Revenue at UPS rises 12% in 2006 while package volume grows 5.7%

Revenue for 2006 rose 11.7% year-over-year to $47.5 billion at UPS, where the average daily number of packages rose 4.4% in the U.S. and 17.3% in international markets, UPS reported today.

Revenue from total U.S. package deliveries in 2006 rose 6.5% year-over-year to $30.5 billion. Ground shipments accounted for $20.3 billion, up 6.8%, as next-day air rose 6.2% to $6.8 billion and deferred shipments rose 5.1% to $3.4 billion.

Revenue from international package deliveries rose 13.9% year-over-year to $9.1 billion.

Total U.S. average daily package volume for 2006 rose 4.4% year-over-year to 13.8 million packages, as the average daily package volume for ground shipments rose 4.5% to 11.5 million packages and, for next-day air, rose 3.2% to 1.3 million, with 1 million packages a day its so-called “deferred” delivery. Total international average daily package volume rose 17.3% to 1.8 million packages.

Total average daily package volume in 2006 was 15.6 million, up 5.7% from 14.75 million in 2005.

For the fourth quarter ended Dec. 31, total revenue rose 5.6% year-over-year to $12.6 billion, as revenue from total U.S. package deliveries rose 3.9% to $8.1 billion. Revenue from U.S. ground package deliveries rose 5.6% to $5.4 billion and revenue from U.S. next-day air package deliveries rose 0.5% to $1.7 billion. Q4 revenue from international package deliveries rose 10% to $2.4 billion.

Q4 U.S. average daily package volume rose 2.9% year-over-year to 15.4 million packages, as ground volume rose 3.6% to 12.8 million packages and next-day air declined 0.1% to 1.33, with 1.2 million packages in deferred delivery status. Average daily international volume rose 6.7% to 1.96 million packages.