UPS said it had a profit of $970 million in the first quarter, 6 percent more than in the first quarter of 2011.
First quarter revenue was $13.1 billion, 4.4 percent more than in the same 2011 period. Domestic package revenue was up 6.1 percent to $8 billion, international package revenue was up 2.3 percent to $2.97 billion, and supply chain and freight revenue was up 1.3 percent to $2.17 billion.
The company said operating profit in the supply chain and freight segment climbed 19 percent.
It also said operating margin in the forwarding business expanded due to growth in customized solutions and brokerage services, in addition to improved productivity. However, revenue was negatively impacted by declines in both tonnage and yield because of excess capacity in the market.
The express carrier said “demand for UPS healthcare solutions drove revenue gains in the logistics business unit and that operating margin expanded despite the impact of continued investment in the healthcare network.”
UPS profit up 6% in 1Q
