UPS forecasts 2013 profit below estimates, shares slide

Discussion in 'The Latest UPS Headlines' started by cheryl, Jan 31, 2013.

  1. cheryl

    cheryl I started this. Staff Member

    UPS forecasts 2013 profit below estimates, shares slide - Reuters

    UPS, the world's largest package-delivery company, said it expects earnings to rise 6 percent to 12 percent in 2013, to $4.80 to $5.06 per share, which is below the average Wall Street target of $5.11.

    "We remain in a cycle of mixed growth and mixed signals," Chief Executive Scott Davis told investors on a conference call. "I have talked to a number of customers and it is clear that fiscal uncertainty continues to erode business confidence and growth prospects. This will continue until Washington starts to compromise."

    The company posted a fourth-quarter net loss of $1.75 billion, or $1.83 per share, after a $3 billion noncash charge for pension obligations. In the year-earlier period, it earned $725 million, or 74 cents per share.