UPS CEO Sees Wider Profit Margins in 2021 After ‘Turning Point’ - MSN
United Parcel Service Inc.’s profit jumped in the fourth quarter as a rush of online holiday shopping boosted package volume and enabled the courier to raise its prices.
The results marked a “turning point” for UPS’s efforts to increase revenue faster than volume, Chief Executive Officer Carol Tome told analysts Tuesday after the company reported earnings. While UPS declined to venture a detailed financial forecast because of uncertainty from the coronavirus pandemic, profit margins will expand in 2021, Tome said.
UPS is expecting another strong year after record sales in 2020, as consumers continue to avoid stores in favor of e-commerce shipments to their homes. That’s powering demand for the courier’s ground deliveries while the air-freight operation is poised for growth as it ramps up global distribution of Covid-19 vaccines.
United Parcel Service Inc.’s profit jumped in the fourth quarter as a rush of online holiday shopping boosted package volume and enabled the courier to raise its prices.
The results marked a “turning point” for UPS’s efforts to increase revenue faster than volume, Chief Executive Officer Carol Tome told analysts Tuesday after the company reported earnings. While UPS declined to venture a detailed financial forecast because of uncertainty from the coronavirus pandemic, profit margins will expand in 2021, Tome said.
UPS is expecting another strong year after record sales in 2020, as consumers continue to avoid stores in favor of e-commerce shipments to their homes. That’s powering demand for the courier’s ground deliveries while the air-freight operation is poised for growth as it ramps up global distribution of Covid-19 vaccines.
