Surcharges add up for parcel shippers – and there may be more to come
UPS is hitting cargo owners with multiple surcharges in the run-up to the peak season ...
AMZN: APPEAL UPDATEDSV: PRESSURE BUILDS AAPL: OPENAI FUNDING INTERESTCHRW: ANOTHER INSIDER CASHES INHLAG: GRI DISCLOSUREMAERSK: HOVERING AROUND FOUR-MONTH LOWSTSLA: CHINA COMPETITIONDHL: BOLT-ON DEAL TALKAMZN: NEW ZEALAND PROJECTDHL: SURCHARGE RISKKNIN: LEGAL RISKF: 'DEI' HURDLESPLD: RATING UPDATEXOM: DISPOSALS
AMZN: APPEAL UPDATEDSV: PRESSURE BUILDS AAPL: OPENAI FUNDING INTERESTCHRW: ANOTHER INSIDER CASHES INHLAG: GRI DISCLOSUREMAERSK: HOVERING AROUND FOUR-MONTH LOWSTSLA: CHINA COMPETITIONDHL: BOLT-ON DEAL TALKAMZN: NEW ZEALAND PROJECTDHL: SURCHARGE RISKKNIN: LEGAL RISKF: 'DEI' HURDLESPLD: RATING UPDATEXOM: DISPOSALS
E-commerce and cost-cutting triggered a better result for UPS in its first quarter than it expected. But a potential change to pension benefits could leave the parcel company with a $3.8bn charge this year.
Better weather than in the first quarter of last year, plus a revenue increase of 3.1% in US domestic and a near 2% fall in cost per package, lead to overall revenues of $14bn and operating income of $1.8bn. Supply chain & Freight saw revenues grow 10.4%, reflecting the purchase of Coyote Logistics, but operating income fell 2.6% to $147m – owing to “weak market conditions in the air freight forwarding and LTL markets”.
You can read a fuller analysis here, or read more for a more concise overview.
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