UPS more than doubles 3Q profit
THE ASSOCIATED PRESS October 25, 2013 8:10AM
A pickup in deliveries helped UPS more than double its profit from a year ago, when Big Brown took a hit from pension-restructuring costs. | AP file photo
Updated: October 25, 2013 8:25AM
A pickup in deliveries is helping UPS more than double its profit from a year ago, when Big Brown took a hit from pension-restructuring costs.
United Parcel Service Co. said Friday that net income in the third quarter soared to $1.10 billion, or $1.16 per share.
That’s a penny better than analysts were expecting, and it’s up from $469 million, or 48 cents per share, a year ago.
The company also announced Friday it plans to hire 55,000 U.S. seasonal workers to help with an increase in volume over the holiday season. The world’s biggest package delivery company said Friday that it foresees peak season daily volume rising 8 percent this year.
Its peak day for holiday pickups will be Dec. 16, with anticipated pick-ups of more than 34 million packages around the world that day. A day later will be the peak delivery day, at more than 29 million packages.
UPS says revenue is up 3.4 percent. Spending on compensation and benefits is down 8.1 percent because a year ago UPS took a pension-restructuring charge of $896 million.
The company says it’s standing by its forecast of full-year earnings between $4.65 and $4.85 per share. Analysts expect $4.74 per share.