India Post revenue hits record Rs 15,373 crore in FY26
New Delhi, May 25
The revenue of India Post has surged to an all-time high of Rs 15,373 crore for the financial year 2025-26, driven by a sharp increase in the parcel and logistics segment, Union Minister of State for Communications and Rural Development Chandra Sekhar Pemmasani said in an interview.
The minister noted that the department's revenue stood at approximately Rs 11,500 crore in 2016, with an average annual growth of Rs 200-300 crore in the intervening years.
This year, however, witnessed an unprecedented single-year increase of Rs 2,100 crore, nearly 10 times the historical average.
He underscored that India Post's parcel and logistics segment has registered a 70 per cent growth, driven by technology integration and expanded e-commerce partnerships.
"When the current leadership assumed charge, total parcel revenue stood at approximately Rs 600 crore. With the introduction of OTP-based delivery, SMS tracking, UPI and digital payment acceptance, and B2B tie-ups with major e-commerce platforms, parcel services alone are estimated to have the potential to generate up to Rs 10,000 crore in revenue," Pemmasani said.
Route rationalisation has enabled faster deliveries, and after extensive piloting, India Post launched 24-hour and 48-hour Speed Post delivery services across six metro cities.
A cornerstone of India Post's modernisation drive is the Rs 5,800 crore investment under the Advanced Postal Technology (APT) initiative as part of IT 2.0.
The Minister of State outlined the department's vision of fully digital, end-to-end services, enabling citizens to purchase savings instruments and insurance policies such as PLI and RPLI through a browser with a single click, download digital certificates instantly, and receive matured policy amounts directly into their bank accounts, all without visiting a post office.
Postal savings accounts, which offer an interest rate of 4 per cent, among the highest in the country and significantly above the approximately 2.5 per cent offered by leading commercial banks, are expected to see substantially wider adoption through this digital accessibility push.
Security architecture under IT 2.0 includes facial recognition for system access, e-KYC, Aadhaar linking, and full compliance with national cloud security protocols.
India Post, through India Post Payments Bank (IPPB), is currently distributing approximately Rs 45,000 crore annually through Direct Benefit Transfer (DBT), making it one of the largest last-mile welfare delivery channels in the country.
The department is also implementing the Sukanya Samriddhi Scheme in saturation mode, with 3.8 crore girl children currently enrolled.
Along with infrastructure upgradation, India Post has undertaken a massive capacity-building and behavioural transformation programme across its workforce.
Training sessions are being conducted for every 100 employees, focusing on customer interaction, service delivery, and sales skills.
In parallel, India Post is undertaking a comprehensive physical modernisation of its post office network.
Urban post offices are being revamped with an investment of Rs 60-70 lakh per facility, featuring digital counters, streamlined Aadhaar updation services, and shared workspaces on their premises, the minister added.
— IANS
Reader Comments
That 4% interest on postal savings is really attractive compared to bank rates. My grandmother has been using the post office for decades. But I worry about the digital push - what about our elderly citizens who are not comfortable with smartphones? Hope they keep the physical counters 😊
Rs 15,373 crore is impressive, but the profit margin must be thin given they handle DBT of Rs 45,000 crore. The real story is the parcel business transformation - from Rs 600 crore to potential Rs 10,000 crore? That's massive. But I hope the Sukanya Samriddhi awareness improves; many rural families still don't know about it.
As someone who works in logistics, this is fascinating. India Post is finally competing with private couriers. The OTP-based delivery and UPI payments were overdue but welcome. Though Rs 5,800 crore for IT 2.0 seems steep - let's see if facial recognition and e-KYC actually improve security or just add bureaucracy.
Trainings for every 100 employees is good, but the real challenge is the attitude of some postal staff. I've had experiences where they were rude. Hope this behavioural transformation programme actually works! Also, shared workspaces in post offices? That sounds innovative - like a community hub idea.
The DBT distribution of Rs 45,000 crore through IPPB is the unsung hero here. In my village, the postman is like a bank for many. But I'm skeptical about the claim that 3.8 crore girl children are enrolled in Sukanya Samrid
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