UPS profit misses estimates on severe U.S. winter

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UPS profit misses estimates on severe U.S. winter
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United Parcel Service Inc on Thursday blamed harsh winter weather in the United ...

FILE PHOTO: Vehicles of United Parcel Service are seen at the new package sorting and delivery UPS hub in Corbeil-Essonnes and Evry, southern Paris, France, June 26, 2018. REUTERS/Charles Platiau

- United Parcel Service Inc on Thursday blamed harsh winter weather in the United States as it reported a lower-than-expected first-quarter profit, sending the world’s biggest package delivery company’s shares down 1.2 percent before the bell. UPS’s operating profit in its U.S. domestic business, its biggest, fell 12 percent to $666 million in the first quarter ended March 31, as it included an $80 million hit due to weather-related disruptions.

Net income fell to $1.11 billion, or $1.28 per share, in the quarter, from $1.35 billion, or $1.55 per share, a year earlier. Excluding a reduction of 7 cents per share due to severe storms in the U.S. Northeast and Midwest and other items, UPS earned $1.39 per share, missing analysts’ average estimate of $1.41, according to IBES data from Refinitiv.Reporting by Lisa Baertlein in Los Angeles and Ankit Ajmera in Bengaluru; Editing by Maju Samuel

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