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Some UPS drivers said they’re worried about their safety while delivering packages.
Almost 2,000 of them have signed a petition calling for more safety measures to be put in place.
“We’ve had people shot at, trucks shot up, people kidnapped,” said Evette Avery who has worked for UPS for 16 years.
Evette Avery had her own had a terrifying experience several months ago while delivering packages.
UPS (NYSE:UPS) today announced first-quarter 2022 consolidated revenue of $24.4 billion, a 6.4% increase over the first quarter of 2021. Consolidated operating profit was $3.3 billion, up 17.6% compared to the first quarter of 2021, and up 12.1% on an adjusted basis. Diluted earnings per share were $3.03 for the quarter; adjusted diluted earnings per share of $3.05 were 10.1% above the same period in 2021.
Yahoo Finance Live’s Julie Hyman and Brian Sozzi discuss first quarter earnings for UPS.
Video Transcript
JULIE HYMAN: Let’s go quickly to our next company, which is also battling higher levels of inflation, but it’s raising costs. It’s raising prices, I should say, and that’s United Parcel Service, UPS, raising prices. And that seems to be helping the company. Efficiency gains as well helping to offset some of those higher costs. Actually, the shares were higher earlier, weren’t they? Was I imagining that, Sozzi?
BRIAN SOZZI: They were a little higher. And I’m surprised that they’re still not, Julie. Overall, a good quarter from a UPS, despite these inflationary pressures they’re seeing. Certainly a better quarter than what we saw from 3M, and of course, GE. But margins throughout their business actually expanded in the supply chain segment. That is a good thing.
Even international business margins didn’t fall that much. But importantly, margins in the US domestic segment, that is the key driver of UPS’s financials. And of course, over time, its stock price, those margins were off. The company largely reaffirming its outlook. All good things to see.
“The agility of our network and the continued execution of our strategy, putting us on our way to achieving our 2022 consolidated financial targets,” said CEO Carol Tomé.
The stock was pressured in early trading, however, after the parcel delivery group said domestic volumes would continue to decline over the first half of the year, amid surging fuel and transport costs, before improving into six months ending in December.
UPS said earnings for the three months ending in March were pegged at $3.03 per share, up 9.4% from the same period last year and firmly ahead of the Street consensus forecast of $2.88 per share. Group revenues, the company said, rose 6.55% to $24.4 billion, again topping estimates of a $23.8 billion tally.
United Parcel Service Inc on Tuesday reported better-than-expected quarterly earnings, but shares fell 3% after executives said they expected e-commerce delivery growth – which drove its pandemic business – to cool this year.
UPS now expects volume in its biggest U.S. business to fall in the first half of 2022 before improving in the latter part of the year.
“We’re not going to see the kind of (e-commerce) growth that we experienced during COVID, but ecommerce sales will continue to grow,” Chief Executive Officer Carol Tome said on a conference call with analysts.
Executives said higher shipping rates, fuel surcharges and more large and small business deliveries would offset softer demand for residential e-commerce package drops – as they did in the first quarter.