UPS’s 3rd quarter net income rises 7.1%

UPS’s 3rd quarter net income rises 7.1%    UPS said Thursday that “strong worldwide gains in package volume and the expansion of supply chain and freight business,” helped it achieve third quarter increases to revenue, and operating and net income.
   UPS’s third quarter net income rose 7.1 percent to $953 million from $890 million in the same period last year. Operating profit in the third quarter rose 19.1 percent to $1.49 billion compared to $1.25 billion for the prior-year period. Revenue increased 17.9 percent to $10.55 billion from $8.95 billion, helped by “positive impacts of both the Menlo Worldwide Forwarding and Overnite acquisitions,” UPS said.
   Total average daily package volume worldwide rose to 14.3 million, up 644,000 packages per day compared to the same 2004 period. Average daily U.S. domestic ground volume increased 3.6 percent and revenue rose 7.4 percent to $4.67 billion. Domestic operating profit gained 18 percent to $1.11 billion. Total U.S. air and ground volume was up 4 percent.
   International export volume increased 12.5 percent, led by China with a gain of 34 percent, UPS reported. Asian export volume increased 26 percent.
   During the latest quarter, UPS acquired Lynx Express Ltd., an independent parcel carrier in the United Kingdom, for '55.5 million ($96.5 million) in cash.
   For the year to date, UPS’s net income increased 14.3 percent to $2.82 billion. Operating profit jumped 17.1 percent to $4.43 billion. Operating revenue was $30.62 billion, up 14.5 percent.
   “We have tremendous momentum right now in the U.S. and around the world and we see it continuing,” said Mike Eskew, UPS chairman and chief executive officer.