More parcels, higher prices lift UPS profit but costs soar

cheryl

I started this.
Staff member
More parcels, higher prices lift UPS profit but costs soar - Reuters

United Parcel Service Inc (UPS.N) reported higher first-quarter net profit on Thursday, driven by strong package volumes in its core U.S. segment, but higher costs from Saturday delivery and nasty winter weather weighed on the bottom line.

Shares were up 2.2 percent in morning trade after the world’s largest package delivery company said revenue increased 10 percent to $17.1 billion in the first quarter from a year ago, topping analyst expectations of $16.47 billion.

Revenue at its core U.S. package service rose 7.2 percent to $10.2 billion from a year-ago, driven by a 4.6-percent rise in parcel volumes that reflected growth of online purchases.
 

Turdferguson

Just a turd
UPS beat the street by $0.01 with internal costs rising.
It's going to be hard to continue growth in earnings.
You neglected to mention the cost of the bad weather in the bottom line also. I know it may suprise you but not everything is the fault of what you call the over payed full timers
 

1989

Well-Known Member
UPS, seen as an indicator of U.S. economic strength and consumer demand, reaffirmed its 2018 earnings per share range of $7.03 to $7.37 and maintained its 2018 spending plan of between $6.5 billion to $7 billion on network improvements like new technology and automating its parcel sorting hubs.



Sounds like ups is not anticipating a strike. Or it will be business as usual due to automated sorting hubs.
 

Tired Driver

Sisyphus had it easy.
More parcels, higher prices lift UPS profit but costs soar - Reuters

United Parcel Service Inc (UPS.N) reported higher first-quarter net profit on Thursday, driven by strong package volumes in its core U.S. segment, but higher costs from Saturday delivery and nasty winter weather weighed on the bottom line.

Shares were up 2.2 percent in morning trade after the world’s largest package delivery company said revenue increased 10 percent to $17.1 billion in the first quarter from a year ago, topping analyst expectations of $16.47 billion.

Revenue at its core U.S. package service rose 7.2 percent to $10.2 billion from a year-ago, driven by a 4.6-percent rise in parcel volumes that reflected growth of online purchases.
Or good it be the bonuses and raises that the board received?
 

OrionsBitch

Not...
You neglected to mention the cost of the bad weather in the bottom line also. I know it may suprise you but not everything is the fault of what you call the over payed full timers
Every company deals with the same bad weather. The advantages come from wage differences. Just saying. Amazon and FedEx pay peanuts. It WILL be a major advantage in the long run. You can't deny that. Why do you think there is such a push for wage changes in this next contract? Because UPs recognizes the pensions and wages as an extreme hindrance to their growth.
 

Turdferguson

Just a turd
Every company deals with the same bad weather. The advantages come from wage differences. Just saying. Amazon and FedEx pay peanuts. It WILL be a major advantage in the long run. You can't deny that. Why do you think there is such a push for wage changes in this next contract? Because UPs recognizes the pensions and wages as an extreme hindrance to their growth.
The only thing hindering UPS profits are the razor thin margin on all the residential deliveries . Stop density
 
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