United Parcel Service ( UPS ) reported fourth-quarter 2017 earnings per share (excluding 40 cents from non-recurring items) of $1.67 per share, surpassing the Zacks Consensus Estimate of $1.65. Earnings increased 2.5% on a year-over-year basis.
How Was the Estimate Revision Trend?
Investors should note that the earnings estimate revisions for UPSdepicted a stable picture prior to the earnings release. The stock had seen the Zacks Consensus Estimate for fourth-quarter earnings being stagnant over the last seven days
Prior to the Q4 earnings beat in the fourth-quarter, the company had delivered positive surprises in three of the last four quarters. The average earnings beat was 1.9%.
United Parcel Service, Inc. Price and EPS Surprise
Revenues Better Than Expected
UPS recorded operating revenues of $18,829 million, which surpassed the Zacks Consensus Estimate of $18,190.5 million. Moreover, revenues increased 11.2% year over year.
Key Stats to Note: The package delivery company expects 2018 adjusted earnings per share between $7.03 and $7.37. The guidance includes approximately $200 million of additional pre-tax pension expense owing to lower discount rates. The Zacks Consensus Estimate for 2018 currently stands at $7.06 per share. Capital expenditure between $6.5 billion and $7 billion in 2018.
Stock Price : Despite reporting better-than-expected earnings and revenues, the report failed to find favor with investors. Consequently, shares of the company were down in pre-market trading at the time of writing.
Zacks Rank: Currently, UPS sports a Zacks Rank #1 (Strong Buy) which is subject to change following the earnings announcement. You can see the complete list of today's Zacks #1 Rank stocks here .
Check back later for our full write up on this UPS earnings report later!
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