UPS Posts Disappointing 2Q Earnings, Cuts Outlook

Originally published at Fox Business UPS (UPS: 74.65, -3.30, -4.23%) grew profits by a weaker-than-expected 2.2% in the second quarter, prompting the shipping giant to slash its 2012 outlook on Tuesday amid signs of global weakness. Shares of Atlanta-based UPS slumped almost 4% in the wake of the earnings miss and gloomier guidance. The world's largest package-delivery company said it earned $1.12 billion, or $1.15 a share, last quarter, compared with a profit of $1.09 billion, or $1.09 a share, a year earlier. Analysts had called for more robust EPS of $1.17. Revenue inched up 1.2% to $13.35 billion, trailing the Street's view of $13.7 billion. “Increasing uncertainty in the United States, continuing weakness in Asia exports and the debt crisis in Europe are impacting projections of economic expansion,” CEO Scott Davis said in a statement. Continue reading this article here.