan receivables
Loan receivables	373,881		19,253		393,134		334,717		16,874		351,591
Allowance for credit losses	( 6,011 )		( 163 )		( 6,174 )		( 6,549 )		( 144 )		( 6,693 )
Net investment in loan receivables	367,870		19,090		386,960		328,168		16,730		344,898
Net investment in finance receivables	$	1,036,668	$	108,946	$	1,145,614	$	1,040,193	$	105,731	$	1,145,924

Maturities of gross finance receivables at June 30, 2025 were as follows:


	Sales-type Lease Receivables						Loan Receivables
	North America		International		Total		North America		International		Total
Remainder 2025	$	180,046	$	38,541	$	218,587	$	198,622	$	19,253	$	217,875
2026	309,301		38,219		347,520		63,356		—		63,356
2027	220,116		24,834		244,950		53,212		—		53,212
2028	126,609		14,151		140,760		35,110		—		35,110
2029	55,801		6,093		61,894		19,154		—		19,154
Thereafter	9,801		1,689		11,490		4,427		—		4,427
Total	$	901,674	$	123,527	$	1,025,201	$	373,881	$	19,253	$	393,134

PITNEY BOWES INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited; table amounts in thousands unless otherwise noted, except per share amounts)

Aging of Receivables

The aging of gross finance receivables was as follows:


	June 30, 2025
	Sales-type Lease Receivables				Loan Receivables
	North America		International		North America		International		Total
Past due amounts 0 - 90 days	$	892,743	$	121,074	$	371,206	$	19,175	$	1,404,198
Past due amounts > 90 days	8,931		2,453		2,675		78		14,137
Total	$	901,674	$	123,527	$	373,881	$	19,253	$	1,418,335


	December 31, 2024
	Sales-type Lease Receivables				Loan Receivables
	North America		International		North America		International		Total
Past due amounts 0 - 90 days	$	932,948	$	117,908	$	331,411	$	16,809	$	1,399,076
Past due amounts > 90 days	13,346		2,201		3,306		65		18,918
Total	$	946,294	$	120,109	$	334,717	$	16,874	$	1,417,994

Allowance for Credit Losses

We provide an allowance for credit losses based on historical loss experience, the nature of our portfolios, adverse situations that may affect a client's ability to pay and current economic conditions and outlook based on reasonable and supportable forecasts. We continually evaluate the adequacy of the allowance for credit losses and adjust as necessary. The assumptions used in determining an estimate of credit losses are inherently subjective and actual results may differ significantly from estimated reserves.

We establish credit approval limits based on the client's credit quality and the type of equipment financed. We cease financing revenue recognition for lease receivables and unsecured loan receivables that are more than 90 days past due. Revenue recognition is resumed when the client's payments reduce the account aging to less than 60 days past due. Finance receivables are written off against the allowance after all collection efforts have been exhausted and management deems the account to be uncollectible. We believe that our credit risk is low because of the geographic and industry diversification of our clients and small account balances for most of our clients.

Activity in the allowance for credit losses for finance receivables was as follows:


	Sales-type Lease Receivables				Loan Receivables
	North America		International		North America		International		Total
Balance at January 1, 2025	$	12,659	$	2,324	$	6,549	$	144	$	21,676

Amounts charged to expense	618		( 149 )		1,752		108		2,329
Write-offs	( 2,940 )		( 432 )		( 2,744 )		( 107 )		( 6,223 )
Recoveries	1,122		75		447		—		1,644
Other	90		245		7		18		360
Balance at June 30, 2025	$	11,549	$	2,063	$	6,011	$	163	$	19,786

	Sales-type Lease Receivables				Loan Receivables
	North America		International		North America		International		Total
Balance at January 1, 2024	$	13,942	$	2,786	$	6,346	$	153	$	23,227

Amounts charged to expense	422		( 81 )		2,839		275		3,455
Write-offs	( 2,134 )		( 402 )		( 2,836 )		( 268 )		( 5,640 )
Recoveries	886		130		873		—		1,889
Other	( 20 )		( 148 )		( 1 )		( 3 )		( 172 )
Balance at June 30, 2024	$	13,096	$	2,285	$	7,221	$	157	$	22,759

PITNEY BOWES INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited; table amounts in thousands unless otherwise noted, except per share amounts)

The table below shows write-offs of gross finance receivables by year of origination.


	June 30, 2025
	Sales Type Lease Receivables												Loan Receivables		Total
	2025		2024		2023		2022		2021		Prior
Write-offs	$	459	$	373	$	696	$	890	$	595	$	359	$	2,851	$	6,223


	June 30, 2024
	Sales Type Lease Receivables												Loan Receivables		Total
	2024		2023		2022		2021		2020		Prior
Write-offs	$	63	$	542	$	914	$	487	$	312	$	218	$	3,104	$	5,640

Credit Quality

The extension and management of credit lines to new and existing clients uses a combination of a client's credit score, where available, a detailed manual review of their financial condition and payment history, or an automated process. Once credit is granted, the payment performance of the client is managed through automated collections processes and is supplemented with direct follow-up should an account become delinquent. We have robust automated collections and extensive portfolio management processes to ensure that our global strategy is executed, collection resources are allocated and enhanced tools and processes are implemented as needed.

Over 85 % of our finance receivables are within the North American portfolio. We use a third-party to score the majority of this portfolio on a quarterly basis using a proprietary commercial credit score. The relative scores are determined based on a number of factors, including financial information, payment history, company type and ownership structure. We stratify the credit scores of our clients into low, medium and high-risk accounts. Due to timing and other issues, our entire portfolio may not be scored at period end. We report these amounts as "Not Scored"; however, absence of a score is not indicative of the credit quality of the account. The credit score is used to predict the payment behaviors of our clients and the probability that an account will become greater than 90 days past due during the subsequent 12-month period.

• Low risk accounts are companies with very good credit scores and a predicted delinquency rate of less than 5 %.

• Medium risk accounts are companies with average to good credit scores and a predicted delinquency rate between 5 % and 10 %.

• High risk accounts are companies with poor credit scores, are delinquent or are at risk of becoming delinquent. The predicted delinquency rate would be greater than 10 %.

We do not use a third-party to score our International portfolio because the cost to do so is prohibitive as there is no single credit score model that covers all countries. Accordingly, the entire International portfolio is reported in the Not Scored category. Most of the International credit applications are small dollar applications (i.e. below $ 50 thousand) and are subjected to an automated review process. Larger credit applications are manually reviewed, which includes obtaining client financial information, credit reports and other available financial information.

PITNEY BOWES INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited; table amounts in thousands unless otherwise noted, except per share amounts)

The table below shows gross finance receivables by relative risk class and year of origination based on the relative scores of the accounts within each class.


	June 30, 2025
	Sales Type Lease Receivables												Loan Receivables		Total
	2025		2024		2023		2022		2021		Prior
Low	$	78,579	$	167,817	$	179,071	$	132,733	$	85,432	$	94,947	$	325,798	$	1,064,377
Medium	15,081		36,313		31,234		24,149		15,512		14,530		35,999		172,818
High	1,561		3,216		2,870		2,409		1,621		1,946		5,318		18,941
Not Scored	40,180		37,704		28,644		18,136		7,880		3,636		26,019		162,199
Total	$	135,401	$	245,050	$	241,819	$	177,427	$	110,445	$	115,059	$	393,134	$	1,418,335

	December 31, 2024
	Sales Type Lease Receivables												Loan Receivables		Total
	2024		2023		2022		2021		2020		Prior
Low	$	188,847	$	210,547	$	163,892	$	104,269	$	66,673	$	42,586	$	273,736	$	1,050,550
Medium	31,970		31,839		26,652		19,180		10,556		10,512		34,376		165,085
High	4,633		4,488		3,753		2,415		2,038		684		11,826		29,837
Not Scored	49,835		38,659		28,250		17,131		5,400		1,594		31,653		172,522
Total	$	275,285	$	285,533	$	222,547	$	142,995	$	84,667	$	55,376	$	351,591	$	1,417,994

Lease Income

Lease income from sales-type leases, excluding variable lease payments, was as follows:


	Three Months Ended June 30,				Six Months Ended June 30,
	2025		2024		2025		2024
Profit recognized at commencement	$	18,062	$	27,245	$	37,818	$	54,206
Interest income	38,237		38,045		76,000		76,012
Total lease income from sales-type leases	$	56,299	$	65,290	$	113,818	$	130,218

Lessor Operating Leases

We also lease mailing equipment under operating leases with terms of one to five years . Revenue from operating leases for the three and six months ended June 30, 2025 was $ 14 million and $ 29 million, respectively, and revenue from operating leases for the three and six months ended June 30, 2024 was $ 17 million and $ 33 million, respectively. Maturities of operating leases are as follows:


Remainder 2025	$	11,039
2026	19,252
2027	14,809
2028	7,058
2029	4,078
Thereafter	1,850
Total	$	58,086

PITNEY BOWES INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited; table amounts in thousands unless otherwise noted, except per share amounts)

8. Intangible Assets and Goodwill

Intangible Assets

Intangible assets consisted of the following:


	June 30, 2025						December 31, 2024
	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
Customer relationships	$	46,899	$	( 31,362 )	$	15,537	$	43,569	$	( 29,179 )	$	14,390
Software & technology	3,163		( 1,933 )		1,230		2,944		( 1,554 )		1,390

Total intangible assets	$	50,062	$	( 33,295 )	$	16,767	$	46,513	$	( 30,733 )	$	15,780

Amortization expense was $ 1 million for each of the three months ended June 30, 2025 and 2024 and $ 2 million for each of the six months ended June 30, 2025 and 2024.

