UPS, the world’s largest package delivery company, released its results for Q4 2011 today, drawing attention to a 21 percent improvement in earnings per share.
UPS delivered 1.13 billion packages in Q4 2011, an increase of 3.6 percent over the same quarter of 2010. The company attributed the increase in average daily volume to “robust” internet shopping activity.
Total revenue increased 6 percent to $14.2 billion and adjusted operating profit climbed 17 percent to over $2 billion.
On a reported basis, net income actually fell because of a one-off accounting charge relating to a change in pension accounting, but the figures have still beaten Wall Street’s expectations.
"UPS delivered record fourth quarter results in volume, revenue and profitability," said Scott Davis, UPS chairman and CEO. "In short, the quarter was a testament to the power of UPS's global model and the company's ability to operate efficiently in evolving markets."
International revenue rose 3.5 percent to $3.15 billion. Export volume for the quarter improved 4.5 percent, surpassing 1 million pieces on an average daily basis for the first time in UPS history, driven by European exports and strong intra-regional growth in Asia.
"Looking to 2012, our expectations are for mixed economic growth around the world, with modest improvement in the US,” said Kurt Kuehn, chief financial officer. “However, UPS projects another strong year of earnings. "We expect diluted earnings per share to be within a range of $4.75 to $5.00, an increase of 9 percent to 15 percent over adjusted 2011 results.”
