Shares of United Parcel Service Inc. (UPS) shot up 10.6% toward a record high in premarket trading Thursday, after the package delivery giant reported second-quarter profit at revenue that were well above expectations, amid a surge in residential demand and health care shipments that emerged from the COVID-19 pandemic. Net income rose to $1.77 billion, or $2.03 a share, from $1.69 billion, or $1.94 a share, in the year-ago period. Excluding non-recurring items, adjusted earnings per share came to $2.13, nearly double the FactSet consensus of $1.07. Revenue increased 13.4% to $20.46 billion, beating the FactSet consensus of $17.50 billion, as domestic package revenue grew 17.3% to $13.07 billion to top expectations of $11.15 billion. In the U.S., average daily volume rose 22.8%, while demand for residential delivery soared, with business-to-consumer shipments increasing 65.2%. The stock has gained 5.7% year to date through Wednesday, while the Dow Jones Industrial Average has slipped 7.0%.
-Tomi Kilgore; 415-439-6400; AskNewswires@dowjones.com
(END) Dow Jones Newswires
July 30, 2020 16:28 ET (20:28 GMT)
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