Investing.com - Global shipping giant United Parcel Service (NYSE:UPS) reported weaker than expected second quarter earnings results ahead of Tuesday’s opening bell, sending its shares lower in premarket trade.
UPS said adjusted earnings per share came in at $1.21 in the second quarter, missing expectations for adjusted earnings of $1.25 per share.
The company’s second quarter revenue totaled $14.27 billion, above forecasts for revenue of $14.1 billion.
U.S. Domestic revenue increased 5.2% to $8.7 billion. Daily package volume improved 7.4%, led by gains in UPS Ground.
E-commerce shipping in the U.S. and strong International Export growth contributed to a 7.2% increase in global package shipments.
“The strong revenue growth this quarter is evidence that our portfolio resonates with customers, with more choosing UPS as their logistics provider,” said Scott Davis, UPS chairman and CEO.
The company lowered its expectations for full-year adjusted diluted earnings per share to be in a range of $4.90 to $5.00, compared to a previous outlook of diluted earnings per share in a range between $5.05 to $5.30
Following the release of the report, UPS (NYSE:UPS) shares slumped 2.8% in pre-market trade.
Meanwhile, the outlook for U.S. equity markets was higher. The Dow indicated a gain of 0.2% at the open, the S&P 500 pointed to an increase of 0.15%, while Nasdaq 100 added 0.2%.