CLAIM #60329 · United Parcel Service Inc (UPS) · 2024Q3 earnings call · Oct 24, 2024 · due Dec 31, 2024
“So it will still be a good peak.”
Carol Tome · CEO
In context
“recast for the holiday season have come in. In fact, the forecast for ESMO in the fourth quarter is now about 3%. Earlier in the year, it had been about 5%. If you look at just the peak part of the holiday season, forecasts are all over the board, candidly from a low of 2% to a high of 11% and SMB Global has it at about 3.5%. Part of this, we believe, is influenced by the tight compressed peak period. There are only 17 shipping days between Thanksgiving and Christmas Eve. And what forecasters and some of our customers are saying is because of the tightness of the shipping season that many customers will go into a store to complete their holiday purchases. The consumer actually is in pretty good shape, but we think there'll be some dynamics in how the consumer shops during the peak season. So it will still be a good peak. In fact, in our prepared remarks, we called out that on peak day, we'll deliver 2 million more packages than we did last year. It will still be a good peak, but just not as dynamic as people thought at the beginning of the year. Whatever happens, we're prepared. We're prepared to handle the volume. And then on the pricing surcharge, we're seeing a really good take rate on the pricing surcharge for the holiday, I should say. And maybe Matt Guffey is here. Matt, perhaps you want to comment on the holiday surcharge? Matt Guffey: Yes, absolutely. So first off, we're working closely in collaboration with all of our customers. Carol talked about the top 100, which are extremely important just due to the peakiness that they bring during the season. But we've really worked again. We've got a good”
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SEC filings for UPS ↗ · Claim quote is verbatim from the 2024Q3 earnings call.