United Parcel Service (United Parcel Service, UPS) announced its third-quarter results on Tuesday, exceeding Wall Street's expectations and once again raising its full-year guidance.
This upward revision of guidance comes after the company already raised its outlook last quarter. UPS currently expects total annual consolidated revenue to be around $92.6 billion, higher than the previous estimate of $91.2 billion; it also forecasts fourth-quarter revenue at $25.7 billion.
In pre-market trading, the stock price of UPS rose slightly.
The following is a comparison of the company's third-quarter performance with Wall Street's expectations, based on a survey of analysts conducted by LSEG.
- Earnings per share: $1.69 after adjustment, with an expectation of $1.63.
- Revenue: $22.9 billion, with an expectation of $22.29 billion.
For the quarter ending September 30, UPS reported a net profit of $1.16 billion, or $1.37 per share, which is a slight decrease from the same period last year's net profit of $1.31 billion and $1.55 per share. Excluding one-time expenses, UPS announced earnings per share of $1.69.
By business segment, the company reported a 4.5% increase in revenue from its domestic operations in the United States and a 7.1% increase in revenue from international operations. The revenue from its supply chain solutions business grew by 18.2%. UPS indicates that this growth was mainly due to the expansion of its transshipment and logistics services, which includes healthcare-related businesses.
The company previously stated that it expected domestic revenue in the United States to remain flat in the third quarter, and that due to seasonal declines and the impact of gradually decreasing business with Amazon, the average daily volume of shipments in the U.S. would decrease.
UPS CEO Carol Tome ( Carol Tom é) stated in a declaration: "As the momentum builds, we are entering the holiday transportation season in the strongest condition, with the most automated and efficient network in the company's history."
Under the leadership of Tomé, UPS has been in a process of transformation, committed to creating a more streamlined business model and leveraging automation to position for company growth.