Future amortization expense as of June 30, 2025 is shown in the table below. Actual amortization expense may differ due to, among other things, fluctuations in foreign currency exchange rates, acquisitions, divestitures and impairment charges.


Remainder 2025	$	2,258
2026	3,730
2027	3,460
2028	2,771
2029	1,689
Thereafter	2,859
Total	$	16,767

Goodwill

Changes in the carrying value of goodwill by reporting segment are shown in the table below.


	December 31, 2024		Currency impact		June 30, 2025
SendTech Solutions	$	497,240	$	27,527	$	524,767
Presort Services	223,763		—		223,763

Total goodwill	$	721,003	$	27,527	$	748,530

PITNEY BOWES INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited; table amounts in thousands unless otherwise noted, except per share amounts)

9. Fair Value Measurements and Derivative Instruments

We measure certain financial assets and liabilities at fair value on a recurring basis. Fair value is a market-based measure considered from the perspective of a market participant rather than an entity-specific measure. An entity is required to classify certain assets and liabilities measured at fair value based on the following fair value hierarchy that prioritizes the inputs used to measure fair value:

Level 1 – Unadjusted quoted prices in active markets for identical assets and liabilities.

Level 2 – Quoted prices for identical assets and liabilities in markets that are not active, quoted prices for similar assets and liabilities in active markets or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.

Level 3 – Unobservable inputs that are supported by little or no market activity, may be derived from internally developed methodologies based on management’s best estimate of fair value and that are significant to the fair value of the asset or liability.

Financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. Our assessment of the significance of a particular input to the fair value measurement requires judgment and may affect its placement within the fair value hierarchy. The following tables show, by level within the fair value hierarchy, our financial assets and liabilities that are accounted for at fair value on a recurring basis.


	June 30, 2025
	Level 1		Level 2		Level 3		Total
Assets:

Money market funds	$	6,884	$	77,001	$	—	$	83,885
Equity securities	—		11,941		—		11,941
Commingled fixed income securities	1,666		524		—		2,190
Government and related securities	2,377		12,786		—		15,163
Corporate debt securities	—		43,299		—		43,299
Mortgage-backed / asset-backed securities	—		90,366		—		90,366



Total assets	$	10,927	$	235,917	$	—	$	246,844


	December 31, 2024
	Level 1		Level 2		Level 3		Total
Assets:

Money market funds	$	6,435	$	140,125	$	—	$	146,560
Equity securities	—		12,518		—		12,518
Commingled fixed income securities	1,612		534		—		2,146
Government and related securities	2,334		13,410		—		15,744
Corporate debt securities	—		42,159		—		42,159
Mortgage-backed / asset-backed securities	—		98,464		—		98,464



Total assets	$	10,381	$	307,210	$	—	$	317,591

Investment Securities

The valuation of investment securities is based on a market approach using inputs that are observable, or can be corroborated by observable data, in an active marketplace. The following information relates to our classification within the fair value hierarchy:

• Money Market Funds: Money market funds typically invest in government securities, certificates of deposit, commercial paper and other highly liquid, low risk securities. Money market funds are principally used for overnight deposits and are classified as Level 1 when unadjusted quoted prices in active markets are available and as Level 2 when they are not actively traded on an exchange.

• Equity Securities : Equity securities are comprised of mutual funds investing in U.S. and foreign stocks. These mutual funds are classified as Level 2.

PITNEY BOWES INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited; table amounts in thousands unless otherwise noted, except per share amounts)

• Commingled Fixed Income Securities: Commingled fixed income securities are comprised of mutual funds that invest in a variety of fixed income securities, including securities of the U.S. government and its agencies, corporate debt, mortgage-backed securities and asset-backed securities. Fair value is based on the value of the underlying investments owned by each fund, minus its liabilities, divided by the number of shares outstanding, as reported by the fund manager. These mutual funds are classified as Level 1 when unadjusted quoted prices in active markets are available and as Level 2 when they are not actively traded on an exchange.

• Government and Related Securities: Debt securities are classified as Level 1 when unadjusted quoted prices in active markets are available. Debt securities are classified as Level 2 where fair value is determined using quoted market prices for similar securities or benchmarking model derived prices to quoted market prices and trade data for identical or comparable securities.

• Corporate Debt Securities: Corporate debt securities are valued using recently executed comparable transactions, market price quotations or bond spreads for the same maturity as the security. These securities are classified as Level 2.

• Mortgage-Backed / Asset-Backed Securities: These securities are valued based on external pricing indices or external price/spread data. These securities are classified as Level 2.

Available-For-Sale Securities

Investment securities classified as available-for-sale are recorded at fair value. Changes in fair value due to market conditions are recorded in accumulated other comprehensive loss (AOCL), and changes in fair value due to credit conditions are recorded in earnings. There were no changes in fair value charged to earnings in the six months ended June 30, 2025 or 2024.

Available-for-sale securities consisted of the following:


	June 30, 2025
	Amortized cost		Gross unrealized gains		Gross unrealized losses		Estimated fair value
Government and related securities	$	21,384	$	1	$	( 6,222 )	$	15,163
Corporate debt securities	49,876		—		( 6,577 )		43,299
Commingled fixed income securities	1,860		—		( 194 )		1,666
Mortgage-backed / asset-backed securities	111,460		—		( 21,094 )		90,366
Total	$	184,580	$	1	$	( 34,087 )	$	150,494


	December 31, 2024
	Amortized cost		Gross unrealized losses		Estimated fair value
Government and related securities	$	21,432	$	( 5,688 )	$	15,744
Corporate debt securities	50,367		( 8,208 )		42,159
Commingled fixed income securities	1,835		( 223 )		1,612
Mortgage-backed / asset-backed securities	123,289		( 24,825 )		98,464
Total	$	196,923	$	( 38,944 )	$	157,979

The fair value of available-for-sale securities is reported on our Condensed Consolidated Balance Sheet as follows:


	June 30, 2025		December 31, 2024
Short-term investments	$	3,922	$	3,926
Other assets	146,572		154,053
Total	$	150,494	$	157,979

PITNEY BOWES INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited; table amounts in thousands unless otherwise noted, except per share amounts)

Investment securities in a loss position were as follows:


	June 30, 2025				December 31, 2024
	Fair Value		Gross unrealized losses		Fair Value		Gross unrealized losses
Greater than 12 continuous months
Government and related securities	$	15,163	$	6,222	$	15,744	$	5,688
Corporate debt securities	43,299		6,577		39,845		8,206
Commingled fixed income securities	1,666		194		—		—
Mortgage-backed / asset-backed securities	90,366		21,094		98,464		24,825
Total	$	150,494	$	34,087	$	154,053	$	38,719

Less than 12 continuous months

Corporate debt securities	$	—	$	—	$	2,314	$	2
Commingled fixed income securities	—		—		1,612		223

Total	$	—	$	—	$	3,926	$	225

At June 30, 2025, substantially all securities in the investment portfolio were in an unrealized loss position. However, we have not recorded an allowance for credit loss or an impairment charge as we have the ability and intent to hold these securities until recovery of the unrealized losses or expect to receive the stated principal and interest at maturity.

Scheduled maturities of available-for-sale securities at June 30, 2025 were as follows:


	Amortized cost		Estimated fair value
Within 1 year	$	4,115	$	3,922
After 1 year through 5 years	21,035		18,947
After 5 years through 10 years	25,984		22,729
After 10 years	133,446		104,896
Total	$	184,580	$	150,494

Actual maturities may not coincide with scheduled maturities as certain securities contain early redemption features and/or allow for the prepayment of obligations.

Held-to-Maturity Securities

Certain investment securities are classified as held-to-maturity and include certificates of deposits with maturities less than 90 days and highly-liquid government securities with maturities less than two years . Held-to-maturity securities at June 30, 2025 and December 31, 2024 totaled $ 104 million and $ 203 million, respectively.

