UPS sees gains in North American airfreight
UPS’ supply chain and freight revenue increased 6.5 percent during Q2 of 2014 to US$2.3 billion (1.7 billion euros).
UPS Forwarding produced double-digit operating profit growth. Strong improvements in North American airfreight were offset somewhat by a drop in international airfreight. Market pricing on the key Asia-to-U.S. lane continues to put pressure on rates.
The Distribution business unit experienced high single-digit revenue growth as a result of gains from retail and health care customers.
UPS announced adjusted diluted earnings per share of US$1.21 (0.90 euros) for Q2, a 7.1 percent improvement over a year ago.
“The strong revenue growth this quarter is evidence that our portfolio resonates with customers, with more choosing UPS as their logistics provider,” Scott Davis, UPS chairman and CEO, said. “As we've said, 2014 is the year of investing for the customer. We are providing new capabilities and expanding capacity to ensure UPS meets the rapidly growing needs of the marketplace.”