UPS CEO says U.S. deliveries slowed last quarter as economy reopened
United Parcel Service CEO Carol Tome on Tuesday defended her company’s long-term strategy after shares tumbled, despite beating estimates in its report from the second quarter.
UPS stock dropped nearly 7% after the company showed there was a slowdown in domestic deliveries in the three-month period, leading it to miss U.S. revenue forecasts.
Tome said on CNBC that it was no surprise to the shipping company that the average daily domestic volume in the U.S. was down slightly from a year ago.
“There’s been a permanent shift in how consumers are shopping and e-commerce sales are booming, but the rate of growth is not the same as it was last year when everyone was sheltering in place,” she told Jim Cramer in a “Mad Money” interview. “We realized that when the economy started to open and stores reopened, consumers would go back into their stores and we saw it happen.”
U.S. deliveries in the…