Derivative Instruments

We are exposed to the impact of changes in interest rates and foreign currency exchange rates. We may use derivative instruments to limit the effects on our financial results from changes in interest rates and currency exchange rates. We do not use derivatives for trading or speculative purposes. We did not enter into any derivative instruments during the six months ended June 30, 2025.

Interest Rate Swaps

At June 30, 2024, we had outstanding interest rate swap agreements that effectively converted $ 200 million of variable rate debt to fixed rates. These swaps were designated as cash flow hedges. The swaps were recorded at fair value at the end of each reporting period with the change in fair value reflected in AOCL. For the three months ended June 30, 2024, the amount recognized in AOCL was a loss of $ 2 million and the amount reclassified from AOCL to earnings was a gain of $ 3 million. For the six months ended June 30, 2024, the amount recognized in AOCL was a loss of $ 4 million and the amount reclassified from AOCL to earnings was a gain of $ 5 million.

PITNEY BOWES INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited; table amounts in thousands unless otherwise noted, except per share amounts)

Fair Value of Financial Instruments

Our financial instruments include cash and cash equivalents, available-for-sale and held-to-maturity investment securities, accounts receivable, loan receivables, accounts payable and debt. The carrying value of cash and cash equivalents, held-to-maturity investment securities, accounts receivable, loans receivable, and accounts payable approximate fair value. The fair value of available-for-sale investment securities is presented above. The inputs used to estimate the fair value of debt included recently executed transactions and market price quotations (Level 2 inputs within the fair value hierarchy).

The carrying value and estimated fair value of debt was as follows:


	June 30, 2025		December 31, 2024
Carrying value	$	1,896,715	$	1,919,708
Fair value	$	1,811,613	$	1,823,430

10. Restructuring Charges

Activity in our restructuring reserves was as follows:


	2024 Plan
Balance at January 1, 2025	$	23,164
Amounts charged to expense	15,206

Cash payments	( 21,518 )
Noncash activity	( 1,396 )
Balance at June 30, 2025	$	15,456










	2024 Plan		2023 Plan		Total
Balance at January 1, 2024	$	—	$	26,128	$	26,128
Amounts charged to expense - continuing operations	24,065		10,100		34,165
Amounts charged to expense - discontinued operations	1,472		521		1,993
Cash payments	—		( 26,697 )		( 26,697 )
Noncash activity	—		( 875 )		( 875 )
Balance at June 30, 2024	$	25,537	$	9,177	$	34,714

Components of restructuring expense were as follows:


	Three Months Ended June 30, 2025		Three Months Ended June 30, 2024
	2024 Plan			2024 Plan		2023 Plan		Total
Severance	$	12,978		$	24,065	$	6,069	$	30,134
Facilities and other	828			—		265		265
Total	$	13,806		$	24,065	$	6,334	$	30,399

	Six Months Ended June 30, 2025		Six Months Ended June 30, 2024
	2024 Plan			2024 Plan		2023 Plan		Total
Severance	$	13,810		$	24,065	$	8,939	$	33,004
Facilities and other	1,396			—		1,161		1,161
Total	$	15,206		$	24,065	$	10,100	$	34,165

Components of restructuring expense in discontinued operations primarily included severance charges.

At the end of the second quarter of 2025, the 2024 Plan was officially completed. Under the 2024 Plan, we eliminated approximately 3,200 positions and incurred cumulative charges of $ 89 million.

PITNEY BOWES INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited; table amounts in thousands unless otherwise noted, except per share amounts)

11. Debt

Total debt consisted of the following:


	Interest rate	June 30, 2025		December 31, 2024

Term loan due March 2026	SOFR + 2.25 %	$	—	$	235,000
Notes due March 2027	6.875 %	367,500		380,000
Notes due March 2028	SOFR + 6.90 %	—		96,563
Term loan due March 2028	SOFR + 4.0 %	—		433,125
Term loan due March 2028	SOFR + 2.35 %	158,000		—
Notes due March 2029	7.25 %	326,000		350,000
Term loan due March 2032	SOFR + 3.75 %	613,463		—
Notes due January 2037	5.25 %	35,841		35,841
Notes due March 2043	6.70 %	425,000		425,000


Principal amount		1,925,804		1,955,529
Less: unamortized costs, net		29,089		35,821
Total debt		1,896,715		1,919,708
Less: current portion long-term debt		15,150		53,250
Long-term debt		$	1,881,565	$	1,866,458

In the first quarter of 2025, we redeemed the remaining outstanding balance of the Notes due March 2028 and recorded a loss of $ 17 million in other (income) expense. Additionally, we entered into a new senior secured credit agreement (the "New Credit Agreement"), which provides for $ 265 million revolving credit facility maturing March 2028, a $ 160 million term loan maturing March 2028 and a $ 615 million term loan maturing March 2032. The proceeds from the new term loans were used to repay the outstanding balances of the Term loan due March 2026 and Term loan due March 2028 and for general corporate purposes. We recorded a loss of $ 8 million in connection with this refinance in other (income) expense.

During 2025, we also purchased an aggregate $ 37 million of the Notes due March 2027 and Notes due March 2029.

Under the New Credit Agreement, we are required to maintain (with maintenance tested quarterly) (i) a Consolidated Interest Coverage Ratio (as defined in the New Credit Agreement) of not less than 2.00 to 1.00, (ii) a Consolidated Secured Net Leverage Ratio (as defined in the New Credit Agreement) of no greater than 3.00 to 1.00 and (iii) a Consolidated Total Net Leverage Ratio (as defined in the New Credit Agreement) of no greater than (a) 5.25 to 1.00 for the fiscal quarters ending March 31, 2025 and June 30, 2025, (b) 5.00 to 1.00 for the fiscal quarters ending September 30, 2025 and December 31, 2025 and (c) 4.75 to 1.00 for each fiscal quarter ending on or after March 31, 2026. At June 30, 2025, we were in compliance with these financial covenants and there were no outstanding borrowings under the revolving credit facility. Borrowings under our New Credit Agreement are secured by assets of the Company.

The New Credit Agreement also contains provisions whereby if, on any day between the period commencing on September 14, 2026 and ending on March 15, 2027, the Notes due March 2027 have not been redeemed in full and liquidity is less than an amount equal to the amount to redeem the Notes due March 2027 plus $ 100 million, the Term loan due March 2028 and any borrowings under the revolving credit facility would become due on such date (the "Pro Rata Springing Maturity Date"), and if on any date during the period beginning on December 14, 2026 and ending on March 15, 2027, the Notes due March 2027 remain outstanding and the Pro Rata Springing Maturity Date has occurred, the Term loan due March 2032 would be become due on such date. We are considering various strategies and fully intend to redeem the Notes due March 2027 before September 2026 either with available liquidity or refinance through the capital markets.

PITNEY BOWES INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited; table amounts in thousands unless otherwise noted, except per share amounts)

12. Pensions and Other Benefit Programs

The components of net periodic benefit (income) cost were as follows:


	Defined Benefit Pension Plans								Nonpension Postretirement Benefit Plans
	United States				Foreign
	Three Months Ended				Three Months Ended				Three Months Ended
	June 30,				June 30,				June 30,
	2025		2024		2025		2024		2025		2024
Service cost	$	7	$	12	$	291	$	184	$	70	$	93
Interest cost	13,523		14,966		5,929		5,167		1,040		1,135
Expected return on plan assets	( 18,650 )		( 21,909 )		( 6,731 )		( 6,402 )		—		—

Amortization of prior service (credit) cost	( 5 )		( 5 )		78		73		—		—
Amortization of net actuarial loss (gain)	5,072		4,972		2,309		1,913		( 618 )		( 292 )

Net periodic benefit (income) cost	$	( 53 )	$	( 1,964 )	$	1,876	$	935	$	492	$	936
Contributions to benefit plans	$	1,416	$	1,252	$	806	$	380	$	3,236	$	3,901

	Defined Benefit Pension Plans								Nonpension Postretirement Benefit Plans
	United States				Foreign
	Six Months Ended				Six Months Ended				Six Months Ended
	June 30,				June 30,				June 30,
	2025		2024		2025		2024		2025		2024
Service cost	$	13	$	24	$	569	$	372	$	140	$	185
Interest cost	27,045		29,932		11,537		10,368		2,078		2,271
Expected return on plan assets	( 37,300 )		( 43,818 )		( 13,113 )		( 12,852 )		—		—

Amortization of prior service (credit) cost	( 10 )		( 10 )		151		147		—		—
Amortization of net actuarial loss (gain)	10,143		9,944		4,492		3,836		( 1,222 )		( 587 )

Net periodic benefit (income) cost	$	( 109 )	$	( 3,928 )	$	3,636	$	1,871	$	996	$	1,869
Contributions to benefit plans	$	3,029	$	2,321	$	8,162	$	7,378	$	6,938	$	7,601

13. Income Taxes

The effective tax rate for the three months ended June 30, 2025 is 23.7 % and includes a benefit of $ 2 million for the resolution of tax matters. The effective tax rate for the six months ended June 30, 2025 is 24.0 % and includes a benefit of $ 2 million for the vesting of restricted stock and a benefit of $ 2 million for the resolution of tax matters.

