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UPS CFO Bullish on International Business Despite Trump Trade Rhetoric

UPS delivered in the second quarter for the most. Here's what UPS CFO Richard Peretz had to say about the company's outlook.

UPS (UPS) - Get United Parcel Service, Inc. Class B Report is still upbeat on the prospects of its globally sensitive business despite rising trade tensions.

"We still expect to have strong growth [internationally]," UPS Chief Financial Officer Richard Peretz told TheStreet. 

The Atlanta-based package shipping giant said net income rose to $1.49 billion, or $1.71 on a per share basis. Earnings, adjusted to exclude a pre-tax charge of $263 million due to costs related to the Voluntary Retirement Plan, came in at $1.94 a share, and revenue rose 9.6% to $17.46 billion. Those results beat analyst forecasts calling for earnings of $1.93 a share on revenue of $17.33 billion.

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International operating profits, excluding currency headwinds, rose by a double-digit percentage for the 14th straight quarter. 

For the full year, UPS said it continues to expect 2018 adjusted earnings in the range of $7.03 to $7.37 a share. The reiterated outlook, despite the solid second quarter beat, may be giving investors pause in the early going.

The company raised its free cash flow target to $5 billion and anticipates capital expenditures between $6.5 billion and $7 billion.

-Anders Keitz contributed to this story.

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