UPS Reports Q1 2024 Financial Results: Consolidated Revenues Decline, Affirms Full-Year Guidance
Stock Market04/23/2024Mr. SmithUPS (NYSE:UPS) announced its first-quarter 2024 financial results, reporting consolidated revenues of $21.7 billion, down 5.3% from the same period last year. The company's operating profit decreased by 36.5% to $1.6 billion, reflecting ongoing market challenges.
Financial Performance Overview
The first quarter of 2024 saw UPS facing headwinds, with consolidated revenues declining and operating profit under pressure. Diluted earnings per share (EPS) were $1.30, with adjusted diluted EPS at $1.43, down 35.0% from last year.
Segment Analysis
U.S. Domestic Segment: Revenue decreased by 5.0%, driven by a 3.2% decrease in average daily volume. Operating margin was 5.8%.
International Segment: Revenue decreased by 6.3%, primarily due to a 5.8% decrease in average daily volume. Operating margin was 15.4%.
Supply Chain Solutions: Revenue decreased by 5.3%, with operating margin at 4.1%. This segment includes operations that do not meet reportable segment criteria under ASC Topic 280.
2024 Outlook and Guidance
Despite challenges, UPS reaffirmed its full-year 2024 financial targets, including:
- Consolidated revenue expected to range from approximately $92.0 billion to $94.5 billion
- Consolidated adjusted operating margin expected to range from approximately 10.0% to 10.6%
- Capital expenditures estimated at approximately $4.5 billion
UPS remains focused on its strategic goals, aiming for sustainable growth and operational efficiency in a dynamic market environment.
About UPS
UPS (NYSE: UPS) is a global leader in integrated logistics solutions, operating in over 200 countries and territories. With a strong commitment to customer service, innovation, and sustainability, UPS continues to navigate challenges and deliver value to stakeholders worldwide.
Forward-Looking Statements
This release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from expectations. For more information, refer to UPS's filings with the Securities and Exchange Commission.
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