For the three months ended June 30, 2024, we recorded a tax provision of $ 2 million on a pre-tax loss of $ 8 million primarily due to restructuring charges as a result of the 2024 Plan. For the six months ended June 30, 2024, we recorded a tax provision of $ 18 million on pre-tax income of $ 40 million primarily due to restructuring charges as a result of the 2024 Plan and a charge of $ 2 million for the vesting of restricted stock.

The One Big Beautiful Bill Act was enacted on July 4, 2025, and we do not expect any material impact to our tax provision. On a regular basis, we conclude tax return examinations, statutes of limitation expire, and court decisions interpret tax law. We regularly assess tax uncertainties in light of these developments; and as a result, it is reasonably possible that the amount of unrecognized tax benefits will decrease in the next 12 months, and this decrease could be up to 35 % of our unrecognized tax benefits.

With regard to U.S. Federal income tax, the Internal Revenue Service examination of our consolidated U.S. income tax returns for tax years prior to 2020 are closed to audit, except for review of the Tax Cuts and Jobs Act Sec. 965 transition tax. On a state and local level, returns for most jurisdictions are closed through 2019. For our significant non-U.S. jurisdictions, Canada is closed to examination through 2019 except for a specific issue under current exam, and France, Germany and the U.K. are closed through 2019, 2017 and 2022, respectively. We also have other less significant tax filings currently subject to examination.

PITNEY BOWES INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited; table amounts in thousands unless otherwise noted, except per share amounts)

14. Commitments and Contingencies

From time to time, in the ordinary course of business as well as in connection with our recent GEC Chapter 11 cases, we are involved in litigation pertaining to, among other things, contractual rights under vendor, insurance or other contracts; intellectual property or patent rights; equipment, service, payment or other disputes with clients; or disputes with employees. Some of these actions may be brought as a purported class action on behalf of a purported class of customers, employees, or others.

On October 1, 2024, one of the Ecommerce Debtors filed a complaint against Trilogy Leasing Co., LLC (“Trilogy”) in the United States Bankruptcy Court for the Southern District of Texas seeking to recharacterize certain Equipment Supplements to which they are parties as disguised financings ("Recharacterization Proceeding"). On October 8, 2024, we filed a motion to intervene in support of the Ecommerce Debtors' position, which the court granted on April 1, 2025. The case is now proceeding.

On November 7, 2024, Trilogy and its parent company Kingsbridge Holdings, LLC brought suit against us in the Circuit Court of Cook County, Illinois, alleging that we are liable for certain Equipment Supplements that were executed by the Ecommerce Debtors and by Pitney Bowes Presort Services, LLC. On December 16, 2024, we removed the litigation to the Northern District of Illinois based on diversity jurisdiction and subsequently filed a motion to dismiss, and to the extent not dismissed, stay the action pending the conclusion of the Recharacterization Proceeding. On July 15, 2025, the Northern District of Illinois court granted, in part, and denied, in part, the relief sought.

In addition, on May 9, 2025, Mitsubishi (the assignee of certain Equipment Supplements by Trilogy and/or Kingsbridge Holdings, LLC) brought an action in Superior Court of the State of Delaware, raising claims that are a subset of the claims in the Illinois Action. We have filed a motion to dismiss, and to the extent not dismissed, stay that action pending the conclusion of the Recharacterization Proceeding.

Due to uncertainties inherent in litigation, any actions could have a material adverse effect on our financial position, results of operations or cash flows; however, in management's opinion, the final outcome of outstanding matters will not have a material adverse effect on our financial position, results of operations or cash flows.

15. Stockholders’ Deficit

Changes in stockholders’ deficit were as follows:


	Common stock		Retained earnings		Accumulated other comprehensive loss		Treasury stock		Total deficit
Balance at April 1, 2025	$	270,338	$	2,651,715	$	( 811,575 )	$	( 2,646,362 )	$	( 535,884 )

Net income	—		29,975		—		—		29,975
Other comprehensive income	—		—		47,299		—		47,299
Dividends paid ($ 0.07 per common share)	—		( 12,626 )		—		—		( 12,626 )
Issuance of common stock	—		( 8,676 )		—		8,773		97


Stock-based compensation expense	—		9,604		—		—		9,604
Repurchase of common stock	—		—		—		( 75,274 )		( 75,274 )
Balance at June 30, 2025	$	270,338	$	2,669,992	$	( 764,276 )	$	( 2,712,863 )	$	( 536,809 )


	Common stock		Retained earnings		Accumulated other comprehensive loss		Treasury stock		Total deficit
Balance at April 1, 2024	$	270,338	$	3,027,030	$	( 863,811 )	$	( 2,825,912 )	$	( 392,355 )

Net loss	—		( 24,867 )		—		—		( 24,867 )
Other comprehensive loss	—		—		( 1,712 )		—		( 1,712 )
Dividends paid ($ 0.05 per common share)	—		( 8,953 )		—		—		( 8,953 )
Issuance of common stock	—		( 48,428 )		—		44,249		( 4,179 )


Stock-based compensation expense	—		4,177		—		—		4,177

Balance at June 30, 2024	$	270,338	$	2,948,959	$	( 865,523 )	$	( 2,781,663 )	$	( 427,889 )

PITNEY BOWES INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited; table amounts in thousands unless otherwise noted, except per share amounts)



	Common stock		Retained earnings		Accumulated other comprehensive loss		Treasury stock		Total deficit
Balance at January 1, 2025	$	270,338	$	2,671,868	$	( 839,171 )	$	( 2,681,468 )	$	( 578,433 )

Net income	—		65,397		—		—		65,397
Other comprehensive income	—		—		74,895		—		74,895
Dividends paid ($ 0.13 per common share)	—		( 23,606 )		—		—		( 23,606 )
Issuance of common stock	—		( 55,954 )		—		58,879		2,925


Stock-based compensation expense	—		12,287		—		—		12,287
Repurchase of common stock	—		—		—		( 90,274 )		( 90,274 )
Balance at June 30, 2025	$	270,338	$	2,669,992	$	( 764,276 )	$	( 2,712,863 )	$	( 536,809 )



	Common stock		Retained earnings		Accumulated other comprehensive loss		Treasury stock		Total deficit
Balance at January 1, 2024	$	270,338	$	3,077,988	$	( 851,245 )	$	( 2,865,657 )	$	( 368,576 )

Net loss	—		( 27,752 )		—		—		( 27,752 )
Other comprehensive loss	—		—		( 14,278 )		—		( 14,278 )
Dividends paid ($ 0.10 per common share)	—		( 17,785 )		—		—		( 17,785 )
Issuance of common stock	—		( 90,059 )		—		83,994		( 6,065 )


Stock-based compensation expense	—		6,567		—		—		6,567

Balance at June 30, 2024	$	270,338	$	2,948,959	$	( 865,523 )	$	( 2,781,663 )	$	( 427,889 )

PITNEY BOWES INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited; table amounts in thousands unless otherwise noted, except per share amounts)

16. Accumulated Other Comprehensive Loss

Reclassifications out of AOCL were as follows:


	Gain (Loss) Reclassified from AOCL
	Three Months Ended June 30,				Six Months Ended June 30,
	2025		2024		2025		2024
Cash flow hedges


Interest expense, net	$	—	$	2,584	$	—	$	5,175

Income tax provision	—		646		—		1,294
Net of tax	$	—	$	1,938	$	—	$	3,881

Available-for-sale securities
Financing revenue	$	—	$	( 487 )	$	( 505 )	$	( 1,135 )


Income tax benefit	—		( 122 )		( 126 )		( 284 )
Net of tax	$	—	$	( 365 )	$	( 379 )	$	( 851 )

Pension and postretirement benefit plans

Prior service costs	$	( 73 )	$	( 68 )	$	( 141 )	$	( 137 )
Actuarial losses	( 6,763 )		( 6,593 )		( 13,413 )		( 13,193 )

Total before tax	( 6,836 )		( 6,661 )		( 13,554 )		( 13,330 )
Income tax benefit	( 1,699 )		( 1,654 )		( 3,365 )		( 3,282 )
Net of tax	$	( 5,137 )	$	( 5,007 )	$	( 10,189 )	$	( 10,048 )

Changes in AOCL, net of tax were as follows:


	Available for sale securities		Pension and postretirement benefit plans		Foreign currency adjustments		Total
Balance at January 1, 2025	$	( 29,597 )	$	( 704,818 )	$	( 104,756 )	$	( 839,171 )
Other comprehensive income before reclassifications	3,319		—		61,008		64,327
Reclassifications into earnings	379		10,189		—		10,568
Net other comprehensive income	3,698		10,189		61,008		74,895
Balance at June 30, 2025	$	( 25,899 )	$	( 694,629 )	$	( 43,748 )	$	( 764,276 )


	Cash flow hedges		Available for sale securities		Pension and postretirement benefit plans		Foreign currency adjustments		Total
Balance at January 1, 2024	$	6,962	$	( 33,463 )	$	( 757,452 )	$	( 67,292 )	$	( 851,245 )
Other comprehensive income (loss) before reclassifications	964		( 1,843 )		—		( 20,417 )		( 21,296 )
Reclassifications into earnings	( 3,881 )		851		10,048		—		7,018
Net other comprehensive (loss) income	( 2,917 )		( 992 )		10,048		( 20,417 )		( 14,278 )
Balance at June 30, 2024	$	4,045	$	( 34,455 )	$	( 747,404 )	$	( 87,709 )	$	( 865,523 )

PITNEY BOWES INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited; table amounts in thousands unless otherwise noted, except per share amounts)

17. Supplemental Financial Statement Information

Activity in the allowance for credit losses, other than finance receivables (see Note 7 for further information) is presented below.


