UPS reports 7% revenue increase
UPS has reported a revenue of $15,978m for the third quarter(Q3), up 7% on last year, and a profit of $2,035m. In a statement issued today, David Abney, UPS chairman and CEO, said: “UPS produced another solid quarter of financial performance, despite the impact of several natural disasters that slowed regional economic activity and damaged infrastructure.
“Our business segments adapted quickly to changing conditions this quarter, taking advantage of market opportunities while minimizing cost and service disruptions from recent events.”
For the US domestic segment, revenue was up 3.9% at $360m, driven by growth in Ground and Next Day Air (where daily shipments were up 8.0%). Operating profit was down from $1,252m to $1,182m – but UPS said this had been impacted by “one less operating day, about $50m from natural disasters, and ongoing initiatives including facility construction and deployment of Saturday operations of nearly $40m”.
The international segment produced record 3Q operating profit of $627m, up 8.9%, and profits were up from $576m to $627m.
