CLAIM #60309 · United Parcel Service Inc (UPS) · 2024Q3 earnings call · Oct 24, 2024 · due Dec 31, 2024
“This year on our peak day, which is December 18th in the U.S. we expect to deliver 2 million more packages than we did on peak day last year, but we'll do it at a higher productivity rate.”
Carol Tome · CEO
In context
“iday and Christmas Eve. We haven't seen such a compressed peak since 2019. We do peak better than anyone and with six years in a row of industry leading service, we're confident our plans and execution will make that seven. To prepare, we've been collaborating with our customers on daily volume expectations and the timing of their promotions. While our customers are still expecting a good holiday selling season, recently, shippers have tempered their volume expectations. In any case, we'll be ready to deliver and we'll leverage our network planning tools and other proven technologies to control first how the volume comes in. Second, how to flow more volume to our automated facilities. And third, how to adjust the network to operate as efficiently as possible. And talking about efficiency. This year on our peak day, which is December 18th in the U.S. we expect to deliver 2 million more packages than we did on peak day last year, but we'll do it at a higher productivity rate. This will be possible due to the efficiency improvements we've made over the years and the use of seasonal support drivers, many of which are experienced part time UPSers who work inside our facilities. To sum it up, we're ready to deliver another successful peak. Moving to our financial outlook, we continue our better, not bigger approach, enhanced by some bold moves. The addition of the USPS air cargo business and the divestiture of Coyote are recent examples. With these moves, we eliminated a highly volatile truckload brokerage business and added air cargo volume that is predictable and margin positive. Looking at our consolidated revenue outlook in the third quarter, we increased our emphasis on revenue quality resulting in a glide down of certain volume which we expect will continue”
Verify independently
SEC filings for UPS ↗ · Claim quote is verbatim from the 2024Q3 earnings call.