	Six Months Ended June 30,
	2025		2024
Balance at beginning of year	$	27,096	$	5,292

Amounts charged to expense	( 5,192 )		3,866
Write-offs, recoveries and other	( 2,902 )		( 1,289 )
Balance at end of period	$	19,002	$	7,869

Accounts and other receivables	$	7,653	$	7,869
Other current assets and prepayments	11,349		—
Total	$	19,002	$	7,869

Interest expense, net

Interest expense, net for the three months ended June 30, 2025 and 2024 includes $ 1 million and $ 3 million of interest income, respectively and interest expense, net for the six months ended June 30, 2025 and 2024 includes $ 3 million and $ 7 million of interest income, respectively.

Supplemental cash flow information is as follows:


	Six Months Ended June 30,
	2025		2024

Cash interest paid	$	71,923	$	85,539
Cash income tax payments (refunds), net	$	11,859	$	31,323
Noncash activity
Capital assets obtained under capital lease obligations	$	1,313	$	9,090

Item 2: Management’s Discussion and Analysis of Financial Condition and Results of Operations

Forward-Looking Statements

This Management's Discussion and Analysis of Financial Condition and Results of Operations (MD&A) contains statements that are forward-looking. We caution readers that any forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 (Securities Act) and Section 21E of the Securities Exchange Act of 1934 (Exchange Act) may change based on various factors. Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based on current expectations and assumptions, which we believe are reasonable; however, such statements are subject to risks and uncertainties, and actual results could differ materially from those projected or assumed in any of our forward-looking statements. Words such as "estimate," "target," "project," "plan," "believe," "expect," "anticipate," "intend," "will," "forecast," "strategy," "goal," "should," "would," "could," "may" and similar expressions may identify such forward-looking statements. We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. Forward-looking statements in this Form 10-Q speak only as of the date hereof.

Although we believe the expectations reflected in any of our forward-looking statements are reasonable, our results of operations, financial condition and forward-looking statements are subject to change and to inherent risks and uncertainties disclosed or incorporated by reference in our filings with the Securities and Exchange Commission ("SEC"). Other factors which could cause future financial performance to differ materially from expectations, include, without limitation:

• changes in postal regulations or the operations and financial health of posts in the U.S. or other major markets, or changes to the broader postal or shipping markets

• accelerated or sudden decline in physical mail or shipping volumes

• the loss of some of our larger clients

• changes in trade policies, tariffs and regulations

• global supply chain issues adversely impacting our third party suppliers' ability to provide us products and services

• periods of difficult economic conditions, the impacts of inflation and rising prices, higher interest rates and a slow-down in economic activity, including a global recession, or a U.S. government shutdown, to the company and our clients

• changes in foreign currency exchange rates

• changes in labor and transportation availability and costs

• inability to successfully execute on our strategic initiatives

• loss of key employees and accumulated knowledge and ability to attract and retain employees

• changes in government contracting regulations and inability to comply

• inability to protect our intellectual property rights and intellectual property infringement claims

• our success in developing and marketing new products and services and obtaining regulatory approvals, if required

• changes within our senior management and Board of Directors

• expenses and potential impacts resulting from cyber-attacks or other cybersecurity incidents affecting us or our suppliers

• inability to comply with data privacy and protection laws and regulations

• interruptions or difficulties in the operation of our cloud-based applications and systems or those of our suppliers

• changes in credit ratings, capital market disruptions, decline in cash flows, noncompliance with debt covenants or future interest rate increases that adversely impact our ability to access capital markets at reasonable costs

• our success at managing customer credit risk

• the risks and uncertainties associated with the Ecommerce Restructuring

• changes in banking regulations, major bank failures or the loss of our Industrial Bank charter

• changes in tax rates, laws or regulations

• changing expectations and regulations in the areas of Environmental, Social and Governance ("ESG")

• acts of nature and the impact of a pandemic on the Company and the services and solutions we offer

• shareholder activism

Further information about factors that could materially affect us, including our results of operations and financial condition, is contained in Item 1A. "Risk Factors" in our 2024 Annual Report, as supplemented by Part II, Item 1A in this Quarterly Report on Form 10-Q.

Ecommerce Restructuring

On August 8, 2024, we entered into a series of transactions designed to facilitate an orderly wind-down of a majority the Company’s Global Ecommerce reporting segment. In connection with the wind-down, an affiliate of Hilco Commercial Industrial, LLC (“Hilco”) subscribed for 81% of the voting interests in the subsidiary, DRF Logistics, LLC owning a majority of the Global Ecommerce segment’s net assets and operations (DRF Logistics, LLC and its subsidiary, DRF LLC, the “Ecommerce Debtors”) for de minimis consideration (the “GEC Sale”), with a subsidiary of Pitney Bowes retaining 19% of the voting interests and 100% of the economic interests. Subsequent to the GEC Sale, the Ecommerce Debtors, at the direction of their own governing bodies, filed petitions to commence Chapter 11 bankruptcy cases and conduct an orderly wind down of the Ecommerce Debtors (the “GEC Chapter 11 Cases”). We refer to the GEC Sale, the GEC Chapter 11 Cases and any associated transactions as the “Ecommerce Restructuring”.

As a result of the Ecommerce Restructuring, certain revenues and expenses for the three and six months ended June 30, 2024 are reported as discontinued operations in our Condensed Consolidated Financial Statements. Prior periods have been recast to conform to the current period presentation. For segment reporting purposes, the remaining portion of Global Ecommerce in continuing operations is now reported as "Other" and includes the revenue and related expenses of prior operations and shared services. See Note 4 for further information.

Outlook

Within SendTech Solutions, mailing-related revenues are expected to decline driven by lower meter populations and a higher mix of lease extensions versus new equipment sales and leases. We expect this decline to be partially offset by growth in our shipping offerings, particularly our SaaS solutions. The shift to lease extensions will result in declining equipment sales in the near term, but more stable and continued cash flows over the lease term.

Within Presort Services, we expect revenue growth to be roughly flat compared to prior year as volume declines are partially offset by pricing actions and we expect margin increases from continued improvements in efficiencies and productivity.

The U.S. government's announced tariffs on goods imported into the United States continues to be volatile, uncertain and different for each country of origin. We continuously assess the potential impact these tariffs may have on our operations and are considering various mitigating actions.

RESULTS OF OPERATIONS

OVERVIEW OF CONSOLIDATED RESULTS

Constant Currency

In the tables below, we report the change in revenue on a reported basis and a constant currency basis. Constant currency measures exclude the impact of changes in currency exchange rates from the prior period under comparison. We believe that excluding the impacts of currency exchange rates provides a better understanding of the underlying revenue performance. Constant currency change is calculated by converting the current period non-U.S. dollar denominated revenue using the prior year’s exchange rate.

Financial Results Summary - Three Months Ended June 30:


	Three Months Ended June 30,
					Favorable/(Unfavorable)
	2025		2024		Actual % Change		Constant Currency % change
Total revenue	$	461,909	$	489,745	(6)	%	(6)	%
Cost of revenue	214,383		239,266		10	%
Operating expenses	208,255		258,333		19	%
Income (loss) from continuing operations before taxes	39,271		(7,854)		>100%
Provision for income taxes	9,296		2,271		>(100%)
Income (loss) from continuing operations	29,975		(10,125)		>100%
Loss from discontinued operations, net of tax	—		(14,742)		100	%
Net income (loss)	$	29,975	$	(24,867)	>100%

Revenue decreased $28 million in the second quarter of 2025 compared to the prior year period due to lower products revenue of $17 million, lower services revenue of $7 million and lower financing and other revenue of $4 million.

