UPS beats by $0.01, misses on revs; guides FY24 revs below consensus; raises dividend (158.02)
- Reports Q4 (Dec) earnings of $2.47 per share, excluding non-recurring items, $0.01 better than the FactSet Consensus of $2.46; revenues fell 7.8% year/year to $24.92 bln vs the $25.4 bln FactSet Consensus.
- Consolidated adjusted operating margin to range from approximately 10.0% to 10.6%.
- U.S. Domestic Segment Revenue decreased 7.3%, driven by a 7.4% decrease in average daily volume.
- International Segment Revenue decreased 6.9%, driven by an 8.3% decrease in average daily volume primarily due to softness in Europe.
- Supply Chain Solutions Revenue decreased 11.4% due primarily to market rate declines and excess market capacity in forwarding.
- Co issues downside guidance for FY24, sees FY24 revs of $92.0-94.5 bln vs. $95.51 bln FactSet Consensus.
- The company is planning capital expenditures of about $4.5 billion and dividend payments of around $5.4 billion, subject to board approval.
- For the 15th consecutive year, the UPS Board of Directors has approved an increase to the company's quarterly dividend. UPS will pay a first-quarter 2024 dividend of $1.63 per share on all outstanding Class A and Class B shares. The dividend is payable March 8, 2024 to shareowners of record on February 20, 2024.