CLAIM #60127 · United Parcel Service Inc (UPS) · 2023Q2 earnings call · Aug 8, 2023 · due Jun 30, 2024
“1H of '24 would expect to be under some pressure, the back half, less inflation.”
Carol Tome · CEO
In context
“earnings be up in '24, obviously, we'd like to see that, but you've got through August, that headwind. So any broad commentary about how optimistic you might be on '24 in terms of domestic margin or earnings overall? Thank you. Carol Tomé: Well, we run the business as a portfolio. So we want both. We want volume and we want price, but price doesn't necessarily mean price increases. It means moving into segments that value our end-to-end network and have different products. So we run it as a portfolio. We want both. That's the easy answer to that question. Brian Newman: And just on shaping the multiyear, Tom, as Carol mentioned, we'll come back in the spring and give you multiyear targets. Obviously, year one of the labor contract is the most expensive piece. That's in August-to-August. So 1H of '24 would expect to be under some pressure, the back half, less inflation. So we'll walk that for you in the early part of next year. Operator: Our next question will come from the line of Bruce Chan of Stifel. Bruce Chan: I appreciate the time here. Carol, the DAP rollout has been very successful this year. And I know it's early to start thinking about 2024. But as far as what the longer opportunity is, does growth start to slow for that channel now that you've kind of reached critical mass? Or do you still see quite a bit of opportunity there? And then, Brian, just to follow up broadly on e-commerce demand trends. Have we kind of turned the corner there, or are we still seeing a bit of an air pocket in terms of spending? Thank you. Carol Tomé: So thanks for your comments about DAP. We're very pleased with that product, and we see nothing but growth ahead. Glob”
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SEC filings for UPS ↗ · Claim quote is verbatim from the 2023Q2 earnings call.