Costs of revenue decreased $25 million due to lower cost of services of $14 million, lower cost of products of $6 million and lower cost of financing and other of $5 million.

Total operating expenses decreased $50 million compared to the prior year period primarily due to:

• lower selling, general and administrative (SG&A) expense of $22 million primarily due to lower employee-related expenses of $19 million driven by actions taken under the 2024 Plan, lower professional and outsourcing fees of $12 million and lower insurance expense of $5 million driven by cost savings initiatives, partially offset by higher non-cash foreign currency revaluation losses on intercompany loans of $18 million;

• lower restructuring charges of $17 million driven by a larger number of actions taken under the 2024 Plan in the prior year;

• lower research and development (R&D) expense of $4 million primarily due to cost savings initiatives; and

• other income in the second quarter of 2025 primarily due to a benefit in connection with the Ecommerce Restructuring.

See Note 13 for more information regarding our tax provision.

As a result of the above, net income for the second quarter of 2025 was $30 million compared to a loss of $25 million in the prior year period. Net loss for the second quarter of 2024 includes a loss from discontinued operations, net of tax of $15 million. See Note 4 for more information.

Financial Results Summary - Six Months Ended June 30:



	Six Months Ended June 30,
					Favorable/(Unfavorable)
	2025		2024		Actual % Change		Constant Currency % change
Total revenue	$	955,329	$	1,011,014	(6)	%	(6)	%
Cost of revenue	438,682		487,788		10	%
Operating expenses	430,644		483,476		11	%
Income from continuing operations before taxes	86,003		39,750		>100%
Provision for income taxes	20,606		17,771		(16)	%
Income from continuing operations	65,397		21,979		>100%
Loss from discontinued operations, net of tax	—		(49,731)		100	%
Net income (loss)	$	65,397	$	(27,752)	>100%

Revenue decreased $56 million in the first half of 2025 compared to the prior year period due to lower products revenue of $38 million, lower services revenue of $11 million and lower financing and other revenue of $6 million.

Costs of revenue decreased $49 million primarily due to lower cost of services of $23 million, lower cost of products of $18 million and lower cost of financing and other of $9 million.

Total operating expenses decreased $53 million compared to the prior year period primarily due to:

• lower SG&A expense of $43 million primarily due to lower employee-related expenses of $44 million driven by actions taken under the 2024 Plan, lower professional and outsourcing fees of $15 million and lower insurance expense of $10 million, partially offset by higher non-cash foreign currency revaluation losses on intercompany loans of $30 million;

• lower restructuring charges of $19 million driven by a larger number of actions taken under the 2024 Plan in the prior year;

• lower R&D expense of $7 million primarily due to cost savings initiatives; partially offset by

• other expense in the first half of 2025 of $18 million, primarily due to a $24 million loss on the redemption/refinancing of debt and a benefit of $7 million in connection with the Ecommerce Restructuring.

See Note 13 for more information regarding our tax provision.

As a result of the above, net income for the first half of 2025 was $65 million compared to a loss of $28 million in the prior year period. Net loss for the first half of 2024 includes a loss from discontinued operations, net of tax of $50 million. See Note 4 for more information.

SEGMENT RESULTS

Effective January 1, 2025, we revised our reporting presentation of revenue and cost of revenue in order to better align with our offerings. Additionally, we revised our corporate expense allocation methodology to allocate all marketing and innovation expenses to our SendTech Solutions segment due to a change in how these functions are now managed. Prior periods have been recast to conform to the current period presentation.

We allocate a portion our total interest expense to finance interest expense, included in Cost of financing and other in our Condensed Consolidated Statements of Operations.

Management measures segment profitability and performance as segment revenues less the related costs and expenses attributable to the segment. Segment results exclude interest, including finance interest expense, taxes, corporate expenses, restructuring charges and other items not allocated to the segments.

SendTech Solutions

SendTech Solutions provides clients with physical and digital shipping and mailing technology solutions and other applications to help simplify and save on the sending, tracking and receiving of letters, parcels and flats, as well as supplies and maintenance services for these offerings. We offer financing alternatives that enable clients to finance equipment and product purchases, a revolving credit solution that enables clients to make meter rental payments and purchase postage, services and supplies, and an interest-bearing deposit solution to clients who prefer to prepay postage. We also offer financing alternatives that enable clients to finance or lease other manufacturers’ equipment and provide working capital.

Financial performance for the SendTech Solutions segment was as follows:


	Three Months Ended June 30,
							Favorable/(Unfavorable)
	2025			2024			Actual % change		Constant Currency % change
Services	$	140,230		$	146,781		(4)	%	(5)	%
Products	90,880			108,262			(16)	%	(17)	%
Financing and other	80,606			84,230			(4)	%	(5)	%



Total revenue	311,716			339,273			(8)	%	(9)	%

Cost of services	48,072			55,542			13	%
Cost of products	54,487			60,672			10	%
Cost of financing and other	3,094			4,433			30	%


Total costs of revenue	105,653			120,647			12	%

Gross margin	206,063			218,626			(6)	%
Gross margin %	66.1		%	64.4		%

Selling, general and administrative	99,193			115,597			14	%
Research and development	3,716			7,534			51	%
Other components of pension and post retirement cost	1,899			(528)			>(100%)
Adjusted Segment EBIT	$	101,255		$	96,023		5	%

SendTech Solutions revenue decreased $28 million in the second quarter of 2025 compared to the prior year period. Products revenue declined $17 million primarily due to customers opting to extend leases of their existing advanced-technology equipment rather than purchase new equipment and the impact of the prior year product migration. Services revenue declined $7 million primarily due to the declining meter population, which was partially offset by growth in our shipping subscriptions. Financing and other revenue declined $4 million primarily driven by the impact of the prior year product migration and mix of business.

Gross margin declined $13 million compared to the prior year period primarily driven by lower revenue; however, gross margin percentage increased to 66.1% from 64.4% driven by headcount reductions and other cost savings initiatives.

SG&A expense declined $16 million and R&D expense declined $4 million, primarily driven by overall cost savings initiatives.

Adjusted segment EBIT was $101 million in the second quarter of 2025 compared to $96 million for the prior year period.



	Six Months Ended June 30,
							Favorable/(Unfavorable)
	2025			2024			Actual % change		Constant Currency % change
Services	$	280,848		$	295,023		(5)	%	(5)	%
Products	184,070			222,386			(17)	%	(17)	%
Financing and other	162,404			168,685			(4)	%	(4)	%



Total revenue	627,322			686,094			(9)	%	(9)	%

Cost of services	99,291			111,948			11	%
Cost of products	105,406			123,426			15	%
Cost of financing and other	6,986			9,117			23	%


Total costs of revenue	211,683			244,491			13	%

Gross margin	415,639			441,603			(6)	%
Gross margin %	66.3		%	64.4		%

Selling, general and administrative	205,044			235,371			13	%
Research and development	8,607			15,360			44	%
Other components of pension and post retirement costs	3,706			(1,065)			>(100%)
Adjusted Segment EBIT	$	198,282		$	191,937		3	%

SendTech Solutions revenue decreased $59 million in the first half of 2025 compared to the prior year period, which includes an unfavorable adjustment of $4 million related to prior periods (see Note 1 for more information). Products revenue declined $38 million primarily due to customers opting to extend leases of their existing advanced-technology equipment rather than purchase new equipment, the impact of the prior year product migration and a significant deal in the prior year. Services revenue declined $14 million primarily due to the declining meter population, which was partially offset by growth in our shipping subscriptions. Financing and other revenue declined $6 million by the impact of the prior year product migration and mix of business.

Gross margin declined $26 million compared to the prior year period primarily driven by lower revenue; however, gross margin percentage increased to 66.3% from 64.4% driven by headcount reductions and other cost savings initiatives.

SG&A expense declined $30 million and R&D expense declined $7 million, primarily driven by lower employee-related expenses and overall cost savings initiatives.

Adjusted segment EBIT was $198 million in the first half of 2025, which includes the $4 million charge from the unfavorable revenue adjustment related to prior periods compared to $192 million for the prior year period.

Presort Services

Presort Services is the largest workshare partner of the USPS and national outsource provider of mail sortation services that allow clients to qualify large volumes of First Class Mail, Marketing Mail, and Marketing Mail Flats/Bound Printed Matter for postal worksharing discounts.

Financial performance for the Presort Services segment was as follows:


	Three Months Ended June 30,
							Favorable/(Unfavorable)
	2025			2024			Actual % Change		Constant Currency % change
Services	$	150,193		$	146,858		2	%	2	%
Cost of services	96,153			100,800			5	%
Gross Margin	54,040			46,058			17	%
Gross Margin %	36.0		%	31.4		%

Selling, general and administrative	18,053			18,960			5	%

Other components of net pension and postretirement cost	47			50			6	%
Adjusted segment EBIT	$	35,940		$	27,048		33	%

Revenue increased $3 million in the second quarter of 2025 compared to the prior year period primarily due to pricing actions despite a 6% decline in total mail volumes. The processing of First Class Mail contributed the revenue increase of $3 million.

