United Parcel Service (NYSE: UPS) reported positive earnings but missed Wall Street analysts’ revenue expectations on Tuesday. Shares were down less than 1% at market close Tuesday, amid the news.
The multinational shipping & receiving and supply chain management company reported earnings of USD2.99 per share, compared to the expected USD2.84 a share. Revenue amounted to USD241.6 Billion, slightly lower than analysts anticipated USD24.30 Billion. Additionally, the company reaffirmed its outlook for revenue of USD102 Billion and adjusted operating margin of 13.7%.
“I want to thank UPSers around the world for their unstoppable spirit and for continuing to deliver outstanding service to our customers,” said Carol Tomé, UPS chief executive officer. “The macro environment is very dynamic, but we are on track to achieving our 2022 financial targets by executing our strategy and controlling what we can control.”
According to the company, its air and ocean freight services have experienced a dip in volume, and say the decline has been partially offset by growth in its logistics and healthcare businesses. Nevertheless, for the holidays it expects volume to be lower than the previous year amid changes in contracts with larger clients.