PR: UPS releases Q4 '20 earnings

© Khunaspix Dreamstime.

PRESS RELEASE 

US 02/02/21, Atlanta, GA

– Consolidated Revenue Increased 21.0% to $24.9B; Growth Across All Segments

– Consolidated Operating Profit Up 1.6% to $2.2B, Up 26.0% on an Adjusted* Basis

– Diluted EPS of ($3.75); Adjusted Diluted EPS of $2.66, Up 26.1%

– For the Year, Reported Highest Revenue and Adjusted Diluted Earnings Per Share in Company History

_{(*“Adjusted” amounts are non-GAAP financial measures. See the appendix to this release for a discussion of non-GAAP financial measures, including a reconciliation to the most closely correlated GAAP measure.)}

UPS (NYSE:UPS) today announced fourth-quarter 2020 consolidated revenue of $24.9 billion, a 21.0% increase over the fourth quarter of 2019.  Consolidated average daily volume increased 10.6% year over year.  Operating profit was $2.2 billion, up 1.6% compared to last year’s fourth quarter, or 26.0% on an adjusted basis.  Net loss was $3.3 billion for the quarter; adjusted net income was $2.3 billion or 26.4% above the same period last year.

In the fourth quarter, diluted loss per share was $3.75, compared to a diluted loss per share of $0.12 in the fourth quarter of 2019.  Adjusted diluted earnings per share (EPS) increased 26.1% to $2.66, compared to $2.11 from the same period last year. 

For the fourth-quarter of 2020, GAAP results include a total charge of $5.6 billion, or $6.38 per diluted share, comprised of a non-cash, after-tax mark-to-market (MTM) pension charge of $4.9 billion, an after-tax transformation charge of $114 million and an after-tax impairment charge of $545 million associated with the Company’s decision to sell UPS Freight.  The Company’s fourth-quarter 2019 GAAP results included a total charge of $1.9 billion, or $2.23 per diluted share, comprised of a non-cash, after-tax MTM pension charge of $1.8 billion, an after-tax transformation charge of $39 million and a U.S. Domestic after-tax legal reserve charge of $91 million.

“Our financial performance in the fourth quarter exceeded our expectations, and I thank all UPSers for their extraordinary efforts to deliver industry-leading service through the holidays.” said Carol Tomé, UPS chief executive officer. “I’d also like to thank our customers who worked with us during this challenging year. As we look past 2020 into the new year, we are optimistic.  During the fourth quarter, we began transporting COVID-19 vaccines and we stand ready to deliver hope and health to people around the world.”  

(…)

The full statement and more about the full-year results, outlook and capital allocation in 2021 can be found here.

Now read this: “UPS EPS beats by $0.52, beats on revenue“.

In pre-market trade, UPS shares rose 3% to $160.9.