Pitney Bowes Inc. (NYSE:PBI) shares are skyrocketing on Thursday after reporting first-quarter results.

The company reported adjusted earnings per share of $(0.01) loss, which is narrower than the analyst consensus of $(0.04).

Quarterly revenues of $830.509 million beat the street view of $796.995 million.

Net income was a loss of $(3) million in the first quarter, an improvement of $5 million over the prior year despite higher interest and tax expenses.

Pitney Bowes reported quarterly adjusted EBIT of $56 million, up $23 million or 71% year over year.

The company said that cost reduction actions as part of the 2023 restructuring plan generated significant benefits in the quarter. Pitney Bowes now expects savings to exceed $75 million to $85 million target.

Shipping-related revenue grew 8% in the SendTech solutions segment, partially offsetting the decline in mailing-related revenue of 4%.

Presort achieved record revenue as higher revenue per piece offset a 2% decline in volumes.

Dividend: The company declared a quarterly cash dividend on the company's common stock of $0.05 per share. The dividend will be paid on June 7 to stockholders of record on May 23.

Outlook: Pitney Bowes reiterates its FY24 revenue growth outlook in the range from flat to a low-single-digit decline and EBIT margins to remain relatively flat on a year-over-year basis.

The company said it is planning similar levels of capital expenditures in 2024 as in 2023 and expects interest expense and taxes to increase over the prior year.

Price Action: PBI shares are trading higher by 24.1% to $5.225 at last check Thursday.

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