Christmas parcels a gift for Aust Post as letters slow
Posties broke a record by delivering 3075 parcels per minute during the Christmas rush, making a modest profit for the country’s postal service as Australians sent fewer letters.
Australia Post delivered 111 million parcels during the peak in November and December 2025, with record shipping generating a half-year pre-tax profit of $50.4 million.
More than 283 million packages were delivered in the six months to December 31; this was up 5.1 percent compared to the December 2024 half.
On revenue of $5.06 billion, profits were down $198.7 million compared to the previous half-year results; The company said this reflects strategic investment decisions to remain competitive in a tight market.
Group chief executive and managing director Paul Graham warned the business could book a loss in 2025/26.
Australia Post was investing in the future by streamlining operations and upgrading old facilities and technology.
The business spent $219.9 million on facilities, retail format, fleet, technology and regional expansion.
“These are conscious choices,” Mr. Graham said in a statement.
“By fighting hard now and planning for the future, we are building a modern, sustainable Australia Post Office that will continue to serve all Australians for generations to come.”
The letter service reported a loss of $2.1 million, a result that improved slightly due to a 20-cent increase in stamps from July 2025.
The number of letters has been declining for a long time and volumes are at their lowest level in almost a century.
Australia Post draft price notification submitted with the consumer watchdog in January to raise the price of stamps from $1.70 to $1.85.
The proposed increase would be effective through mid-to-late 2026 to offset ongoing losses.
Less than three percent of letters were sent by individuals, and most were sent by government agencies and businesses.
Australia Post predicted the price increase would equate to less than $1 a year for households.
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