ATLANTA's United Parcel Service (UPS) third quarter net profit increased 20 per cent year on year to US$1
ATLANTA's United Parcel Service (UPS) third quarter net profit increased 20 per cent year on year to US$1.51 billion, drawn on revenues of $17.44 billion, up eight per cent. The boom in online shopping has left the company scrambling to cut extra costs related to individual parcel delivery rather that delivering parcels in bulk as UPS is more accustomed to doing.
Said CEO Chief Executive David Abney: 'Concerns over unresolved trade issues between China and the US as well as Brexit continued to be a focus for our customers. We are assisting them with contingency planning.'
Operating profit was down 6.1 per cent for the US package segment during the latest quarter while revenue at its international package segment was up three per cent.
UPS is spending billions of dollars to upgrade and expand its network to meet FedEx and Amazon and is in the early stages of its largest capital spending campaign since the 1980s, Reuters reported.
