United Parcel Service (UPS) has recorded a return to revenue and profit growth for the first time in nearly two years during its third quarter, signalling a robust economy as it heads into the festive season.
The companys latest trading figures reveal that global shipping service has achieved revenues of $24.4 billion (£18.8 billion), marking a 4.2 percent increase from the previous quarter, as reported by .
Operating profits have soared by an impressive 15.5 percent, propelled by a surge in shipping volumes coupled with newly optimised pricing strategies.
Buoyed by these results, UPS shares climbed substantially by 5.28 percent to $138.35 (£106.61).
The logistics giant attributed its upbeat performance to effective cost-control measures and heightened international demand, particularly from European and Asian markets.
AJ Bell weighed in, stating: "if you want an indication of how strong an economy is, following the cardboard boxes is a pretty good metric".
In the era of digital shopping, e-commerce continues as a key expansion area, with UPS seeing domestic package revenue hitting $14.5 million (£11.2 million) and supply chain solutions also advancing.
Commentators have noted, "UPS has carried more parcels over the past quarter than had been expected in a rebound that bodes well as we head towards the crucial Christmas period".
Adding to the positive outlook, Carol Tome, the CEO of UPS, remarked: "After a challenging 18-month period, our company returned to revenue and profit growth".
Tome confidently added: "Peak season is nearly upon us, and we are ready to deliver another successful holiday season and continue the progress we demonstrated in the third quarter."
Nevertheless, UPS's share price has seen a decline of 12.62 per cent year to date, with its current standing at $138.35 (£106.60).
