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Investing.com -- United Parcel Service (UPS) reported better-than-expected first-quarter 2025 results, with adjusted earnings and revenue surpassing analyst estimates. The company’s shares rose 4.8% following the announcement.
UPS posted adjusted earnings per share of $1.49, beating the analyst consensus of $1.44. Revenue for the quarter came in at $21.5 billion, exceeding expectations of $21.22 billion. However, this represents a 0.7% decrease compared to the $21.7 billion reported in the same quarter last year.
The company’s U.S. Domestic segment saw revenue growth of 1.4%, driven by increases in air cargo and a 4.5% improvement in revenue per piece, which partially offset a decline in volume. The International segment reported a 2.7% revenue increase, fueled by a 7.1% rise in average daily volume.
Carol Tomé, UPS chief executive officer, stated, "As a trusted leader in global logistics, we will leverage our integrated network and trade expertise to assist our customers as they adapt to a changing trade environment."
Despite the positive quarterly results, UPS maintained a cautious outlook due to macroeconomic uncertainty. The company refrained from updating its previously issued consolidated full-year guidance, citing the current economic climate.
UPS’s non-GAAP adjusted consolidated operating margin for the quarter stood at 8.2%.
The company’s Supply Chain Solutions segment experienced a 14.8% revenue decline, primarily due to the divestiture of Coyote. Operating margin for this segment was 1.7%, or 3.6% on a non-GAAP adjusted basis.