A FedEx truck passes by competing United Parcel Service truck in Palo Alto, Calif., Wednesday, Jan. 30, 2008.Paul Sakuma/The Associated Press
United Parcel Service Inc reported fourth-quarter earnings below analysts' estimates and set a weaker-than-expected profit forecast for 2013.
UPS, the world's largest package-delivery company, said on Thursday that it expected earnings to rise 6 per cent to 12 per cent in 2013, to $4.80 (U.S.) to $5.06 per share, below the average Wall Street forecast of $5.11.
The company posted a fourth-quarter net loss of $1.75-billion, or $1.83 per share, after a $3-billion noncash charge for pension accounting. In the year-earlier period, it earned $725-million, or 74 cents per share.
Factoring out one-time and noncash items, the profit came to $1.32 per share, below the analysts' average estimate of $1.38, according to Thomson Reuters I/B/E/S.
Revenue rose 2.9 per cent to $14.57-billion from $14.17-billion.
Earlier this month UPS dropped its $7-billion bid for Dutch delivery firm TNT Express after European regulators said they would veto the deal, citing antitrust concerns.