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United Parcel Service Inc (UPS.N) said on Wednesday a jump in demand for its Next Day Air service drove better-than-expected profit in the second quarter as large retailers rushed packages to online shoppers.

Shares of UPS jumped 8.6% to $114.33 in midday trading as the world’s biggest package delivery company also reiterated its 2019 forecast and said it was taking U.S. air volume from rivals.

UPS has been spending billions of dollars to modernize its network. Those investments – which include more automated package sorting facilities and new cargo planes – are helping to contain the cost of delivering small numbers of e-commerce packages to far-flung home addresses.

The United Parcel Service Inc. announced Monday it would begin offering pickup and delivery services seven days a week in response to the growth of online shopping.

The Atlanta-based package delivery giant said the services would begin on Jan. 1 and would be assisted by the U.S. Postal Service. The company’s current pickup and delivery services are offered six days a week.

UPS also announced it would add 12,000 new package pickup locations inside CVS, Michaels Co. and Advance Auto Parts stores. The extra locations would bring the number of pickup points UPS has in the U.S. to 21,000 and 40,000 globally.

• United Parcel Service said demand for its Next Day Air and Ground services drove better-than-expected quarterly profit as large retailers rushed packages to online shoppers.
• Next Day Air volume surged an unexpected 30% in UPS’ key domestic business during the second-quarter, as Amazon.com and other large retailers adopted one-day shipping. More profitable Next Day Air and Ground services helped boost margins in the United States.

United Parcel Service Inc (UPS.N), the world’s largest package delivery firm, on Tuesday unveiled its drone delivery subsidiary and said it has applied for the Federal Aviation Administration certifications needed to expand the business.

The launch of UPS Flight Forward marks the latest move in the battle between UPS, Amazon.com Inc (AMZN.O) and Alphabet Inc (GOOGL.O) for the lead in the nascent U.S. drone delivery industry.

UPS said Flight Forward could receive FAA certification for multiple drones and pilots as early as this year, potentially becoming the first company to win such approvals.