Stamps.com’s Revenue Surges As Paid Customer Base Grows

eCommerce shipping provider Stamps.com reported as part of its financial results that total revenue surged 25 percent from $151.3 million in Q1 2020 to $189.1 million in Q1 2021.

In announcing its earnings, the company reported $2.08 in non-GAAP adjusted income per fully diluted share in Q1 2021, up from $1.32 in Q1 2020.

”We continued to see strength in our financial performance in the first quarter of the year, which marked the anniversary of the COVID-19 pandemic,” Stamps.com chairman and CEO Ken McBride said in the announcement.

Stamps.com posted $189.1 million in Q1 2021 mailing and shipping revenue, which was up 28 percent from Q1 2020. However, the company reported zero in customized postage revenue, down 100 percent from Q1 2020 as USPS ended the program effective June 16, 2020.

Stamps.com had 991,000 paid customers in Q1 2021, up from 777,000 paid customers in Q1 2020. In addition, Stamps.com said it had $1.96 billion in USPS postage printed in Q1 2021, up from $1.64 billion in Q1 2020,  according to supplementary materials.

In terms of share repurchase, management said that the firm “repurchased approximately 137 thousand shares at a total cost of approximately $27.0 million.”

Stamps.com provides eCommerce shipping solutions to clients, which include high-volume shippers, large businesses, eCommerce shippers, small companies and individuals. Its brand names include Metapack, ShipEngine, ShipWorks, ShippingEasy, ShipStation, Endicia and Stamps.com.

“As the economy begins to show signs of broader recovery, we believe eCommerce will continue to be an integral part of both the global economy going forward and the economic recovery,” McBride said in the earnings announcement. “We remain excited about the long-term future of our business and confident in our ability to successfully execute our global eCommerce strategy.”

The news comes as eCommerce IT platform Shippo has notched $45 million in new funding per news in February.

In addition, FedEx is going beyond the last mile and going more in-depth into eCommerce, as it announced a new partnership with Adobe Commerce per news in late April.