Office Supplies and Stationery Stores NAICS 459410

Dec 6, 2025 - ODP Corporation's Q3 2025 sales Decline

• Office supply retail firm ODP Corporation (Office Depot and OfficeMax) reported third-quarter 2025 sales of $1.6 billion, down 9% compared to Q3 2024. The firm stated that the drop in sales was primarily due to its Office Depot consumer business, which had 63 fewer locations than during the same period in 2024. The Office Depot division also experienced weaker retail and online consumer traffic. Sales in the company’s ODP Business Solutions division were down 6% compared to Q2 2024. ODP posted net income of $23 million in Q3 2025, down from a gain of $68 million in Q3 2024. In September, ODP agreed to be purchased by an affiliate of private equity firm Atlas Holdings for about $1 billion, according to Retail Dive.
• The sluggish return to offices after the pandemic may put downward pressure on demand for office supplies. The US office market’s recovery remains uneven amid high vacancy rates and declining property values in some markets, according to The Wall Street Journal. While districts like New York’s Park Avenue and San Francisco’s South of Market show signs of strength, most markets struggle with empty space due to structural shifts from remote and hybrid work. Companies are downsizing footprints, leaving landlords, lenders, and local governments under pressure as office-related tax collections fall. Some investors remain cautious, with office property sales far below pre-pandemic levels, though conversions to housing and limited new supply are tightening prime space in select areas. With AI-driven job cuts adding uncertainty, analysts warn the slump may not mirror past cycles, raising questions about the long-term viability of traditional office demand.

• Total US printing-writing (P-W) paper shipments dropped 14% in October compared to the same month in 2024, according to the American Forest & Paper Association (AFPA). Sales of coated free-sheet papers (CFS), uncoated free-sheet papers (UFS), and mechanical papers (MECH) were all down in October compared to September. MECH shipments saw the steepest declines, while UFS and CFS shipments fell at about the same rate as printing-writing papers overall.
• Despite the digitalization of everyday life, small stationery stores are thriving by offering unique tactile experiences, according to Retail Dive. While larger brands – including Papyrus and Paper Source – have struggled, local shops have built loyal followings by offering hyper-personalization, workshops, limited-edition collaborations, community engagement, and locally sourced products. Papyrus closed all its US-based stores during the pandemic but still sells online and through retail partners. Paper Source was bought out of bankruptcy by Barnes & Noble in 2021. Wellness practices that include limited time with screens – such as journaling - have helped drive sales of stationery items. However, many of the higher-quality stationery products are not available from US suppliers and recent increases in tariffs could force stores to raise prices.