Gross margin increased $8 million and gross margin percentage increased to 36.0% from 31.4% in the prior period primarily due to higher revenue and $2 million in savings as a result of the 2024 Plan.

SG&A expense declined $1 million compared to the prior year period.

Adjusted segment EBIT was $36 million in the second quarter of 2025 compared to $27 million in the prior year period.



	Six Months Ended June 30,
							Favorable/(Unfavorable)
	2025			2024			Actual % Change		Constant Currency % change
Services	$	328,007		$	316,665		4	%	4	%
Cost of services	200,787			208,127			4	%
Gross Margin	127,220			108,538			17	%
Gross Margin %	38.8		%	34.3		%

Selling, general and administrative	36,406			41,061			11	%

Other components of net pension and postretirement costs	95			100			5	%
Adjusted segment EBIT	$	90,719		$	67,377		35	%

Revenue increased $11 million in the first half of 2025 compared to the prior year period primarily due to pricing actions despite a 4% decline in total mail volumes. The processing of First Class Mail contributed a revenue increase of $17 million, which was partially offset by a revenue decrease from Marketing Mail Flats/Bound Printed Matter of $6 million. Prior year revenue includes a $5 million favorable adjustment related to prior periods. See Note 1 for more information.

Gross margin increased $19 million and gross margin percentage increased to 38.8% from 34.3% in the prior period primarily due to higher revenue, lower transportation costs of $2 million driven by lane optimization and $3 million in savings as a result of the 2024 Plan.

SG&A expense declined $5 million compared to the prior year period driven primarily by lower credit loss provision of $2 million and lower employee related expenses of $1 million.

Adjusted segment EBIT was $91 million in the first half of 2025 compared to $67 million in the prior year period, which includes the $5 million benefit from the favorable revenue adjustment.

CORPORATE EXPENSES

The majority of operating expenses are recorded directly or allocated to our reportable segments. Operating expenses not recorded directly or allocated to our reportable segments are reported as corporate expenses. Corporate expenses primarily represents corporate administrative functions such as finance, human resources, legal and information technology.

Corporate expenses were as follows:


	Three Months Ended June 30,
						Favorable/(Unfavorable)
		2025		2024		Actual % change
Corporate expenses		$	34,902	$	44,293	21	%

Corporate expenses for the second quarter of 2025 decreased $9 million compared to the prior year period primarily due to lower salary expense of $17 million and lower variable compensation expense of $5 million driven by actions taken under the 2024 Plan and lower insurance expense of $5 million driven by cost savings initiatives, partially offset by higher non-cash foreign currency revaluation losses on intercompany loans of $18 million.



	Six Months Ended June 30,
						Favorable/(Unfavorable)
		2025		2024		Actual % change
Corporate expenses		$	67,019	$	86,495	23	%

Corporate expenses for the first half of 2025 decreased $19 million compared to the prior year period primarily due to lower salary expense of $28 million and lower variable compensation expense of $8 million driven by actions taken under the 2024 Plan, lower insurance expense of $10 million driven by cost savings initiatives and $6 million lower expenses related to historical businesses that did not qualify for discontinued operations, partially offset by higher non-cash foreign currency revaluation losses on intercompany loans of $30 million.

LIQUIDITY AND CAPITAL RESOURCES

Our ability to maintain adequate liquidity for our operations is dependent upon a number of factors, including our revenue and earnings, our ability to manage costs, our clients' ability to pay their balances on a timely basis and the impacts of changing macroeconomic and geopolitical conditions. At June 30, 2025, we had cash, cash equivalents and short-term investments of $301 million, which includes $40 million held at our foreign subsidiaries used to support their liquidity needs. At this time, we believe that existing cash and investments, cash generated from operations and borrowing capacity under our revolving credit facility will be sufficient to fund our cash needs for the next 12 months. Our future capital requirements will depend on many factors, including our strategic plans, investments and potential stock repurchases.

Cash Flow Summary

Changes in cash and cash equivalents were as follows:


	2025		2024		Change
Net cash from operating activities	$	94,709	$	79,945	$	14,764
Net cash from investing activities	(74,100)		(27,713)		(46,387)
Net cash from financing activities	(208,492)		(60,807)		(147,685)
Effect of exchange rate changes on cash and cash equivalents	3,334		(2,689)		6,023
Change in cash and cash equivalents	$	(184,549)	$	(11,264)	$	(173,285)

Operating Activities

Cash flows from operating activities for the first half of 2025 improved $15 million compared to the prior year period driven primarily by higher income offset by higher variable compensation and incentive award payments and declines in customer deposit balances.

Investing Activities

Cash flows from investing activities for the first half of 2025 declined $46 million compared to the prior year period primarily due to higher investments in loan receivables of $58 million, lower cash from investment activities of $6 million and $2 million for an acquisition, partially offset by lower cash outflows from discontinued operations of $10 million and DIP Facility repayments of $8 million.

Financing Activities

Cash flows from financing activities for the first half of 2025 declined $148 million compared to the prior year period primarily due to repurchases of our common stock of $90 million, lower cash from changes in customer account deposits at PB Bank of $42 million, fees paid to redeem and refinance debt of $21 million and higher dividend payments of $6 million.

We paid dividends of $24 million in the first half of 2025. Each quarter, our Board of Directors considers whether to approve the payment of a dividend. We currently expect to continue paying a quarterly dividend; however, no assurances can be given.

Debt and Financing Activities

In the first quarter of 2025, we redeemed the remaining outstanding balance of the Notes due March 2028 and recorded a loss of $17 million in other (income) expense. Additionally, we entered into a new senior secured credit agreement (the "New Credit Agreement"), which provides for $265 million revolving credit facility maturing March 2028, a $160 million term loan maturing March 2028 and a $615 million term loan maturing March 2032. The proceeds from the new term loans were used to repay the outstanding balances of the Term loan due March 2026 and Term loan due March 2028 and for general corporate purposes. We recorded a loss of $8 million in connection with this refinance in other (income) expense. During 2025, we also purchased an aggregate $37 million of the Notes due March 2027 and Notes due March 2029.

The New Credit Agreement also contains provisions whereby if, on any day between the period commencing on September 14, 2026 and ending on March 15, 2027 the Notes due March 2027 have not been redeemed in full and liquidity is less than an amount equal to the amount to redeem the Notes due March 2027 plus $100 million, the Term loan due March 2028 and any borrowings under the revolving credit facility would become due on such date (the "Pro Rata Springing Maturity Date"), and if on any date during the period beginning on December 14, 2026 and ending on March 15, 2027, the Notes due March 2027 remain outstanding and the Pro Rata Springing Maturity Date has occurred, the Term loan due March 2032 would be become due on such date. We are considering various strategies and fully intend to redeem the Notes due March 2027 before September 2026 either with available liquidity or refinance through the capital markets.

In connection with the GEC Chapter 11 Cases, the Company, through one of its wholly owned subsidiaries, agreed to provide funding to the Ecommerce Debtors through a DIP Facility. We provided initial funding of $28 million and, have received repayments of $19 million. The remaining balance on the DIP Facility is fully reserved and any future repayments will be recorded as income in the period received.

While we are focused on reducing our leverage and interest costs, we may incur additional debt or issue additional equity securities in the future.

Off-Balance Sheet Arrangements

At June 30, 2025, there are no off-balance sheet arrangements that have, or are reasonably likely to have, a material effect on our financial condition, results of operations or liquidity.

Regulatory Matters

There have been no significant changes to the regulatory matters disclosed in our 2024 Annual Report.

Critical Accounting Estimates

There have been no significant changes to the Critical Accounting Estimates disclosed in our 2024 Annual Report.

Item 3: Quantitative and Qualitative Disclosures About Market Risk

There were no material changes to the disclosures made in our 2024 Annual Report.

Item 4: Controls and Procedures

Disclosure controls and procedures are designed to ensure that information required to be disclosed in reports filed or submitted under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission’s rules and forms. Disclosure controls and procedures are also designed to reasonably ensure that such information is accumulated and communicated to management, including our Chief Executive Officer (CEO) and Chief Financial Officer (CFO), to allow timely decisions regarding disclosures.

With the participation of our CEO and CFO, management evaluated our disclosure controls and procedures (as defined in Rule 13a-15(e) and Rule 15d-15(e) under the Exchange Act) and internal controls over financial reporting as of the end of the period covered by this report. Our CEO and CFO concluded that, as of the end of the period covered by this report, such disclosure controls and procedures were effective to ensure that information required to be disclosed in reports filed or submitted under the Exchange Act is recorded, processed, summarized and reported within the required time periods. In addition, no changes in internal control over financial reporting occurred during the quarter covered by this report that materially affected, or are reasonably likely to materially affect, such internal control over financial reporting.

