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https://seekingalpha.com/article/41...-results-earnings-call-transcript?part=single
Richard N. Peretz - United Parcel Service, Inc.
Now let's look at the Supply Chain and Freight segment. Total revenue was up 16% with solid growth across all business units. Operating profit increased nearly 17% to $247 million, the highest profit for this segment ever reported. Forwarding revenue jumped 23%, driven by higher tonnage and improved pricing. International air freight and Coyote truckload brokerage led the business unit with high top line and bottom line growth. The distribution and logistics unit drove revenue up more than 9%, on higher demand for health care, retail and manufacturing sectors, all contributing to good profit gains. The unit expanded warehouse capacity by more than 1 million square feet in the second quarter.
UPS Freight revenue climbed 13%, as LTL revenue per hundredweight elevated 7.4% which includes about 280 basis points of increase from fuel. The unit remains focused on serving middle market customers and improving yields. Overall, we are pleased with the Supply Chain and Freight segment's performance this year. The team across all the major business units are executing on their strategies, and we're seeing great results. In fact, operating profit has grown 43% in this segment over the last two years.
Richard N. Peretz - United Parcel Service, Inc.
Now let's look at the Supply Chain and Freight segment. Total revenue was up 16% with solid growth across all business units. Operating profit increased nearly 17% to $247 million, the highest profit for this segment ever reported. Forwarding revenue jumped 23%, driven by higher tonnage and improved pricing. International air freight and Coyote truckload brokerage led the business unit with high top line and bottom line growth. The distribution and logistics unit drove revenue up more than 9%, on higher demand for health care, retail and manufacturing sectors, all contributing to good profit gains. The unit expanded warehouse capacity by more than 1 million square feet in the second quarter.
UPS Freight revenue climbed 13%, as LTL revenue per hundredweight elevated 7.4% which includes about 280 basis points of increase from fuel. The unit remains focused on serving middle market customers and improving yields. Overall, we are pleased with the Supply Chain and Freight segment's performance this year. The team across all the major business units are executing on their strategies, and we're seeing great results. In fact, operating profit has grown 43% in this segment over the last two years.
