A UPS driver pulls a cart with packages whereas making deliveries on June 12, 2023 in San Francisco, California.
Justin Sullivan | Getty Images
Shares of the United Parcel Service slipped 6% Thursday after the corporate reported a bigger-than-expected revenue decline and minimize its revenue steering for the yr.
The stock hit a brand new 52-week low.
Here’s how the corporate carried out in comparison with Wall Street estimates:
- Adjusted earnings: $1.57 vs. $1.52 per share anticipated, in accordance with LSEG, previously often known as Refinitiv
- Revenue: $21.06 billion vs. $21.46 billion anticipated
For the three-month interval ended Sept. 30, UPS reported earnings of $1.13 billion, or $1.31 a share, in contrast with $2.58 billion, or $2.96 a share, a yr earlier. Adjusted for one-time earnings, per share earnings have been $1.57.
Revenue declined to $21.06 billion from $24.16 billion.
The firm additionally lowered its revenue outlook for the total yr. UPS now expects this yr’s consolidated revenue to be between $91.3 billion and $92.3 billion, down from its earlier projection of $93 billion.
The delivery giant cited world financial uncertainty as the primary think about reducing its outlook. It did not instantly point out any monetary impacts from negotiations with Teamsters in August in efforts to keep away from a labor strike.
“While unfavorable macro-economic situations negatively impacted world demand within the quarter, our U.S. labor contract was totally ratified in early September and quantity that diverted throughout our labor negotiations is beginning to return to our community,” CEO Carol Tomé mentioned in a press release. “Looking forward, we’re well-prepared for the height vacation season.”