Investing.com - Global shipping giant UPS reported weaker than expected first quarter earnings and revenue figures ahead of Thursday’s opening bell.
UPS said adjusted earnings per share came in at $0.98 in the first quarter, missing expectations for adjusted earnings of $1.08 per share. The company’s first quarter revenue totaled $13.78 billion, slightly missing expectations for revenue of $13.9 billion.
Unusually harsh weather weighed on operating profit by approximately $200 million, due to increased expenses and slower revenue growth.
Much of the U.S. economy was negatively affected by the severe weather conditions in the first quarter, resulting in lower UPS operating results versus the prior year, said Scott Davis, UPS chairman and CEO.
Due to the challenging start to 2014, we anticipate diluted earnings per share to be at the low end of our full-year guidance range of $5.05 to $5.30.
Following the release of the report, United Parcel Service (NYSE:UPS) shares slumped 1.5% in pre-market trade.
Meanwhile, the outlook for U.S. equity markets remained higher. The Dow 30 indicated a gain of 0.4% at the open, the S&P 500 pointed to an increase of 0.6%, while the Nasdaq 100 indicated a rise of 1.6%.