Private investment firm Comvest Partners acquires the financially troubled e-retailer, which filed for Chapter 11 bankruptcy protection in March.
UPS’s Q2 worldwide revenue fell 16.7% for the quarter while the average daily package volume fell 5.8%. Net income for the quarter fell 49% to $445 million.
The decline in package volume and revenue that has hit delivery company United Parcel Service Inc. as a result of the recession continued in the second quarter.
- UPS’s worldwide revenue fell 16.7% for the quarter to $10.83 billion from $13.0 billion.
- Worldwide average package volume per day fell 4.7% to 14.3 million from 15.0 million.
- Net income for the quarter fell 49% to $445 million from $873 million.
- U.S. revenue for package delivery fell 12% to $6.79 billion from $7.71 billion
- U.S. average daily package volume fell 4.6% to 12.5 million from 13.1 million.
- Operating profit (UPS doesn’t report net profit by regions) fell almost in half to $480 million from $900 million.
- Revenue fell 15.2% to $21.77 billion from $25.67 billion.
- Average daily package volume fell 4.3% to 14.4 million from 15 million.
- Net income fell 52.4% to $846 million from $1.78 billion.
UPS’s average revenue per ground package in the first half slipped 2.4% to $7.28 from $7.46. Next day air revenue per package fell 16.9% to $17.91 from $21.55.
“The global economic environment pressured our performance, but UPS remains financially very strong,” says Scott Davis, chairman and CEO. “We continue to invest in growth opportunities, even as UPSers improve productivity and help our customers manage through these challenging times. We are a company that can weather this recession, positioning ourselves well to benefit when economic recovery occurs.”
For the full year last year, UPS reported total U.S. small-package average daily volume declined 2% to 13.58 million and related revenue fell 0.9% to $31.28 billion.