It should be noted that any system of controls is based in part upon certain assumptions designed to obtain reasonable (and not absolute) assurance as to its effectiveness, and there can be no assurance that any design will succeed in achieving its stated goals. Notwithstanding this caution, the CEO and CFO have reasonable assurance that the disclosure controls and procedures were effective as of June 30, 2025.

PART II. OTHER INFORMATION

Item 1: Legal Proceedings

See Note 14 to the Condensed Consolidated Financial Statements.

Item 1A: Risk Factors

There were no material changes to the risk factors identified in Item 1A of our 2024 Annual Report.

Item 2: Unregistered Sales of Equity Securities and Use of Proceeds

Repurchases of Equity Securities

On February 11, 2025, our Board of Directors authorized a new $150 million share repurchase program. Further, in July 2025, our Board of Directors authorized an increase in the program to $400 million. Subject to limitations in our New Credit Agreement, purchases by the Company under the new share repurchase program may be made from time to time in open market or private transactions in such manner as may be deemed advisable from time to time (including, without limitation, pursuant to one or more 10b5-1 trading plans, accelerated share repurchase programs, and any other method that the Company may deem advisable) and may be discontinued at any time. We may also repurchase shares of our common stock to manage the dilution created by shares issued under employee stock plans and for other purposes. The following table provides information about purchases of our common stock during the three months ended June 30, 2025:



	Total number of shares purchased	Average price paid per share		Total number of shares purchased as part of publicly announced plans or programs	Approximate dollar value of shares that may yet be purchased under the plans or programs (in thousands)
Beginning balance					$135,000
April 2025	1,319,150	$	8.29	1,319,150	$124,071
May 2025	1,565,765	$	9.65	1,565,765	$108,965
June 2025	4,700,827	$	10.47	4,700,827	$59,726
	7,585,742	$	9.92	7,585,742

From July 1, 2025 through July 25, 2025, we purchased an additional 3,475,960 shares for a total of $40 million.

Item 3: Defaults Upon Senior Securities

None.

Item 4: Mine Safety Disclosures

Not applicable.

Item 5: Other Information

On May 22, 2025 , Mr. Kurt Wolf , upon his appointment as the Company's Chief Executive Officer , terminated the Rule 10b5-1 trading arrangement he had previously adopted as a director. Mr. Wolf's Rule 10b5-1 trading arrangement was scheduled to expire on May 25, 2025 and related to shares held directly by Hestia Capital Partners, LP ("Hestia Capital"), Helios I, LP ("Helios") and separately managed accounts. Mr. Wolf is the managing member of (a) Hestia Partners GP, the general partner of Hestia Capital and Helios, and (b) Hestia LLC, the investment manager of Hestia Capital, Helios and the separately managed accounts. For additional information on his plan, refer to Item 5. Other Information in the Company's Quarterly Report on Form 10-Q for the three month period ended September 30, 2024. No other director of officer of the Company, adopted , terminated or otherwise modified a "Rule 10b5-1 trading arrangement," as defined in Item 408(a) of Regulation S-K, during the three months ended June 30, 2025.

Item 6: Exhibits


Exhibit Number	Description	Exhibit Number in this Form 10-Q
3.1	Amended and Restated Certificate of Incorporation of Pitney Bowes Inc. (incorporated by reference to Exhibit 3.2 to the Form 8-K filed with the Commission on May 8, 2024)	3.2
3.2	Pitney Bowes Inc. Amended and Restated By-laws effective May 6, 2024 (incorporated by reference to Exhibit 3.4 to the Form 8-K filed with the Commission on May 8, 2024)	3.4
10.1*	Employment Letter, dated as of May 21, 2025, b etween Pitney Bowes Inc. and Kurt Wolf (incorporated by reference to Exhibit 10.1 to the Form 8-K filed with the Commission on May 2 2, 2025)	10.1
10.2*	Form of Stock Option Award Agreement under 2024 Stock Plan for Kurt Wolf (incorporated by reference to Exhibit 10.2 to the Form 8-K filed with the Commission on May 2 2, 2025)	10.2
10.3*	Transition Agreement, dated as of May 19, 2025, b etween Pitney Bowes Inc. and Lance Rosenzweig (incorporated by reference to Exhibit 10.3 to the Form 8-K filed with the Commission on May 2 2, 2025)	10.3
10.4*	Pitney Bowes Inc. 2024 Stock Plan a s a mended through Ma y 13, 2025	10.4












31.1	Certification of Chief Executive Officer Pursuant to Rules 13a-14(a) and 15d-14(a) under the Securities Exchange Act of 1934, as amended	31.1
31.2	Certification of Chief Financial Officer Pursuant to Rules 13a-14(a) and 15d-14(a) under the Securities Exchange Act of 1934, as amended	31.2
32.1	Certification of Chief Executive Officer Pursuant to 18 U.S.C. Section 1350	32.1
32.2	Certification of Chief Financial Officer Pursuant to 18 U.S.C. Section 1350	32.2
101.SCH	Inline XBRL Taxonomy Extension Schema Document
101.CAL	Inline XBRL Taxonomy Calculation Linkbase Document
101.DEF	Inline XBRL Taxonomy Definition Linkbase Document
101.LAB	Inline XBRL Taxonomy Label Linkbase Document
101.PRE	Inline XBRL Taxonomy Presentation Linkbase Document
104	The cover page from the Company's Quarterly Report on Form 10-Q for the current quarter, formatted in Inline XBRL. (included as Exhibit 101).

* The Exhibits identified above with an asterisk (*) are management contracts or compensatory plans or arrangements.

Signatures

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.


		PITNEY BOWES INC.

Date:	July 31, 2025
		/s/ Paul Evans

		Paul Evans
		Executive Vice President and Chief Financial Officer

		(Duly Authorized Officer, Principal Financial Officer)

		/s/ Lauren Thomas DeFina

		Lauren Thomas DeFina
		Vice President and Chief Accounting Officer
		(Duly Authorized Officer, Principal Accounting Officer)

TABLE OF CONTENTS

Part I. Financial Information Item 1: Financial Statements Item 2: Management S Discussion and Analysis Of Financial Condition and Results Of Operations Item 2: Management S Discussion and Analysis Of Item 3: Quantitative and Qualitative Disclosures About Market Risk Item 4: Controls and Procedures Part II. Other Information Item 1: Legal Proceedings Item 1A: Risk Factors Item 2: Unregistered Sales Of Equity Securities and Use Of Proceeds Item 3: Defaults Upon Senior Securities Item 4: Mine Safety Disclosures Item 5: Other Information Item 6: Exhibits

Exhibits

3.1 Amended and Restated Certificate of Incorporation of Pitney Bowes Inc. (incorporated by reference to Exhibit 3.2 to the Form 8-K filed with the Commission on May 8, 2024) 3.2 3.2 Pitney Bowes Inc. Amended and Restated By-laws effective May 6, 2024 (incorporated by reference to Exhibit 3.4 to the Form 8-K filed with the Commission on May 8, 2024) 3.4 10.1* Employment Letter, dated as of May 21, 2025, between Pitney Bowes Inc. and Kurt Wolf(incorporated by reference to Exhibit 10.1 to the Form 8-K filed with the Commission onMay22, 2025) 10.1 10.2* Form of Stock Option Award Agreement under 2024 Stock Plan for Kurt Wolf(incorporated by reference to Exhibit 10.2 to the Form 8-K filed with the Commission onMay22, 2025) 10.2 10.3* Transition Agreement, dated as of May 19,2025, between Pitney Bowes Inc. and Lance Rosenzweig(incorporated by reference to Exhibit 10.3 to the Form 8-K filed with the Commission onMay22, 2025) 10.3 10.4* Pitney Bowes Inc. 2024 Stock PlanasamendedthroughMay 13, 2025 10.4 31.1 Certification of Chief Executive Officer Pursuant to Rules 13a-14(a) and 15d-14(a) under the Securities Exchange Act of 1934, as amended 31.1 31.2 Certification of Chief Financial Officer Pursuant to Rules 13a-14(a) and 15d-14(a) under the Securities Exchange Act of 1934, as amended 31.2 32.1 Certification of Chief Executive Officer Pursuant to 18 U.S.C. Section 1350 32.1 32.2 Certification of Chief Financial Officer Pursuant to 18 U.S.C. Section 1350 32.2

Supplier name	Ticker
Adobe Inc.	ADBE
Texas Instruments Incorporated	TXN
3M Company	MMM
Micron Technology, Inc.	MU
DuPont de Nemours, Inc.	DD
Emerson Electric Co.	EMR
Freeport-McMoRan Inc.	FCX
TE Connectivity Ltd.	TEL

PBI 10-Q Quarter ended June 30, 2025

Exhibits